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Book Summary Preview : Surfing The Edge of Chaos

The Laws of Nature and the New Laws of Business
By Richard T. Pascale, Mark Millemann and Linda Gioja
Random House Inc., 2000
ISBN 0-609-80883-4
320 pages

The Big Idea
The science investigating Complex Adaptive Systems is a broad based inquiry into the common properties of all living things—beehives and bond traders, ant colonies and enterprises, ecologies and economies. Over many millions of years, nature has evolved strategies for coping both with prolonged periods of gradual change and occasional cataclysms in which only the most adaptive survive. The latter condition is familiar to many in organizations today. This book distills four bedrock principles from the living sciences and demonstrates their managerial relevance in a time of disruptive change.

 

Four Laws of Nature

Equilibrium is a Precursor to Death

When a living system is in a state of equilibrium, it is less responsive to changes occurring around it. This places it at maximum risk. This jibes with a well proven law of cybernetics—Requisite Variety—which states that when a system fails to cultivate (not just tolerate) variety in its internal operations, it will fail to deal with variety that challenges it externally.

The Edge of Chaos is the Sweet Spot

In the face of threat, or when galvanized by a compelling opportunity, living things move toward the edge of chaos. This condition evokes higher levels of mutation and experimentation. Result? Fresh new solutions are more likely to be found.

Self Organization and Emergence are the Distinguishing Feature of all Living Things

When the right kind of excitation takes place, independent agents move toward what has been popularized as the “tipping point.” New forms and repertoires emerge from the turmoil.

Unintended Consequences are an Inescapable Byproduct

Living systems cannot be directed along a linear path. Unforeseen consequences are inevitable. The challenge is to disturb them in a manner that moves directionally toward the desired state, then course-correct as the outcome unfolds.


Equilibrium Hazards

Fish in a bowl can swim, breed, obtain food with minimal effort, and remain safe from predators. But, as aquarium owners know, such fish are excruciatingly sensitive to the slightest perturbations. Fish in the sea have to work much harder to sustain themselves and they are subjected to many threats. But because they cope with more variation, they are more robust when faced with change.

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