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    Chapter 2: Fundamentals of Complexity Theory and Human Complex Adaptive Systems

      This chapter is an introduction to complexity theory (encompassing chaos — a subset of complexity), a nascent domain, although, it possesses a historical root. Some fundamental properties of chaos/complexity (including complexity mindset, nonlinearity, interconnectedness, interdependency, far-from-equilibrium, butterfly effect, determinism/in-determinism, unpredictability, bifurcation, deterministic chaotic dynamic, complex dynamic, complex adaptive dynamic, dissipation, basin of attraction, attractor, chaotic attractor, strange attractor, phase space, rugged landscape, red queen race, holism, self-organization, self-transcending constructions, scale invariance, historical dependency, constructionist hypothesis and emergence), and its development are briefly examined. In particular, the similarities (sensitive dependence on initial conditions, unpredictability) and differences between deterministic chaotic systems (DCS) and complex adaptive systems (CAS) are analyzed. The edge of emergence (2nd critical value, a new concept) is also conceived to provide a more comprehensive explanation of the complex adaptive dynamic (CAD) and emergence. Subsequently, a simplified system spectrum is introduced to illustrate the attributes, and summarize the relationships of the various categories of common systems.

      Next, the recognition that human organizations are nonlinear living systems (high finite dimensionality CAS) with adaptive and thinking agents is examined. This new comprehension indicates that a re-calibration in thinking is essential. In the human world, high levels of human intelligence/consciousness (the latent impetus that is fundamentally stability-centric) drives a redefined human adaptive and evolution dynamic encompassing better potentials of self-organization or self-transcending constructions, autocatalysis, circular causation, localized spaces/networks, hysteresis, futuristic, and emergent of new order (involving a multi-layer structure and dynamic) — vividly indicating that intelligence/consciousness-centric is extremely vital. Simultaneously, complexity associated properties/characteristics in human organizations must be better scrutinized and exploited — that is, establishing appropriate complexity-intelligence linkages is a significant necessity. In this respect, nurturing of the intelligence mindset and developing the associated paradigmatic shift is inevitable.

      A distinct attempt (the basic strategic approach) of the new intelligence mindset is to organize around human intrinsic intelligence — intense intelligence-intelligence linkages that exploits human intelligence/consciousness sources individually and collectively by focusing on intelligence/consciousness-centricity, complexity-centricity, network-centricity, complexity-intelligence linkages, collective intelligence, org-consciousness, complex networks, spaces of complexity (better risk management <=> new opportunities <=> higher sustainability) and prepares for punctuation points (better crisis management <=> collectively more intelligent <=> higher resilience/sustainability) concurrently — illustrating the significance of self-organizing capability and emergence-intelligence capacity. The conceptual development introduced will serve as the basic foundation of the intelligent organization (IO) theory.

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      Chapter 4: Multi-Layer Structure/Dynamic and Structural Capacity of Human Organizations

        The inherent micro-structure (agent-agent/system) of human organizations has been introduced in Chapters 2 and 3. Fundamentally, human organizations are composite complex adaptive systems with human beings as interacting agents (each an intrinsic complex adaptive system). This chapter further analyzes the basic conceptual foundation of the multi-layer structure, including advantages of the intelligent biotic macro-structure (with inherent features similar to that of an intelligent biological being — a structural reform), and its unique and more integrative complex adaptive dynamic in intelligent human organizations (towards iCAD). The necessity of nurturing an intelligent biotic macro-structure with vital characteristics that better synchronize and enhance sophisticated information/knowledge-related activities is highly beneficial — achieving a higher structural capacity. Thus, the attributes, functions and higher structural capacity of the more intelligent biotic macro-structure can reinforced the competitiveness of any categories of human organizations extensively.

        In this respect, connecting and engaging of intelligence/consciousness sources (individual and collective), organizing around intelligence, intelligence/ consciousness management, and the intelligent biotic macrostructure are mutually enhancing (towards higher coherency). Apparently, being intelligence/consciousness-centric is a beneficial and critical activator (strategic foundation) of the intelligence paradigmatic shift. In the present context, the roles and integration of intelligence, information and knowledge, as well as nurturing a ‘common’ language and elevating coherency in human organizations (with respect to the macro-structure and micro-structure, as well as their higher collectiveness — collectiveness capacity) must be more deeply scrutinized and utilized. The presence and significance of the individual intelligence enhancer encompassing three entities namely, intelligence, knowledge, and theory in the human thinking systems, and the necessity of nurturing a similar and effective intelligence enhancer at organizational level are analyzed. Subsequently, the supporting roles and contributions of artificial intelligence systems are also examined.

