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1. Organizational Choice under Ambiguity JAMES G. MARCH Stanford Univerty JOHAN P. OLSEN ‘Universy of Bergen 10 Introduction Organizational choice often involves a curious paradox. The process ith sri anon pig. rs fe ody cme ces is patog for many eto a at expences oy {ey reports of nga. Slson making ie experonsed Devic opine ss gu At he tone Sn ay ‘Ssumen sieve about cron ae pogo he Poi ot iw of heats of orptustons Wat mundane 1 Srprnc fegundyeooms snetplned vane fn te eee, ‘What bch in tr nerpeton of ogtaoas ety ‘ese not cpa “Te obseratons rye ne ook arent srr Orne deen osc too sabig tiple Se aes ‘ving devoted uch ine, ey, 28 ena 0 ming {© nak spat aor dso wh onl minor Prion Tey simlasenos and giant Cosas ot ceo ¢ Stage over arcpton ight wit an inflows teeing item: ct mae argent ver oly wit slave aon, of {0 spare the cotone of 8 spe poten Sapte fom ih Se fe poll poses avoled Tough ie lamp te ee he Sos bee Dem hfe, teobtraons are hore cso ‘any ape to be uly igs wi eel fancies Impl in ern coon soit expan tn dens ithe, aswel cera coven td ph eter {este of rps Tatoo of ado csc, sisson han, oc elare Geary, iste up thas Ot pir and brent of Powe, denote thas tpl ores opens 2n ering oot t lsing, ‘tapes ey. We wih io etaniaeSoue spect of tae shot eas and suas modiesar tem, The gts are rte fe ‘esl they srt compre Whoa stcaptay = es 10 econo of et ba declons itogaieions, we wil 1 Sutin Some pole penpeives hat may ake nary cence in retains somewhat more expicale ‘tr ephass rom decison Sut We ce impresed y the ways an hich he image of “decion making” coniunds ey unde Sanding of orion phnometa” We tl examise blow sone robles win the standard soncepion of he cc jf cana Monn ome the awh Oona ing ih ich we wl bs coneered invle btn ments Of anigy {Eat ls aot pcommodeted well win ta eooeopon, tt ne pres the dacuicn wih be oberadon tat he Wet of "Soi" a8 etme nd eso mang (2 pos) eat cond ‘seman presmpon ht te laters comeced fo te fomer B soe sont hon fois stations clude lowing, priceseting, planning, and host of oer dar tingy."Tey ab Overy eoneted wih the {iceaton of resources and borden eecon of peel, desing ‘at new ergaiatooal aranpinenpolcyprogam an the ie Pariament courts, ervey, Grn, polcl per, areacrne, tod berplais aye ivaed in iden uae feqeaty: Tere ee foci expecintone te tbe man thing taking pce rch steatone iP Sdedion mating ‘spl doco sive in uc stations may have mc 1 do vwih te outcomes tha ooo. A cicce alan may prove an {ess for pobemsohing and conf reson, te egopson finda aoa group pectereecs an power i colve cuca But fen the proce of dein does ot eppeas to be mich Goneerned wits aking # esi ods the ses wiih a hele tation nay be explicble ly we recopae teeter major {tings tat ake pace withing the tame area the sae Sine. ‘Arie procs provide a octcon for nomber of oe igs) rst nob ~ occasion for executing standard operating procedures, and {uling rle-erpectatins, dates, or eter conmitment- an occasion for defining virtue and wth during Which the orzai- ation cscovers or interpret what has happened to, what it bas ‘been doing, what i is doing, what itis going to do, and what josie acon. ~ an occasion for Gsibuting ory or blame for what has happened {a the organizadon; and ts an occasion for_exeresing, ‘ulleagng or reaming {eodihip or Wust ‘nlagonams, power of sats relationship. = tn occasion for expressing and dscoverng “sel-imeret™ and 1 Se “ovp interest, for vciiaton, and for renting (1 orgai- zational positions ot informal grup) = occasion for having 8 good tite, for enjoying the pleasures ‘connected to faking part ins socesuaton, ‘The several scivtes are neither mutually excusve nor mutually inconitent, They ae aspects of most choee situations and Masato Leis compleiy. Decisions are stage for many dramas, "The dramatic compleniy ie fartber elaborated by the pervasiveness of ambiguity. By the term ambleulty we intend to sigaty Tour major nds of opaquenest im orgoizatons. The fst is the ambiguity of Intention. Many organizations are characierized by inconssent and ‘ikdeined objecies, Its ofen imposible to specify « mesningfl preference fonction for an organization that sates both the con tency requirements of theories of chaice andthe enpiialrequre- ‘ments of eteribing organizational motive. The second lack of clanty| [she ambigaty of understnding, For many organizations the eausl ‘wot which they ve is obscure. Technologles are unclear; envizon- ‘ments ae dificult iterpret It is hard to see the connections ‘between organizatona