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Organization Studies
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Organizational Risk after Modernism

Kent D. Miller

Michigan State University, USA, millerk{at}bus.msu.edu

This study identifies the modernist assumptions in organizational risk research, along with their historical origin and limitations. Risk research from a modernist perspective focuses primarily on individuals, treats risk preferences as exogenously given, attempts to quantify risk, assumes that risk reflects a given probability distribution, omits ethical considerations, and neglects actions by focusing on decision making. This study proposes a contrasting postmodern perspective on organizational risk. By this view, risk is a social and multilevel phenomenon; risk preferences, perceptions, and responses are learned; risk is subjectively perceived and often unquantifiable; the environment is a complex, socially constructed system; ethical considerations are integral to risk assessment and management; and organizations respond to risk through their actions, not just by making decisions. These themes motivate new directions for organizational risk research.

Key Words: risk • risk management • modernism • postmodernism

Organization Studies, Vol. 30, No. 2-3, 157-180 (2009)
DOI: 10.1177/0170840608101475
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