Organizational Routines In Economics

1846 Words8 Pages
Table of Contents 1) Introduction 2) Organizational Routines 2.1) Routines as Genes 2.2) Routines as Habits 2.3) Routines as Organizational Memory 3) Conclusion 1) Introduction Science consists of a variety of different fields and each field seems independent from the other. However, various fields are always in a mutual relationship. For instance, a rule applied for one certain field of science can also be applied for another, too. By the help of this is reasoning, the ‘evolution’ concept in biology has been applied to economics. Some patterns of evolutionary theory have been tried to be adapted into economics and these adaptations lead to an observation of these patterns in the discipline of economics.…show more content…
(Markus C. Becker) For carrying out the work organizational routines are needed since they are the drivers to accomplish goals of organisation. Besides, they become parts of an organisation through division of labour and further coordination with the organisation. It can be said that routines provide occupational roles to the members of organization. 2.1) Routines as Genes Nelson and Winter defined organizational routine as regular and predictable behaviour of firms. Then, they presented similarities between genes and routines by stating that routines play the same role in the theory of evolutionary economics like genes do the same in biological evolution theory. That means; some features created/obtained at present can be passed on to the future, then some of these features can be selected as better or convenient than the others in the future, and the importance of them can be accumulated among the population (market). 2.2) Routines as…show more content…
To explain this in full, because the knowledge is a building block of memory, and the knowledge is passable on for future uses, genes and routines were inherently compared. As the genes are passed on to next generations, likewise, the genes’ knowledge is also passable on to the future generations of an organization. Then, the spirit of routines as a memory was tried to be explained. There follows the answers of research questions. The first answer was tried to be explained with a cognitive example on how changes in routines work. In short, it was desired to say that like in the individual life, individuals experience new challenges in their lives, and they learn how to deal with them. When they try to deal with them, knowledge is created to deal with new challenges, and this knowledge is saved in their memory even though sometimes, they do not know if there is knowledge residing in their conscious. For the second question wanted be explained how changes in routines are saved into the memory of an organization. For short, it would be convenient to explain it again with the previous individual example. When individuals acquire new knowledge, they consciously or unconsciously put the knowledge into their memory. It works the same with the organization’s behaviour. They accumulate new knowledge into their memories, and they use it when there are new changes or
Open Document