HEART OF THE ENTERPRISE : Stafford Beer - Book Review

To my mind, I have classified Organisational Development in 2 broad categories

1. OD dealing with structures systems and processes
2. OD dealing with behaviours and mindsets, anxieties, feelings etc.

Heart of the enterprise belongs to the first genre of OD. The question to my mind while reading the book is can genre 1 intervention be effective without the genre 2 interventions and even if we establish that both are required, the question like the chicken and egg riddle is what comes first.

Nevertheless, a genius can be ignored only at ones own expense and Stafford beer is truly genius par excellence, for what he sets out in the book is a model of viable system. Stafford Beer likes to call himself a cybernertician – a word first coined by Norbert wiener. He defines cybernetics as the art and science of effective management. Cybernetics also means “steersman ship” and since managers themselves have to steer the company through turbulent environment, the definition aptly reflects the role of Managers.

Part 1 of the book sets the tone by discussing the nature of systems and boundaries. The questions raised by the author are equally in the realm of management as in the realm of philosophy, psychology or cognition. Since a large part of systems and boundaries are a subjective phenomenon, the question again to my mind is the process of establishing an agreement on what those boundaries etc. are amongst the senior managers. On one hand a common language amongst managers helps in reaching agreements on common maps, but on the other hand the internal mindsets with its own sets of defensive routines seriously risks the ability to work through them.

The author goes on to state aphorisms axioms and principles, which do certainly enlighten the task of manager and by the end of Part 1 he establishes the role of Management Unit in the scheme of viable model. Looking at Managerial Task as variety handling through its operational element and environment by effectively designing suitable amplifiers and attenuators does provide looking at new ways of handling old problems. Being based in Mumbai, at one level of recursion, Railways could definitely look at handling local train traffic in this perspective.


Part 2 continues in the tradition of Part 1 where question such as what is freedom (computable function of systemic purpose as perceived) and what it is constraints are propounded. But more importantly this part unravels the levels of viable system. The author uses the aid of diagrams to explain these levels without which it is next to impossible to understand viable systems. Here I would want to mention the aspect of Level 5 which deals with closure. At an individual level, closure is provided by conscience, but at an organisational level, the collective conscience of the organization has to be agreed upon which helps the organization to be survival worthy. This is where Management meets philosophy, art meets science.

The effective functioning of viable system within the realms of organization is tackled in Part 3. Question of Measurements, Plans, Recursion and Identity are addressed. In Chapter 11 one of the most comprehensive definitions of Manager I have come across is stated. Having earlier read about Stafford Beers work, I myself have applied his concepts of measurement in my organisational context. The same is mentioned in my blog “

http://sellingretailsales.blogspot.com/2008/07/performance-measurement-application.html

The concept of recursion is also elaborated in this section where only through practice, one can effectively understand at what level of recursion one is operating. The recursion theory is definitely an aid in OD but to count on the book as a prescriptive tool will not help since it is possible that several recursions can be confused and only a larger reading of Stafford beer combined with practice and debate can enlighten the individual reader on recursion.

Section 3 ends with an elaborate exercise on identiy:a dilemma where sharing of mental maps are discussed. This is where the book for a brief interval looks at Genre 2 OD interventions and acknowledges that Managerial suitable style combined with suitable response are a prerequisite for effective Management interventions

I am glad that in Section 4, the author uses the example of a service industry(insurance) in using the viable model for diagnosis since throughout the book manufacturing examples were abundant but not service sectors.
The section deals with the implementation of viability in organisational context. Having myself worked in an insurance industry, I was able to relate with different functions at a more intimate level. At one level the example helps in clarifying all that is mentioned in the previous section, but at another level, more importantly it stimulates the reader to effectively design the viability for his own firm. The book would achieve its purpose if every reader could look at his own organisation from the model described.


Overall, the book is a challenging read for all those who venture, but is also enlightening to all those who have patience and want to work through complexity. Every chapter end with a fictional story “Later in the Bar” which is further aid to understand what has been read.

The question still that remains unanswered is “Can structures induce changes in behaviour that is lasting”. Well the genre 2 OD definitely would definitely answer no.

Nevertheless all models are only an aid to unravelling complexity and the closer the model is to the current realities the better it is. On that count Stafford beer’s Heart of the enterprise is truly an astounding work of art and science for no author has ever so beautifully combined various disciplines to provide its readers with a comprehensive understanding of Management. What also lends credence is that his understanding is backed by serious experiences which he has had in designing organizations.


I would want to end this review with a quote that ended the book and so this review
“Life is a process and not a justification”.