COMPLEXITY LEADERSHIP THEORY
The Blue Team: Walter Dermartis ● Kimberly Wood ● Ornpawee Karnchanomai (Oumpa) ● Tassawalai Puttip (Hom) ● Vinod Narayan
Complexity Theory: Overview
 Progression of complexity in terms of human and social networks.
 Today, we are becoming more of a networked civilization.
 Interconnectivity leads to less hierarchical structuring.
Key components of Complexity Leadership Theory
 Complex Adaptive System (CAS) is a basic unit of analysis in
complexity science. It is a neural-like network of interacting,
interdependent agents who are bonded in a cooperative dynamic
by common goals, outlook, need, etc. Their agents are
dynamically interrelated. (Uhl-Bien, Marion & McKelvey, 2008)
 CAS is organic, unpredictable and changes in CAS occur
nonlinearly and in unexpected places. (Uhl-Bien, Marion &
McKelvey, 2008)
 CLT proposes that CAS, when functioning appropriately, could
provide an adaptive capability for the organization, and that
bureaucracy provides an orienting and coordinating structure.
Three Types on Leadership in the Complexity Leadership Theory
1.
Evolution of Complexity Leadership:
Period One: Work Systems to Cooperative Systems (1900-1940)
 Dominated by “Great Man Theory” (Thomas Carlyle)
 Theory of choice during this time: trait-based theory
Period Two: Functionally Driven Systems to Interactive Systems
(1940-1970)
 Leadership dominated by the idea of group dynamics
 Conversation centered on leader-group relations and group
effectiveness
 Most significant shift: trait theory to behavior theory and
situational circumstances of leading
Period Three: Learning Systems to Complex Systems Theory (19702000)
 Leadership as process that involves an ongoing transaction
between leaders and followers
 A dyadic, two-way process
 Toward the end of this period, leadership became dynamic
interactions of creative influence among group members
2.
3.
Adaptive Leadership
 Defined as emergent change behaviors under conditions
of interaction, interdependence, asymmetrical
information, complex network dynamics and tension (a
constructive tension which was created by heterogeneity
among agents in skills, preferences and outlooks)
 It refers to adaptive, creative and learning actions that
emerge from the interactions of CAS as they strove to
adjust to tension
Administrative Leadership
 The actions of individuals and groups in formal managerial
roles who plan and coordinate activities to accomplish
organizational outcomes in an efficient and effective
manner.
 Its roles are to structure tasks, engage in planning, build
vision, allocate resources to achieve goal, manage
crises/conflicts and manage organizational strategy.
 Focuses on alignment and control
Enabling Leadership
 Occurs at all levels of organization but the nature of this
role will vary by hierarchical level and positions
 Creates appropriate organizational conditions, which will
foster effective adaptive leadership in places where
innovation and adaptability are needed.
 Facilitate the flow of knowledge and creativity
Complexity Leadership Theory
“Complexity leadership theory adds a view of leadership as a process
through which leadership emerges from the networked interactions
of organizational members.” (Sweetman, 2010)
 It is adapted from complexity theory, which has been used to
understand complex systems in biology, chemistry, physics, and
technology.
 Describes leadership dynamics from an entirely new, multidimensional perspective.
 Focused on Organizational System Behaviors.
 It was not designed to serve as a prescriptive model.
 Leadership is a fundamentally system phenomenon
 Relationships are dynamic interactions
 Leadership is an emerging event
Skills:
collaboration ,
organizational
architect,
systems
thinkers
Interactions of
systems,
networks ,
processes ,
people
Globalization,
competitiveness,
knowledge era,
mergers &
change
Complexity
Leadership
Participative/
Adaptive
style.
Manage
tensions
Complex &
matrix
structures
Learning,
adaptability,
innovations
(Martin , 2007) ( Uhl-Bien, Russ, & McKelvey, 2007) ( Schreiber & Carley, 2006)
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Practical applicability
• CL is a new paradigm that integrates traditional leadership
models with complex environment.
• It applies to:
(a) globalized firms that cope with high competitiveness,
(b) knowledge –dependent and high innovation corporations and
(c) specific contexts of mergers and acquisitions
• Benefits: it generates learning, adaptability, innovations, and
facilitates group dynamics and problem solving.
• Leaders use participative and communicative style to understand
and manage the complex organizational networks and systems.
• Leaders must apply collaborative skills, understanding
psychological and organizational dimensions thus they become
organizational architect, and systems thinkers and enablers of
learning within teams.
Examples
• CL applies to:
(a) bureaucratic contexts in that it generates adaptability
(b) high Innovation- knowledge industry: stimulates information
flow and problem solving
(c) globalized firms in that it helps scan the external environment,
understand the complexity, integrate challenges, and carry out
successful changes.
• Delloite is an example of application of complexity theory, in that
it addressed the challenges of the financial crisis reinforcing adaptive
leadership approach through management of internal tensions,
using more interactive leadership behaviors to understand networks
and systems, and unleashing innovations by enabling self forming
teams.
Challenges and Limitations
 Very recent. Not much research has been studied.
 Hard to understand language and jargons
o Scientific and Mathematics
 Studies or findings are merely correlational.
The Future of Leadership through the lens of Complexity Leadership
4 important trends that are driving the need for a new definition of
leadership
1) Globalization – Increasing of boundaryless way of working.
2) The Rise of Complex Challenges – There is the need to effectively
react to constant changes in the business environment.
3) A World of Interruption – Complexity at work leads to more
attention deficit.
4) Leadership for Longevity – More awareness on the personal health
of leaders.
References
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HUMAN CIVILIZATION, A COMPLEXITY PROFILE. Retrieved March 4, 2011, from
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Deloitte. (2010). Coping with Complexity: Leadership in Financial Services.
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