Viable Systems Approach Research Articles

The viable system perspective of actors in eco-systems

PurposeThe purpose of this paper is to show the relevance of the interest in sharing the common purpose and in searching for a common survival of emerging eco-system (ES) as an entity that “is not” but emerges by the viable actors interaction.Design/methodology/approachThis conceptual paper contributes to the research by defining the ES building on the contributions of SD logic and viable systems approach (VSA), with a particular focus on the VSA perspective.FindingsAn ES emerges as a viable “system of systems” by an observer’s interpretation of the simultaneous interactions between different viable actors/systems that are sharing a common purpose (the survival of the ES), exchanging resources following a viable value co-creation model. Each actor/system could represent a level of quality of belonging to the ES looking for the opportunity to be resonant with the ES.Research limitations/implicationsThe ES features and the role of each actor inside could be deepened through different theoretical perspectives and the same VSA to the ES could be reached with empirical explorations.Practical implicationsUnderstanding the nature of the ES, the practitioners are able to explain better their position in relation to partners and competitors. It is possible to be a part of several emerging ESs looking for the will to contribute to the ES’ survival and to the sharing of the purpose of the interactive systems/actors. In a medium and long run, the measure of the resonance is useful to understand the quality in interaction.Originality/valueThe work provides a definition of the ES and the actors inside focusing on the perspective of VSA, by integrating the concept of viable value co-creation and solidarity-based logic; in particular, the concept of Centro Commerciale Naturale is used to show the emergence of the ES in a relational context generated by the interaction between city, service and retailers in a city center.

A4A relationships

PurposeThe purpose of this paper is to investigate the characteristics of actors that allow them to relate to others actors in the system through shared intentionality (orientation) and the nature of the A4A relationship and the results that such interactions bring to the emergent system based on this shared purpose (finality).Design/methodology/approachThe topic is approached by theoretical analysis and conceptual development of three integrative frameworks: the sociological perspective, service-dominant logic and a particular perspective of system thinking: the viable system approach (vSa).FindingsThe A4A relationships involve value co-creation based on actors integrating their resources and acting with intentionality to obtain value by providing benefits to other parties and by belonging to the emergent viable system; actor acts for other actors directly involved in the relationship generating positive effects for the whole system in which it is contextualized.Research limitations/implicationsFuture empirical research might better support findings.Social implicationsMany social implications deriving from an augmented role of actors engaged within social relationships in co-creation exchanges. From the title of the paper A4A over on the manuscript describes numerous social inferences of actors in co-creation.Originality/valueA4A is a relationship formed by actors that interact for the benefit of the whole system in which are involved. They find own benefit from the benefit created for the system in which they live and act. In A4A relationships the value of the single actor comes from the participation to the viability of the whole system.

The viable decision maker for CAS survival: how to change and adapt through fitting process

PurposeThe purpose of this paper is to investigate the decision-making process in the management of the complex adaptive systems (CAS), particularly focusing on the dimensions that affect the individual decision maker (DM) when passing from decision to behavior in fitting processes. Although the importance of the general process of fitting in terms of organizational design has been highlighted in earlier studies, a closer focus on the DM perspective is required.Design/methodology/approachStarting from the theoretical frameworks of viable systems approach (vSa) and addressing the evolving concepts of change and adaptation in CAS, the work takes the DM perspective and investigates the dimensions involved in the paths that lead complex decisions into behaviors, when referring to fitting processes. The paper reviews the vSa and the concept of CAS, deepening the decision making in fitting processes. Then, the paper proceeds to discuss the schemes and the categories that affect, at different levels, the decision and behavioral choices by proposing an interpretative framework.FindingsThe paper proposes a general framework useful to recognize/identify which are the elements/dimensions that have to be considered when organizations change in pursuing survival. The findings of the paper also show how adopting a vSa as a meta-model can be insightful to the understanding of service systems and useful in fully comprehending decision-making processes and behavior in complex adaptive system.Originality/valueThe originality of this paper lies in exploring the decision making process in CAS, adopting a closer perspective on the single DM through the lens of the vSa.