sions and ther consequences. The third lack ‘of clr isthe ambigult of hor. The past is important, but iis ‘ot ealy spciiod or Interpreted. History can be recontiicted ot twisted. What happesed, why It happened, and whuher it had to happen ae all probate. The fourth lack of easy i the angsty ‘of orponization, Ata) point in ne, Individuals vary inthe stenton {hey provid to ferent decisions; they var fom one Ueto another. ‘AS's ent the pater of parcipaton is uncertan and changing, "Al organizations confront lements of ambiguity in decelon F making [For some organizations ambit is 2 dominant condition. In paral, ambiguy i «major feature of decison making in most public and edvetonal organizations; t seems to charicteriae a wide ‘arey of onpiizations when they are young or when their environ [seats are chaning a 1.1 Limitations in the Complete Cyele of Choice [none to accommodate these concent is neestary to reexamine ‘me faunal ens abst organizalonal ce They ae spe ‘des, perf thr ape; rlie to te terpay of. eve ‘iin decison talon, they we too simple and Too settee “Conidr wha might be cle he comple cle of onguneaton] caine. Its. familar conesptn, anda wel one? 2 [At & certain point in time some paripans see &, dsrepancy ‘ene what they thisk the world ougst to be (ven present Posies and consrin) and what the word acualy i, This Escrepancy produces individ! Behavior, which is agreznted into ‘oletve (organizational aeton or choices. The owe world then “esponds to tis choce in tome way that affects individual asses rents both of the sate ofthe world and of the elfiacy of the ‘This conception ct choice assumes » closed eycle of connections Pigure 1.0) (Q) The cognitions and preferences held by inaviduals affect thei behavior @) The behavior Gaclding parisipaton) of individuals acts organizational choices. (@) Organizational choles atfect envirgamental acts (cesponses) (G) Brvionmentl ase aect individual cogitions and preferences “These base ideas are fundamental to much of our understanding of| Gecsons in organizations. Although fequenly subject to sila, the Ideas are implicit in most ordinary conversations about organi ‘zations and about important events of policy making. They are the ‘bass for many theoretical treatment, including our own. While we think this conception of choice Hranaes choice stuaons sign ean, we want to modi the details ofthat perspective and explore Some spose limitations in a theory based on the closed sequence ‘Shown in Figere 1.0. Fle 12. The Conplee Ge of Coie B ‘The Limitations ve will consider ae of considerable significance ander some situations, of ile sgiianee unde others. The complete ‘jele of organizational choice assumes four simple relations. Each of those Telalons Is abviotsly” mote complex than the closed cycle Fepretets them to be, More importantly, they are more complex in tvays that lead te sytomatic nitions in the theory. Th limitations tie parsley important whea the eyele is incomplete when one or tmore of the connedons are broken of coafounded by exogeaous factor. Under such circumstances, we requ a theory of organiza tional choice tat recognizes the loose coupling, We consider each of the four relations, in tor. 41.10 Individual Beliefs and Individual Acton “Mort orgasizaion theory is porposiv. It assumes that behavior and sttenon follow belt and attude. Belts and aude, intra, are fable enough so tit atendon is stable over th course ofa chloe; Sod differential levels of atention are preicale from the content of {he decison. Decision making sctvity thus stems from self-interest and 1s generally auracve 0 long as the resources being allocated are signin. (Our observations suggest x modifcation of this view? (instead of stable atviy levels we find that people move in and out of choice Situaons. There is considerable varaon among indus, and ‘over ime forthe same individual, in terms ofthe depres and form of (eto deco poem Ane owed ndetancing ti fe fo indivdaal belts and tudes, fe atten, nd 0) note that de ad en Invotvenent i dshion Bot vant cole statins all he me. The capacity for bets, atten, td conerns i lrger than the capeiy for acon. Under sich rete, we cir ee td a oa a ieasons. ven given the tie and energy, tee are sleratve {ice shotows wera inal tar prea he conan Te fw of attention wil at depend on the conte of angle choice lone, bot upon the colton of hie atuaons svalablo. We fi ox et haa tf san per wl hve viral impcatons in any speci chose station fhe rai ais et oe ‘heory that recognises tine a 2 scare resource Beker, 1965 ini, 2970) take