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Tiberius Brastaviceanu

James Grier Miller, Living Systems (1978) - 0 views

  • reality as an integrated hierarchy of organizations of matter and energy
  • General living systems theory is concerned with a special subset of all systems, the living ones
  • a space is a set of elements which conform to certain postulate
  • ...266 more annotations...
  • s. Euclidean space
  • metric space
  • topological space
  • Physical space is the extension surrounding a point
  • My presentation of a general theory of living systems will employ two sorts of spaces in which they may exist, physical or geographical space and conceptual or abstracted spaces
  • Physical or geographical space
  • Euclidean space
  • distance
  • moving
  • maximum speed
  • objects moving in such space cannot pass through one another
  • friction
  • The characteristics and constraints of physical space affect the action of all concrete systems, living and nonliving.
  • information can flow worldwide almost instantly
  • Physical space is a common space
  • Most people learn that physical space exists, which is not true of many spaces
  • They can give the location of objects in it
  • Conceptual or abstracted spaces
  • Peck order
  • Social class space
  • Social distance
  • Political distance
  • life space
  • semantic space
  • Sociometric space
  • A space of time costs of various modes of transportation
  • space of frequency of trade relations among nations.
  • A space of frequency of intermarriage among ethnic groups.
  • These conceptual and abstracted spaces do not have the same characteristics and are not subject to the same constraints as physical space
  • Social and some biological scientists find conceptual or abstracted spaces useful because they recognize that physical space is not a major determinant of certain processes in the living systems they study
  • interpersonal relations
  • one cannot measure comparable processes at different levels of systems, to confirm or disconfirm cross-level hypotheses, unless one can measure different levels of systems or dimensions in the same spaces or in different spaces with known transformations among them
  • It must be possible, moreover, to make such measurements precisely enough to demonstrate whether or not there is a formal identity across levels
  • fundamental "fourth dimension" of the physical space-time continuum
  • is the particular instant at which a structure exists or a process occurs
  • or the measured or measurable period over which a structure endures or a process continues.
  • durations
  • speeds
  • rates
  • accelerations
  • irreversible unidirectionality of time
  • thermodynamics
  • negentropy
  • "time's arrow."
  • Matter and energy
  • Matter is anything which has mass (m) and occupies physical space.
  • Energy (E) is defined in physics as the ability to do work.
  • kinetic energy
  • potential energy
  • rest mass energy
  • Mass and energy are equivalent
  • Living systems need specific types of matter-energy in adequate amounts
  • Energy for the processes of living systems is derived from the breakdown of molecules
  • Any change of state of matter-energy or its movement over space, from one point to another, I shall call action.
  • It is one form of process.
  • information (H)
  • Transmission of Information
  • Meaning is the significance of information to a system which processes it: it constitutes a change in that system's processes elicited by the information, often resulting from associations made to it on previous experience with it
  • Information is a simpler concept: the degrees of freedom that exist in a given situation to choose among signals, symbols, messages, or patterns to be transmitted.
  • The set of all these possible categories (the alphabet) is called the ensemble or repertoire
  • .) The unit is the binary digit, or bit of information
  • . The amount of information is measured as the logarithm to the base 2 of the number of alternate patterns
  • Signals convey information to the receiving system only if they do not duplicate information already in the receiver. As Gabor says:
  • [The information of a message can] be defined as the 'minimum number of binary decisions which enable the receiver to construct the message, on the basis of the data already available to him.'
  • meaning cannot be precisely measured
  • Information is the negative of uncertainty.
  • information is the amount of formal patterning or complexity in any system.
  • The term marker was used by von Neumann to refer to those observable bundles, units, or changes of matter-energy whose patterning bears or conveys the informational symbols from the ensemble or repertoire.
  • If a marker can assume n different states of which only one is present at any given time, it can represent at most log2n bits of information. The marker may be static, as in a book or in a computer's memory
  • Communication of almost every sort requires that the marker move in space, from the transmitting system to the receiving system, and this movement follows the same physical laws as the movement of any other sort of matter-energy. The advance of communication technology over the years has been in the direction of decreasing the matter-energy costs of storing and transmitting the markers which bear information.
  • There are, therefore, important practical matter-energy constraints upon the information processing of all living systems exerted by the nature of the matter-energy which composes their markers.
  • organization is based upon the interrelations among parts.
