Niklas Luhmann’s Organisation und Entscheidung (Organization and Decision) reframes organizations not as static entities or mere collections of individuals, but as dynamic systems constituted by decisions. In Luhmann’s systems theory, organizations are networks of decision communications that generate their own structures through recursive reference to previous decisions. This perspective moves away from the idea of organizations as “machines” and emphasizes their self-referential, adaptive nature.
For HRM students, the book offers several key insights:
1. Decision-Centric View of Management
• HR practices (recruitment, training, performance appraisal) can be understood as decision processes that both reflect and shape organizational structures.
• HR managers do not merely implement policy—they participate in the continuous reproduction of the organization through decisions that reference and reshape prior ones.
2. Complexity and Contingency
• Luhmann underlines the inherent complexity and uncertainty of decision-making. For HR, this means recognizing that policies cannot eliminate ambiguity; they only structure it in manageable ways.
• This helps future HR professionals appreciate the limits of control and the need for adaptive, learning-oriented approaches.
3. Autopoiesis and Organizational Boundaries
• The organization defines itself by what decisions it accepts as “its own,” which has direct implications for HR boundaries: who counts as a member, what constitutes acceptable behavior, and how norms are maintained.
• HR’s role in defining and communicating these boundaries is crucial for cohesion and identity.
4. Implications for Change Management
• Change is not the simple implementation of new procedures but the alteration of the decision-making network itself.
• HR professionals must therefore frame change initiatives as new decision patterns, ensuring that these are connected to the organization’s existing logic to increase adoption.
Why It Matters for HRM Education
Luhmann’s theory equips HRM students with a systemic, non-linear understanding of organizations, helping them move beyond instrumental models. It emphasizes:
• Seeing HR as an active participant in shaping organizational reality.
• Recognizing the recursive nature of HR decisions and policies.
• Accepting uncertainty as an inherent condition of organizational life.
Unfortunately, the book is currently available in German and English but not in French, which limits its accessibility to students. We can only hope for a high-quality French translation in the future, which would make this influential work more widely usable in HRM education.