The financial gap for women in the MENA region: a systemic perspective

PurposeThis paper aims to investigate women’s financial inclusion as a critical element for the competitiveness of the Middle East and North Africa (MENA) market for entrepreneurship and sustainable development of the region, as MENA financial institutions’ loans to women-owned SMEs tend to be significantly lower than the share of women-owned SMEs in their target markets. Causes of under-serving this market are not very well studied.Design/methodology/approachThe paper builds on an inductive approach supported by the interpretative contribution offered by the viable systems approach as methodological and interpretative lens to investigate the topic of women financial inclusion in MENA regions. Reflections herein are supported by an exploratory study on the conditions for women financial inclusion in MENA regions.FindingsThe main focus of this paper is to study the financial gap that women entrepreneurs are experiencing in enlarging their businesses and/or lunching innovative projects. In accordance with this, the paper highlights the need of a more systemic approach and long-term vision to support a more extensive women financial inclusion in MENA regions.Originality/valueFinancial institutions’ need to understand women-owned SMEs’ financial needs for innovation and growth to build new customized financial products. This paper’s argument is that the dominant short-term approach to credit-granting for women, although providing support, may be inadequate to achieve a real financial inclusion, and possible causes and solutions are discussed.

Inside Out: Organizations as Service Systems Equipped with Relational Boundaries

Currently, literature on organizational boundaries is at the center of a heated debate, characterized by a shift from a transactional approach to a broader immaterial perspective centered on the concept of boundless organizations. However, the overestimation of the effects of contemporary dematerialization on business processes can lead to the progressive neglect of the existence of corporate borders. In light of this consideration, the present work aims at proposing a new type of criterion for defining organizational boundaries, halfway between the conception of the firm’s total openness and total closure. To this end, the authors envisage the use of a new interpretive logic defined as “relational”, resulting from the specification of the systemic view (and as the sum of the logic underlying the viable systems approach (VSA)). This approach views the definition of boundaries. Therefore, in the large and intricate scenery of the studies dedicated to organizational boundaries, this work contributes to a better understanding of border selection as an interactive and changeable process capable of pushing organizations towards a greater awareness of their strategic dimension. This paper also offers some insights for future research, suggesting that both scholars and professionals investigate, firstly, new frontiers for the identification of organizational boundaries and, secondly, the possible positive repercussions that new organizational redesign modes could determine for a greater competitive success.

Territory and management science: new insights by the ConsulCubo model

Globalisation exacerbates the need to conceive sustainable and shared solutions to the dramatic environmental, social and economic issues at a local level, i.e., for a specific territory. Satisfying this need asks for a decision-making processes awareness of the specific environmental, social and economic features of the territory itself. The paper starts debating the challenge to linking effectiveness and efficiency with a viable sustainability at a local level (par. 1); then, after discussing the vision of the territory in the economic literature (par.2), the work firstly offers deeper insights in understanding the complex nature of the territory according to the viable system approach (VSA) (par. 3) and secondly it proposes a new model, the ConsulCubo VSA, helpful to support the decision-makers facing the increasing challenge of an effective, efficient and sustainable management of territory (par 4); final remarks are then discussed and fully debated (par. 5).

A utilisation focussed and viable systems approach for evaluating technology supported learning

The paper uses a higher education case study to illustrate a participative theory of change approach to evaluating technology supported learning. The approach is informed by the Viable Systems Model (VSM) and utilisation-focussed evaluation and, falls within the tradition of facilitated modelling approaches to operational research. We argue that this approach worked well in engaging primary evaluation users in a process of collaborative action research to improving an educational development initiative and that the approach helped generate information relevant to answering its primary users’ questions, to inform their specific decisions and actions relevant to their quality enhancement responsibilities.Through a case study, concerning the evaluation of an educational development initiative in a large UK university, we illustrate how the VSM and utilisation-focussed evaluation could be used to: (a) conceptualise the connection between strategies and their components at different levels of organisation; (b) to clarify the role and interests of stakeholders in these strategies; and (c) to scope evaluation to be relevant to informing the decisions and actions of these stakeholders. The paper contributes to illustrate how VSM principles can underpin a theory of change approach to engaging primary stakeholders in planning an intervention and its evaluation in the context of educational development work, in order to improve evaluation to be more relevant to their needs. The paper should be of interest to researchers exploring the use of systems theory in evaluation, in particular in the context of educational development work in higher education.