atendon context, subject to tevoure cone Senin ad alernave*conumpton” pone Suh a conception ‘eumes some racy of slide and preferences, and some earch ‘of hoe stuns in terme of ateactvencs, india ae Son Pn to allocate aabe every by attending choice stations with he osptcad nas They donot tn on enn been they easing fe aoe. oe “Atma it cares some aspects af decison involvement, even an Stu sen fe eomecon eter va vod acon ihe eum in an orgnabon Te goes te importance of Tl enc andad operating prossires for determining DeVoe, Sra umdeveinnes the ambiy of eit : ander aia recur ha consdereble capabily fo niet onnetg between India betavir and ini TEE nt peierences "The pont has prodced some aeive eee" as bee crated stan important dev in Sh area fava and eaubistng equity and equal. hasbeen Fea ajo soe of onpaonal inet preventing var re wee not pinay cocered, wih « normative, eee bt wh te simp fc atl, daes, and olgtione ST sNonty importante iavotement. People attend t dessins 5: ay besa hey he wna a t,o ety ‘Tipoaed too sled to Tay at acodig to rues a ee en thy et aire terms, arcane i opin onto not appt to atin away fully anipted by eee Terese ResPhawe ‘an shundance of peeenes and bole. The theory sree a cow moves fom intrest in immediate, sb- Santee Shcoves to logger eles and to vanour wide ages CaNSsc) imvelved ina decison sanson. The areca ofthese Cera yeaa lend tat to dnspdon in terms of walk TJ ottence dons. beaver apparent semning fom "Pua powetswiou cones about hat fac Not all valor are ‘ended athe somes tendon flows ae thn tty, es 3) {Sdpin much ofthe behavior (CYTEanT Mase, 196), these trae bcels and psterenis appear t be the eu of behavior at a etey arb derma of i Motes snd intents a 4) ‘Eocovered pest foun (Mirch 1972) “We segue a thoory that takes nto Consideration the possi that there may be atiiudes and beliefs without behavioral implication, that there may be behavior witout any basin individual preferences, and 4... that there may be an interplay Between behavior and the defiaon (nd rede) of selene”. 1.1.1 Indvidaal Action and Organizational Choice (Organizational choices are ordinarily wewed as derivative of indivi) Selon A decision proces transforms the Behavior of indus into Something that could be called organizational acon. Explorations ' 1s ino the utr ft “vsbe hand” compels much of he Here: fd most of he theoreti iss ae questons of slab metaphors {er churn te proc I sometimes cptred by metaphors 1 detction (rprzaonal goa, supa, efi), sometimes {intr of imp confit (artes, bueavcn); sometimes 4 sssuphor af pls conlet (orang poll proce, ower) Each of thon metapors accept the tic non tht eran nal choice i undoangeble same consequence of indual ‘Scion They terre eraiaons ws istument of india 1 Oar obseratonssopgethat the connection between india! {aston and enantonal acon it tnatmes que los) Sometimes ‘ve observe the he (tna) declonabig pres aot sgl) ‘ned fo he eration ttn, ey he pally seed, the pce 1 the man hed. Rate Wis comeced 16 the detaiion of tah ‘dine in tbe orgazaon, tthe allocation of sat 1 the iaitnane’ of change of tedship pos, yay and eg ‘Buy, o the dtionsadfestinion ef "rp leet a hart, ‘he formal decsion-making proces someines i decdy conseted to the mattenance or change fe orpnizadon 2 scl unt 1 wel arto he acomplshment of making collcive Scions snd ‘Prodig sbstanve rests. A theory of organizational choice prob SBi shoud ated wo the inseplay between these two aspect of the Intra proces ‘Sonne we observe a considerable impact onthe proces ofthe tempora flow of autonomous sesons. We need theory tht sonst the tinng of oat nudl scons andthe chang conten of ch act, Most theories imply the importance of the context S Typily, however, they have ened that th cone has Sle propeies ta allow unconinalpredeos, We sere © ‘Buch more interactive, bashing, and oneal st of comestont ‘ong the partpan, problems, and sons ih an eranizaton. ‘Somctincs we there ab nro processvamped Oy eral vents of fvor, Oranatonal scab cospcay independent ‘tinea proces. "The dramas version - where sme external sr Imerenes dra, or wbere some enteral erent completely changes the coors under which the oration i operating, wel Inman sla way, macrotbeorss of soi process rly fet reguied to comic the dal of oparaonl phenomena ‘Teoria of he make o longun soda! movements hae ented important characteristics ofthe deep stetre in which organizational thenomens occur, and it woud be folsh for theory of opie orl choice stations not to recognize the extent To hich the dechi proces part ofa rose scam