Pooled, Sequential & Reciprocal Interdependence

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Written by Tolga Azgun

Contents


Abstract

Large scale projects encompassing various cross functional business units or teams have been characterized through their structural complexity.These complexities occur due to uncertainties which often is a direct consequence of vacillating resources (e.g., insufficient information flow) streaming throughout the project team.[1] These resources vary from team to team and can be crucial for the success of the overall performance.These interlinkages of workflow between groups were conceptualized by Thompson (1967) [2] naming them “interdependencies”. The term can be defined as the extent to which groups, business units or teams are interdependent with one another and are essentially dependent upon the action of others for their success. Interdependencies were categorized according to the severity of their dependence to one another. An additional area of interest for scholars has been external interdependencies.(e.g., buyer-supplier relationships) These relationships indicate specific firm level dependencies where being dependent on another is seen as an integral part and as “boundary spanners” for successful cooperation between companies. [3] However, this article aims to illustrate dependencies from an inter-organisational point of view, in which contrasting historic concepts of interdependencies will be reviewed. Furthermore, it is aimed to highlight the groundwork of the notion constructed by Thompson (1967) in introducing the following concepts: pooled, sequential, and reciprocal interdependence. In addition, the article will outline the need of differing coordination methods for varying interdependency types based on the intensity levels to reduce the uncertainties which arises through complex workflow patterns.

Big Idea

J.D Thompson’s work Organizations in Action” is seen as the foundation of characterizing organizational groups and has been inspirational for scholars studying the organizational design field. [4] Consequently, elementary theories of the book “Organizations in Action” developed itself into having universal acceptance within the field.

As the adoption of groups and teams is increasing within organizations [5] it is essential to realize the effect of different types of interdependences on group control mechanisms and results. Besides the work of Thompson (1967), much scholar’s research has been investigating the value of “management control” processes to complement synergies of teams and business units. [6] Adler’s (1995)[7] main research has been focusing on how coordination exigencies of interdependences differ over the time of a product development project’s lifecycle. The results showed that the growing innovation of a product and process scope needed more interactive management instruments. Ambos and Schegelmilch (2007)[8] have laid their focus on the effects of interdependence levels and respective control mechanisms like “centralization, formalization and socialization” and found out that with an expanding degree of interdependence the use of these measures were also growing. Macintosh and Daft’s (1987)[9] center of attraction was to detect the effect of differing formal control mechanisms according to interdependence models. The summarized outcome of the study presented that, in growing pooled interdependences the usage of classic operating mechanisms grew, whereas the usage of “setting up budgets and statistical reports” declined. On the other hand, in an expanding scope of sequential interdependences, the adoption of “budgets and statistical reports” have shown an increase. However, on intensifying reciprocal interdependences the use of both classic operating mechanisms as well as budgets, statistical reports have dropped. In general, the outcome of ongoing research has proven that high level interdependences among teams requires more control. This is mainly because of the difficulty in reviewing the particular input of a sub team to the general project success while actions and resources commonly influence each unit’s performance.[10] Therefore, planning and a suitable coordination between units in a project is critical in apportioning limited resources which could potentially hinder arising conflicts for teams facing uncertainties. A suitable coordination strategy would allow a copious knowledge flow throughout the entire project which is essential for a flawless operation. [11]

Pooled, Sequential & Reciprocal Interdependecies According to J.D.Thompson

Pooled Interdependence

Explaining pooled interdependence with a respective example & figure

Figure 1: Pooled Interdependence, (own creation, inspired by [12])

Sequential Interdependence

Explaining Sequential interdependence with a respective example & figure

Figure 2: Sequential Interdependence, (own creation, inspired by [13])

Reciprocal Interdependence

Explaining reciprocal interdependence with a respective example & figure

Coordinating Interdependence in Cross-Functional Project Teams

Standartization of Work Processes

Explaining the coordination method

Planning and Scheduling

Mutual Adjustments

Limitations of the Construct

critically reflect on the tool/concept/theory. When possible, substantiate your claims with literature


Annotated Bibliography

References

[14]



  1. "F. Ter Chian Tan, S. L. Pan and M. Zuo, "Realising platform operational agility through information technology–enabled capabilities: A resource‐interdependence perspective," INFORMATION SYSTEMS JOURNAL, vol. 29, no. 3, pp. 582-608, 2019
  2. "B. Victor and R. S. Blackburn, "Interdependence: An Alternative Conceptualization," The Academy of Management Review, vol. 12, no. 3, pp. 486-498, 1987
  3. "R. H. Chenhall and D. Morris, "THE IMPACT OF STRUCTURE, ENVIRONMENT, AND INTERDEPENDENCE ON THE PERCEIVED USEFULNESS OF MANAGEMENT ACCOUNTING SYSTEMS," Accounting Review, vol. 61, no. 1, pp. 16-135, 1986
  4. J. R. Galbraith, Organization Design. Reading, Mass, Massachusetts: Addison-Wesley, 1977.
  5. S. R. Barley, "Explaining pooled interdependence with a respective example & figure," Administrative Science Quarterly, vol. 35, no. 1, p. 61, 1990.
  6. J. Frost, K. Bagban and R. Vogel, "Managing Interdependence in Multi-business Organizations : A Case Study of Management Control Systems," Schmalenbach Business Review, vol. 17, no. 2, pp. 225-260, 2016
  7. P. Adler, "INTERDEPARTMENTAL INTERDEPENDENCE AND COORDINATION - THE CASE OF THE DESIGN/MANUFACTURING INTERFACE," Orhanization Science, vol. 6, no. 2, pp. 147-167, 1995.
  8. B. Ambos and B. B. Schlegelmilch, "Innovation and control in the multinational firm: A comparison of political and contingency approaches," Strategic Management Journal, vol. 28, no. 5, pp. 472-486, 2007
  9. N. Macintosh and R. Daft, "MANAGEMENT CONTROL-SYSTEMS AND DEPARTMENTAL INTERDEPENDENCIES - AN EMPIRICAL-STUDY," Accounting Organizations and Society, vol. 12, no. 1, pp. 49-61, 1987
  10. V. Blazevic and A. Lievens, "Learning during the new financial service innovation process – antecedents and performance effects," Journal of Business Research, vol. 57, no. 4, pp. 374-391, 2004.
  11. C. Tomkins, "Interdependencies, trust and information in relationships, alliances and networks," Accounting, Organizations and Society, vol. 26, no. 2, pp. 161-191, 2001
  12. F. Ter Chian Tan, S. L. Pan and M. Zuo, "Realising platform operational agility through information technology–enabled capabilities: A resource‐interdependence perspective," INFORMATION SYSTEMS JOURNAL, vol. 29, no. 3, pp. 582-608, 2019]
  13. F. Ter Chian Tan, S. L. Pan and M. Zuo, "Realising platform operational agility through information technology–enabled capabilities: A resource‐interdependence perspective," INFORMATION SYSTEMS JOURNAL, vol. 29, no. 3, pp. 582-608, 2019]
  14. "Détienne, F. (2006). Collaborative design: Managing task interdependencies and multiple perspectives. Interacting with Computers, 18(1 SPEC. ISS.), 1-20. doi:10.1016/j.intcom.2005.05.001
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