        In between the macro-structure and micro-structure are two meso-structures. In the intelligent organization theory, the complexity meso-structure encompasses spaces of complexity and punctuation points. In this respect, complexity is a highly significant focal point, and the exploitation of co-existence of order and complexity is a new necessity (complexity-centricity). Next, the network meso-structure encompassing complex network (network of networks) is also an inherent structure and dynamic in all human organizations. This meso-structure is briefly introduced, and will be more deeply analyzed with respect to governance (network-centricity, network governance).

        Hence, it is crucial to lead and manage human organizations with a strategic approach that integrates the above multi-layer structure/ dynamic at all time so that a higher structural capacity, collectiveness capacity, adaptive capacity, self-organizing capacity, and emergence-intelligence capacity can be nurtured. In the current highly competitive context, possessing these positive capabilities to elevate coherency and synergetic characteristics (including social consensus and the construal aspect) and dynamic is also highly crucial — a key focus of the complexity-intelligence strategy (towards achieving higher organizational mental cohesion). Hence, the significance and impact of nurturing intelligent human organizations with the complexity-intelligence-centric and network-centric approach that leads to the emergent of smarter evolvers and emergent strategists must be better understood and adopted. (The conceptual foundation on structural-dynamic coherency and synergy in intelligent human organizations developed in this chapter will be more deeply reviewed and exploited in later chapters.)

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        Chapter 6: Fundamentals of the Complexity-Intelligence Strategy

          The five earlier chapters introduced the basic foundation (co-existence of order and complexity, sensitive dependence on initial conditions, complexity <=> presence of in-determinism and unpredictability, necessities to change, the intelligence paradigmatic shift, structural reform, complex adaptive systems and dynamic, and some other fundamental and critical properties/characteristics involved) of the complexity theory and intelligent organization (IO) theory. This chapter introduces the global/holistic complexity-intelligence strategy (with two macro-paths) of the IO theory (although, some sub-strategies/models have been mentioned or partially analyzed in earlier chapters). The new strategy attempts to provide more comprehensive linkages and coverage on some specialized aspects indicating that human organizations must be led and managed differently in the current context because of high complexity density. In this chapter, three sub-strategies of the holistic complexity-intelligence strategy that is vital for nurturing highly intelligent human organizations (iCAS) are examined. They are namely, organizing around intelligence, nurturing an intelligent biotic macro-structure, and the integrated deliberate and emergent strategy.

          The intelligence/conscious-centricity aspect begins with a deeper analysis on human level intelligence and consciousness, complexity, collective intelligence, org-consciousness and their associated dynamics relative to that of some other biological species (swarm intelligence), as well as other physical complex adaptive systems (CAS) characteristics. It has been observed that human interconnectivity, interdependency, selforganizing communications, truthful engagement, complex networks, collective intelligence, orgmindfulness, orgmind, and emergence can be significantly dissimilar. The four different perspectives of organizing around intelligence are examined.

          Next, the intelligent biotic macro-structure (introduced earlier in Chapters 3 to 4) that resembles a highly intelligent biological being, and is more effective at exploiting information processing and knowledge accumulation, and a smarter evolver are more deeply scrutinized. There exists a high synchrony between organizing around intelligence and the presence of a biotic macro-structure. Thus, the advantages and significance for intelligent human organizations to possess such an inherent biotic macro-structure to better exploit certain biological and complexity associated characteristics and dynamics (including intelligence-intelligence linkage, complexity-centricity, complexity-intelligence linkage, more efficient natural decision-making node, information processing capability, learning and adaptation, knowledge acquisition and creation, organizational neural network, artificial node, and structural and dynamical coherency) to compete more effectively and efficiently in the current ‘raplexity’ context is also illustrated. In addition, the uniqueness and roles of artificial information systems (artificial nodes) is further examined.

          Finally, the integrated deliberate and emergent strategy is scrutinized with respect to its significant association with the co-existence of order (deliberate planning, determinism, completeness and predictability) and complexity (continuous nurturing processes, in-determinism, unpredictability, unknown unknowns, risk management, new opportunity, crisis management, self-transcending constructions, futuristic and emergence) — in particular, highlighting the criticality of the deliberate and emergent auto-switch (better ambidexterity). Currently, the holistic integrated smarter evolver and emergent strategist approach is absent in most human organizations.

