Skip to main content

Selected Aspects of Network Structure Dynamics

  • Conference paper
  • First Online:
Eurasian Business Perspectives

Part of the book series: Eurasian Studies in Business and Economics ((EBES,volume 8/1))

  • 702 Accesses

Abstract

The article encompasses the description of selected issues related to the dynamics of organizational networks. Referring to issues related to the chaos theory, the factors stabilizing and destabilizing cooperation within organizational networks have been discussed, and subsequently, the concepts and selected models of the dynamics of organizational networks have been presented. In the further part, the article presents the problem of defining boundaries of networks, indicating the controversies and approaches related to this issue.

This is a preview of subscription content, log in via an institution to check access.

Access this chapter

Chapter
USD 29.95
Price excludes VAT (USA)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
eBook
USD 169.00
Price excludes VAT (USA)
  • Available as EPUB and PDF
  • Read on any device
  • Instant download
  • Own it forever
Softcover Book
USD 219.99
Price excludes VAT (USA)
  • Compact, lightweight edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info
Hardcover Book
USD 219.99
Price excludes VAT (USA)
  • Durable hardcover edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info

Tax calculation will be finalised at checkout

Purchases are for personal use only

Institutional subscriptions

Notes

  1. 1.

    A dynamic system is a pair (X,T) where X is a certain set (referred to as a phase space), and T is a group or a semi-group of X transformations into itself. In the classic example of a cascade, these are the iterations of a single transformation (then T denotes this transformation). Usually, the space X is provided with some kind of structure, and the transformations of the T group retain this structure. The theory of dynamical systems is an interdisciplinary field in which the research methods from many branches of mathematics are applied. It is a theory that has rapidly developed over the last few decades, and it competes successfully in terms of applications for describing and predicting phenomena occurring in the reality with statistical and even numeric methods.

  2. 2.

    Both the practice and the research results indicate the diversity of factors that underpin the development of the network. However, none of them can be considered as dominant. One can rather talk about a set of interacting factors that generate the dynamics on the basis of feedback. Furthermore, with the development of the network, its different components become meaningful and for various reasons their strength over time can vary. Critical factors of the development of networks affecting their dynamics include among others: proximity to the market of purchasers, availability of skilled workforce, proximity to other enterprises, facilitated access to the research sphere, image, and reputation of the geographical area, access to regional and international transport networks, availability of lands and premises, support of public administration (e.g. financial support for functioning and/or projects), proximity to raw materials, presence of facilitations in the field of supporting activities.

  3. 3.

    Feedbacks determine the behavior of the system; there are behavioral patterns of systems based on those feedbacks. Observations concerning the feedback loops were presented by Forrester (1958), who stated that the simple reinforcing (positive) or weakening (negative) feedback loops generate behaviors different than expected. The behavioral patterns of systems based on both positive and negative feedbacks can be used to examine any system, as various systems may show and often show the same behaviors, despite the completely different nature of the problems occurring in them. In the case of organizational networks (in a dynamic sense), network relationships include feedbacks of activities which create new values and constitute the essence of improving the operation conditions of the entire network. Relationships of subjects cause specific positive effects of a spontaneous nature that are somehow unconsciously absorbed by the participants. They can also be a source of multiplied benefits, but then they require from members of networks taking active measures in order to obtain additional value.

  4. 4.

    It should be added that the descriptions of organizational network development presented earlier in the literature (e.g. Porter 1990) describe its development only within a certain time period. It is impossible to draw conclusions on their basis, either about the past or the future of a network organization. These are the so-called kinetic descriptions of network organization development which do not explain the manner in which this development occurs.

References

  • Ashforth, B. E., Kreiner, G. E., & Fugate, M. (2000). All in a day’s work: Boundaries and micro role transitions. Academy of Management Review, 25(3), 472–491.

    Google Scholar 

  • Ashkenas, R. (1998). Nowe szaty organizacji [New organization robes]. In F. Hesselbein, M. Goldsmith & R. Bechard (Eds.), Organizacja przyszÅ‚oÅ›ci [Organization of the future] (pp. 120–128). Warszawa: Business Press.

    Google Scholar 

  • Ashkenas, R., Ulrich, D., Jick, T., & Kerr, S. (1998). Boundaryless organization. In Behind the chains of organizational structure. San Francisco: Jossey-Bass.

    Google Scholar 

  • Barabási, A. L., & Bonabeau, E. (2003). Scale-free networks. Scientific American, 288(5), 50–59.

    Article  Google Scholar 

  • Barczak, B. (2017). Organizational network management system (pp. 757–772). In 17th EBES Conference Proceedings, 15–17 October, Venice, Italy

    Google Scholar 

  • Brilman, J. (2002). Nowoczesne koncepcje i metody zarzÄ…dzania [Modern concepts and methods of management]. Warszawa: PWE.

