Consider the Organisation as if it Were Granular Sand

24 Feb

Being Amended

Earlier group posts concerning performance management have taken a two strand approach. Firstly, some key business methodologies have been evaluated and compared. Secondly, the relationship between information/commentary media have been concerned in terms of meaning, abstraction, scale and complexity. This has been done with the purpose of reconciling the clarity of clear, reference-able breakdowns of organisational challenges and opportunities with the seismic shifts that big data will provide business models, strategies and tactics. In particular, the importance of language and social media to future BIS orientated models of governance, knowledge acquisition and communication will be most deliberated on.

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Concerning Executive Decision Making

It is worth emphasizing that executives in the modern age are usually swamped informatically. They are too limited by their finite time and focus and potentially distracted by seemingly infinite demands (both internally and externally).

Whether actively or passively two key soft levers are used to build individual or macro level resistance points. These are in regards to how value is perceived  (in this example through transaction costs and how policy intersects with semiotics in the form of language

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Transaction costs can be divided into three broad categories:

  • Search and information costs are costs such as those incurred in determining that the required good is available on the market, which has the lowest price, etc.
  • Bargaining costs are the costs required to come to an acceptable agreement with the other party to the transaction, drawing up an appropriate contract and so on. In game theory this is analyzed for instance in the game of chicken. On asset markets and in market microstructure, the transaction cost is some function of the distance between the bid and ask.
  • Policing and enforcement costs are the costs of making sure the other party sticks to the terms of the contract, and taking appropriate action (often through the legal system) if this turns out not to be the case.

Commons, J.R (1931). “Institutional Economics”.
American Economic Review

Organisations have to make tradeoffs between the differing transaction cost categories when it comes to deciding upon, searching for, agreeing upon, implementing, using, maintaining and upgrading information systems.

Communication in Organisations The Heart of Information Systems

Communication in Organisations The Heart of Information Systems
Roland Holten and Christoph Rosenkranz; Sprouts (2008)

Language and Semiotics and Governance

Similar to wider or similarly specialist reform(s), there would exist certain norms (either explicit or otherwise) in the social culture, vision and outcomes. This is a complex interplay between individual, component and aggregate entities. This operates collaboratively, competitively and symbiotically, with pulses, resonance bleeding. As a method of institutional/collective expediency beyond professional clusters people develop and enforce (to varying levels) language codes, norms and understandings. These loose standards can be done to widen communication and also/simultaneously stifle/undermine it.

To understand this better and build on the previous posts [I] [II] on language and media it is best to give a breakdown of key language schema examples:

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Issues

Globe - DNA - D1.1

Public Affairs issue category

public consciousness public attention public support Popular support public rejection public anger pressure cause

Initiatives

Globe - DNA - B1.1

General initiatives category

little help arrangements cross roads comparison situation dangerous game

Events

Globe - DNA - F1.1

General events category

poll tax riots Equality Impact Assessments technetronic era world war

Types

Globe - DNA - E1.1

People types category

couple sociable friendly community protected group poorest members friends vigilante activists

Organisations

Globe - DNA - H1.1

General organisations category

Spartacus group Resolution Foundation ATOS Atos BT BBC Guardian

Individuals

General individuals category

Globe - DNA - G1.2

Christopher Thomond Hooper family Stuart Holden Lord Freud Steve Webb IDS

Product Types

Globe - DNA - C1.1

Finance products category

receipts overheads negative equity non payment arrears

Keywords

Globe - DNA - A1.1

Fear keywords category

No-one poor pity problem gripe astonishing effect

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Reconciling Roland Holten and Christoph Rosenkranz’s model for understanding language ease/barriers and the aforementioned schema one can imagine an organisational structure similar to the activity beteen differing molecules in a space offering multiple/overlapping environments:

Colour Pallette - 1c- first

The model displays an organisation with a communicative executive core, as well as a (slightly?) disjointed outer layer comprised of medium and lower tier employees or external communication. With the ontological schema, it represents a membrane and distance that limits proximity to decisionmaking for individual commmunications/policies coming from outside.

Organization”, understood in this sense, is closely related to the concept of “control”.
Control in big systems is defined as stable communication between sub-systems, meaning a
stable organization. Therefore, control is precisely the stable state of the variety interactions
between the nominated sub-systems

Beer, S. (1965) “The world, the flesh and the metal,” Nature205, pp. 223-231

Colour Pallette - 1c- second

Colour Pallette - 1c- second - b

Naturally, the failure of and organisations facets in regards  processes, artifacts or people can widen (or reduce) “communications power distance” between senior and lower level decisionmaking.

