Management Critique: The Fifth Discipline 1 Management Critique: The Fifth Discipline Andrew Barrett SPEA V602 Dr. McGregor February 15, 2007 1 Management Critique: The Fifth Discipline 2 Management Critique: The Fifth Discipline The following is a management critique of Peter Senge’s book The Fifth Discipline (Senge, 1990). Overall Senge has provided a readable book that finds a good balance between presenting theory and providing practical advice. The specific value of this book is it’s presentation of it’s key argument, namely that systems thinking can be strategically applied in organizations of all types in order to turn the organization into a learning organization. Senge’s argues that the most individuals and organizations have a relatively simplistic, linear, reactionary, and reductionist approach to problem solving that is particularly ill suited for a world where complexity and change are the norm. Systems thinking is presented as a better approach. Systems thinking involves identifying patterns that are associated with specific outcomes. If a change is desired then the understanding of the system is used to select an intervention that will be effective and efficient. Senge indicates that there is a relatively small set of patterns that appear over and over again in both nature and in human organizations. If managers have a good understanding of this set of patterns then they will be more likely to recognize the patterns in the new situations that they confront and consequently be able to select interventions that have a history of working in similar patterns. Senge proposes various disciplines, laws, and approaches that organizations should apply in order to enable the members of the organization to practice systems thinking. Performance standards and envisioning scenarios are two of Senge’s ideas that I found particularly relevant to strategy. I give a brief outline of each below to demonstrate how Senge is able to translate the theoretical into practical advice. 2 Management Critique: The Fifth Discipline 3 Performance standards are a concept that Senge as a critical factor in many of the challenges that organizations face. Briefly, performance standards are specific levels of performance that the organization has either implicitly or explicitly committed to. Examples include delivery time, product quality, or workplace safety. Senge outlines how when confronted with performance that is below the established standard there is pressure to lower the standards instead of addressing the issues that are leading to the performance problem. In many cases key performance data is either not collected or is ignored. Senge argues that the slow, and often hidden, decay of performance standards can have a devastating impact on systems. For example, delivery times that are longer than those expected by the customer may not immediately result in significant loss of customers but could result in a more gradual but more significant change in how the organization is viewed and the loyalty that customers have to the organization. Envisioning scenarios is a tool that Senge presents that can help challenge bad assumptions that members of an organization have about the world and also help practice systems thinking. When scenarios are created about possible futures in which an organization might find itself, employees are forced to reconsider their current view of the future. For example, I might not think that a given scenario is likely at first but when I examine my reasoning for having this opinion I might find that it is not sound or that there is evidence that my underlying assumptions may not be true. The act of considering what actions should be taken under the variety of possible scenarios enables the individual to practice skills in a low risk environment that will hopefully serve them well when the future turns into the present and the actual scenario must be addressed. Practice 3 Management Critique: The Fifth Discipline 4 with scenarios ties in well with current thinking on development of expertise where deliberate practice is the key factor in becoming an expert (Ericsson & Smith, 1991). I have two main criticisms of the book. Senge, like other systems thinking authors (Banathy, Jenks, & Educational Resources Information Center (U.S.), 1990; Capra, 1983; Reigeluth, 1999), associates systems theory with a specific worldview and political outlook. I would expect that if systems thinking is truly a scientific tool then it should not necessarily align with a specific political outlook. In many of his examples, Senge uses systems thinking to point out the folly in policies that have typically been associated with a conservative outlook. Personally I agree with what I perceive to be Senge’s political outlook but I think it’s insertion into the examples may turn those who don’t share this outlook away from systems thinking. One would not expect to have calculus associated with a specific world view, why should systems thinking? Second, I would have liked to see more empirical evidence that the approach that he advocates correlates to organizational success. Supporting an argument with description of situations where the proposed approaches worked is not as convincing as a well designed study that tries to find a significant and positive relationship between the approaches and variables tied to organizational success. This book is likely not the right venue for the presentation of statistical or overly academic analysis and designing such a study would be a challenge but empirical evidence is necessary to separate these ideas from being labeled as the latest fad. Despite these criticisms, I found the book particularly useful for those interested in organizational development, education, and interplay between organizations of all types in society. 4 Management Critique: The Fifth Discipline 5 References Banathy, B. H., Jenks, L., & Educational Resources Information Center (U.S.). (1990). The transformation of education by design a trainer's guide for educational systems designers [microform]. San Francisco, Calif. Washington, DC: Far West Laboratory ; U.S. Dept. of Education Office of Educational Research and Improvement Educational Resources Information Center. Capra, F. (1983). The turning point : science, society, and the rising culture (Bantam ed.). Toronto ; New York: Bantam Books. Ericsson, K. A., & Smith, J. (1991). Toward a general theory of expertise : prospects and limits. Cambridge ; New York: Cambridge University Press. Reigeluth, C. M. (1999). Visioning Public Education in America. Educational Technology, 39(5), 50-55. Senge, P. M. (1990). The fifth discipline : the art and practice of the learning organization (1st ed.). New York: Doubleday/Currency. 5