Thursday, March 24, 2022

Innercauseeffect

Digital companies or society today are not the "closed system" but the dynamic digital ecosystem which is complex, interrelated, and interconnected, full of opportunities and risks.

Contemporary companies or societies are getting more and more complex, we need to gain an in-depth understanding of numerous visible and invisible factors that perhaps influence the cycle of balance and growth. We can shape a people-centric society based on the realization of sameness and difference; process and flexibility, standardization and personalization. 

To deal with unprecedented uncertainty and complexity, data based cause-effect analysis provides partial fact, but even critically, follows a more humanistic approach and accepts this unpredictable, irrational human factor as the key element for addressing challenges, accelerating performance and unlocking collective potential.


Information-based analysis lets us see the real-time cause and effect of business’s actions and customers’ responses: Forward-looking organizations intend to build customer-centric organizations. Customer Experience is about all of these things; perceptions, emotions and relationships. Organizations that can leverage information to refine customer insight, understand people’s sentiment, are able to monitor customer behaviors and market conditions with greater certainty, analyze cause effects of business’s actions and customers’ responses, react to the dynamic marketing with speed and effectiveness, to differentiate themselves from their competition.

Information is the most intensive puzzle piece of innovation; quality data-based customer sentimental analysis leads service innovation which can optimize customer experience lifecycle based on personalization, targeted interactions & preferences, take a 360-degree view of customers, ultimately increasing customer loyalty by enhancing “Insight, Interaction, and improvement.” It's about understanding the business-customer interaction, deeply analyzing the cause-effect of business actions-responses, delivering on your brand promises and ensuring that what and who you say you are, shows up in how you deliver customer-tailored products or services consistently.

Cause-Effect analysis anticipates people-centric purpose but not until the organization as a system is actualized, can you really observe or manifest purpose: Every organization is a purposeful system. Compared to the traditional organization as the mechanical system, digital organizations today are like the organic living system which keeps evolving to adapt to business dynamics. To deal with business “VUCA” reality, unlock organizational performance and achieve business purpose, the cause-effect analysis does have to rely on different levels of abstraction models, depending on complexity, you can adjust the level of abstraction by applying inductive through deductive logic, fine tune organizational system to fit its purpose.

There are numerous interdependent and interactive elements in the organizational system such as the human, software, logic abstraction, and the business environment. The linear cause and effect logic is applicable depending on the entity under evaluation, both man-made and natural environmental risks. However, the speed of change is increasing and business events keep emerging, in many cases, multi-sequential adverse event propagation is applicable for organizational systems. Logic, intelligence, creativity is often nonlinear and multidimensional nowadays. The multi-thread management involves manifesting business purposes, aligns initiatives, talent, resources, to build a set of core competencies and improves people-centricity.

The cause-effect of the problem is not always linear, a small effect in one place can cause a cascade of events that produce a nonlinear big impact: Digital organization or organization is dynamic and complex, the degree of business responsiveness depends on how business subsystems interact with each other, and those interactions can be nonlinear, technical, informational, or human. There are frictions or misalignment between subsystems, to solve problems large or small, it is perhaps important to find the pain spot of the organization. Data only does not give you the full insight and understanding to the true nature of a problem; it’s not so effective to use linear logic to understand highly complex, nonlinear cause-effect relationship scenarios to solve complex business problems. But understanding human dynamics, systems and relationships does.

The very natural attempt of humans to take the very powerful techniques of linear mathematics or logic and apply it to the world very quickly, come up against insurmountable difficulties for solving complex problems today. Prevention is superior to solving problems. There is interconnectivity and many potential options in a complex system, a small effect in one place can cause a cascade of events that generate significant impact. The predictive “cause and effect” in system dynamics can include nonlinear cause and effect models, and develop nonlinear business problem-solving scenarios. 

Digital companies or society today are not the "closed system" but the dynamic digital ecosystem which is complex, interrelated, and interconnected, full of opportunities and risks. The way to change modern society is to modify our individual, group, and collective practices so that they facilitate both the development of fellow citizens and the functioning of collectivity, always seek fresh ideas, explore new opportunities, orchestrate mass collaboration and drive collective progress.

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