Beyond markets and firms: the emergence of Open Source networks

Although hierarchies and markets (i.e., autonomy) have been subject to extensive study, heterarchies represent different modalities of organizing that have been little researched. Drawing on complexity theory and the main features of complex evolving systems (CES), this paper sets out to remedy this imbalance by showing that heterarchies feature highly decentralized and relatively stable interactions which are coordinated through an emergent process of parametric adaptation. Implications in terms of learning are discussed casting a new light on the delicate issue of motivation in Open Source software development. Copyright ©2005, Federico Iannacci and Eve Mitleton-Kelly.