    Google Scholar 

  • Brown, S. L., & Eisenhardt, K. M. (1998). Competing on the edge. Strategy as a structured chaos. Boston: Harvard Business School Press.

    Google Scholar 

  • Cyfert, S. (2012). Granice organizacji [Organization boundaries]. PoznaÅ„: Uniwersytet Ekonomiczny w Poznaniu.

    Google Scholar 

  • Cyfert, S. Z., & Krzakiewicz, K. (2009). Nauka o organizacji [Learning about organization]. PoznaÅ„: Towarzystwo Naukowe Organizacji i Kierownictwa.

    Google Scholar 

  • Czakon, W. (2012). Sieci w zarzÄ…dzaniu strategicznym [Networks in strategic management]. Warszawa: Oficyna Wolters Kluwer Business.

    Google Scholar 

  • Dhanaraj, C., & Parkhe, A. (2006). Orchestrating innovation networks. Academy of Management Review, 31(3), 659–669.

    Article  Google Scholar 

  • Dyer, J. H., & Chu, W. J. (2003). The role of trustworthiness in reducing transaction costs and improving performance, empirical evidence from the United States, Japan, and Korea. Organization Science, 14(1), 57–68.

    Article  Google Scholar 

  • Forrester, J. W. (1958). Industrial dynamics – A major breakthrough for decision makers. Harvard Business Review, 36(4), 37–66.

    Google Scholar 

  • Galaskiewicz, J. (1985). Interorganizational relations. Annual Review of Sociology, 11, 281–304.

    Article  Google Scholar 

  • Gargiulo, M., & Gulati, R. (1999). Where do interorganizational networks come from. American Journal of Sociology, 104(5), 1439–1493.

    Article  Google Scholar 

  • Góra, J. (2008). Dynamika klastra – zarys teorii i metodyka badaÅ„ [Cluster dynamics – An outline of the theory and methodology of research]. WrocÅ‚aw: Wyższa SzkoÅ‚a Handlowa we WrocÅ‚awiu.

    Google Scholar 

  • Granovetter, M. (1994). Business groups. In N. J. Smelser & R. Swedberg (Eds.), The handbook of economic sociology (pp. 429–451). United Kingdom: Princeton University Press.

    Google Scholar 

  • Hatch, M. J. (2002). Teoria organizacji [Organization theory]. Warszawa: PWN.

    Google Scholar 

  • Huggins, R., & Johnston, A. (2010). Knowledge flow and inter-firm networks: The influence of network resources, spatial proximity and firm size. Entrepreneurship & Regional Development, 22(5), 457–484.

    Article  Google Scholar 

  • Kauffman, S. A. (1995). At home in the Universe: The search for laws of self-organization and complexity. New York: Oxford University Press.

    Google Scholar 

  • Kawa, A., & PieraÅ„ski, B. (2014). Problemy z wyznaczaniem granic sieci przedsiÄ™biorstw [Problems determining the boundaries of enterprise networks]. In A. SopiÅ„ska & S. Gregorczyk (Eds.), Granice strukturalnej zÅ‚ożonoÅ›ci organizacji [The boundaries of the structural complexity of the organization] (pp. 62–69). Warszawa: Oficyna Wydawnicza SGH w Warszawie.

    Google Scholar 

  • Kilduff, M., Tsai, W., & Hank, R. (2006). A paradigm too far? A dynamic stability reconsideration of the social network program. Academy of Management Review, 31(4), 1001–1048.

    Google Scholar 

  • Klimas, P. (2014). MiÄ™dzy stabilnoÅ›ciÄ… a chaosem sieci współdziaÅ‚ania. In A. SopiÅ„ska, & S. Gregorczyk (Eds.), Granice strukturalnej zÅ‚ożonoÅ›ci organizacji [The boundaries of the structural complexity of the organization] (pp. 26–28). Warszawa: Oficyna Wydawnicza SGH w Warszawie.

    Google Scholar 

  • Kostera, M. (1996). Postmodernizm w zarzÄ…dzaniu [Postmodernism in management] Warszawa: PWE.

    Google Scholar 

  • Krupski, R. (2005). ZarzÄ…dzanie przedsiÄ™biorstwem w turbulentnym otoczeniu [Business management in a turbulent environment]. Warszawa: PWE.

    Google Scholar 

  • Krupski, R. (2010). Kontekst chaosu w planowaniu strategicznym [Context of chaos in strategic planning]. PrzeglÄ…d Organizacyjny, 3, 6–8.

    Google Scholar 

  • Krupski, R. (2014). Granica chaosu i tradycyjnego porzÄ…dku [The boundary of chaos and traditional order]. In A. SopiÅ„ska, & S. Gregorczyk (Eds.), Granice strukturalnej zÅ‚ożonoÅ›ci organizacji [The boundaries of the structural complexity of the organization] (pp. 17–25).Warszawa: Oficyna Wydawnicza SGH w Warszawie.

