Forest fires - an ecological example of the adaptive cycle

From RAWorkbook

Forest fires provide an example of a system that undergoes adaptive cycles. Fires occur in cycles that are characterized by gradual changes and abrupt transitions. Those transitions occur following disturbances- in this case fire is the disturbance. Forest ecosystems develop gradually in a process of succession. Forest succession begins usually with bare ground that is colonized by fast growing grasses and shrubs. Since early succession species are selected for fast growth and rapid reproduction, this is called the ‘r’ phase of succession, which corresponds to the ‘growth’ phase of the adaptive cycle.

Over time scales of decades to centuries, the system matures as forest structure (biomass) increases. However, that structure doesn’t increase forever, due in part to the way in which energy is used in the system. As systems mature and structure increases, the energy captured by that system goes into maintaining the accumulated structure, as a result the system loses some flexibility and capacity to adapt and respond to change. The system doesn’t keep growing, but tends to reach limits (only so many trees can grow in a given space and trees can only get so big) or a state in which the system is slowly changing (a steady state). Once a system approaches a steady state or carrying capacity, it is referred to in ecology as the ‘K’ phase, also called the ‘conservation’ phase of the adaptive cycle.

The biomass that has accumulated in late-succession forests becomes vulnerable to disturbances, such as fire. The amount of biomass or fuel in a patch, and connections among patches across the forest are necessary ingredients for fires (along with some ignition source and appropriate weather conditions). Once there is sufficient fuel combined with dry conditions and a spark, fires can destroy all or part of the existing forest structure. This is the ‘release’ phase, also called ‘creative destruction’.

Following a fire, the system can reorganize as the system is colonized by different species. The seed bank in forest soil is a form of natural capital that allows the regeneration of certain plant species. In other types of systems various forms of capital (e.g., natural capital, financial capital, infrastructure, human capital such as education, and social capacity such as trust and networks) that are built up during the growth and conservation phase, are critical in determining the system’s resilience and adaptability.

The alpha (or beginning) phase sets the stage for subsequent succession and development phase. This entire sequence is called an adaptive cycle.

United States Telephone Industry - Organizational Dynamics

The patterns of the adaptive cycle apply to systems other than ecological ones. Some authors have represented business cycles in the context of phases of the adaptive cycle, while others have demonstrated these patterns for institutional dynamics. One example is from the US telephone industry during the 19th and 20th centuries and involves the Bell System. This industry exhibited at least three cycles, each of which was driven by significant restructuring events followed by periods of reorganization and maturation.

The first such cycle followed the expiration of original patents in the late 1890’s. As the patents expired, so did the monopoly held by one company. The expiration of patents was an omega event and led to a reformation of the strategy and actions including attempts to limit competition, to prohibit connections to new companies, and to expand its own network, among other actions.

The second cycle occurred with the advent of new leadership and a new strategy in 1907. Unable to stem the new companies, the Bell System began acquiring other companies in order to maintain dominance in the business.

The third cycle began in the early 1920’s, when the Bell system became a regulated monopoly. This structure persisted for over six decades until the early 1980’s. This period was characterized by increasing normalization of business, selection of managers and leaders from within and a focus on operations aimed at maintaining the regulated monopoly. The advent of new technology tested the resilience of the old system during the 1970’s. A small group of users who generated most of the revenue were seeking cheaper access through the new technology. This led to a lawsuit and ultimately a court ordered break-up of the Bell System in 1982. Growing rigidity and inability to adapt are cited as reasons for dissolving the regulated monopoly. Recent developments of digital and wireless technologies lead to the most recent phase of the industry. The restructuring events are periods of creative destruction, which led to reorganization of the Bell System. Growing rigidities and loss of adaptive capacity made the system vulnerable to these events, which resulted in new and different states of the company.