The Enterprise as a Complex Adaptive System

A true Agile enterprise is a complex adaptive system (a special case of complex systems), often defined as a "complex macroscopic collection" of relatively "similar and partially connected micro-structures", formed in order to adapt to the changing environment, and increase its survivability as a macro-structure.

They are complex in that they are a dynamic network of interactions, and their relationships are not aggregations of the individual static entities. They are adaptive, in that the individual and collective behaviour mutate and self-organize corresponding to change-initiating micro-event or a collection of events.

The Cynefin framework  (/kʌnɨvɪn/ Ku-nev-in / Welsh for 'habitat or place') is an emergent "sense making" (as against categorization models taught in B-schools, for example, the 2x2 matrix) decision model that provides for an organizational perspective on complexity. Cynefin framework has five domains. If we start with the three types of systems - Ordered, Complex and Chaotic - and split Ordered systems into Simple and Complicated we get the first four domains:

• Simple, in which the relationship between cause and effect is obvious to all, the approach is to Sense - Categorise - Respond and we can apply best practice.
• Complicated, in which the relationship between cause and effect requires analysis or some other form of investigation and/or the application of expert knowledge, the approach is to Sense - Analyze - Respond and we can apply good practice.
• Complex, in which the relationship between cause and effect can only be perceived in retrospect, but not in advance, the approach is to Probe - Sense - Respond and we can sense emergent practice.
• Chaotic, in which there is no relationship between cause and effect at systems level, the approach is to Act - Sense - Respond and we can discover novel practice.

The fifth domain is Disorder, which is the state of not knowing what type of causality exists, in which state people will revert to their own comfort zone in making a decision. Here is a video on the Cynefin Framework by David Snowden himself.

So what does all this mean to an Agile Transformation program?

Well, in Dave words, when you build a new structure or change an existing structure, you need "scaffolding" - a temporary structure on the outside of a building made of wooden planks and metal poles. Scaffolding is not part of the structure and remains in position only until the work is completed.Thereafter, the scaffolding is taken down.

The term "scaffolding" is also often used in the domain of instructional practice to refer to a variety of instructional techniques used to move students progressively toward stronger understanding and ultimately, greater independence in the learning process. The term itself offers a relevant descriptive metaphor. Like physical scaffolding, the supportive strategies are incrementally removed when they are no longer needed, and the teacher gradually shifts more responsibility over the learning process to the student.

In its simplest form, a scaffold may comprise a simple restriction imposed on the organization to improve efficiencies. Say an organization allows managers and others in leadership roles to call meetings at the drop of a hat at any time of the working day, leading to a situation where people are not getting time to finish their own work. The root cause of such adhocism may be attributed to the lack of coordination events (a structural element).

Now, many will be of the opinion that the imposition of a constraint like "there will be no meetings up until lunch time" will be detrimental to getting work accomplished. On the other hand, such a lockdown would enable people to get their work done in the morning and attend collaborative activities and meetings in the post-lunch session. So, given the pros and cons, is it desirable?

The decision will have to be based on data that needs to be collected prior to imposing such constraints. The data will indicate why such meetings are needed, the time spent in each meeting, the purpose of such meetings and the people who attend.

The transformation objective will be to identify structural elements that need to be introduced. The reasons and range of activities will give pointers to the direction in which the organization needs to move. However, transformation activities will take time. So what purpose will constraints serve at the present?

Note again, the the constraint is for all meetings to be held post-lunch. If the office hours are say nine to five, and people take time-off for lunch around 1pm, it will give everyone 4 hours to accomplish their objectives for the day. That in itself will be an improvement over what was otherwise an unpredictable period.

Will there be points of failure? Probably yes, but then, these get highlighted and we can refer to them as our "boundary conditions" for input to the process of designing the new structural elements. 

More in another post.