A Plea for Long-term Orientation in Organizations

The stress field between short- and long-term orientations is the epitome of organizational problematics: In many enterprises the latter is dominated by the former. The consequences of a dominant short-term orientation are negative in the best case, but the cases that result in destruction and catastrophe are legion. Few sustainable solutions for the conflict between the short- and long-term perspectives have been developed, and among those concerned many have not sufficiently reflected on this shortfall, or even become aware of it. Frequently, practical constraints obstruct a balance between short- and long-term orientations. The aim of this contribution is to enquire into this dilemma and to find a way of coping with it. Any progress in that direction would help to further the viability of organizations and the quality of life within them. As a pertinent contribution we present the Model of Systemic Control, a framework with a long-term view for the governance of organizations. Even though we are emphasizing the conceptual aspect, our theoretical statement is underpinned by an empirical approach and simulation experiments.