In this example the disharmony stems from Type categories and Keyword categories.

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Reciprocation

When it comes to organisational habits the total distance as well as the outcomes of velocities as communications are improved or hindered in order to encourage strategic alignment. When it becomes too one sided, asymmetrical or overly confrontational between one or different camps reciprocal issues grow This is a sure sign that disharmony and alignment is being forgone increasingly for ulterior motives.

Colour Pallette - 1c- second - mix

Weick (1988) describes the term enactment as representing the notion that when people act they bring structures and events into existence and set them in action. Weick uses this term in the context of ‘sensemaking’ by managers or employees. He also describes how they can enact ‘limitations’ upon the system to avoid issues or experiences. It is also seen as a form of social construction. To date enactment is related to organizations and their environment and strategic management.

In the diagram above, to counter increasing communications gaps from strategic groups to outside communications flows added core competence regions were added to provide ground up solutions and create a mid point using interdisciplinary stakeholders/emphases (notice the three coloured cluster in the top right direction of the image).

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Ball of Confusion

Screenshot from 2013-02-17 21:11:11

For organisations operating on a significant level of complexity or sophistication a wider range of dimensions and components require consideration:

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A system that adjusts its way of behavior relative to changing internal or external conditions is termed self-organizing

Ashby, W. R. (1947) “Principles of the self-organizing dynamic system,” Journal of General Psychology (37) pp. 125-128.
Ashby, W. R. (1962) Principles of the self-organizing system, in H. von Foerster and G. W. J. Zopf (Eds.)
Principles of Self-Organization: Transactions of the University of Illinois Symposium, London, UK: Pergamon Press, pp. 255-278.

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Below is a framework for encouraging eGovernment projects using a large and diverse range of stakeholders. It is particularly helpful in environments where operating in ‘silos’ with different approaches to artifacts, processes and  people exist. Its value is that the breakdown of complex problems into components can allow focus and harmonisation.

M. Wimmer A European perspective towards online one-stop government: the eGOV project (Electronic Commerce Research and Applications ) 2002

M. Wimmer A European perspective towards online one-stop government: the eGOV project (Electronic Commerce Research and Applications ) 2002 University of Linz (2002)

One of the disadvantages of this technique are the more complex abstraction requirements to handle complexity. As part of the tradeoff it may be more difficult to engineer consensus or even understanding for groups (even at an executive level.

Globe - Clolours1.1

To overcome this approaches need to be built in to ensure that individual perspectives and requirements are built into procedures and that this crystallizing is built into a cataloging that not only provides distinction between entities but also empathy.

One useful mechanism to deal with this is to embed a semantic framing of key policy and measurement communications. Sentiment analysis permits dashboards of keyword search for a variety of formats. However, most conventional approaches seem geared towards the tactics then strategies of organisations and how they relate to their/external communities.


An effective system for executive or senior level managerial decisions should be framed around the guiding strategic drivers that motivate direction and change.

Given the sophistication and limitations of human and computing logic as addressed in a previous post it is appropriate to draw from the logic that a single blog post and its responses is capable of generating hundreds of key terms, all which can be delinerated by the semantic schema explained above.

To extract and analyze ten pieces of concern and motivation of individual entities in regards to an organisational problem/opportunity could provide the starting point for articulating:

  • What are the overriding
    • visions
    • priorities,
  • What are the available
    • threats,
    • benefits;
    • limitors;
  • Who the key community stakeholders are
    • internally,
    • externally
  • What competences exist contextually
    • intenally
    • externally

Using human/and or algorithm techniques teams of specialists or lay researchers would be able to generate knowledge and/or communications competences as a scale previously unimaginable without the mixture of Internet community and machine learning sophistications (which is why big data is so important).

Returning to the keyword analysis of a social housing blog (creating a keyword list of around 500 unique terms) using a mixture of techniques involving:

  1. Artifacts Search: Wide keyword category search to identify user profiles,
  2. Process Search: Extract of specific terms (such as “bedroom”) within profiles,
  3. People Search: Extract of relationships/contexts within individual identified media.