Systems, networks, and ecosystems in service research

Purpose– The purpose of this paper is to create awareness on the need for lifting up the level of analysis in service research by focusing on systems, networks, and ecosystems to contribute to the research expansion of the traditionally narrow view of service.Design/methodology/approach– This conceptual paper is built upon three blocks. First, the viable systems approach is revised to highlight the survival, viability, and complexity of service systems. Second, the dynamics of service networks is discussed using an ecological view of service with a nested, networked configuration. Third, these two previous perspectives are integrated using the fundamentals of ecosystems thinking.Findings– This paper outlines a novel, tri-level approach reorienting and reframing our thinking around systems, networks, and ecosystems. Some research challenges and directions that could expand the body of knowledge in service research are also discussed.Research limitations/implications– The tri-level approach proposed in this conceptual paper could be enriched with other theoretical perspectives and empirical explorations.Practical implications– Lifting the level of analysis by focussing on service systems, service networks, and service ecosystems would allow practitioners to expand their business perspective to better face the challenges of complex business settings, enabling them to co-create value for all their stakeholders.Originality/value– The paper contributes to set the foundation for the next stage of service research by going beyond dyadic interactions to address dynamic systems, networks, and ecosystems across different interaction patterns in complex business configurations.

A service-system paradigm for governing corporate sustainability: the (forgotten) role of governing body in shaping sustainability and context

Corporate sustainability (CS), as an evolutionary concept, covers better many open questions and scientific confusion of corporate social responsibility (CSR). While CSR has not well defined the concept of environment, CS has recovered this gap ignoring at the same time the fundamental passage from environment to context and the context's architect/designer (i.e., the governing body, GB). Therefore, this study, after reviewing the barriers of a corporate-;context sustainability, shows how the GB, influenced by the components of information variety (i.e., information units, interpretation schemes and categorical values), contextualises the sustainability. A service-system conceptual model, based on viable systems approach (VSA) and service-dominant logic, constructs the foundations for consonance and value cocreation between the GB, context's suprasystems, general environment (e.g., other stakeholders) and international standards (e.g., GRI, Global Compact, etc.). The model integrates also the GRI-G4 report with subjective elements of the GB.

Reflections on the Role of University to Face the Challenges of Knowledge Society for the Local Economic Development

This paper proposes an analysis of the evolution of approaches to knowledge management in order to identify useful patterns and perspectives for the improvement of efficiency, effectiveness, and affordable of managerial models for the economic development. The contribution offered by the literature is analyzed in the social network theory perspective and is reinterpreted in the light of the viable system approach (vSa) as a meta-model useful to highlight variables and processes involved in the interactions among several actors. The systematization of the contributions on the knowledge management facilitates the reading and the understanding of dominant managerial models, and somehow, outlines traits and characteristics of the knowledge society—as construct based on the relationship—that traditional approaches and instruments are often not properly adequate to understand. In this perspective, the paper aims to investigate the possible and potential contribution that university can offer to address the behaviors of local actors toward pathways of knowledge co-creation, able to positively impact on the local economic and social dynamics, in a win-win logic framework. Using a cross disciplinary approach, the paper proposes a conceptual framework able to identify possible influences that university can enforce on the local context in order to improve the social alignment requested to evolve from a transactional to a relational perspective, in which all actors play an active role in the processes of value generation and their needs are effectively satisfied. Proposed reflections are supported by the analysis of some practical observations with reference to the territory of Puglia region in Italy. They highlight the relevance of university as a key actor able to address the local resources to face the challenge of a changeable emerging context.

Complex and Dynamical Social Network Analysis as a Tool to Support a Sustainable Organizational Design and Management Process

In the Viable System Approach, the firm and its environment form a complex system, modelled as a network of networks. This paper explores how some tools coming from the research on Complex Networks are applicable to the firm and its environment in the context of Business Development Plan. A brief survey of the main concepts underlying the Viable System Approach (VSA) and of the very last results attained in the Complex Network Theory (CNT) is presented, focusing on the results regarding the dynamical processes on Complex Networks. Some correspondence between the main entities in the two frameworks will be derived, to highlight the possible contribution of CNT to the government and the management of the firm as a Viable System. This paper doesn't expect to be exhaustive because of the topic complexity and the still ongoing research's work. In the business case, the Social Network Analysis tools are applied into the business reengineering process.

