Stafford Beer’s Viable System Model Features of the VSM • Based on the structure of the human nervous system • Five levels or functions • The five functions recur at each level of organization Features of the VSM • • • • Maximizes autonomy of units Minimizes bureaucracy Maintains control of essential activities Evaluates results more than methods The five functions • System five – controls the rate of innovation, defines the organization’s values • System four – does long-range planning, designs the next product or service • System three – middle management, defines a “resource bargain” with the system ones • System two – coordinates the producing units • System one – the producing units Concerns of the Viable System Model • Make sure that the knowledge and skills needed are available • Be sure that the information needed to make decisions is available • Design an organization that is adaptive System One units and their environments Present Environment Local Environ ment Local Environ ment Local Environ ment Operation One A Management Operation One A Operation One B Management Operation One B Operation One C Management Operation One C Repeat of the System One units with the addition of Systems Two, Three, and Three Star Present Environment System 3 3* Local Environment Operation One A Management Operation One A Local Environment Operation One B Management Operation One B Operation One C Management Operation One C Local Environment 2 System Four probing the future environment Future Environment System 4 All relevant developments in the environment oriented to the future All internal functions concerned with the future Relationships among Systems 3, 4, and 5 System 5 System 5 System 4 System 4 System 3 System 3 System 5 Future Environment System 4 Present Environment System 3 3* Local Environ ment Operation One A Management Operation One A Local Environ t men Operation One B Management Operation One B Operation One C Management Operation One C Local Environ ment 2 The Viable System Model The VSM applied to the Chilean economy Ministry of Economics 5 CORFO / ODEPLAN (National planning office) 4 National office for statistics and census 3 Filtre Industry A Sector Com. Comittee A IndustryB Industry B Sector Co Comittee B IndustryC Sector Comittee C 2 1 Design of the algedonic feedback loop from the people to the government (Beer, 1981) Viable System Model • A diagnostic tool that can aid in understanding any organizational structure – line, staff, or matrix • Defines the variety that needs to be controlled and the structures to control it • Shows how both to ensure innovation and to regulate it Relevance to Enterprise Architecture • The VSM provides a way of viewing the structure of an organization • It could, in principle, be used to design an information system for an organization • At least one software program has been created to help people analyze an organization in terms of the VSM