- Beyond the paradox of hierarchy   56 kb by    Sakano, Tatsuro & null, null & null, null | tsakano@soc.titech.ac.jp    Short Outline Since 1950s, two principles of modernization, positivistic rationality as a legitimate mode of knowledge creation and bureaucracy as an efficient organizing principle, have been seriously questioned. Since then, the most intellectualsÕ preferences have tilted towards postmodern principles, that is, network, decentralization, and diversity, as against modernistic principles, that is, hierarchy, centralization, integrity and universal rules. But is hierarchy really obsolete and ought to be taken over by new organizing principle? Reviewing the history of organizational development, we notice that the reality is more complex than the world the theories presuppose. For example, standardization has been spreading further and further at the same time diversification proceeds. We think strong leadership is necessary for quick and fast management at the same time delegation of power is demanded from the same reason. The merger of big companies is booming at global scale and keeping positions in the center of global network while outsourcing auxiliary functions and creating small companies network. Standardization contradicts diversity by their definitions. So does strong leadership vs. participation, centralization vs. decentralization, and hierarchy vs. network. These definitional contradictions may seem to be logically true. However, they are practically wrong when seen from the history of organizational development. Lawrence & Lorsh (1976) discussed that high performance organization develops high integration mechanisms to keep balance with high differentiation. In theoretical biology, Bertalanffy (1950) noticed a transition toward states of higher order and differentiation in organic development and evolution. In computational science, it is suggested that almost all the complex system adapt hierarchy to cope with combinatorial complexity. I would like to call these phenomena as the paradox of hierarchy, a paradox of societal integrity vs. individual freedom. Technological development does not automatically lead to social transformation. Social transformation has its own logic. If the former does not fit to the latter, social system will not change. Spatial impact of information technology depends on the structure of industrial organization. How to solve the paradox of hierarchy is the key to understand new design principle of organization and newly emerging spatial order. In this paper, the author tries to delineate the dynamics of structural change of industrial organization and its implication for the spatial order. Abstract Since 1950s, the most intellectuals’ preferences have tilted towards postmodern principles, that is, network, decentralization, and diversity, as against modernistic principles, that is, hierarchy, centralization, and universal rules.However, the world city system strengthens hierarchical order based on the command and control hierarchy for the entire global economy.If hierarchy is the reality, are network and decentralization illusions?How to understand the nature of the paradox of hierarchy is the key to understand new design principle of organization and its corresponding spatial order. Keywords - Case Study presented on the ISOCARP Congress 2001: Honey, I Shrunk the Space   Click to open the full paper as pdf document   Click to send an email to the author(s) of this paper