of events We bred tbery of chin hal arate te connections bewece te eaioa: 6 ent content of ogsiznons andthe actions n ch 3 We car cen scream! Uespincd eran forte Oe ie ey ety of epnatoalcniete comies nee we nde aeons an pnatonl ons ‘he cenecon bee" Greazonal aon maybe Serie of sey ewe! es nl ce a ed Ser nen han te orpizional eh (iy, aca st eat ie). The ste he x ng ee ay tne dopntet changing Eat se ony pede orn! aon a0) ‘or deed by anyone 112 OrsneatonalChoce and Eminent! Response Foe i ot ie sses x cneion been eet {cual ons snd ovrnmenta acon Te ier ae eed at Se a ee cantons Toe noon 8 Ter ane th tee na omental of sl one so ptt een. Vote arene cane anges Comme ond a merce Campion apo tall mits Set, hse pnd seal epern Sa ipa omen fo ewe ot nora Se a cen (Cotes tl Mey TS We, e0 aed hoy he evenment wich se oremizaton cee uty oe toate In he enone St io be owt be epson ee See eseeny ten be uel amma ces tors sod sears be event, Teter eons to what the orgtiation does. AS resihe S22 theta cps er ne ren etm hte te eo, De Se igs oe weve ow muersinane rt ee ete s 8 ew os St elo tal ose e a gn an rgrs ie acetd YO se resets i casas ba Oreos so snd towne On ee oe Senn aan etna een sao te he te, howe he tne Ce att and win at ee ve eo beret eer bos eraon eaten) ison me ton tonal br iin te ” SS range i which we observe it, we will equze a theory that secogizas ‘only modest connection between environmental response and orga ‘atonal decision 1.13 Environmental Response and Individual Beles ‘Casical theory offers two altermative versions of how environmental ‘stons and events ae connected to individual cognition Inthe st ‘orig, the problem is assumed avy. Organizational decision makers ‘te equipped with perfect information about aleratives and conse- ‘quences. Since the fl ejle swell understood ahead of any indus {tion there is no leasing inthe system. In the second version, the Connection is understood in terms of a model of individual, rational ‘spuon. Bets and models ofthe word ar ted to realty through ‘experience. Evens are observed the individual changes his bebets ‘on the base of his experience; he improves hs bebvior on the bas of this feedbock. ‘Our observations suggest & modification of this view. There is 2 eed for intoding fess shoot th prctes by which belts are ‘constricted in an orgiotonal sting. fn many contents the iter frctatlon of an organizational choice process in ar important as the immediate, substantive score common comider®Tndiidoals, 9 ‘yell as oxpnizatons or nations, develop myth, fictions, lepnds, and Tluions. ‘They develop coats over myths ahd ideology. We need ‘models of tbe development of belef which do not aseune neces warned to hagpea It common to andetand crane = Seto interme of lntenons eter oranzatona or indidul, (0 ine nul ave neon at hose ineatons a tie nao ay tht makes opal cn Se ot of Indl ox proup wil Alogh not everyone ps ite pinay son one pono fas 10 schiee an tneded Tome best IW incnssen wih someone c's intended come. Thos, cicer wilm an orgaiaion ae produced. bY ferences If someting append, someone wasted to happen Diterenineatons wil odes cifereat outcomes. Bett ineatons wil preface et noms, Te convene poston the od: Fe, The flow of individ sess produces alow of dcions hat ib \Meced by nove and at Tented in» dct way to yen’ {ied onan "Te prose by wich nde! nol bebe 9 combines to produce oranizatna havior snot on in wich ia {S'inectons wil proder oominen afin oranatons scion, Tedeed much npezaonal behavior dominated by ret ext tet ar folowed without eget’ impacto indignation Scoot, nda! net Sind acon ae sometimes oly ico conned. Moh addual behavior fle understand ‘eoeeguonce of individ preterences than pater of ty and ‘sigaion Tidy the simple pros of econ iin an expe ‘on i ten easly swamped by exogenous factor tat ee ch | ore coneling an ae fe testes tof pet in ite proses. “the rd potent conisin iso asume hat what happend bad to happen the preston le ne of canal uncraundng Besiae the cleave stata te explain why para orpzsional {Gicton cucome cure the oived eva treed shang {cenplonl sn nfo evn ta i ot occur, Dilenet SS ered cnet arate fol Bt : Tre ona a foodamenta Te ou Joes, bs en i mist Subtenia deen In find ote ue Smetines rodoced by sol (and encabllyunpetbe fecnecs i er ede crear letng to the otra, Lawfl procenes operate tubes to covaaly chance maton As erst an nerpreaton ot an een shoul ince an inerpcaon of aleve eves hat Could esl hve ocrured utd Bot "Al thee potemal confnions are pariclly silica o the sy of options brane hy et both he metodo oa ‘Sto research an he sje of feory about ogzisatns I what i tered by pardcpans a crpaiion ts Conc sib! Io ‘ing andro in own Ah we segue reser sphoaton la ‘deaning star ld da Te procs by which peopl na crgazaon tome to beleve what thy bleve shout opaaatoal tress demonstrably power enough to cofound any ay ane Smaaton ‘of beets oceans fore pieoooesa Wie ey rte Ee cot strane tt deioncukomes are otek ite sonal we ee fo Gere oabe: Mont onan thors bepa ‘ih sone Lind of premmpton tat inidelandroupe parte ‘eter ad hat onguttatonal oucomes ree. at pert Io ‘Ste fy sett evdent way. Tun, we are rece o scorer who ie arispans te wht th intatons, ble and raoarss ne; We Ee eoowaged to sex reveled pretence techigus for eating intadons or resource dnbuton tec forieaiyng power {ots delice tutslops butts recon of ttre uaderyng 1 imeational proene Tote cnet fo wich the unryng roms 20 is not intentional, the meaning and wiity of sach procedures sis, 5 ‘does our mtaphor for understanding eves "that boppened ts seen at only one of number of things that nigh easly have happened, we require a different historical methodo i common with mos oer Nstoran,stdens of decisions tend (Scape the convention that the precision of realized outcome ‘mponstaee a necessity ia at outcome, Relatively few students of (Gelson ‘stores write those stores with an eye to alternative [Sestos ith pri telhoods comparable to that of the observed ‘Seat Tae lus iy of eoure, not unique fo studies of organizational Gretdkar and lnciuis «deep challenge to conventional ideology with fespeet tothe relation Between theory and data, 1.3 Conclusion : Wie remain in the tradition of viewing organizational partcpants a roblemotvers and detion-maxers. However, we assume that [isvdoals find themscles in a more comple, Iss stable, and les ‘understood word than that deacelbed by standard theories of organi ‘Boal chote; they replaced in e world over which they often have nly modest contol, Nevertheless, we assume orgeizaional part pants wil ry to understand whats golng cn, to seivate themsees Sh ther reseuees in order to solve their problems and move the Sword in dested dietons These attempts will have a les Baro ‘Ghuacter than assumed nthe peslec cycle theories, but they wil” bereal We have argued that any ofthe coanetons in the base ele of choice cam be broken or changed so sigaficany as to modify the Smplcaions of the whole sytem. Intention does not contol behavior precsely. Patcpation is nota stable consequence of properties of {he choce situation or ndidusl preferences. Ouicomes are not & Udsect comequence of proces. Environmental response snot alvays Sterbutable fo organiatonal action. Beit i not alvays a rest of experince Innddidon, the ose i frequently touched by exogenous fats ‘outside the contol of the internal process. The proces i embedded fe larger sytem, Under relatively easily realized siaton, any one tte connections my be overwhsined by exogenows effets. Extra factors may dictate individual acton witout rez wo individual fearing, orgstizationa| acon without regard to individual action, feovronental acon without regard tO organzaonal action, of {nuivdual learning without regard to environmental action. Tn ovder to respond to euch coacerss ina theory of organizations, wwe requle thre euses of interrelated theorcal dest a ‘ways in which the Fnkages in the complete efle of choice are ected by exogenous events, by the timing of events, by the ‘ares of ways in which te partipans wander unto and af the age It wil need to be strturl inthe Seose that reflects Ways in which stables can arise in a highly cootexeal sytem, We have fried to sogest the base for wach 4 theory elsewhere (Cohen, > March and’ Ose, 1972) ‘Thing, we aced a theory of leuaing under conditions of ongaiza- |cional ambiguity. The compl cele ripley «theory of leara- yt \ing Wat Epps when he se complet? What posse ‘! perspective on the developmeat and change of bell srbcures? |AS we pursue these ides, we wil elaborate « numberof themes tht ‘are familiar ty readers of the modern eration organizational ‘choice. The work we report has a parentage. We owe sparealar debt to Allison (1969), Coleman (1957), Coben and March (1973), Crecine (G96), Cyert and March (1963) Edelman (1960), Heider (1938), Hirscinan (1970), Jacoben (1984), Lindblom (1965), Long (1958), Marchand Simoa (i988), Sebi (1968), Stinbroner (1978), ‘Sénebcombe (1974), Tuompsoa (1967), Vickers (1965), and. Weick (1965) Our intentions aze conservative. We wish Yo ontinve coarse of theoretical development, as iuminated by a sete of studies of ‘wganiztional choice situations. Nores. 