Globe - Clolours1.2

Doing this intensely over a short period is not only able to generate homogenous tweets (over 800) from a large user population (over 300) (accounts [I] [II] [III]) but also contextual, filtered [I] [II] or broader information flows (albeit with requirements in these instances for reinterpreting/synthesizing).

Given the complexity and significant time, cost and communications expenses involved in a major information systems project it is appropriate to build in appropriate necessitating of data mining and representation to engineer communications harmonizing or demarcation within/without an organisation.

Having a tight data set using a wider population has its advantages for allowing data drift, as well as timeline style benchmarking of processes, systems and infrastructures to highlight where disharmony ebbs or recedes (either internally, between rival organisations or between industries or technologies). The adaptive potential for using an information community for complementary analysis and engagement.

Returning to the frameworks our group has already analyzed, below is an evaluation of the perspectives focus on a semantic level, graded up to five for relevancy:

Description Department for Trade and Industry Balanced Scorecard Framework Activity Basesd Costing Economic Value Added OBRiM Cresswell’s ROI Process Oriented BSC
Processing Systems 3 3 2 2
Alert Systems 2 2 3 3 1
Inventory Systems 2 2 2 2 2
Management Information Systems 4 3 3 4 3
Decision Support Systems 3 3 3 3
Accounting Management Systems 3 3 4 4
Financial Management Systems 3 3 4 4
Payment Systems 2 2
Expert Systems 2 4 3 3
Databases 3 3 4 4
Human Resource Information Systems 3 4 3 2
Marketing Information Systems 3 2 5
Technology 3 3 2 3
Computer Science 3 3 2 2
Electronics 2 2
P2P 2 2 4 2
Information Technology 4 4 3 3
Internet Technology 3 3 2 2
Internet of Things 2
Software 2
ICT Change 3
Knowledge 4 4 3 3 3 5 5 3
Information 4 4 2 3
Meaning 4 3 3 3
Statistics 3 3 4 4
Data Integrity 3 5 4
Virtualisation 1
Cloud 1 1 1 1
Cloud Technology 1 1 1 1
IT Reliability 3 4 4 3
IT Quality Performance 3 4 4 3
Knowledge Management 3 4 4 4 3
Statistical tools 3 5 3 3
Analysis 4 5 2 2
Sentiment Analysis 5 4 3
Standards 4 4 4 4
Front End 3 2 4 4
Re/engineering 3 3 2 2
Security 3 4 3 3
networks 4 3 4 2
Relationships 3 4 2 3 4 3 1
Clusters 2 4 3 5
Social Businesses 4 3 2 2
Collaborative Working 4 3 4 4 3 4 5 4
Communication 4 4 3 2
Knowledge Share 4 3 4 3
Openness 4 4 3 2
Open Source 3 3 2 3
Internet 2 3 2 1
Globalisation 2 3 2
Mergers 2 3
Asymmetries 4
Innovation 4 4 3 3
Competition 4 4 4 2 4
Competitive Advantage 3 4 4 4
Cost Leadership 4 3 3 2
Quality Leadership 4 3 3 3
Differentiation 3 2 3 4
Cultural Issues 4 4 3 2 5
Strategic Drivers 3 4 2 4
Business Change 4 4 3 2 4
Disruptive Technology 3
New Markets 3 4 4 3 3
New Territories 3 3 3
Fads and Trends 5 5 3 3
Changing Roles 3 3 3 3 1
Macro Economics 3 3 3 2
Micro Economics 4 4 3 2 5 3 2
Risk 3 4 4 2 2 2 5
People 3 2 3 2
Organisation 4 4 3 3 4
Multinational 4 4 4 3 4
SMEs 5 4 4 4 3 2 2
Individuals 3 3 4 4
Business 4 4 4 3
Entrepreneurship 5 3 3 3
Government 4 4 3 3
Society 3 4 3 1
Social Enterprises 4 3 4 3
Professional Types 3 3 4
