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Using Fractal Enterprise Model to Assist Complexity Management

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Using Fractal Enterprise Model to Assist Complexity Management

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This paper deals with the problems of a complex organizational system in which not each of its parts is directly connected to all other parts. For such a system, it is important to identify which parts/sub-systems need to be directly connected to each other, and which could be left without such connections. The paper puts forward a hypothesis that a suitable enterprise model could be used for this end, and investigates the suitability for this end of one particular enterprise modeling technique called Fractal Enterprise Model.

This paper deals with the problems of a complex organizational system in which not each of its parts is directly connected to all other parts. For such a system, it is important to identify which parts/sub-systems need to be directly connected to each other, and which could be left without such connections. The paper puts forward a hypothesis that a suitable enterprise model could be used for this end, and investigates the suitability for this end of one particular enterprise modeling technique called Fractal Enterprise Model.

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Using Fractal Enterprise Model to Assist Complexity Management

  1. 1. DSV SU Using Fractal Enterprise Model to Assist Complexity Management Position paper 1 Ilia Bider and Erik Perjons 7/8/2019 3rd International Workshop on Managed Complexity, ManComp 2018 Stockholm, September 23
  2. 2. 7/8/2019 DSV SU The Law of Requisite Variety Only variety destroys (absorbs) variety Ashby, W. R.: An introduction to cybernetics. Chapman & Hall, London (1956) Applying to a system adapting to (moving in) the environment: The number of states of the environment should be matched by the number of states of the system Note 1: The notion of state includes dynamic characteristics – direction, speed acceleration, not only static ones Note 2: Matching does not mean having the same number of states, but having a response for each state of the environment
  3. 3. 7/8/2019 DSV SU Simple Vs. Complex Complexity • Simple complexity – each element of the system is connected to all other element of it, • Complex complexity - total interconnectivity is not achievable, and each element is connected only to few other Luhmann, N.: Introduction to Systems Theory. Polity Press (2013)
  4. 4. 7/8/2019 DSV SU Video on YouTube: https://youtu.be/6O8qayGWAjo https://youtu.be/6O8qayGWAjo Text of the paper http://bit.ly/2NB6APD http://bit.ly/2NB6APD 4 Links to external sources
  5. 5. 7/8/2019 DSV SU Example of Complex Complexity Science as a system – Complex Complexity "The republic of science: its political and economic theory" Polanyi, M. S.: Knowing and Being. University of Chicago, Chicago (1969)
  6. 6. 7/8/2019 DSV SU Question – Complex Organizational Systems • How to find out which elements/components/subsystem need to interact/communicate with each other and which do not need to do so? • Can an enterprise model help to answer this question
  7. 7. 7/8/2019 DSV SU Fractal Enterprise Model 7 Bider, I., Perjons, E., Elias, M., Johannesson, P.: A fractal enterprise model and its application for business development. Software & Systems Modeling (2016)
  8. 8. 7/8/2019 DSV SU Archetypes
  9. 9. 7/8/2019 DSV SU Theoretical Background – A Systems View on Processes Respondent System – The system created to respond to the situation where the parallel bars indicate that this system interacts with the situation and transforms the situation to a new situation. System Assets – The assets of a bigger system that are to be utilized in responding to situations. Systems coupling diagrams H. Lawson, A Journey Through the Systems Landscape, College Publications, 2010
  10. 10. 7/8/2019 DSV SU Business Process as a System • BPI - On the instance level, we consider a Business Process Instance as a temporal system created for handling a specific situation, for example a request for quotation. After the situation has been dealt with, the temporal system is disbanded. • BPWS - On the type level, we consider that for each type there exists a permanent socio- technical system that is responsible for starting and monitoring process instances of the given type, and supplying them with resources/assets needed for attaining the instances operational goals, such as people, tools (e.g. IT systems), procedures (e.g. manuals, process maps). We call this system a Business Process Work System • FEM – represent interconnected BPWS 10
  11. 11. 7/8/2019 DSV SU Answering the question 11 BPWS systems that needs communicate are the ones that are connected to the same asset
  12. 12. 7/8/2019 DSV SU Three types of connection 1. Both BPWSs manage the same asset. 2. One BPWS manages an asset used in another 3. Both BPWS share the same asset. 12
  13. 13. 7/8/2019 DSV SU Conclusion & Future Research Contributions: 1. Formulating a question 2. Putting forward a hypothesis 3. Testing a hypothesis on a FEM (positive so far) Future: • Investigating how interactions happens in practice • Looking on other enterprise models. 13
  14. 14. 7/8/2019 DSV SU Q & A Thank you for your patience Questions and comments Please Contact: ilia@dsv.su.se 14

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