Sane man !

Tuesday, July 12, 2005

Interesting chapter on companies in Six Degrees.

It discusses hierarchical networks in companies and how "looser" hierarchies with additional horizontal and vertical connecting links are much more able to cope with uncertainties and even random catastrophies: super-robustness.
This connectivity at all scales incurres a loss of productivity as the tasks are less specialised and from the communication cost for all the different actors. But this diminishes the costs of risk. This ties in with the problems of risk and how hard it is for the short-term sighted to take it into account materially...


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