Risk in the dynamic evolution of bank and firmsRisk in the dynamic evolution of bank and firms: A Viable systems approach

Risk in the dynamic evolution of bank and firmsRisk in the dynamic evolution of bank and firms: A Viable systems approach

The Role of Institutional Investors in the Evolutionary Dynamics of Agro-food Enterprises

The research topic is the one of public finance company whose core business is focused to support investment projects to overcome enterprises technological and structural gap. The research question is: If and how a public finance company is able to create and favor value creation processes sustainability for agro-food enterprises, highlighting the positive emerging externalities for different categories of stakeholders. They have results with particular evidences allow comparisons between the private investments and the support of institutional public investors. In such perspective, the mode of disbursement of soft loans and investment operations made by a public financing company will be examined. The methodological approach used, following a deductive-inductive perspective, is based on the case study. Such technique able to formulate theories about a little known phenomena in their context, allows the study of recent events on which the researcher has little control. To this, a qualitative analysis on both primary and secondary data adds. From data analysis, it resulted that the Institute of Agribusiness Development (ISA) initiatives facilitated, just for example, the technological innovation of production department and consequent production capacity, the acquisition of production assets for row material processing and optimization of internal logistics, through an innovative automated warehouse. As a result, the case study finds sustainability at multiple levels reached by the activities promoted by ISA and the subsequent co-creation of value for stakeholders involved, small agro-food businesses innovation, and/or internationalization processes. As long as practical implications are concerned, such highlight the importance and the need for public and private institutions in their effort to continue to invest in projects to support the economy of the country. The originality of the paper lies in the proposed interpretation of more integrative paradigms (viable system approach, sustainability, and, value creation), analyzing a financial institution for the development of the Italian food industry. At the same time, authors stress the research limit that is the analysis of the input of only one organization and consequent limited data in quantity and time span.

Developing a Framework for Measuring Effectiveness of Sustainability Communications through Corporate Websites

The growing interest in corporate sustainability (CS) orientation and the increasing attention on stakeholder engagement practices suggest to adopt new models and methods of decision-making for online corporate communication management. The working paper aims at highlighting the most significant principles, tools and content of communication for sustainability through corporate websites in order to create a successful value-proposition. The study draws from different fields of study, integrating approaches such as the Service Science Management and Engineering+Design and Viable Systems Approach. The proposed framework for CS communication on corporate websites has been defined in order to create value for the organization and increase reputational capital. The framework includes four main dimensions containing measurable sub-items. They focused on: orientation to sustainability; items belonging to the structure related to stakeholder engagement and CS governance tools; items related to content (in terms of their impact on core business and their adherence to communication principles); and process. The paper presents typical limitations of the deductive approach based on literature review. The framework could be used as a comprehensive tool to identify and avoid greenwashing traps in CS communication. This working paper could be considered a first step in a stream of research on a field of study not yet well explored to some extent.

The contribution of VSA and SDL perspectives to strategic thinking in emerging economies

Purpose– The purpose of this paper is to reflect upon strategic marketing in emerging economies (EEs). It tries to answer the research question: what new business models are enabled by the Viable Systems Approach (VSA) and Service-Dominant Logic (SDL) perspectives?Design/methodology/approach– The paper is developed by integrating two well-established perspectives – VSA and SDL – and applying them to inclusive businesses.Findings– The integration of these perspectives allows the authors to recognize a convergence toward business models that seem to be consistent with the principles of inclusive capitalism. The authors claim that by shifting between a reductionist/static and a holistic/dynamic view, these perspectives can be integrated, thus revealing an interesting contribution to the understanding of inclusive business. Specifically, they contribute by highlighting how the economic and social dimensions are intertwined and by highlighting that the management-thinking perspective, which has dominated in recent decades, should shift toward a more inclusive vision.Research limitations/implications– The paper represents an attempt to address an inclusive capitalism perspective in the context of marketing. Nevertheless, the conceptual reasoning developed in the paper should be further supported by empirical research carried out in the context of EEs.Practical implications– The paper has relevant managerial implications that suggest a rethinking of the business model to market with EEs.Originality/value– The paper contributes to the research on inclusive capitalism by linking it to well-grounded conceptual approaches to business that recapture a harmonious relationship between the economy and society.

The Viable Systems Approach and its Contribution to the Analysis of Sustainable Business Behaviors

ABSTRACTThis paper aims to propose the contribution of adopting a systemic perspective to researching sustainability in terms of inclusivity and holistic view, going beyond the limitations of a reductionist approach. Among the different systemic approaches, the methodological lens proposed herein is the one of the Viable Systems Approach, according to which sustainability, which can be seen as a process that is dynamic and changing over time, is linked to the notion of systemic viability and connected to some of the most relevant key concepts of Viable Systems Approach.Through the proposition of the conceptual model of ‘The Viable Systems Cycle’, the authors intend to propose a different approach to the analysis and interpretation of sustainability that concerns the relationship among efficiency, effectiveness and sustainability itself and the way they orient and influence sustainable business behaviors. Copyright © 2014 John Wiley & Sons, Ltd.

