Towards a Practice-Driven
						Institutionalism

Smets, Michael; Aristidou, Angela; Whittington, Richard

doi:10.4135/9781446280669.n15

Cited by 107 publications

(106 citation statements)

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“…For that reason, we suggest that practice-shifting performativity might be a more apt term. Our analysis of how new theories can lead to shifts in practices contributes to practice theory a novel perspective (Guérard, Langley, & Seidl, 2013;Jarzabkowski, 2005;Smets, Aristidou, & Whittington, 2017). Our model suggests that theories can generate a "shared practical understanding" (Schatzki, 2001: 2) that gives meaning to practices.…”

Section: How Feedback Loops Create Self-fulfilling Theoriesmentioning

confidence: 99%

When Do Theories Become Self-Fulfilling? Exploring the Boundary Conditions of Performativity

Marti

Gond

2018

AMR

132

146

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Management researchers increasingly realize that some theories do not merely describe, but also shape social reality; a phenomenon known as "performativity." However, when theories become performative or even self-fulfilling is still poorly understood. Taking this gap in current research as our starting point, we develop a process model to show that new theories will only become self-fulfilling (1) if they motivate experimentation, (2) if experimentation produces anomalies, and (3) if these anomalies lead to a practice shift. On that basis, we identify six boundary conditions that determine whether theories will come to shape social reality. To illustrate our argument, we explore the conditions under which theories that postulate a positive link between corporate social performance and corporate financial performance may become self-fulfilling. KEYWORDS:Anomalies, boundary conditions, corporate social performance (CSP), experimentation, performativity, socially responsible investing (SRI) 3/53In the course of the last decade, management scholars and other researchers in the social sciences increasingly realized that some theories do not merely describe, but also shape the patterns of social interaction that constitute social reality (Callon, 1998;. They dubbed this phenomenon "performativity." The most "intriguing" cases of performativity arise when theories become self-fulfilling; that is, when using theories increases the "conformity" between theories and social reality (MacKenzie, 2006: 18-19). A well-known example thereof is the Black-Scholes theory, where using that theory pushed option prices toward the prices that the theory predicted (MacKenzie & Millo, 2003). In such cases, theories can become self-fulfilling by reshaping the language, social norms, and institutional designs of traders, managers, policy-makers, or other actors (Ferraro, Pfeffer, & Sutton, 2005a).Further studies in this tradition examined, for example, how rational choice theory makes decision-making within organizations more rational (Cabantous & Gond, 2011) or how mainstream financial theories reinforce the currently widespread technocratic approach to financial regulation (Marti & Scherer, 2016).Most studies on performativity to date focus on theories that have successfully transformed social reality. However, because of this "success bias," the literature lacks a clear understanding of the conditions that determine whether theories become performative or not. This lack of understanding becomes particularly apparent where the "strongest" forms of performativity (MacKenzie, 2006: 19) are concerned; that is, when theories become self-fulfilling (Healy, 2015: 176). Current research thereby neglects the insight of Felin and Foss (2009b) that social reality is not invariably malleable. Keeping in mind these shortcomings of previous research on performativity, we set out to explore how boundary conditions determine whether a theory will become self-fulfilling or not. 4/53To analyze these boundary conditions, we start by developin...

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Section: How Feedback Loops Create Self-fulfilling Theoriesmentioning

confidence: 99%

When Do Theories Become Self-Fulfilling? Exploring the Boundary Conditions of Performativity

Marti

Gond

2018

AMR

132

146

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“…Through this, a greater perception of legitimation as a core purpose and result of OS is provided, and this research offers an important contribution by accentuating the relevance of organizational legitimacy and OS. This elevates legitimacy beyond being understood as an effect or outcome, and brings OS, as an organizational practice, into close alignment with the organizational legitimacy literature and its theoretical conceptions (Lawrence, Suddaby & Leca, 2011;Suddaby, Seidl & Le, 2013;Smets, Aristidou & Whittington, 2017). This is imperative for understanding OS as a means institutional work in the form of legitimation (Lawrence & Suddaby, 2006).…”

Section: Introductionmentioning

confidence: 88%

“…More specifically, the work here conceptualizes how the case organization has adopted a plethora of open strategizing practices for legitimacy effects (Suddaby, Seidl & Le, 2013), providing a detailed account of how different modes of OS result in legitimation over time. This attends to the 'stuff' involved in managing legitimacy (Smets & Jarzabkowski, 2013;Smets, Aristidou & Whittington, 2017). The findings emphasize that identified modes of OS represent the case organization switching between distinct approaches to legitimation, as a means of managing the competing demands of organizational stakeholders.…”

Section: Introductionmentioning

confidence: 92%

“…There have been calls for more exploration of agency and appreciation of micro aspects in institutional theories (Suddaby, Seidl & Le, 2013;Bitektine & Haack, 2015;Smets, Jarzabkowski, Burke & Spee, 2015;Smets, Aristidou & Whittington, 2017). Consistent with this, studies seeking to understand legitimation in pluralistic contexts have focused upon a grouping of three main, agency-intensive legitimation strategies: manipulation, adaptation, and argumentation.…”

Section: Strategizing and Legitimation In Pluralistic Contextsmentioning

confidence: 99%

“…Numerous data collection methods were used, including completion of 30 semi-structured interviews, participant observations, and collection of significant social media and documentation data. In designing our research, we considered calls for a practice-driven approach to exploring micro aspects of macro, institutional phenomena (Suddaby, Seidl & Le, 2013;Bitektine & Haack, 2015;Smets, Greenwood & Lounsbury, 2015;Smets, Aristidou & Whittington, 2017). More specifically, the work here conceptualizes how the case organization has adopted a plethora of open strategizing practices for legitimacy effects (Suddaby, Seidl & Le, 2013), providing a detailed account of how different modes of OS result in legitimation over time.…”

Section: Introductionmentioning

confidence: 99%

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Managing Organizational Legitimacy through Modes of Open Strategizing

2018

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Extant literature associates the central purpose of open strategizing with organizations seeking to manage legitimacy (e.g. Chesbrough & Appleyard, 2007; Whittington, Cailluet & Yakis-Douglas, 2011; Dobusch, Dobusch & Muller-Seitz, 2017). To date, legitimacy has been highlighted as a potential 'effect' (Gegenhuber & Dobusch, 2017) or 'outcome' (Luedicke, Husemann, Furnari & Ladstaetter, 2017) of strategic openness. Absent has been research attempting to understand open strategy as a process of legitimation (Uberbacher, 2014), and there remains a need to elevate the potential of open strategy for managing legitimacy further. To address this gap, the research presented here adopts a longitudinal, single case analysis to explore a professional association who developed a new four-year strategic plan using an open strategy approach. The findings indicate how open strategy dynamics represent the case organization switching between distinct approaches to legitimation, to manage competing stakeholder demands. The research offers an important contribution by accentuating the principal relevance of organizational legitimacy in open strategizing. This brings open strategy into close alignment with organizational legitimacy literature and its theoretical

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Introduction

Weik

2022

The Emergence of Institutions

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Towards a Practice-Driven Institutionalism

Cited by 107 publications

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When Do Theories Become Self-Fulfilling? Exploring the Boundary Conditions of Performativity

When Do Theories Become Self-Fulfilling? Exploring the Boundary Conditions of Performativity

Managing Organizational Legitimacy through Modes of Open Strategizing

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