1 scion des Bey ap Mach and hen (97. — 2. People, Problems, Solutions and the Ambiguity of Relevance MICHAEL D. COHEN University of Michigan JAMES G. MARCH. Stanford University JOHAN P, OLSEN University of Bergen 2.0 Introduction ‘As we hate ceed in Canter | he complete lof coe ‘ssumes some relatively sraigtforward procedure bY which indivi Goal preferences and cognitions wre aguroqated ilo orpanzaioal holes The postulated procedures may be baeaucrelcadmiise- tive, By a. Dureauerascadmialsvaive procedure we mean some proces by which problems are solved. Relevant soludons are asso- ‘ated with appropiate problems god choices we made in order 10 ‘eaolve problems Allematvly, the postulated procedures may be ‘bargaining plieal. By a bergining-polical procedime we mean a roses by which coaliont are formed and poiicl barns suck. ‘Chokes ste made by forming a group with suficent power to enforce 1 Jolt soluton to = problem. oth procedures autume that criteria of relevance are clear, Whit insu and scluions are assisted with what decisions, and what people parilpste in ‘what decuions are asrumed to be relaively Lprobiematc. Ia the case of bureaerac-adalstratve ‘we asume that objecves can be sated fesonably press, that {echnology asocang allematives with outcomes is feasonbly wall- ‘known, and that thee is a reasonably stable dvson of labor by which carta individuals and groups speclze in certain decisions. Ia the ‘ae of bargaining-poiial procedures, me assume that the preferences of the individu participants are reasonably welhspectied, tht the ‘trocture of the polideal ame is reasonably clear, abd that paripa- tion and power ae reasonably suble. ‘Clear citria of relevance in decision making tend to make the ‘outcomes of dedkions Independent of the micro suuctue of the ‘broader context within which they occur. Clear ererla of what Akernatives or soluions_are appropriately sociated with what ‘problems, and what problems are appropriately associated with what ‘choices, what people appropriately parteipate in what choles, and what the appropiate distribution of power is all serve to buer & artlr ehoice from ite coment. Such citer provide a tight linkage Et ehoios problems, rluios, and pen. [Anoop relevance entra may be que presse within a decision conte they olten a not. In prtcla, ve fen have nde ‘Stimatd the extent to which choice stations in cpaiztions involve roblematic gous unclear technologies, and hid perticpaion references are offen problematic 1s dificult to ingate a set of preterences to the decon stuaUon that sles the standard eoa- [Sseneyreulrement fora theory of choice. The organization operates ‘on ihe bans of variety of Inconsistent and ildefned preferences Tk ao be described better at a Toone collection of idees than a8 & Cahleret stature, Preferences are dicovered through action as much ‘being the bast of action. Techeolgy is oten unclear, Although the orpuization manages to survive and even produce its own processes ae not understood by its members. H operates on the basis of simple tabanderror pro- edutes, the residue of learing from the accidents of past experince {ind pragmatic inventions of necessity. "Patcpation & olten Hui, Participants vary i the amount of ine and efon they devote to different domains; involvement vais trom tne time to another. As a result, the boundaries of the organization fe uncertia spd changing the audiences and deco makes for any fevteulr Hind of choice change caprcouly. NO single patcipant ominates the choice i alls phases "These thre properties have been ientited often in studies of organi tats They ae Saeco ey expasation la pr = pa of {he de. They are particulary coneplevocs in publ, educational, an ilpiimate organizations, Akbough a callege or pubbe organization operates within the metaphot of & poial system or a herarcicl hreaucacy, the actual operation of either is considerably stented By the amblgy of coy bythe Inc of clay in technology, and by the tenet character of many participants ‘a theme sunning trough some recent studies of organizational deinny (Cohen, March, and Olea, 1972; Coben and March, 1973) Sf har choles are fondamentally abiguoss, An organization i @ st ‘of procedures for argumentation and interpretation as well a8 fr ‘Suing probiens snd making dechions. A choice stuation ia mecting Place for ister sad feings looking for decision stations in which fey may be aired, stations looking for issues t which they may be fn anon, and percpnts Joking for problems