Our institutional architecture and our governance systems are at the core of our societal design which has the three commonly accepted social, economic, and political domains.
The organizing principles of a society define the nature of its institutions and the forms of cohesion which hold its people together. The forces of hierarchy and equality (the vertical plane and the horizontal plane) are in constant dynamic play which impact upon the lives of people in society. The meaning of well-being of the people is manifested accordingly.
The various interactions of people in society can be categorized as:
- Individual-to-individual transactions
- Individual-to-organization transactions
- Organization-to-organization transactions
The operationalization of trust between individuals and between groups of various sizes creates a value system in society as well as the relationship between means and ends to achieve goals.
The relative emphasis on the oral and written traditions is an important differentiator in this process. Increase in the scale of interaction with others, of interactions with unknown people, of commercial transactions, of transactions over greater distance lead to the development of written transactions and maintaining written records.
Governance systems evolve from the need for peace and harmony and the need for dealing with various forms of conflict. Monarchy, autarchy, democracy, socialism, communism are some of the different forms of governance which can function through decentralized and centralized systems. Norms and laws pertaining to various facets of life and to ownership of societal resources are formulated and their enforcement forms the basis of systems of justice.
The need for holistic health and well-being of people, the need for learning and teaching, the need for character building, the need for support systems during celebrations and during calamities and disasters are important anchors which shape the contours of the institutional architecture and of governance in society.
Putting a premium on social identity coupled with decentralized systems of work and governance lead to the emergence of an institutional architecture which nurtures the formation of strong social bonds of community starting from the family, the kith and kin, the clan, the village. Caring and sharing values are embedded to reinforce the social bonds.
Similarly, a premium on work identity leads to different types of institutional architecture and norms.
The emergence of cities as distinct from villages initiates an on-going process of urban growth and decay which is sustained by the production of surplus food in the villages. The dynamics of rural and urban interaction emerge in various forms.
A written Constitution, written laws, a modern institutional architecture based on Western concepts is the reality of our country after Independence. The oral tradition and its ramifications in various domains of society has been a part of Indian society. Written transactions dominating almost all facets of life is relatively new for most of the population.
The flux between the traditional systems and the modern systems and the need for inclusive and sustainable growth for all is churning our society.
