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organizations have in absorbing acquisitions and so realizing the
                  synergies expected can be attributed to culture clashes. There are
                  certainly elements operating inside a business system that are usually

                  attributed to the Emergence construct. The interactions of employees
                  personality, needs, values etc. and the system goals certainly exist.
                  There is path dependence in that prior choices affect current goals and

                  attitudes as well as resources. But, we believe there are differences as
                  well as similarities between the culture creation process inside a
                  business versus that which occurs in the context.


                        The Goal Effect: A business system is goal-directed so evolves
                         under the influence of its goals; whereas, the context is not goal-
                         directed and simply evolves under stigmergic action. Unlike the

                         termites building a nest under the rules of stigmergic action, the
                         ‘nest’ created by an organization has a clearly defined and
                         understood purpose, and there are indeed organization-building

                         schools for building businesses where ‘best practice’ is archived
                         and transferred. The influence of applying the body of
                         knowledge impacts the legitimacy of an organization and so its
                         (cultural) self-image as ‘professional’.

                        The Isomorphic Pressure Effect: The firm sits inside the
                         general context and is under isomorphic pressure to conform to

                         the requirements of the context (legal, structural, professional
                         norms, social mores, etc.) if it is to achieve contextual legitimacy.
                         This makes the bounded organization a subset of the context and
                         it evolves with the context under the requisite complexity

                         demand for adaptation.
                        The Technical System Effect: A business system is socio-
                         technical, such that the needs of the technical system have a real

                         impact on the social system that runs the processes etc. This has
                         implications for the types of people who inhabit the firm and the
                         relative proportions of those groups and as a corollary the
                         professional and trade attitudes that they import from the

                         context. To a degree, the mix of people can be managed.


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                  ©Business Games Works 2018                    (Version 1)
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