or pleasure. ‘sucha view focses attention on the ways in which the meaning of choice changes over time. I sls atenton to the suategi effects ‘of timing (athe itroduedon ol choies and problems), the time as See ee patter of availbly energy, andthe impact of organizational strucize| $e demenis one enpoas he bp of decon ‘When relevance becomes ambiguous, evens within choice situations become more contex-dependent What happens in the situation of interest toa sudetof choice depends on how tht station (and the Parécpanss in i) ft into a mesic of simultaneous performances fnvoleng other individuals, other places, other concerns, and the Dhasing of other evens. What happens i often the almost Toritous Feaut ofthe intemeshing of loosely-coupled process, Tats chaper we describe « model of such a decison world. It astempts to cape some of the featres of organizational behavior that appear aspatbologes within familia notions of choice and tres to make them Understandable in theoretical terms, We eal the Ideas gurbage can model of orgalzaonal chole 2.1 Garbage Can Decision Processes Suppose we view a choice opportunity as a garbage can into which various problems and solons are dumpéed By patcipants. The mix ‘of garbage ina single can depends party on the labels attached to the slemative cans; but it also depends on what garbage is being produced tthe moment, on the mix of eans avilable, and on the speed. With ‘which garbage is cllcted and removed frm the soe. ‘Although choice opportunites may lad fist to the generation of decision alternaives, then to an examination af the consequences of tose altematves, then to an examination of the consequences ia terms of objectives, and finaly to decison, such model is ofen @ ‘oor description of what actualy happens. In a garbage can situation, 1 decison is an outcome or an interpretation of several relatively Independent "stzeame” within an organization ‘We wil limit our attention to the interelatons among four such 1 Problems. Problems ate the concer of people inside and ouside the organinaton. They arte over sues of eee amily frastions ‘of work; eaees; group relations within the organization; ditibution fof satus, Jobs, and money ideology; or current crises of mankind Interpreted bythe mass media of the nexdoor neighbor All requlre tention. Problem are, however, ditint trom chokes, and they may not be resolved when choices are made. 2. Solutions. A solution is somebody's product. A computer is not juss solution to a problem in payroll management, discovered when needed I isan answer actively Looking for 8 question. The creation (of ood is not solely a curiosity of the market in consumer products; 6 sea penerl phenomenon of poet of choke, Dept he sn SESSA RaT wera youve formed Oe a eer dock Know he quesson nonce ‘tom lag You tow be se ape aspen cae and go. Sce evry exe ana outer ce, te dsbson of senrunees depends om the 2 et Sig eo mich a dos on tents a Saal rrason a parcpdon sea fom eee pri tne (ator han om este ot the deen eer sp "Gam eran. Tas a cen when a ergszin 10 Ta Proce ‘shat tn canbe eafled den wera and an) naaon an wea de Corer (ati Cont ata rope Hie Se rtd; money en and tapes alten yas Sree et comply nde of ach oe aan ede ga sonevbatortocs confuece.is & Sac eva, depndng ean on te pie ot My cme Stu” Tae sumpons sean te nde mse genous maybe feed Want ws patents Femi of prtems and Solutions and acusis the implications of ae oct he theory Caper). Ctewen (Chapt See Ce’ 8) ewe theo of he four Sans 10.2 feng bom pro te model Syeue toced oc pms ase on fhe eoseuences of atten cs td putes Bows imac of te sans ood SHEE, Secadrs or relng them To steam of prelens, Se ry, inns, afta chazel Se ee slat sau: iments of suc fence cratic Sage in ec pre (0) by alectng te ne cae lot problems thio Pon, of econ sate hy Socmang te Bean of ccray 87. poeta i ac deen od (by eblsing inti anon he 2.2 Organizational Strcture ‘ef on tse ace of opal race tt Toso parte as choice oppor Such ight ae econ, Pence bcm for actual ivaement ina decison? They canbe vowel ew ivions to purtpaon,nvaons that may oF my Po Beep tm ur terms, ivittons may be extended er 0 Matidni ts decson-met oro probena and soltns a econ 2 Issues. Inthe former case we tlk bout the decision structure; inthe late ofthe access struct. "The decision stractre i 8 mapping of individuals on choie oppor- ‘unites (or classes of chlce opportunites). f we have Nt potential partcipants and M classes of choices, then the decison strbcure is fn N-by-M arzay which shows for every posible pelcipant the ‘oles in