  • If two parts are interrelated either quantitatively or qualitatively, knowledge of the state of one must yield some information about the state of the other. Information measures can demonstrate when such relationships exist
  • The disorder, disorganization, lack of patterning, or randomness of organization of a system is known as its entropy (S)
  • the statistical measure for the negative of entropy is the same as that for information
  • entropy becomes a measure of the probability
  • Increase of entropy was thus interpreted as the passage of a system from less probable to more probable states.
  • according to the second law, a system tends to increase in entropy over time, it must tend to decrease in negentropy or information.
  • therefore no principle of the conservation of information
  • The total information can be decreased in any system without increasing it elsewhere
  • but it cannot be increased without decreasing it elsewhere
  • . Making one or more copies of a given informational pattern does not increase information overall, though it may increase the information in the system which receives the copied information.
  • transforms information into negative entropy
  • smallest possible amount of energy used in observing one bit of information
  • calculations of the amount of information accumulated by living systems throughout growth.
  • the concept of Prigogine that in an open system (that is one in which both matter and energy can be exchanged with the environment) the rate of entropy production within the system, which is always positive, is minimized when the system is in a steady state.
  • in systems with internal feedbacks, internal entropy production is not always minimized when the system is in a stationary state. In other words, feedback couplings between the system parameters may cause marked changes in the rate of development of entropy. Thus it may be concluded that the "information flow" which is essential for this feedback markedly alters energy utilization and the rate of development of entropy, at least in some such special cases which involve feedback control. While the explanation of this is not clear, it suggests an important relationship between information and entropy
  • amount of energy actually required to transmit the information in the channel is a minute part of the total energy in the system, the "housekeeping energy" being by far the largest part of it
  • In recent years systems theorists have been fascinated by the new ways to study and measure information flows, but matter-energy flows are equally important. Systems theory is more than information theory, since it must also deal with energetics - such matters as
  • the flow of raw materials through societies
  • Only a minute fraction of the energy used by most living systems is employed for information processing
  • I have noted above that the movement of matter-energy over space, action, is one form of process. Another form of process is information processing or communication, which is the change of information from one state to another or its movement from one point to another over space
  • Communications, while being processed, are often shifted from one matter-energy state to another, from one sort of marker to another
  • transformations go on in living systems
  • One basic reason why communication is of fundamental importance is that informational patterns can be processed over space and the local matter-energy at the receiving point can be organized to conform to, or comply with, this information
  • the delivery of "flowers by telegraph."
  • Matter-energy and information always flow together
  • Information is always borne on a marker
  • . Conversely there is no regular movement in a system unless there is a difference in potential between two points, which is negative entropy or information
  • If the receiver responds primarily to the material or energic aspect, I shall call it, for brevity, a matter-energy transmission; if the response is primarily to the information, I shall call it an information transmission
  • Moreover, just as living systems must have specific forms of matter-energy, so they must have specific patterns of information
  • example
  • example
  • develop normally
  • have appropriate information inputs in infancy
  • pairs of antonyms
  • one member of which is associated with the concept of information (H)
  • the other member of which is associated with its negative, entropy (S)
  • System
  • A system is a set of interacting units with relationships among them
  • .The word "set" implies that the units have some common properties. These common properties are essential if the units are to interact or have relationships. The state of each unit is constrained by, conditioned by, or dependent on the state of other units. The units are coupled. Moreover, there is at least one measure of the sum of its units which is larger than the sum of that measure of its units.
  • Conceptual system
  • Units
  • terms
  • Relationships
  • a set of pairs of units, each pair being ordered in a similar way
  • expressed by words
  • or by logical or mathematical symbols
  • operations
  • The conceptual systems of science
  • observer
  • selects
  • particular sets to study
  • Variable
  • Each member of such a set becomes a variable of the observer's conceptual system
  • conceptual system may be loose or precise, simple or elaborate
  • Indicator
  • an instrument or technique used to measure fluctuations of variables in concrete systems
  • Function
  • a correspondence between two variables, x and y, such that for each value of x there is a definite value of y, and no two y's have the same x, and this correspondence is: determined by some rule
  • Any function is a simple conceptual system
  • Parameter
  • An independent variable through functions of which other functions may be expressed
  • The state of a conceptual system
  • the set of values on some scale, numerical or otherwise, which its variables have at a given instant
  • Formal identity
  • variables
  • varies comparably to a variable in another system
  • If these comparable variations are so similar that they can be expressed by the same function, a formal identity exists between the two systems
  • Relationships between conceptual and other sorts of systems
  • Science advances as the formal identity or isomorphism increases between a theoretical conceptual system and objective findings about concrete or abstracted systems
  • A conceptual system may be purely logical or mathematical, or its terms and relationships may be intended to have some sort of formal identity or isomorphism with units and relationships empirically determinable by some operation carried out by an observer
  • Concrete system
  • a nonrandom accumulation of matter-energy, in a region in physical space-time, which is organized into interacting interrelated subsystems or components.
