How complexity theory explains the future of work and governance

What makes this analysis compelling is its emphasis on organizational capability as a core economic lever. Technology alone doesn’t produce productivity gains—coordinated work patterns, institutional redesign, and adaptive skill architectures do. That’s where the real economic leverage sits, and this framework makes that relationship visible and actionable.

We need to talk and act more on the notion of post-growth. I've just come across “The Hidden Business Majority,” a great report by the Whooleloop Labs' consultant Jeni Miles and The London School of Economics and Political Science (LSE) associate professors Dario Krpan and Fred Basso. They provide insights on how more than 400 UK-based business professionals (quietly) support the general idea that our dominant economic paradigm, rooted in perpetual economic growth fueled by profit maximization, is fundamentally flawed. Instead, the majority of these professionals believe that businesses should prioritize societal well-being and ecological sustainability over profit maximization functions. The report is full of insights and key takeaways, but a critical and fresh insight is the gap between personal support of post-growth business practices and how much they believe their colleagues feel the same. While 86% of surveyed professionals showed support, and more than 90% believed business must align with Kate Raworth's doughnut economics, they estimated that only about 53% of colleagues are aligned with the idea. Professionals tend to overestimate their colleagues' opposition to these practices by nearly 6 times. As Jeni Miles puts it, when people perceive a topic as polarizing, they tend to speak nothing about it. But the report's results now challenge this view and invite us to speak and act more frequently and consistently on the subject. An additional striking result, particularly for me as an educator, is that higher education is linked to lower support for post-growth practices. The hypothesis is that formal educational systems reinforce the notion that profit maximization is the default purpose of business. With the leadership of Priscila Borin Claro, we have been changing that at Insper Instituto de Ensino e Pesquisa, as we embed planetary boundaries and systems thinking at the core of our teaching and transform sustainability into a core competence. Authors of the report will soon release a full academic paper with methodological details, and I can't wait to read it. The full report is here: https://lnkd.in/d7VaStxS

University Knowledge Exchange for Economic Growth: A Framework for Guiding Understanding and Evidencing Success! I. Defining economic growth Economic growth refers to increases in the size of the economy, often measured by Gross Domestic Product. Broader understandings now include: 1. Inclusive growth: fair distribution of benefits. 2. Sustainable growth: meeting current needs without harming future generations. 3. Resilient growth: preserving productive capacity, adapting to shocks, and enabling transformation. II. Drivers of growth 1. More people working and higher labour participation. 2. Greater productivity through efficient use of labour, capital, and resources 3. Inclusive, sustainable, and resilient growth requires balancing synergies and trade-offs among these priorities. III. A competitiveness lens on driving economic growth Competitiveness across sectors, places, and organisations underpins productivity and long-term prosperity. To drive growth, competitiveness must increase in: 1. Frontier industries creating transformative technologies. 2. Foundation industries providing essential inputs and infrastructure. 3. Legacy industries needing renewal to stay productive. 4. Public and third sectors enabling effective service delivery and workforce capacity. IV. Dimensions of competitiveness where university knowledge exchange contributes 1. Commercialising and scaling knowledge and technologies to generate wealth. 2. Supporting organisations to innovate, compete, and scale. 3. Enabling people to participate and engage productively. 4. Strengthening growth drivers and easing systemic bottlenecks. V. Towards indicators of success Indicators align with these four dimensions, tracking universities’ roles in: 1. Creating and commercialising new knowledge. 2. Enhancing competitiveness and productivity. 3. Expanding participation and workforce capability. 4. Strengthening the conditions that enable growth. Make sure to check out the insightful report by Tomas Coates Ulrichsen FRSA and Leonard Kelleher at Institute for Manufacturing (IfM), University of Cambridge here: https://lnkd.in/dv5Q9-PK _____ Stay Ahead of Transformative Innovation Follow The Futuring Alliance for regular insights, foresight, and practical tools to help your organization thrive in times of change. We support leaders across industries in turning future-focused ideas into real-world impact—through collaboration, innovation, and bold action. Let’s shape what’s next—together. #knowledge #university #policy #science #technology #innovation #foresight #system #systemschange #strategy #venturing #impact University of Cambridge

