dynamic language for dynamic organization: the role of human resource management

Dynamic Language For Dynamic Organization: The Role Of Human Resource Management

Academy of Management Conference

Philadelphia, 08/04/2014

Tobias M. Scholz

Chair for Human Resource Management

and Organizational Behavior

University of Siegen

„As companies face an information explosion and unprecedented need for flexibility in a rapidly changing marketplace, the corporate model is in the midst of a complete makeover.“ (Barabasi, 2003)

Problem: Dynamic Organization

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Suggestion: Dynamization

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Change will become the new normality(Farjoun, 2010)

Need for dynamization

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Suggestion: Dynamization Driven by HRM

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Employees will live the change(Rafferty, & Restubog, 2010)

Employees will be the foundation for change(Porra, & Robertson, 1992)

HRM will play a critical role in respect to dynamization(Rafferty, et al., 2013)

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• more differentiated• faster• more versatile• more sustainable• more methodologically

competent• more flexible (Stein, 2012)

Power of (Dynamic) Words

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Dynamization can be achieved through language

Language is the forgotten dimension (Chanlat, 1990)

Language is essential for creating and controlling positions and ideas (Pondy, & Mitroff, 1979)

Language can be used as a tool for analysis and change (Näslund, & Premer, 2011)

“The limits of my language mean the limits of my world.” (Wittgenstein, 1922)

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Specifications for a Dynamic Language

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Language Recurrence

Language Accuracy

Language Hygiene

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Language Recurrence

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Proposition 1:

A recursive generation of a dynamic-related language will increase the acceptance of the undergoing dynamization changes of a dynamic organization.

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Language Accuracy

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Proposition 2:

Accurate dynamic-related language will improve the semantics-strategy-fit and subsequently will increase the success of a dynamic organization.

Language Hygiene

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Proposition 3:

Constantly retaining language hygiene over time by proactively searching for non-dynamic-conformal language usage will increase the sustainability of the dynamic organization.

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Prime example for a dynamic newspaper in the digital age

“Not a single person among the hundreds we interviewed ever suggested tinkering with the journalistic values.”

“The habits and traditions built over a century and a half of putting out the paper are a powerful, conservative force.”

“Many of our traditions, routines and habits seem increasingly out of step with the digital world.”

“The newsroom would never allow that.”

“We are not moving with enough urgency.”(Quotes from an internal “leaked” report in 2014)

With such “inaccurate” language, an organization will remain undynamic or static, even if there is a dynamic strategy

Example (1)

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Example (2)

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Loops that are bogus dynamics will make an organization seemingly dynamic but actually static

(Quotes from annual reports)

1997: We became leaner, faster and more flexible.

2008: We established clear

structures and lean processes.

2013: Processes can be made even more flexible, faster

and more efficient.

2005: We will get faster, more flexible, leaner and more efficient.

Nokia was an agile, innovate and adaptive organization and was capable of great transformation and divestment (e.g. paper, electricity, mobile phones)

“They had become arrogant at Nokia and as a result they were too slow to react to changes in the world around them.” (Rouvinen, 2013)

“Complacency had kicked in, they felt they could do no wrong.” (Wood, 2013)

“What happened to Nokia is no secret: Apple and Android crushed it.” (Surowiecki, 2013)

Without adapting to language signals from internal and external environment, organization stuck in static traps, although they actually had the capabilities to be dynamic

Example (3)

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Discussion (1)

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Dynamization and language are intertwined

Language shapes and creates realitySocial constructivism (Berger, & Luckmann, 1966)

Power of words is a subtle influence within an organization

Dynamization by words is a difficult and lengthy process “on its own”

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Discussion (2)

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HRM is “born”, qualified and capable for both dynamization and dynamic language

HRM influences people and increases the competitive advantage (Lado, & Wilson, 1994)

Role of HRM is changingAcceptance by acting as an incubatorSemantics-Strategy-Fit by acting as a business partnerSustainability by acting as a watchdog

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Conclusion

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With a professional corporate language management containing language recurrence (acceptance), language accuracy (semantics-strategy-fit) and language hygiene (sustainability),

the dynamization of an organization will become more resilient.

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Conclusion

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With managing professional corporate language containing language recurrence (accepting), language accuracy (fitting semantics and strategy) and language hygiene (sustaining),

the dynamization of organizing will become more resilient.

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Barabási, A.-L. 2003. Linked: How everything is connected to everything else and what it means for business, science, and everyday life. London: PLUME.

Berger, P. L., & Luckmann, T., 1966. The construction of reality, New York: Anchor Books.

Chanlat, J.-F. 1994. Towards an anthropology of organizations. In J. Hassard, & M. Parker (Eds.), Towards a new theory of organizations, 155-189. London: Routledge.

Farjoun, M. 2010. Beyond dualism: Stability and change as a duality. Academy of Management Review, 35: 202–225.

Lado, A. A., & Wilson, M. C., 1994. Human resource systems and sustained competitive advantage: A competency-based perspective. Academy of Management Review, 19: 699-727.

Näslund, L, & Pemer, F. 2011. The appropriated language: Dominant stories as a source of organizational inertia. Human Relations, 65: 89-110.

New York Times. 2014. Innovation Report. New York: New York Times

Pondy, L. R., & Mitroff, I. I. 1979. Beyond open system models of organization. In B. M. Staw (Ed.), Research in Organizational Behavior, vol. 1: 3-39. Greenwich: JAI Press.

Porras, J. I., & Robertson, P. J. 1992. Organizational development: Theory, practice, and research. In M. D. Dunnette & L. M. Hough (Eds.), Handbook of industrial & organizational psychology: 719-822. Palo Alto: Consulting Psychologists Press.

Rafferty, A. E., & Restubog, S. L. D. 2010. The impact of change process and context on change reactions and turnover during a merger. Journal of Management, 36: 1309-1338.

Rafferty, A. E., Jimmieson, N. L, & Armenakis, A. A. 2013. Change readiness: A multilevel review. Journal of Management, 39: 110-128.

Rouvinen, P. 2013. Nokia shows us how quickly a dominant tech company can fall from market grace, http://www.theaustralian.com.au/technology/nokia-shows-us-how-quickly-a-dominant-tech-company-can-fall-from-market-grace/story-e6frgakx-1226757085789.

Scholz, T. M. 2012. Dynamische Sprache für ein dynamisches Personalmanagement: Eine Anforderungsanalyse. In V. Stein, & S. Müller (Eds.) Aufbruch des strategischen Personalmanagement in die Dynamisierung: 291-297. Baden-Baden, München: Nomos/Vahlen.

Stein, V. 2012. Dynamisiertes Personalmanagement: Eine multiperspektivische Annäherung und das Prinzip Nano. In V. Stein, & S. Müller (Eds.) Aufbruch des strategischen Personalmanagement in die Dynamisierung: 260-273. Baden-Baden, München: Nomos/Vahlen.

Surowiecki, J, 2013. Where Nokia went wrong, http://www.newyorker.com/currency-tag/where-nokia-went-wrong.

Wittgenstein, L. 1922. Tractatus Logico-Philosophicus. London: Kegan Paul, Trench, Trubner.

Wood, B. 2013. Nokia: The rise and fall of a mobile giant, http://www.bbc.com/news/technology-23947212.

References

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