Considering Organisation Design from a Complexity Science Perspective: The Fractal Web

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Considering Organisation Design from a Complexity
Science Perspective The Fractal Web
Elizabeth McMillan Open University
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We cant run 21st Century society with 17th
century notions of organization Dee Hock,
Founder Visa International
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Scientific Revolution
Copernicus
Descartes
Galileo
Newton
Clockwork Universe
Humans as Machines
Reason
Analysis
Reason
Measurement
Analysis
Logic
Classical
Science
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Classical science has been extremely successful .
Machine Model
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Influence on Organisations
Controlling
Management involves
Specialisation
Rational Planning
Rules
Centralised control
Analysis
Hierarchy
Procedures
Measurement
Maintenance of order and stability
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Organisation form and design principles a
comparison
(Adapted from McMillan, 2002 130)
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Fractals
Irregular patterns or shapes repeating themselves
up and down a scale of size
Ubiquitous in nature
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• Basic design principles of
• many natural structures

Fractal scaling is about the relationship between
things - colour, shape, texture , dimension
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Fractal geometry is a geometry of quality rather
than quantity
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FRACTAL MANAGEMENT MODEL AT SENCORP (adapted from
Slocum and Frondorf, 2000)
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Self Organising Systems

• Use energy in order to renew themselves
• Are open to environments in order to exchange
  energy and matter
• Spontaneous exhibit spontaneous behaviours -
  leading to the emergence of new structures and
  new forms of behaviour
• Non linear systems with internal feedback loops
• No centralised control.

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The ability to spontaneously self organise
enables fishes and birds to adapt to the actions
of those around them and to unconsciously
organise themselves into a shoal or flock.
Self Organising Systems
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Why do birds self organise?
To improve their chances of survival
How do birds self organise?
Shared Core Purpose
Share underlying principles
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In the same way people organise themselves into
groups to trade and exchange goods and so create
markets and economies.
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Self organisation
What could this mean for your organisation?
Shared Core Purpose
Shared Underlying Principles
Work with these principles rather than against
them i.e. using controlling principles, and save
time, money and effort and be innovative.
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Complexity - New - Science
Complex Systems
Complex Adaptive Systems
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Complex Adaptive Systems

• Large numbers of agents interacting in a non
  linear way creating higher and higher levels of
  complexity
• No central controlling mechanism
• Learn to adapt to changing circumstances
• Actively try to turn events to own advantage
• Constantly revise and change their structures as
  they learn about the world
• Anticipate the future
• Self organising

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Organisations
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The Fractal Web
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A Fractal Web - Design Features

• Non linear interconnectedness - to allow a
  constant flow of matter and energy throughout
• Open to environments via arteries
• Employees able to respond spontaneously to events
  - guided by overall sense of purpose core
  values
• Employees able to form s.o. project teams in
  response to information, ideas and events
• Self organisation supported by 5 inner chambers
  (heart), Ethos Values artery Purposes artery
• Heart nourishes whole organisation creating
  cultural coherence
• Recognition of learning and experimentation needs
  (CAS)
• Organisation readily able to change shape and
  adapt in response to learning changing
  circumstances
• Fractal geometry, patterning and notions of flow
  - key design principles

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The Fractal Web
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The Fractal Web is a product of the imagination
but I would argue that researchers and writers
should not be afraid to play with their ideas and
intuitions . To do so is to join distinguished
company, for Albert Einstein is renowned for his
observation that Imagination is more important
than knowledge. Knowledge is limited. Imagination
encircles the world. McMillan 2004174
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Complexity, Organizations and Change' published
by Routledge. ISBN.0-415-31447-X. Paperback ISBN
0-415-39502-X Describes and considers concepts
and insights from complexity science and their
use in organisations, especially in creating
major organisational change. 'Complexity,
Management and the Dynamics of Change Challenges
for Practice'. Routledge. Due out in March 2008.
This book describes how different kinds of
organisations can move towards becoming more
effective, democratic and sustainable by using
knowledge of complexity science principles. ISBN
0-415-41721-X (Hardback) 0-415-41722-8
(Paperback)