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Presentation

will start

shortly

Thesis �DOI

Google

Presentation

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Defining Antifragility and the application on

Organisation Design

a literature study in the field of antifragility, applied in the context of organisation design

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About me

Enterprise Engineer

with more than 25 years’ experience

Edzo Botjes

Homepage

LinkedIn

ORCID

Born in 1981, in IT since 1993, married 2013

since 2006 @ Sogeti Netherlands,�consultancy for 20 Clients, 30 Assignments,�40+ blogs, two white-papers (book),�many presentation, webinars and articles

MSc @ Antwerp Management School (summa cum laude, 9.5 thesis)

BSc @ Hanze University

ASc @ University of Groningen

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Agenda

  1. Problem Statement�
  2. Research Questions�
  3. Research Approach
  1. Conceptual model (5)�
  2. Conclusion
  • Discussion�
  • Recommendations (3)�
  • DeepDive (bonus)

03

02

01

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Problem Statement & �Personal Journey

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Research Questions

  1. Can leaders determine if their organisation must be �resilient or antifragile?
  1. When applicable, does the “resilient ór antifragile model” �support the leadership in determining what change is needed �to achieve a resilient or antifragile organisation?

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Research Approach

Conclusion

Literature�(Rationalisation)

Experts

(Validation)

Leadership�(Relevance)

one-on-one

groups

EAAL model

Antifragile Literature

Literature

one-on-one

groups

7

18

358

87

9

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What is fragile and anti-fragile?�What is resilience?

The EAAL framework.

Conceptual Model

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How fragile is your system?

Stress

Fragile

1

Robust

Stress

2

Antifragile

Stress

3

Value

Value

Value

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Resilience

Value

Time

Absorb

Recover

(old) normal

Resilience

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Resilience by Martin-Breen

Time

Engineering

Resilience

Systems Resilience

Time

Complex Adaptive System Resilience

Time

Value

Value

Value

1

2

3

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Engineering

Resilience

Systems �Resilience

CAS�Resilience

Time

Value

Time

Value

Time

Value

Fragile

Stress

Value

Robust

Stress

Value

Antifragile

Stress

Value

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The EAAL Framework

Anti-fragile

Complex Adaptive

System Resilience

Systems�Resilience

Engineering�Resilience

Top-down C&C

Micro-Management

Diversity

Non-Monotonicity

Emergence

Self-Organization

Insert low-level stress

Network-connections

Fail Fast

Learning Organization �(Personal mastery, Shared mental models, Building shared vision, �Team learning, Systems thinking)

Resources to invest

Seneca’s barbell

Insert randomness

Reduce naive intervention

Skin in the game

Amplify Variety

Attenuate Variety

Redundancy

Modularity

Loosely coupled

Stressors incl. black swans

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Does it make sense?

Research Result

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Research Conclusion

  • Can leaders determine if their organisation must be �resilient or antifragile?
  • When applicable, does the “resilient ór antifragile model” �support the leadership in determining what change is needed �to achieve a resilient or antifragile organisation?

Bonus:

  1. The EAAL model provides a definition of resilience.
  2. The EAAL model provides a definition of antifragility.

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Discussion and Limitation

  1. Limit of models
  2. Limit of social science
  3. Social science & EE
  4. Ethical Implications
  5. Causality
  6. Diversity

Critical Thinking

  • Diversity of the validation

  • Social Science and the replication crisis

  • Ethical implications of an antifragile organisation

Lorem Ipsum

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Future Research 1/3

  • Managerial application
  • Replication and Extension
  • Increasing predictability
  • Enterprise Engineering
  • Fundamental research

Is it possible to design an organisation on a constructional level by applying DEMO and incorporating Game Theory?

Is it possible to: Combine the Complexity Science and Software Engineering methods described by O’Reilly (2019) with Normalized Systems Theory to achieve highly frequent adaptive self-evolving software?

Lorem Ipsum

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Future Research 2/3

  • Managerial application
  • Replication and Extension
  • Increasing predictability
  • Enterprise Engineering
  • Fundamental research

Map the existing EE theories on the EAAL model and extend it with the Eta-B (ηB) theory to design the Enterprise Antifragile Behaviour.

Lorem Ipsum

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Future Research 3/3

  • Managerial application
  • Replication and Extension
  • Increasing predictability
  • Enterprise Engineering
  • Fundamental research

Where is the role of emotions in Systems Theory (as part of Complexity Science) and how can this be applied to organisational design?