  • Units
  • are also concrete systems
  • Relationships
  • spatial
  • temporal
  • spatiotemporal
  • causal
  • Both units and relationships in concrete systems are empirically determinable by some operation carried out by an observer
  • patterns of relationships or processes
  • The observer of a concrete system
  • distinguishes a concrete system from unorganized entities in its environment by the following criteria
  • physical proximity of its units
  • similarity of its units
  • common fate of its units
  • distinct or recognizable patterning of its units.
  • Their boundaries are discovered by empirical operations available to the general scientific community rather than set conceptually by a single observer
  • Variable of a concrete system
  • Any property of a unit or relationship within a system which can be recognized by an observer
  • which can potentially change over time, and whose change can potentially be measured by specific operations, is a variable of a concrete system
  • Examples
  • number of its subsystems or components, its size, its rate of movement in space, its rate of growth, the number of bits of information it can process per second, or the intensity of a sound to which it responds
  • A variable is intrasystemic
  • not to be confused with intersystemic variations which may be observed among individual systems, types, or levels.
  • The state of a concrete system
  • its structure
  • represented by the set of values on some scale which its variables have at that instant
  • Open system
  • Most concrete systems have boundaries which are at least partially permeable, permitting sizable magnitudes of at least certain sorts of matter-energy or information transmissions to pass them. Such a system is an open system. In open systems entropy may increase, remain in steady state, or decrease.
  • Closed system
  • impermeable boundaries through which no matter-energy or information transmissions of any sort can occur is a closed system
  • special case
  • No actual concrete system is completely closed
  • In closed systems, entropy generally increases, exceptions being when certain reversible processes are carried on which do not increase it. It can never decrease.
  • Nonliving system
  • the general case of concrete systems, of which living systems are a very special case. Nonliving systems need not have the same critical subsystems as living systems, though they often have some of them
  • Living system
  • a special subset of the set of all possible concrete systems
  • They all have the following characteristics:
  • open systems
  • inputs
  • throughputs
  • outputs
  • of various sorts of matter-energy and information.
  • maintain a steady state of negentropy even though entropic changes occur in them as they do everywhere else
  • by taking in inputs
  • higher in complexity or organization or negentropy
  • than their outputs
  • The difference permits them to restore their own energy and repair breakdowns in their own organized structure.
  • In living systems many substances are produced as well as broken down
  • To do this such systems must be open and have continual inputs of matter-energy and information
  • entropy will always increase in walled-off living systems
  • They have more than a certain minimum degree of complexity
  • They either contain genetic material composed of deoxyribonucleic acid (DNA)
  • or have a charter
  • blueprint
  • program
  • of their structure and process from the moment of their origin
  • may also include nonliving components.
  • They have a decider, the essential critical sub-system which controls the entire system, causing its subsystems and components to interact. Without such interaction under decider control there is no system.
  • other specific critical sub-systems or they have symbiotic or parasitic relationships with other living or nonliving systems
  • Their subsystems are integrated together to form actively self-regulating, developing, unitary systems with purposes and goals
  • They can exist only in a certain environment
  • change in their environment
  • produces stresses
  • Totipotential system
  • capable of carrying out all critical subsystem processes necessary for life is totipotential
  • Partipotential system
  • does not itself carry out all critical subsystem processes is partipotential
  • A partipotential system must interact with other systems that can carry out the processes which it does not, or it will not survive
  • parasitic
  • symbiotic
    • Tiberius Brastaviceanu
       
      The Exchange fime is a symbiotic system to SENSORICA
  • Fully functioning system
  • when it
  • Partially functioning system
  • it must do its own deciding, or it is not a system
  • Abstracted system
  • Units
  • relationships abstracted or selected by an observer in the light of his interests, theoretical viewpoint, or philosophical bias.
  • Some relationships may be empirically determinable by some operation carried out by the observer, but others are not, being only his concepts
  • Relationships
  • The relationships mentioned above are observed to inhere and interact in concrete, usually living, systems
  • these concrete systems are the relationships of abstracted systems.
