Organizations and Chaos

This unique book brings chaos theory out of the physics laboratory and into the business boardroom; it demonstrates how chaos theory can be applied to the practical world of business. Priesmeyer takes a fresh look at management in organizations using a unique method of displaying nonlinearity in common business data. He shares a simple procedure for displaying chaotic systems with the reader and the result is an entirely new perspective on marketing, finance, production, and human resource issues. The book is unique because it avoids any difficult mathematics and still delivers very practical applications for managers of all types. In some cases the implications for specific jobs such as that of a retail store manager, a sales manager, and a counselor are discussed in detail. The discussions of free will and visioning will have a real impact on anyone involved in planning. Part One of this book presents the notion of Corporate Chaos Theory and provides the concepts methods used by the author. Chapter 1 introduces the concept of nonlinearity and blends a discussion of chaos in biology into an example in business. Chapter 2 explains the simple method used by Priesmeyer in detail and applies that method to demonstrate organizational limit cycles. Chapter 3 draws on an analogy with cardiology to explain organizational behavior. Part Two consists of four chapters addressing applications in the functional areas of business. Chapters examine marketing, managerial finance, chaos in the production process, and a wide range of human resources issues, including stress. The chapter on production processes addresses new quality approaches and shows the weaknesses of common quality control tools and procedures. The final section of the book addresses decision making. Chapter 8 is directed to anyone involved in forecasting. It also includes an amusing attack on traditional statistics. The following chapters address Strategic Decision Making and provide a preliminary agenda for any company wishing to explore the methods in greater detail. Chapter 11 brings chaos theory down to a common, personal level, and explains the implications for certain specific jobs ranging from sales representatives to marriage counselors. The final chapter readdresses the concept of free will and includes an insightful exercise and conversation.