Reductionism, systems thinking and entrepreneurship research

Entrepreneurship is often described as a process. This paper argues that, especially in the turbulent startup phase, entrepreneurship is more like a tightly inter-related system. Previous research into the nature of entrepreneurial start-ups (Campbell & Gillin 2004), typified the successful entrepreneurs' approach as nonlinear and relational. The relational attribute emphasises creating interaction among the elements of new ventures, showing strong correlation with systems theory. Equally, the non-linear attribute accentuates the dynamic human complexity involved in starting a new venture. Some use the term 'unknowable' (e.g. Stacey 1992) to describe the non-linearity that faces nascent entrepreneurs. Reductionism as introduced into scientific research by Descartes in the 1600s, seeks to explain the working of complex phenomena by examining the individual parts in detail. This is a logical, piecemeal approach to exploring complexity and can be applied with great success to machines of all kinds, from pendulum clocks to supersonic aircraft. This type of reasoning and explanation helped forge the success of many centuries of scientific progress, until the rather puzzling discovery of the dual nature of light. Quantum physics then emerged with the surprising explanation that light could be either a particle, or a wave, or both. No longer was it sufficient to understand just the elements themselves - the context of those elements now also influenced the behaviour of these inanimate objects, and hence too the explanation of how they functioned. The term equifinality describes a system that is stimulated in a number of different ways, but always produces the same result. Multifinality occurs however when a range of different results are obtained each time a single stimulus is repeated. These are key concepts of general systems theory (Boulding 1956) which claims that (Hansen 1995): - Wholes cannot be taken apart - Every apparent whole can be understood only in the context of the larger whole containing it - A whole is more than the sum of its parts Entrepreneurship is fundamentally people-centric. Without the creative involvement of the entrepreneur, new ventures would never be created, let alone skilfully guided to success. The human dynamics that accompany new venture creation are in fact a hallmark of the phenomenon we call entrepreneurship. The field of entrepreneurship research is also clearly multi-disciplinary. How we research a phenomenon should also tend to follow the nature of the phenomenon.