  • The verbal usages of theoretical statements concerning abstracted systems are often the reverse of those concerning concrete systems
  • An abstracted system differs from an abstraction, which is a concept
  • representing a class of phenomena all of which are considered to have some similar "class characteristic." The members of such a class are not thought to interact or be interrelated, as are the relationships in an abstracted system
  • Abstracted systems are much more common in social science theory than in natural science.
  • are oriented toward relationships rather than toward the concrete systems
  • spatial arrangements are not usually emphasized
  • their physical limits often do not coincide spatially with the boundaries of any concrete system, although they may.
  • important difference between the physical and biological hierarchies, on the one hand, and social hierarchies, on the other
  • Most physical and biological hierarchies are described in spatial terms
  • we propose to identify social hierarchies not by observing who lives close to whom but by observing who interacts with whom
  • intensity of interaction
  • in most biological and physical systems relatively intense interaction implies relative spatial propinquity
  • To the extent that interactions are channeled through specialized communications and transportation systems, spatial propinquity becomes less determinative of structure.
    • Tiberius Brastaviceanu
       
      This is the case of SENSORICA, built on web-based communication and coordination tools. 
  • PARSONS
  • the unit of a partial social system is a role and not the individual.
  • culture
  • cumulative body of knowledge of the past, contained in memories and assumptions of people who express this knowledge in definite ways
  • The social system is the actual habitual network of communication between people.
  • RUESCH
  • A social system is a behavioral system
  • It is an organized set of behaviors of persons interacting with each other: a pattern of roles.
  • The roles are the units of a social system
    • Tiberius Brastaviceanu
       
      That is why we need a role system in SENSORICA
  • On the other hand, the society is an aggregate of social subsystems, and as a limiting case it is that social system which comprises all the roles of all the individuals who participate.
  • What Ruesch calls the social system is something concrete in space-time, observable and presumably measurable by techniques like those of natural science
  • To Parsons the system is abstracted from this, being the set of relationships which are the form of organization. To him the important units are classes of input-output relationships of subsystems rather than the subsystems themselves
  • system is a system of relationship in action, it is neither a physical organism nor an object of physical perception
  • evolution
  • differentiation
  • growth
  • from earlier and simpler forms and functions
  • capacities for specializations and gradients
  • [action] is not concerned with the internal structure of processes of the organism, but is concerned with the organism as a unit in a set of relationships and the other terms of that relationship, which he calls situation
  • Abstracted versus concrete systems
  • One fundamental distinction between abstracted and concrete systems is that the boundaries of abstracted systems may at times be conceptually established at regions which cut through the units and relationships in the physical space occupied by concrete systems, but the boundaries of these latter systems are always set at regions which include within them all the units and internal relationships of each system
  • A science of abstracted systems certainly is possible and under some conditions may be useful.
  • If the diverse fields of science are to be unified, it would be helpful if all disciplines were oriented either to concrete or to abstracted systems.
  • It is of paramount importance for scientists to distinguish clearly between them
Tiberius Brastaviceanu

If not Global Captalism - then What? - 0 views

  • I posit an optimistic view of the potential for Society from the emergence of a new and “Open” form of Capitalism.
  • Open Capital
  • the concept of “Open” Capital is “so simple…. it repels the mind".
  • ...162 more annotations...
  • Open Capital is defined as “a proportional share in an enterprise for an indeterminate time”
  • ‘Enterprise’ is defined as ‘any entity within which two or more individuals create, accumulate or exchange Value”.
  • Value is to Economics as Energy and Matter are to Physics.
  • The Metaphysics Of Value
  • division between “subject” and “object”.
  • primary reality is “Quality”
  • formless and indefinable
  • not a “thing”
  • a non-intellectual awareness or “pre-intellectual reality”
  • but an event at which the subject becomes aware of the object and before he distinguishes it
  • Quality is the basis of both subject and object
  • distinguish between “Static” and “Dynamic” Quality
  • treating Value as a form of “Quality” as envisioned by Pirsig.
  • Riegel
  • defined “Value” as “ the Relativity of Desire” again implying indeterminacy.
  • Pirsig’s approach Capital may be viewed as “Static” Value and Money as “Dynamic” Value. “Transactions” are the “events” at which individuals (Subjects) interact with each other or with Capital (both as Objects) to create forms of Value and at which “Value judgments” are made based upon a “Value Unit”.
