WHAT IS COMPLEXITY? There are numerous definitions, interpretations, and academic theories associated with the study of organizational complexity. In this book and for simplicity's sake, we shall define complexity as arising from the inter-relationship, interaction, and interconnectivity of elements or processes within an organization or system and between a system and its environment. Complexity is the opposite of simplicity. Complexity is simplicity that has failed. There is a simpler way of doing most things if there is a desire and motivation to look for it. But simplicity rarely happens on its own. There is always the possibility that there is no simple way of doing something. Even if there isn't, it is always worth the effort to find out. However, the simpler method is not easy. It requires creative thinking, effort, and analysis. It is always difficult to find a simpler method. But when organizations provide the tools to conduct business in a simpler fashion, there is always recognition that a substantial event has occurred. Below is a set of eight general rules that define a process for reducing complexity in business. -
Management must support the initiative. This is an obvious rule, but senior management must support and provide adequate resources, personnel, and time to make the project a success. Complexity reduction is a new process that may be unfamiliar to management. Therefore it will need a senior person as its champion. -
Determination to succeed. The project team and the individuals on that team must be motivated to succeed. Clear guidelines for expectations, roles, milestones, and recommendations must be identified and agreed upon. -
Understanding and knowledge. The team of individuals needs to be selected on the basis of their knowledge of and experience in the areas or processes under review for complexity reduction. If a process is to undergo complexity reduction, the team must be knowledgeable about the process to be successful. But they must have the motivation to make things simpler. -
Flexibility, options, and design. The keyword for this rule is design. In order to make simpler and more effective business processes, analysis of the options and alternatives is required to reduce the stated complexity. Teams should present several options that provide flexibility in the solution. -
Challenge everything. There is a rule that everything needs to be challenged. Teams need to dig deep in the pile and evaluate the need for every process or business area. This can often be difficult, as other managers will offer significant resistance to any challenge. Turf battles often result from the quest for simplicity. Systems have a tendency to grow increasingly complicated, and there is no effort to simplify them. -
Decomposition. Complexity can be effectively understood and often reduced when processes are broken down in to smaller, more manageable segments. This is the process of decomposition. Decomposition also clarifies thinking and will illustrate the complexity already in place. -
Best of breed solution. Teams need to recommend the best and simplest solution that will work for the business process. In presenting such a solution, the process by which it was arrived at must be documented, and a business case must be created, explaining potential reductions in costs, reduced timescales, and the like. The solution needs to be "defensible," as many managers will wish to see it fail. Determination and preparation for this event will help it to succeed through to implementation. -
Continuous effort in reducing complexity. Reducing business complexity is not just a one-time effort. There is a defined need to make it a continuous program with the resources and necessary funding to take on future projects. If this does not happen, complexity will creep back into the enterprise, and soon everything will be back to square one. Future new projects should undergo a simplicity review and have representatives that can assist other project teams to be successful. Spread the word on simplicity, and make complexity reduction a part of corporate culture. Consider Figure 2.1. This structure can be described as follows: -
Simple work management and coordination: Business processes, project tasks, and technology are not new to the organization. Decision maker is known and has authority. Work is mainly coordinating resources and communicating progress. -
Complex work management and coordination: Business process design is nontrivial, or new project management methods or technology are in use. Project requires multidisciplined resources with multiple work assignments. Secondary levels of managers are needed to oversee complex business process designs, technology platforms, or workgroups. -
Complex work and relationship management: Project requires coordination and relationship management (negotiation of common understandings, agendas, and decisions among business process owners or unit managers). This style also is required when contractors do complex work. -
All frontier projects: Work is targeted at a new business domain or a new technology area where the methodologies are unknown and unproven. Project management must be developed, monitored, and adjusted as the project is being conducted. Figure 2.1. A diagram to illustrate the different work domains and their associated complexity levels. 
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