Wise Organizations?, continued …

With the permission of the publishers of the book, Idea Group, Inc., I’m sharing this chapter in a series of postings, to see what kind of conversation it generates. Idea Group’s copyright prohibits copying the text in any written or electronic form. Please help me protect this copyright by referring people to the blog, but don’t copy the text that is here.

Preparing the Way for Wisdom in Organizations – Part 2b

We have been talking about language-action and the constitution of organizations. To see the earlier parts of this long posting which reflects on the conditions and situations in which wisdom can be cultivated and exercised in organizational settings, click on the links. To get back to this page, refresh the blog.


Part 1

Part 2
Part 3
Part 4

Each language action has standard elements which, when recognized, can help guide designers as they specify elements of an organization: strategies, configurations, practices, systems, etc. The standard elements of a language action? Speakers, listeners, conditions of satisfaction, time of speaking, time of expected response, time of committed action, and so forth.

John Austin discovered performative verbs (language-actions) some 60 years ago. The implications of his discovery are vast and still mostly unrecognized. Dr. Fernando Flores Labra, currently a Senator in the Chilean government, was the first to point out the importance of performatives for understanding and guiding the behaviors of people in modern organizations, and as a potential underpinning for design in organizations. (Flores brought together many of the thinkers and the traditions of thinking on which I rely in this paper.)

Ask yourself the question, ‘What makes something be an organization?’ Within every culture there are a variety of standard modes of business operation that can be observed (sales, manufacturing, invoicing, shipping, and so forth.) Underneath all of the variety is a more fundamental set of practices. Whether a business is as simple as an individual sitting on the ground with a pile of fruit for sale or a multinational conglomerate, and whether it produces tangible goods in factories, provides janitorial services, or operates entirely “on paper,” as in the case of many financial businesses, …


A business is created when a person or group of people declares that they will recurrently make certain classes of offers to some population of customers, and that they will satisfy the conditions of those offers (deliver what they promised) in exchange for some offer the customer makes in return, or the fulfillment of some request they make to the customer.

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