  • The result of these Value Events /Transactions is to create subject/object pairings in the form of data ie Who “owns” or has rights of use in What,
  • at what Price
  • accounting data
  • Neo-Classical” Economics confuses indeterminate Value with a market– determined Price –
  • Data may be static
  • This Data identifies the subject with objects such as tangible ‘Material Value’
  • Data may itself constitute ‘Intellectual Value’
  • It, too, may then be defined in a subject/object pairing through the concept of “intellectual property”.
  • Other forms of Value are however not definable by data:
  • “sentimental” Value
  • Emotional Value’
  • 'Spiritual Value’
  • We may therefore look at the “transaction” or “value event” in a new light.
  • The creation and circulation of Value essentially comprises the concept we know of as “Money”.
  • Money / Dynamic Value
  • “The purpose of money is to facilitate barter by splitting the transaction into two parts, the acceptor of money reserving the power to requisition value from any trader at any time
  • money
  • value unit dissociated from any object
  • monetary unit
  • the basis relative to which other values may be expressed
  • The monetary process is a dynamic one involving the creation and recording of obligations as between individuals and the later fulfilment of these obligations
  • The monetary “Value Event”/ Transaction involves the creation of “Credit”
  • obligation to provide something of equivalent Value at a future point in time.
  • These obligations may be recorded on transferable documents
  • database of “Credit”/obligations is not Money, but temporary “Capital”
  • “Working Capital”
  • Static Value – which only becomes “Money”/ Dynamic Value when exchanged in the transitory Monetary process.
  • what we think of as Money is in fact not tangible “cash” but rather
  • the flow of data between databases of obligations maintained by Credit Institutions
  • or dynamic
  • Banks literally “loan” Money into existence
  • In exchange for an obligation by an Individual to provide to the Bank something of Value
  • Bank’s obligation is merely to provide another obligation at some future time
  • These Bank-issued obligations are therefore
  • claim upon a claim upon Value
  • The true source of Credit is the Individual, not the intermediary Bank
  • this Money they create from nothing despite the fact that it is literally Value-less
  • Thus there is no true sharing of Risk and Reward involved in Lending
  • issue in relation to Credit/Debt and this relates to the nature of Lending itself.
  • the practice of Lending involves an incomplete exchange in terms of risk and reward: a Lender, as opposed to an Investor, has no interest in the outcome of the Loan, and requires the repayment of Principal no matter the ability of the Borrower to repay.
  • Ethical problem
    • Tiberius Brastaviceanu
       
      "The Lender has no interest in the outcome of the loan", i.e doesn't care what happens in the end. The Lender ins not interested in the economical outcome of the Lender-Loner relation. So in fact there is no real risk sharing. the only risk for the Lender is when the Loner doesn't pay back, which is not really a risk... In fact it is a risk for the small bank, who has to buy money from the central bank, but not for the central bank. 
  • Money is not
  • an “Object” circulating but rather a dynamic process of Value creation and exchange by reference to a “Value Unit”.
  • Capital/ Static Value
  • Capital represents the static accumulation of Value
  • Some forms of Capital are “productive”
  • An ethical question
  • in relation to Productive Capital relates to the extent of “property rights” which may be held over it thereby allowing individuals to assert “absolute” permanent and exclusive ownership - in particular in relation to Land
  • our current financial system is based not upon Value but rather a claim upon Value
  • Financial Capital consists of two types:
  • “Debt”
  • “Equity”
  • Interest
  • obligations of finite/temporary duration but with no participation in the assets or revenues
  • absolute and permanent ownership/participation (without obligation) in assets and revenues
  • discontinuity between Debt and Equity
  • at the heart of our current problems as a Society
  • The Enterprise
  • ‘Charitable’ Enterprise
  • ‘Social’ Enterprise
  • Value
  • exchanged in agreed proportions;
  • Value is exchanged for the Spiritual and Emotional Value
  • ‘Commercial’ Enterprise
  • ‘closed’
  • Value are exchanged between a limited number of individuals
  • Early enterprises were partnerships and unincorporated associations
  • need for institutions which outlived the lives of the Members led to the development of the Corporate body with a legal existence independent of its Members
  • The key development in the history of Capitalism was the creation of the ‘Joint Stock’ Corporate with liability limited by shares of a ‘Nominal’ or ‘Par’ value
  • over the next 150 years the Limited Liability Corporate evolved into the Public Limited Liability Corporate
  • Such “Closed” Shares of “fixed” value constitute an absolute and permanent claim over the assets and revenues of the Enterprise to the exclusion of all other “stakeholders” such as Suppliers, Customers, Staff, and Debt Financiers.
