1. Stafford Beer’s Viable System Model

2. 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

3. Features of the VSM Maximizes autonomy of units Minimizes bureaucracy
Maintains control of essential activities
Evaluates results more than methods

4. 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

5. 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

18. System One units and their environments
Operation
One A
One B
One C
Present
Environment
Local
Environ -
ment
Management

19. Repeat of the System One units with the addition of Systems Two, Three, and Three Star

20. System Four probing the future environment
All internal
functions
concerned
with the
future
Future
Environment
All relevant
developments
in the
environment
oriented
to the future

21. Relationships among Systems 3, 4, and 5

22. The Viable System Model
Operation
One A
One B
One C
Present
Environment
Local
Environ -
ment
men t
Management 3*
System 3 2
Future
System 5
System 4
The Viable System Model

23. The VSM applied to the Chilean economy
Industry A
Industry B C
Sector Comittee A
Ministry of Economics
CORFO / ODEPLAN
(National
planning
office )
National
for
statistics
and
census 1 2 3 4 5
Filtre
Sector Com.
Sector Co

24. Design of the algedonic feedback loop from the people to the government (Beer, 1981)

25. 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

26. 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