The Complex Adaptive Systems Approach to Strategic Planning - Coursework Example

Nonprofit Governance Module Paper 3 The complex adaptive systems approach to strategic planning One of the most requested nonprofit consulting services is strategic services. Many are of the opinion that strategic planning process will pave the way for their organization to be on the right track at least for the next three to five years. The researchers opined that if they can rule out the predictable pitfalls desirable outcomes is only a matter of time. Complex adaptive systems tend to influence the management theory as well as strategic planning. The theory contributes to understand the operational procedures of physical, biological and social systems. The earlier versions of the complex adaptive systems were rejected in favor of learning process of the organization. The emergence of self organization ranges from valuable inventions to unfortunate accidents. The misunderstandings can offer many ways of interaction and reshape the already adopted assumptions and the anticipations that have become the patterns that are globally accepted (Miller and Page, p. 3). The theory challenged the existing models on how the organization can adapt itself in the changing environment. In complex adaptive systems the agents are linked through decision making criteria. The linkages are strengthened through a shared purpose which informs the mode of linkage within the agents and the shareholders. The system provides the opportunity to reconstruct the relationships and possibilities among both the internal and the external groups. The organizations need to fasten their seat belts to deal with the unexpected changes. The strategies relating to planning can include the ways in order to foster the organizational learning processes. The complex adaptive system builds upon the methods of organizational learning. The system emphasizes mindfulness and decisions on the basis of values. It fosters the relationship between systems of communication. It constructs the possibilities so as to contribute to the self organizing and resiliency of the organization in recent and distant future. The vision plans for the near or distant future may not the recipe for blooming future state but are the ways that the organization can follow to be more mindful to the ever-changing environment and exploit the present possibilities for benefits (Begun, 2003). There is a sharp distinction between complex adaptive system and complex evolving system. Some tend to get confused between the two. The former adapts to the alterations but do not learn anything from the process. The latter adapt to the changes and learn and evolve from the alterations. It can influence the environment as well. It predicts the likely changes of the future and takes the necessary steps. The system does not always have to be perfect while thriving in within the environment. It only needs to be slightly efficient than the competitors. Once the system achieves the efficiency level there will be a tradeoff between increased energy and greater effectiveness every time. The system tends to get stronger with greater variety. The ways of linkage between the agents participating within the system and the relation between them is important for the system to be operative. The connections create the patterns and the feedback is disseminated. The relationships between the agents are of much more importance than the agents (Evans, n.d.). Success in social services The agents in the complex adaptive system are explained with the help of the diagram below: The agents can be thought of as the flora and fauna of the eco system or the air and water molecules. The agents are interconnected or linked with each other in an unpredictable fashion. But the interactions lead to the emergence of regularities and continue to build a pattern that gets back to the system itself and updates the information regarding the interactions of the agents. This will be clearer with the help of an example. It can be the case where a virus begins to deplete one species. Such kind of action will result in greater or lesser supply of food for others. Therefore the behavior and the number of species will get affected. The period of flux continues until and unless a new balance is established in the eco system. To make the diagram simpler, the regularities, patterns and the feedback are depicted outside the system. In reality the agents form an intrinsic part of the system. Since the agents in the complex adaptive system interacts in a random manner and the emerging patterns informs the behavior of the agents as well as that of the system itself. Another good example of complex adaptive systems is as follows. The water systems of the world can be taken into account. Here the streams, lakes oceans and the waterfalls are acting as the agents. The agents are different varieties and beauty. But they are governed by the principle that water finds its own level. Efficiency level in case of other organizations Business can be characterized as the function of increased specialization. The current world is witnessing the use of technology in distribution of products. In businesses like Wal-Mart it is required to track the inventory items with the help of their vendors. They are using a technology referred to as smart tags to pick up the movements of the inventories around the world through satellites. The businesses are constantly involved in planning strategies. They are often involved in gathering knowledge, and apply the techniques of business intelligence to make the planning process dynamic and responsive to the changing environment. That is why businesses have adopted complex adaptive systems in their organizations. An example of private bank is considered here. The bank offers gold loans. Now if the bank follows a fixed premium on loans then during the times of inflation, it is likely to suffer. Therefore the bank will have to adopt the dynamic approach that will act as the shield in such scenarios. Reference Begun, J. (2003). Health Care Organizations as Complex Adaptive Systems. Retrieved From: http://www.change-ability.ca/Complex_Adaptive.pdf. [Accessed: 4th October, 2012]. Evans, M. (n.d.). Welcome to the World of Complex Adaptive Systems. Retrieved From: http://www.exinfm.com/board/documents/complex_adaptive_systems.pdf. [Accessed: 4th October, 2012]. Miller, J. and Page, S. (2010). Complex Adaptive Systems: An Introduction to Computational Models of Social Life. Princeton University Press. Read More