This book provides the conceptual framework and a comprehensive guide to the principles, methods and tools for managing organizations. The authors introduce “New Knowledge” by presenting a methodology, 'The Decalogue’, that portrays a genuinely systemic approach for managing complexity in organizations and Value Chains through focusing on the management of a leverage point called constraint (Theory of Constraints) and the understanding of variation (Theory of Profound Knowledge). This systemic approach leverages the intrinsic process and project-based nature of the work of organizations. Functional hierarchy is replaced by a network-like structure, driven by the goal of the system and governed by a new design of the organization called “Network of Projects”. The transition towards the Network of Projects requires a cognitive shift in the way we view and put to good use human talent and ingenuity as well as a powerful algorithm to orchestrate and synchronize individual competencies.
The authors discuss at length this algorithm, how the Theory of Constraints helps in the cognitive challenges of this shift and also how technology can be used fruitfully to assist with the operational implications. The target audience for this book is made up of leaders and managers of organizations as well as researchers and practitioners in the field of management and organizational design.