Power Laws & Complexity Management


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Mark Buchanan is one of the best writers on this most complex of subjects and this article (click on image for link) covers exactly what it says on the tin!

I particularly appreciate that he tackles key aspects of the wider subject in such a manner as to make it readily understood by anyone with a desire to learn and apply what the knowledge.

Business leaders NEED to understand the nature of  complexity and the threat of self-generated risk (excessive complexity for poor structure, processes, etc.): risk resulting from the execution of the processes that facilitate functionality.

Also, to appreciate the systemic risk exposures communicated by organisations with whom they trade…without which they would fail…reinforces the most pressing need for in-depth assessment of existing and prospective partners…both up and downstream.

MB illustrates this point and the exposure that comes from Global Supply Networks “beautifully”, by recounting the sorry tale of the enforced departure of Swedish company Ericsson from the mobile handset market thanks to a factory fire in Mexico!

 

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‘Complexity’ Predicts Nations’ Future Growth – Real Time Economics – WSJ


skd283551sdcAnyone who has read anything I have written or commented upon in relation to the subject of complexity could be forgiven for thinking I view this as a major breakthrough for the cause. Well I do and I don’t!

In some respects it is common sense to say that you must know how to do something before you do it and that the more often you do it the better you get at it. Continually striving, or being driven, for greater efficiencies, exploring new techniques, recruiting/training employees, etc. in an effort to minimise the required inputs or maximise the return on the outputs. Apply it to any business,  at a variety of scales. Such is the fractal self-similarity of complex systems!

It is this very "universality" that confirms the significance of our (Ontonix) model-free solutions. Our technology transcends business sectors and can benefit firms large and small. These are the reasons  WHY we are “fanatical” about spreading the message that measuring complexity brings insight far beyond what even these distinguished Academics appreciate!

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