    Google Scholar 

  • Llewellyn, S. (1994). Managing the boundary. How accounting is implicated in maintaining the organization. Accounting, Auditing and Accountability Journal, 7(4), 4–23.

    Article  Google Scholar 

  • MasÅ‚yk-MusiaÅ‚, E. (2003). Organizacje w ruchu. Strategie zarzÄ…dzania zmianami [Organizations on the move. Change management strategies]. Cracow: Wolters Kluwer.

    Google Scholar 

  • Müller, U. R. (2000). Zmiana warty w zarzÄ…dzaniu. Dramat i szansa [Changing the guard in management. Drama and Chance]. Warszawa: PLACET.

    Google Scholar 

  • Niemczyk, J., StaÅ„czyk-Hugiet, E., & JasiÅ„ski, B. (2012). Sieci miÄ™dzyorganizacyjne. Współczesne wyzwania dla teorii i praktyki zarzÄ…dzania [Inter-organizational networks. Contemporary challenges for theory and management practice]. Warszawa: C.H. Beck.

    Google Scholar 

  • Oh, W., & Jeon, S. (2007). Membership herding and network stability in the open source community: The Ising perspective. Management Science, 53(7), 1086–1101.

    Article  Google Scholar 

  • Perechuda, K. (1998). Metody zarzÄ…dzania przedsiÄ™biorstwem [Business management methods]. WrocÅ‚aw: Wydawnictwo Akademii Ekonomicznej.

    Google Scholar 

  • Pfeffer, J., & Salancik, G. R. (1978). The external control of organizations: A resource dependence perspective. New York: Harper and Row.

    Google Scholar 

  • Porter, M. (1990). On competition. New York: Free Press.

    Google Scholar 

  • Ratajczak-Mrozek, M. (2010). Sieci biznesowe a przewaga konkurencyjna przedsiÄ™biorstw zaawansowanych technologii na rynkach zagranicznych [Business networks and competitive advantage of high technology enterprises on foreign markets]. PoznaÅ„: Uniwersytet Ekonomiczny w Poznaniu.

    Google Scholar 

  • Ritala, P., Armila, L., & Blomqvist, K. (2009). Innovation orchestration capability – Defining the organizationaland individual level determinants. International Journal of Innovation Management, 13(4), 569–591.

    Article  Google Scholar 

  • Robbins, S., & Coulter, M. (2007). Management (9th ed.). Upper Saddle River, NJ: Prentice Hall.

    Google Scholar 

  • Rokita, J. (2009). Dynamika zarzÄ…dzania organizacjami [Dynamics of organization management]. Katowice: AE w Katowicach.

    Google Scholar 

  • Santos, F. M., & Eisenhardt, K. M. (2005). Organizational boundaries and theories of organization. Organization Science, 16(5), 491–508.

    Article  Google Scholar 

  • Senge, P. (1990). The fifth discipline: The art and practice of the learning organization. New York: Doubleday.

    Google Scholar 

  • Smith, S. S. (2013). Social network boundaries and tricky to access populations: A qualitative approach. International Journal of Social Research Methodology, 17(6), 613–623.

    Article  Google Scholar 

  • Stacey, R. D. (2003). Strategic management and organizational dynamics: The challenge of complexity. Harlow: Prentice Hall.

    Google Scholar 

  • Stewart, J. (1996). Liczby natury [Numbers of nature]. Warszawa: CIS.

    Google Scholar 

  • Van de Ven, A., & Poole, M. (1995). Explaining development and change in organizations. Academy of Management Review, 20(3), 510–540.

    Google Scholar 

  • Van de Ven, A., & Ring, P. (1994). Developmental processes of cooperative inter-organizational relationships. Academy of Management Review, 19(1), 90–118.

    Google Scholar 

  • Van de Ven, A. H., & Ring, P. S. (2006). Relying on trust in cooperative inter-organizational relationships. In R. Bachmann & A. Zaheer (Eds.), Handbook of trust research (pp. 144–164). Londyn: Edward Elgar Publishers.

    Google Scholar 

Download references

Acknowledgement

The article was developed in the framework of the project entitled: Model assessment of efficiency of business networks. The project was funded by the National Science Centre allocated on the basis of the decision number DEC-2013/11/B/HS4/01030.

Author information

Authors and Affiliations

Authors

Corresponding author

Correspondence to Beata Barczak .

Editor information

Editors and Affiliations

Rights and permissions

Reprints and permissions

Copyright information

© 2018 Springer International Publishing AG

About this paper

Check for updates. Verify currency and authenticity via CrossMark

Cite this paper

Barczak, B. (2018). Selected Aspects of Network Structure Dynamics. In: Bilgin, M., Danis, H., Demir, E., Can, U. (eds) Eurasian Business Perspectives. Eurasian Studies in Business and Economics, vol 8/1. Springer, Cham. https://doi.org/10.1007/978-3-319-67913-6_14

Download citation

Publish with us

Policies and ethics