The circular economy: rearranging structural couplings and the paradox of moral-based sustainability-enhancing feedback

PurposeCircular Economy is a policy and practice-oriented concept drawing mainly on engineering and natural science. This paper aims to contribute a conceptual development based on social systems theory. Does the Circular Economy have the prospect to become a sustainability-enhancing feedback mechanism potentializing an evolutionary systemic rearrangement of structural couplings, and will it encounter limitations as a general approach for a sustainable development?Design/methodology/approachBy using the Luhmannian theory as method, core concepts are semantics, structure and rearrangement of structural couplings. In acknowledging the social system’s operational closure, social-metabolism with nature is discussed. The research is in three stages. First, structural couplings of matter and social systems. Second, structural couplings of organizational networks closing the loop–eventually using digitalization. Third, the Circular Economy encountering multicontextuality.FindingsThe paper provides: (1) A four-stage structural coupling enacting metabolism with nature allowing measurement of circularity potentially useable for feedback “irritating” relevant social systems’ reflexion. (2) Identification of obstacles encountered in the proliferation due to paradoxes of strategic decisions in organizations, difficulties of structural couplings of organizational networks and the paradox of digitalization. (3) Help by future digitalization but simultaneously new side-effects. (4) The multicontextuality as the limitation for a broad sustainability approach.Originality/valueThe paper answers a call for more social science theoretical research on the Circular Economy. It develops core conceptualizations based on social systems theory. Also, advices for future research and practical implementation are suggested.

Steering as Path Creation: Leadership and the Art of Managing Dependencies and Reality Effects

We develop a perspective on steering in governance which understands steering as intended path creation. Inspired by evolutionary governance theory, critical management studies and social systems theory, we argue that steering is shaped and limited by co-evolutions, disallowing for any formulaic approach. In order to illuminate the space for steering in governance, we analyze the interplay between different dependencies. Those dependencies are not just obstacles to path creation, they can also be pointers and assets. The steering discussion is further complicated by always unique sets of couplings between a governance system and its environment. After introducing the ideas of reality effects and governance strategy, we further develop our concept of steering and present it as the management of dependencies (in governance) and reality effects (outside governance) towards path creation. This management is ideally strategic in nature and requires leadership in a new role.

Determinants of family meetings in private family businesses

PurposeFamily governance mechanisms serve to govern and strengthen relations between the family and the business, as well as the relationships between the members of the business family itself. However, despite agreement on the importance of adopting family governance structures, explicit research on the determinants of family governance mechanisms is currently missing. Therefore, the purpose of this study is to uncover the determinants of family meetings. In order to do so, the social systems theory is used to unravel several determining factors of this crucial form of family governance mechanisms in private family firms.Design/methodology/approachThe authors perform a qualitative study by conducting semi-structured interviews in eight Belgian private family firms in order to discover the antecedents of the implementation of family meetings. The authors use a pattern-matching technique as an analytical strategy.FindingsThe findings of the study highlight the importance of “soft,” relational, qualitative issues as antecedents of family meetings as opposed to previous research on family governance, which predominantly focused on “hard,” quantitative measures (e.g. family ownership). The findings of the study also provide novel insights into the origins of the family component (i.e. family meetings) of family business governance.Originality/valueWhile the current literature has only focused on describing the different types of family governance and their positive consequences for the family firm, the authors take a step back to explain why family meetings, as a form of family governance, are adopted in the first place. Second, the authors demonstrate the instrumentality of the social systems theory in understanding the family's needs that necessitate the implementation of family governance mechanisms.

Reframing Habermas’s colonization thesis: Neoliberalism as relinguistification

While the critique of neoliberalism, as the form of contemporary capitalism, has been advanced from Marxian and Foucauldian perspectives, it has had limited attention from the perspective of Critical Theory. Largely unrecognized is the suitability of the theory of reification for this critique, specifically, Habermas’s version. This article reconsiders Habermas’s colonization thesis as the basis for a critical theory of neoliberalism, refining its theoretical framework to deepen its critical diagnosis. Against the dismissal of the system–lifeworld concept, a novel critique is advanced to suggest its original elaboration fell confusedly between two versions of social systems theory. Drawing from late developments, the scheme is reinterpreted as distinguishing two forms of communication in capitalist society: delinguistified and linguistic. This opens the way to reframe and communicatively transform colonization as relinguistification; that is, the translation of monetary coding into ordinary language such that communicative action is distorted from within by reifying concepts.