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          Chapter 7: Human Agent-Agent/System Micro-Structure and Dynamic, and the Intelligent Person Model

            In this chapter, basic life-intelligence, and the evolution and co-evolution dynamics of eco-systems are further examined and compared to certain processes in human organizations. A special reference on human thinking systems as intelligence/consciousness sources, information decoders, information processors and complex adaptive systems (CAS) is re-emphasized. In addition, the significance of connectivity, communications, engagement, and orgmindfulness is analyzed with respect to the Abilene paradox, defensive routines and dialogue, as well as the human agent-agent/system micro-structure and micro-dynamic. The individual local self-centric (local self-enrichment processes) and the global orgcentric (global forces) evolutionary dynamics of intelligent human organizations (no global optimality) and their interacting agents (no optimal rationality) are investigated more explicitly with the exploitation of the certain complexity properties. It is observed that local order (stability of agents and networks/subsystem) is highly critical in human dynamic. It is beneficial to recognize that the intelligent complex adaptive dynamic (iCAD) driving an intelligent human organization (iCAS) is not similar to complex adaptive dynamic (CAD) in totality. This recognition provides a significant foundation and better understanding of the intelligent human organizational micro-structure and dynamic.

            Essentially, there is a vital need for the transformed mindset, thinking, values, and expectations of human agents (leaders, actors, and non-actors) to be better synchronized. The intelligent person model (an ideal set of attributes) is introduced to substantiate the criticality of new vital characteristics of the human interacting agents in intelligent human organizations. Primarily, intelligent persons (a new category of agents, in particular, intelligence leaders and synergists) are concurrently intelligence/consciousness-centric, complexity-centric and network-centric. The new set of attributes includes high self-powered, intrinsic leadership, information decoding, smarter evolver, emergent strategist, and futurist capabilities. For instance, such a person is in a better position to function as a smarter evolver and emergent strategist that helps to bind a group (network, community, corporation, nation) of human thinking systems more optimally by elevating the quality of collective intelligence in the organization through better mindfulness, orgmindfulness, symbiosis, self-transcending constructions, co-evolution; deeper recognition of the characteristics of the rugged landscape and red queen race; innovative exploitation of relativistic complexity, and possessing futuristic thinking. Apparently, the presence of intelligent persons/agents will lead to a redefinition in leadership and governance strategy.

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            Fundamentals of Intelligent Organization Theory

              The basic foundation of the intelligent organization theory is conceptualized in this chapter. The significance of intelligence and organizing around intelligence, intelligence management and the general biotic structure of an intelligent human organization and its benefits are further discussed. The roles of intelligence, information and language in a human organization are examined. The presence and necessity of nurturing an effective intelligence enhancer encompassing three entities, namely, intelligence, knowledge and theory in the human thinking systems is introduced. The concepts on the space of order and the space of complexity are also shared. Some fundamental aspects of the deliberate strategy and emergent strategy are further examined. The above concepts are developed with respect to the fact that the human minds and human organizations are nonlinear complex adaptive systems. Consequently, the intelligent organizations that emerge are smarter evolvers.

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              Intelligent Biotic and Complex Adaptive Structure of Human Organization

                In this chapter, the biotic/biological structure of an intelligent human organization is more deeply analyzed. Some fundamental characteristics of highly intelligent biological organisms and other complex adaptive systems are scrutinized and compared with human organizations as composite complex adaptive systems — organizational consciousness, orgmindfulness, collective intelligence, connectivity, engagement. It is crucial for intelligent human organizations to possess these biological and complexity associated characteristics. Structurally, a highly intelligent human organization should resemble a highly intelligent biological being. In particular, the characteristics and significance of consciousness, awareness, self-awareness, mindfulness, orgmindfulness, collective intelligence and quality connectivity are further examined with respect to nurturing the orgmind, intangible structure and physical structure in highly intelligent complex adaptive systems (iCAS).

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                Basic Intelligence Evolutionary Dynamic and the Intelligent Person Model

                  In this chapter, the intelligence-associated evolution and co-evolution dynamics of eco-systems are examined and compared to the processes of human organizations as stipulated in some existing organization theories. A special focus on businesses as complex adaptive systems is also included. The individual local self-centric and the global org-centric evolutionary dynamics of intelligent organizations and their interacting agents are more explicitly investigated. Subsequently, the intelligent person model is introduced to substantiate the needs to transform. How the intelligent person function as a smarter evolver helps to bind a group of human thinking systems and elevate the collective intelligence of the organization through mindfulness, orgmindfulness and co-evolution is also analyzed. (For better understanding, some concepts that are introduced earlier are further reinforced and better integrated in this chapter.)