Executives 4 4 4 2 4
CEO 5 5 4 3
CTOs 4 3 4 3 3 2 1
CIOs 4 4 3 3 5 4 2
Leadership 5 4 3 3 3 2 1
Governance 4 5 4 3
C Level Commitment 4
Orientation / Focus / Vision 4 4 4 3
Value Systems 3 3 4 2 2
Gut Instinct 4 4 3 3 3 4 3 4
Strategy 5 5 4 4 5
Strategic Alignment 5 5 4 4 4
Executive Strategy 4 4 4 3 4
Business Strategy 5 5 4 4 4 3 2 5
IT Strategy 3 3 3 2 4 3 2 4
Strategic Planning 4 5 4 4 3 3 2
Business Development 5 4 3 3 5 3 3 4
Accountability 4 4 4 4 2 4 3
Transparancy 4 5 3
Regulation 4 4 4 3 4 5 2
Consulting 4 5 3 3 3 4 4 3
Business Models 5 4 3 4
Free 5 5 4 4
Business Intelligence 4 4 3 4 2 3 2
Business Plans 5 5 4 4 5 2 3
Organisational Flexibility 4 4 4 4 1 2 1
Outsourcing 2 2 1 1 3 4 3
Mesurement 5 5 5 5 4 4 4
Objectives 4 4 4 3 2 3 3
Concerns 3 4 6 4
Goals 5 5 5 5 4 3 2
Mission Statements 4 3 4 4
Stakeholders 4 3 4 4
B2B 4 4 4 4
B2C 4 4 3 3
Distributers 4
Employees 4 5 2 5
Performance 5 5 5 5
Deployment 4 3 4 3 4
Planning 4 4 4 4 2 2 5 4
Process Management 3 4 3 2 5 4 2
Division Management 4 4 4 4 3 4 5
Length of Time 4 4 3 4
Supply Chain Management 4 4 4 2
Total Quality Management 3 3
Just in Time Processes 3 3 4 5 4 5 3 4
Six Sigma 3
Management 4 4 4 3
Front Line 2
Human Resources 4
Customer Centricity 4 4 3 2
Marketing 4 3 4 3
Sales 2 3 3 4
Distribution 3 3 3 3 4 2 5
Financing 4 4 4 4
Accounting 2 2 3 4
Legal 2 1 1 1
Information Technology 4 3 3 4 5
Bring Your Own Device 1
Investment 3 2 2 4
Venture Capital 4 2 3 2
Capital Projects 4 3 3 4 3 2 5 4
Costs 3 4 3 2
Costing 2 2 4 4
Expenditure 4 3 2 3
IT expenditure 3 4 3 3
Revenues 2 4 3 4
Services 4 3 4 3
Service Provision 3 3 4 4
Products 2 2 2 1
Observation 3 3 3 2
Methology 5 5 5 5
Administration 1 1 1 1 2 4 3
Efficiency 3 2 4 5 5 3 2 4
Operational Efficiency 5 4 3 4
Decision Making 3 4 3 2
Evaluation 2 3 4 4
Informal Evaluation 2 5 3 3
Metrics 4 4 4 4 4
Benchmarks 4 4 3 2
Quality 3 3 2 3 5 3 3
Service 4 4 4 4 3 4 2 5
Flexibility 2 5 3 5
Scorecard 5 5 4 4 3 5 3 5
Key Performance Indicators 5 5 5 5 5 5 4
Measurement 5 3 3 3 4 4 4
Financial Measurement 5 4 4 4
Multi Criteria Measurement 4 4 4 4
Ratio Measurement 4 4 4 4
Portfolio Measurement 3 4 4 4
Net Present Value 4 5
Internal Rate of Return 4 5 4 5 4
Economic Value Added 4 4 3 5 3 4 4
Return on Investment 4 4 2 4 2 5 3
Payback Analysis 1 2 3
Game Theory or Role Playing 4 4 5 2
Simulation 4 3 4
Quantification 2 2 4 3 4
Qualification 2 3 4 3 3 2 4
Intangibles 4 4 4 3 5
Tangibles 4 4 4 4 4
Outcomes 4 4 4 4
Communication 4 4 4 4
Messages 1
Social Media 1
Online Communities 1
Military 3
Mining Industry 3
Healthcare Industry 4
Pharmaceutical Industry 4
Travel Industry 4
Finance Industry 4
Banking Industry 4
Computing Electronics Industry 3 2 3 2
Consumer Electronics 4 2 3 2
Technology Industry 4 3 4 3
IT Industry 4 4 4 2
Internet Industry 3 3 3 3
Internet Search Engines 4 3 3 3
Internet Forums 3 4 3 2

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The weightings from the combined methodology could be built to provide rank and contextual parameters based around the motivations of the stakeholders providing material (and therefore weighting depending on submissions and feedback.

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