Variety (cybernetics)

Computer science

Business

Value (mathematics)

Profitability index

Artificial intelligence

Finance

Knowledge management

Machine learning

Organization Science

Managers recognize that they must satisfy a variety of demands, some contradictory. The authors investigated this circumstance using Quinn and Rohrbaugh's competing values model. They report the findings of a study that identified and measured the four competing values (internal process value, rational goal value, human relations value, and open system value) across organizations and investigated whether contextual and structural variables were systematically associated with those value sets. Data were gathered from a large sample of United States Air Force Commands. Results showed that the operating units pursued the four values defined by the model, but did not emphasize them equally. Certain environmental characteristics (information and resource scarcity and technological uncertainty) and aspects of the units' technology (their task routineness, workflow interdependence, and training complexity) were associated with organizational value sets. The values emphasized were associated in turn with the coordinating structure (vertical or horizontal coordination) adopted by the units. The study attempted to move the competing values model beyond theoretical concepts. The results confirm the competing values at work in organizations and also suggest that value sets differ from unit to unit. Certain patterns of values appear to exist within particular environmental and technological contexts. These findings indicate tradeoffs among values. Emphasizing some values may hamper pursuit of others. So when managers decide to give priority to programs designed to strengthen to the human relations value, efficiency and short-term profitability may drop off. Managers must be aware of this shifting balance. They must evaluate whether prescriptions for organizational success make sense. Decisions should reflect the organization's value structure (and its deficiencies), its technology, its environment, and its structure as well as show these elements fit together.

Competing Values in Organizations: Contextual Influences and Structural Consequences