Service economy, knowledge, and the need for T-shaped innovators

The paper is rooted in the recent Service Science line of research focused on the notion of `T-shaped' knowledge. To the aim of theoretically and conceptually discuss the knowledge endowment required to a `T-shaped' innovator, focus is on the notion of dynamic capabilities as characterizing the human side of service innovation. After a short introduction (Section 1), a model of the affirmation of the knowledge economy and the emergence of the consequent need for T-shaped innovators according to an escalation framework is presented (Section 2). Then, on the basis of the interpretation of T-shaped knowledge developed by adopting a Viable Systems Approach (vSa) perspective, conceptual links between the notions of incremental and radical innovation, on the one hand, and of capabilities and competences, on the other hand, are explored (Section 3). The paper findings provide a taxonomy of T-shaped innovators' capabilities that turn out to be more and more crucial to develop innovation in a context of growing complexity (Section 4). Finally, it moves on to discuss the organizational and technological aspects of management of T-shaped innovators (Section 5), outlining some managerial implications and future research paths (Section 6).

Information asymmetry and co-creation in health care services

With the aim of addressing a gap in service research on co-creation in health care, this study discusses the problem of information asymmetry in the service provider–user relationship by adopting the Viable Systems Approach. We develop a three-step interpretative framework to support the understanding of the health service relationship by going beyond the traditional information asymmetry view towards a framework capable of examining the human side of service interaction. Using the case of the Italian Health System, we discuss whether and how the problem of information asymmetry affects the health care provider–user co-creation relationship. Our findings open up a wider view of information asymmetry, suggesting a shift in focus from information sharing to interpretation schemes sharing, all the way up to values sharing, offering new insights for co-creation in health care.

Health care as a worldwide concern. Insights on the Italian and Indian health care systems and PPPs from a VSA perspective

Purpose – Health is a fundamental populations’ need and an integral part of the socio-economic development of a country. However, it is required to explain the growing role of the private sectors in addressing various health care needs. The purpose of this paper is to analyse potential contribution, criticalities and conditions of success of public-private partnership (PPP) as a strategy to face the complexity of nationally relevant Italian and Indian service systems. Design/methodology/approach – The methodology is built upon the basis of the viable systems approach (VSA) integrated with the fundamental interpretative elements of service science and service-dominant logic to contextualize interpretation to the management of service systems benefitting from recent advances in these research fields. Findings – A VSA-based general framework of reference is built that is useful for analysing any relational context in which different aims and expectations need to be harmonized to make the collaboration effective. On the basis of this framework, first insights on Italian and Indian health care PPPs are proposed, highlighting key elements of analysis and criticalities that may challenge a positive conclusion on health care PPPs. Practical implications – The implications of the study are both theoretical and practical. From a theoretical perspective, the study contributes to the scholarly understanding of complex health care system in Italy as well as in India with particular reference to the public-private collaboration phenomenon. It also suggests theoretical approaches in the form of a generic VSA-based framework as applicable. From a practical perspective, the study stimulates managers to a critical reflection about current health care management approaches which are reflected in the adoption of PPPs solutions. Originality/value – The paper discusses relevant worldwide decision-making challenges, such as the equality in the populations’ access to health service, suggesting managers the way to create conditions of consonance among the diverse stakeholders for a successful health care PPPs.

The ‘law of requisite variety’ may assist climate change negotiations: a review of the Kyoto and Durban meetings

Ashby wrote about cybernetics, during which discourse he described a Law that attempts to resolve difficulties arising in complex situations – he suggested using variety to combat complexity. In this paper, we note that the delegates to the UN Framework Convention on Climate Change (UNFCCC) meeting in Kyoto, 1997, were offered a ‘simplifying solution’ to cope with the complexity of discussing multiple pollutants allegedly contributing to ‘climate change’. We assert that the adoption of CO2eq has resulted in imprecise thinking regarding the ‘carbon footprint’ – that is, ‘CO2’ – to the exclusion of other pollutants. We propose, as Ashby might have done, that the CO2eq and other factors within the ‘climate change’ negotiations be disaggregated to allow careful and specific individual solutions to be agreed on each factor. We propose a new permanent and transparent ‘action group’ be in charge of agenda setting and to manage the messy annual meetings. This body would be responsible for achieving accords at these annual meetings, rather than forcing this task on national hosts. We acknowledge the task is daunting and we recommend moving on from Ashby's Law to Beer's Viable Systems approach.