What does Philippe Aghion, this year's #Nobel laureate in Economics, have to say about staying resilient in bad times? With increased turbulence, delegating power can boost a firm’s chance of survival, says the professor of #economics at INSEAD, who won the distinguished award this year for his theory of growth through “creative destruction”. When the market is rife with uncertainty, decisions often need to be made in the blink of an eye. Aghion shows through his research that the impact of large downturns tend to be less dramatic for decentralised firms. When local managers have the most accurate and up-to-date information, they are best able to respond to evolving situations in a timely manner. #Empowerment is key. The Nobel Prize #CreativeDestruction #decentralisation #resilience https://lnkd.in/gwH7mz2d

86% of business leaders fear economic uncertainty. Fear leads to cost-cutting, which leads to turnover, which increases costs. I/O Psychologist break this cycle by proving that smart human capital investment is the ultimate cost-control measure. #EconomicUncertainty #SMBChallenges

86% of business leaders fear economic uncertainty. Fear leads to cost-cutting, which leads to turnover, which increases costs. I/O Psychologist break this cycle by proving that smart human capital investment is the ultimate cost-control measure. #EconomicUncertainty #SMBChallenges

86% of business leaders fear economic uncertainty. Fear leads to cost-cutting, which leads to turnover, which increases costs. I/O Psychologist break this cycle by proving that smart human capital investment is the ultimate cost-control measure. #EconomicUncertainty #SMBChallenges

Understanding Key Economic Concepts for Business Growth As leaders and professionals, it’s essential to understand the economics that drive every strategic business decision. Here are five important concepts simplified: 1️⃣ Diminishing Marginal Return When you keep adding one more unit of input (like labor or machinery) while keeping others constant, the additional output eventually starts decreasing. In simple terms — after a point, adding more workers doesn’t mean higher productivity. It helps us plan resource allocation efficiently. 2️⃣ Economies of Scale As production increases, the average cost per unit decreases. This happens due to better specialization, efficient use of equipment, and spreading fixed costs over larger output. It’s why large-scale operations often gain a cost advantage and competitive edge. 3️⃣ Diseconomies of Scale Beyond a certain size, growth can lead to inefficiencies — slower communication, complex coordination, and rising costs. This is called diseconomy of scale. It reminds organizations that scaling up must be balanced with agility and efficiency. 4️⃣ Fixed Cost These are costs that remain constant regardless of production volume — like rent, salaries, or equipment depreciation. Even if output stops temporarily, fixed costs continue. Managing them wisely ensures financial stability during low-demand periods. 5️⃣ Variable Cost These change directly with the level of output — like raw materials, fuel, or direct labor. They are flexible and directly impact profitability when production scales up or down. ⸻ 💡 Understanding these fundamentals helps leaders make smarter financial and operational decisions — balancing growth with sustainability. #Economics #Leadership #BusinessGrowth #Learning #Strategy #Operations #CostManagement #Tractors #Farmmachinery #Automotive #EV

There is a very interesting concept in Economics,known as Total Factor Productivity. Total Factor Productivity measures how efficiently all inputs (like labor, capital, and technology) are used together to produce output. If a company increases output without increasing inputs, that improvement comes from higher TFP. TFP captures things like innovation, efficiency, better management, worker motivation, or improved organization, not just more labor or machines. Arnold Harberger, a well-known economist from UCLA, once said there are “at least 1,001 ways” to improve TFP. His point was that productivity improvements can come from small, creative changes, not just large investments or new technologies. He gave this story: A clothing factory boss played background music in his factory and found that his seamstresses produced 20% more clothes, even though nothing else changed , not the number of workers, not their working hours, and not the machines