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2021 | Buch

Capital, Systems, and Objects

The Foundation and Future of Organizations

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This book provides a set of integrated frameworks—capital, systems, and objects—that transcend managerial or technology hype by focusing on the long-term fundamentals that sustain organizational success. Many organizations are currently addressing two important transformational issues: ecological sustainability and digitization. Sustainability is a goal, an end, and digitization is a process, a means to achieve a goal. This book introduces a flexible model that can be applied to current and future organizational challenges, including sustainability and digitization, because the fundamentals are constant.

This book is designed to serve two purposes for the readers: first, to present three conceptual foundations for designing and operating organizations (capital, systems, and objects in part 1); and second, to provide a reference source for implementing these ideas in an organization (parts 2 and 3). The first part of the book, chapters 1 through 7, sets forth the conceptual foundations. The chapters mix concepts and practical examples to give a new way of thinking about the setting in which one may work many days each year. The second part provides details and associated examples of every one of the thirty-six forms of capital conversion. It also illustrates how the five foundational systems support capital conversion in a variety of ways. Finally, the third part is about measuring capital and systems.

The book will resonate with practitioners and students of strategy, leadership, and organizational design. It is critical reading for leaders, industry experts, and general readers who want to understand how over thousands of years the capital creation system has developed today’s world and will fashion its future.

Inhaltsverzeichnis

Frontmatter

Capital Creation Systems

Frontmatter
Chapter 1. A Capital Idea
Abstract
Since life emerged, the earth has become a capital creation system. Capital creation has changed the face of the globe from a collection of rocks, gases, and water to an ensemble of forests, plains, cities, and other forms of capital.
Richard Thomas Watson
Chapter 2. The Organization as a Capital Creation System
Abstract
Human ingenuity over the millennia, and particularly in recent centuries, has developed methods for raising C′ that have transformed the quality of human life by creating a highly effective and efficient capital creation system. Organizations are the centers of innovation, because they import capital, convert it from one form to another (e.g., recruit human capital to develop an information system, a form of organizational capital), or enhance capital (e.g., educating recent graduates to market a new product) with the intention of generating capital outflows.
Richard Thomas Watson
Chapter 3. The Growth of the Capital Creation System
Abstract
Agriculture society was a catalyst for capital creation. Society became more structured because a degree of continuing leadership and organization is required for farming. Farmers were entrepreneurs.
Richard Thomas Watson
Chapter 4. Systems for Creating Capital
Abstract
Humans are a biologically evolved social species with advanced cognitive skills. While there are a number of social species, such as ants, humans are the most sophisticated in terms of creating societies. All species have some cognitive skills (e.g., a plant senses sunlight and orientates toward it), and some have very specialized skills (e.g., echolocation in bats).
Richard Thomas Watson
Chapter 5. Energy for Capital Creation
Abstract
Capital creation is dependent on energy. Thus, civilization has long sought to find ways of increasing energy efficiency in order to raise capital productivity. Eʹ is a critical input to the quality of human life.
Richard Thomas Watson
Chapter 6. Objects
Abstract
To a computer scientist, an object is something that can send and receive a set of standardized digital messages. Your maps app is an object. It can receive a message containing the latitude and longitude of your current location from a GPS app and then send a message to your map app to show your position on a map. Software is a collection of communicating objects, with each object performing a specialized function or coordinating the action of other objects through messaging.
Richard Thomas Watson
Chapter 7. The Future
Abstract
Forecasts of the future are often wildly wrong, so this chapter is short to avoid making too many errors.
Richard Thomas Watson

Capital Creation Mechanisms

Frontmatter
Chapter 8. Economic Capital
Abstract
When most people hear the word capital they usually think of economic capital and, in particular, its financial forms such as of cash, equities, and bonds. More broadly, economic capital also includes tangible assets, such as commercial buildings and factories.
Richard Thomas Watson
Chapter 9. Human Capital
Abstract
Human capital is the general health, skills, knowledge, and abilities of the population, a workforce, or an individual. “A country’s ability to improve its standard of living over time depends almost entirely on its ability to raise output per worker,” according to Nobel Prize–winning economist Paul Krugman.
Richard Thomas Watson
Chapter 10. Organizational Capital
Abstract
Organizational capital refers to the wide collection of resources that some label as intellectual capital. It is the knowledge, software, and methods that a firm can deploy to convert capital. It can be organized into databases, applications, procedures, and patents.
Richard Thomas Watson
Chapter 11. Natural Capital
Abstract
Natural capital is the earth’s endowment. Some of this bounty is finite, such as the different types of minerals, and some renewable, such as forests. Renewable resources are all powered directly or indirectly by solar energy, and they are a valuable annuity for all life on earth.
Richard Thomas Watson
Chapter 12. Social Capital
Abstract
Social capital is the set of relationships, shared values, culture, and context that support group cohesion, trust, and teamwork in a society or organization. At the personal level, it describes a person’s ability to benefit from personal connections. It might mean helping a friend in Uruguay connect with a contact in Atlanta to help explore a business opportunity in an emerging field.
Richard Thomas Watson
Chapter 13. Symbolic Capital
Richard Thomas Watson

Capital and Systems Measurement

Frontmatter
Chapter 14. Capital and Systems Measurement
Abstract
The measurement of performance is an essential feature of capital creation because management of a capital creation process requires knowing what was produced, the quality and value of the product, and what resources were consumed in the process.
Richard Thomas Watson
Chapter 15. The Measurement of Systems
Abstract
Systems are the engines of capital creation, and every organization should be very aware of the state of its critical systems. The emphasis in the prior chapter was on measuring outcomes, the capital created, and in this chapter attention is paid to assessing the processes that generate capital.
Richard Thomas Watson
Backmatter
Metadaten
Titel
Capital, Systems, and Objects
verfasst von
Richard Thomas Watson
Copyright-Jahr
2021
Verlag
Springer Singapore
Electronic ISBN
978-981-15-9418-2
Print ISBN
978-981-15-9417-5
DOI
https://doi.org/10.1007/978-981-15-9418-2

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