Lorem Ipsum

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Theoretical background

Deepdive

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Storyarc by Nassim Nicholas Taleb

Fooled by RandomnessThe Hidden Role of Chance in Life and in the Markets

2001

2007

2012

The Black SwanThe Impact of the Highly Improbable

AntifragileThings that Gain from Disorder

Random things happen all the time

Models are fragile for unexpected things

Antifragile systems survive unexpected things

Keywords: ISO 31000:2018, VUCA, double pendulum, chaos, complexity, hyperconnected graphs, complexity science, Cynefin, digital transformation

Keywords: Plato’s cave, Kant’s “Ding für mich”, Ciborra, replication crisis, correlation vs causality, function vs construction

Keywords: resilience, gain from pain, only way to survive a black-swan, 6

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What is Chaos?

Cause and effect are unclear. - Dave Snowden

When the present determines the future, but �the approximate present does not approximately determine the future. - Edward Lorenz

Knowledge of the situation in the now �has no connection to the knowledge of the situation in the future.

You do not see a correlation in your observations.

You do not know any causal relation between action and observation (input/output).

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An example of a simple chaotic system

A double pendulum is a pendulum with another pendulum attached to its end, and is a simple physical system that exhibits rich dynamic behavior with a strong sensitivity to initial conditions

�The motion of a double pendulum is governed by a set of coupled ordinary differential equations and is chaotic.

A double pendulum starts simple but with a bit of energy the system becomes chaotic (unpredictable). This is caused by the amplification of very small differences.

1

2

Double Pendulum

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Nonlinear dynamical systems

Butterfly Effect

https://systemsinnovation.io

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Randomness in Risk management

Randomness is the lack of pattern or predictability in events.�When a system loses value through a random (stress)event, it is a Fragile system.

Risk is defined in ISO 31000 as the effect of uncertainty on objectives.

Randomness is a special kind of uncertainty.

Risk management is the identification, evaluation, and prioritization of risks,

followed by coordinated and economical application of resources �to minimize, monitor, and control the probability or impact of unfortunate events �

or to maximize the realization of opportunities.

Risk Management (ISO 31000) is about Resilience

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Randomness is the default state of the world

Volatility

Uncertain

Complex

Ambiguous

Risk management (ISO 31000) states that the world is VUCA.

This term is also used in other business literature and in DevOps.

VUCA originates from 1987 in the US military and leadership literature.

Non-stop randomness is the effect of a highly-connected world that has chaos as result.

The key takeaway is: there is always some fundamental randomness no matter how hard you think about it. This is also called Chaos.

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System-of-System & Context

https://www.researchgate.net/publication/330500755

Most things in our universe are a recursion.

Not all the things are a nonlinear system.

How do I make sense of it all?

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Cynefin Framework

https://www.researchgate.net/publication/330500755

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Cynefin abstract examples

Simple

Complicated

Complex

A set of pentagon tiles is a simple pattern because there are many symmetries, meaning a small set of rules governing the system can be used to generate the whole pattern.

A tangled ball of string is complicated because there are no symmetries to the pattern, this a detailed description of the entire pattern is needed to understand it fully.

Complex patterns involve the interaction between symmetries and asymmetry; a disorder with underlying order, neither too random nor too symmetric.

https://systemsinnovation.io

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Cynefin - Correlation and/or Causality?

https://www.researchgate.net/publication/330500755

Cause and effect can only be deduced in retrospect, and there are no right answers.

Impervious to a reductionist, take-it-apart-and-see-how-it-works approach, because your very actions change the situation in unpredictable ways.

Events in this domain are too confusing to wait for a knowledge-based response.

The first and only way to respond appropriately is action.

The relationship between cause and effect requires analysis or expertise; there are a range of right answers.

Here it is possible to work rationally toward a decision but doing so requires refined judgment and expertise.

This means that there are rules in place (or best practice), the situation is stable, and the relationship between cause and effect is clear.

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Cynefin - which perspective to use ?

https://www.researchgate.net/publication/330500755

Holistic

approach

Reductionistic

approach

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Cynefin - what to do?

https://www.researchgate.net/publication/330500755

Probe

Sense

Respond

Act

Sense

Respond

Sense

Analyze�Respond

Sense

Categorize

Respond

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New dominant organizational paradigm.

https://www.mckinsey.com/business-functions/organization/our-insights/the-five-trademarks-of-agile-organizations

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About me

Enterprise Engineer

with more than 25 years’ experience

Edzo Botjes

Homepage

LinkedIn

ORCID

Born in 1981, in IT since 1993,

since 2006 @ Sogeti Netherlands,�consultancy for 20 Clients, 30 Assignments,�40+ blogs, two white-papers (book),�many presentation, webinars and articles

MSc @ Antwerp Management School (summa cum laude, 9.5 thesis)

BSc @ Hanze University

ASc @ University of Groningen

Interest

Security (PKI) & Privacy

Open Access & Open Source

Human Centered Design

Organic Organisation

Distributed Systems & Organisations

Graph Databases & Relations

LoraWan & Mesh networking

Expertise

Enterprise Engineering

Complexity Science

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