Jung’s description of the psyche as a self-adjusting system is tantamount to saying — in contemporary scientific language — that the psyche is autopoietic or self-organizing. In this paper I will use examples from decades of dream work to demonstrate that this activity begins — not in the rational cognitive process of consciousness — but at the core of chaos in the so-called unconscious. This shift, however, requires a new model of psyche that is not split between conscious and unconscious parts but is rather a process which begins in a transpersonal consciousness which funds an individual unit (a personal “one” into which it canalizes). The locus of the self-organizing process moves from an utterly independent, isolated center in the consciousness of each person, to a self-organizing center which operates across the whole, expressing itself within each unit through novel, creative activity (Whitehead) but never solely and finally embedded there.