which be has acai to parsipae (See Catan, March, end Olsen, 1972). For the simple case in which we assume that each Individual either has sch aight Ge does no, there ae a larger number (@eH of pouble structures ‘Ahough the numberof posible decision sutures i lage and no simple set of structures wil capeare the complexity of seta eae, We fam ideaily three major modes of organizing parlpaion sighs. ‘Unsegmened pariipation. In this severe any decision maker can paripate in aay active choice opportunity, Thay, the stuctre is presented by the following array (in which dy" = 1 ifthe Mh Indivdaal can paricipate in the 7h choice opportinty}: muy mm mii nny Dee nimi aunt mm mini mint matin Hlerarchical panieipation. Yo tis stare both decison makers ‘ad choles ae aranged ia a Mlrarchy such that important choices ‘ust be made by important decision makers and important decison ‘makers can pariipte in many choices. The stractore it represented by the following army: nmi, oun oon foootuttii Dem o00oittiit (000011111 ‘0000001131 ‘000000131 ‘000000011 ‘000000001 steed partkipaion. in ths suc each decision makers ‘Sica wha ingle che and each chle has sale deion Imaer Deon mer spain the cst wh hy tend “Thos we have the folowing ery 000000000 ‘100600000 ‘10000000 01000000 Ds» oaoo100000 ‘90010000 ‘090001000 ‘9000000100 ‘000000010 10009000001 Aca eon sts wil gi ore apie wr Mast rgazasons havea mix of ret for dining the sighs of pra tin in docion, The tice pute caesae, noweter, familar models ft ruch rls and ean be tae to ondetnd some consequences of ‘con scare for decision procera. ‘A purl st of oberon can be_ made bout the aces scutes i, he fle a pe the gh of Aes f robes fn sauins to hose portant. ramen ss," ec erent ym a in’ which any acive problem (or soloton) hes aces to any ive shies opporunity (ay = 1 the ih problem (etn) has fons to the [ir eoice oppomuni)- amin unit anit ami muni ut aint iim anna Aes HL ian Haunt mint qi nin aman anit anny mnmint nat Morcha acces 12 Wi stare bah soles nd probes (oto) re ean lrrhy sch ingot pebcne {ce Hv a ay hes opt ne ‘Scie ont ingot petom: Te sce pron ‘Se Towing seas ay = auaentniit ian out out count oon onus oust gonstt3 Ave oceoiiiit ogottti 000011111 ‘000001111 009001111 009000112 oo0001 ‘ovoon0011 ‘oco000011 ‘os0000001 9505000001 Specialned aces. I his steactre each problem (caution) has access to only one choice ahd each choice is accesible tp only two problems (eolons, that is, eholees specialize in. the kinds of problems (Golucons) that ean be associated to them. The structure i represented ‘by the felowing access aray: 1000900000 1000900000 ‘100000000 1100000000 ‘010900000 0 010000000 ‘901000000 ax000009 ‘9000100000 ‘As= 0000100000 ‘0010009 ‘9900010000 ‘00001000 ‘0000001000. ‘2000000100 ‘00000100 ‘9000000010 ‘000000010 ‘00000001 ‘00000001, ‘Actual organizations exhibit 2 more complex mix of acest rie, ‘Any rach combination could be represented by an appropiate acces faray. The three pure strutures considered here represent thee ‘limi alteative approaches tothe problem of organizing the zest ‘of problems 10 decison tutions. ‘Pes, we sia) imagine onpunaationy, seuctres varying trom sosegmented 1 highly segmented. In theft cae the connecsons of the four streams are simp & function f timing. Choices, problems, ‘ludons, aod eserger Oust n't ume-tyme. Choice opportunities become defined by the prbleint and solutions present atthe moment Probfems "choosen curently availabe choices. Deision-malkers| stbute their time and energy to choices and problems in 8 “fre fistons manner (Cyert and March, 1963). In a world in which there in aay senrey ia one or mere of the Streams, te timing of the Several flows vill affet the ovcome importa. ‘The complete absence of any segmentation fs rare. Both orga zation and socetis at large sem to change as ares of experience find intention, Problems come to tek connections to choice oppor tale tat solve them, solutone come to sek problems they handle fccespaly. Decision smal ae thle enengy iv areas in which ty ‘have sucess, oF about which they have concern, o in which ey find pleasure, There is socical segnentation, Even the sinplest societies ‘order nestonaize ‘he four reams Somewhat, oftanizing role, hat predominantly deal with speciod ype of problems ig terms ot spectieg luo. ‘The same. proces Is observable in orpaizations. Organizations regulate connections among poblens, choice opportu, soladons, find ergy by sdinnrative practice. Hierarchy, speclazadon, the ‘ a

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