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Scientific Origins of Complexity-Inspired Management
 
What is accepted is no longer valid, what is valid
is not yet accepted.   Jamshid Gharajedaghi


 
The word system originates from the Greek verb sunistanai, meaning to cause to stand together or to combine. Modern definitions include: a group of interacting, interrelated, or interdependent elements forming a complex whole; and, a functionally related group of elements.
 
The main metaphor that has guided organization life since the beginning of the industrial era is that of the machine. A good organization is supposed to work like clockwork, a predictable production system made of interconnected reliable parts directed and controlled from the top. When results are disappointing changing parts (people) or rearranging them (restructuring) will solve the problem.
 
Complex systems are characterized by nonlinear dynamics (small changes can have BIG effects) and emergent properties (system attributes cannot be explained by the mere sum of the parts). These systems are called Complex Adaptive Systems (CASs). Examples include stock markets, gardens, human beings, weather systems, and human organizations. Diverse individual agents are massively entangled yet adaptable and resilient. CASs are capable of undergoing spontaneous self-organization and leaps in performance.  Very different than the machine metaphor.
CAS disciplines transcend traditional approaches and have been a source of new insights in physics, biology, health, geology, psychology economics, and s-l-o-w-l-y in management and leadership.
 
These new disciplines view systems in far-from-equilibrium states rather that at the point of stability or control. Creative adaptability arises in far-from-equilibrium conditions that include moderate uncertainty and disagreement among individuals in a system. Distributed, from-the-ground-up leadership co-arises and emerges in this zone. CAS-inspired approaches offer unique insights.

Systems are complex because cause and effect relationships are obscured. Delays, multiple locations, and sheer number of details or moving parts make purely “rational” decision-making ineffective. In complex systems the causes and effects are causes and effects of themselves. Causality is not linear but circular. Causes and effects are not separable and therefore not manageable in isolation. The obvious interventions, focused on fixing the parts or the structure, can make the problem worse.
More on principles

CAS science focuses on the patterns of relationships among parts of the system, rather than the parts by themselves or the structure (the stuff of conventional management practice). Order and direction emerges from the grass roots up or from the fringe-in, not from a single or centralized intelligence. Coherent, higher-level patterns emerge from local interactions (e.g., conversations in human systems.) Individuals have the freedom to act in unpredictable ways and their actions are interconnected in ways that change the context for others. A single rumor or event can make a big difference. Systems move forward and change by examining, responding to and building on local patterns of interaction.  
 
For more about the roots of compelxity and for examples of scholars and business  leaders that have applied complexity principles to organizations and the economy,  read more

 

 

I would not give a fig for the simplicity this side of complexity,
but I would give my life for the simplicity on the other side of complexity. Oliver Wendell Holmes

The most exciting phrase to hear in science, the one that heralds the most discoveries,  is not 'Eureka!' (I found it!) but 'That's funny . . .‘ Isaac Asimov