by Chris Billowsin Business Beller0 commentstags: Comprehensive Analysis, Corporations Don't Think, Defining Life, Foolishness, Institutional Learning, Summarizing a Business Organization
I can’t recall how I stumbled onto this concept and websites, but a while ago I found this riveting theory which I believe explains why most modern organizations are so inadequate at times and spend far too much time chasing the wrong priorities. I have touched on parts of this in previous blogs such as Driven to Distraction and Even the Best Systems Fall Victim and A List of Guidance. The reason why this happens is they fail to embrace Complexity Science. Basically, it is because our social institutions continue to operate like machines, believing that events can be tracked in a linear fashion and have measurable inputs that neatly match known outputs. While there is no denying that some institutions do operate like machines (take most factories), the fact that humans end up doing most of the work leaves the model sorely lacking. What is more accurate is to realize that all human based organizations are non-linear and complex. It is common for these systems to exhibit the following characteristics: Small inputs can lead to dramatically large consequences. Very slight differences in initial conditions produce very different outcomes. Global properties flow from aggregate behavior of individuals. Emergence (of order) […]
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