  • The latter are essentially ‘costs’ external to the
  • owners of the Enterprise
  • maximise ‘Shareholder Value’
  • There is a discontinuity/ fault-line within the ‘Closed’ Corporate
  • It has the characteristics of what biologists call a ‘semi-permeable membrane’ in the way that it allows Economic Value to be extracted from other stakeholders but not to pass the other way.
    • Tiberius Brastaviceanu
       
      It is a way to extract value from productive systems. It is a system of exploitation. 
  • Capital most certainly is and always has been - through the discontinuity (see diagram) between:‘Fixed’ Capital in the form of shares ie Equity; and ‘Working’ Capital in the form of debt finance, credit from suppliers, pre-payments by customers and obligations to staff and management.
  • irreconcilable conflict between Equity and Debt
  • xchange of Economic Value in a Closed Corporate is made difficult and true sharing of Risk and Reward is simply not possible
  • No Enterprise Model has been capable of resolving this dilemma. Until now.
  • Corporate Partnerships with unlimited liability
  • mandatory for partnerships with more than 20 partners to be incorporated
  • in the USA
  • it is the normal structure for professional partnerships
  • Limited Liability Partnerships
  • In the late 1990's
  • litigation
  • The UK LLP is supremely simple and remarkably flexible.
  • All that is needed is a simple ‘Member Agreement’ – a legal protocol which sets out the Aims, Objectives. Principles of Governance, Revenue Sharing, Dispute Resolution, Transparency and any other matters that Members agree should be included. Amazingly enough, this Agreement need not even be in writing, since in the absence of a written agreement Partnership Law is applied by way of default.
  • The ease of use and total flexibility enables the UK LLP to be utilised in a way never intended – as an ‘Open’ Corporate partnership.
  • ‘Open’ Corporate Partnership
  • concepts which characterise the ‘Open’ Corporate Partnership
  • it is now possible for any stakeholder to become a Member of a UK LLP simply through signing a suitably drafted Member Agreement
  • ‘Open’
  • supplier
  • employee
  • may instead become true Partners in the Enterprise with their interests aligned with other stakeholders.
    • Tiberius Brastaviceanu
       
      Can SENSORICA be a UK LLP?
  • no profit or loss in an Open Corporate Partnership, merely Value creation and exchange between members in conformance with the Member Agreement.
  • Proportional shares
  • in an Enterprise constitute an infinitely divisible, flexible and scaleable form of Capital capable of distributing or accumulating Value organically as the Enterprise itself grows in Value or chooses to distribute it.
  • Emergence of “Open” Capital
  • example of how ‘Temporary Equity’ may operate in practice
  • The Open Capital Partnership (“OCP”)
  • Within the OCP Capital and Revenue are continuous: to the extent that an Investee pays Rental in advance of the due date he becomes an Investor.
  • Open Capital – a new Asset Class
  • create a new asset class of proportional “shares”/partnership interests
  • in Capital holding OCP’s
  • Property Investment Partnerships (“PIP’s”)
  • Open Corporate Partnerships as a Co-operative Enterprise model
  • A Co-operative is not an enterprise structure: it is a set of Principles that may be applied to different types of enterprise structure.
  • Within a Partnership there is no “Profit” and no “Loss”.
  • Partnerships
  • mutual pursuit of the creation and exchange of Value
  • Partners do not compete with each othe
  • the crippling factors in practical terms have been, inter alia: the liability to which Member partners are exposed from the actions of their co-partners on their behalf; limited ability to raise capital.
  • they favour the interests of other stakeholders, are relatively restricted in accessing investment; are arguably deficient in incentivising innovation.
  • The ‘new’ LLP was expressly created to solve the former problem by limiting the liability of Member partners to those assets which they choose to place within its protective ‘semi-permeable membrane’
  • However, the ability to configure the LLP as an “Open” Corporate permits a new and superior form of Enterprise.
  • it is possible to re-organise any existing enterprise as either a partnership or as a partnership of partnerships.
  • the revenues
  • would be divided among Members in accordance with the LLP Agreement. This means that all Members share a common interest in collaborating/co-operating to maximise the Value generated by the LLP collectively as opposed to competing with other stakeholders to maximise their individual share at the other stakeholders’ expense.
  • facilitate the creation of LLP’s as “Co-operatives of Co-operatives”.
  • he ‘Commercial’ Enterprise LLP – where the object is for a closed group of individuals to maximise the value generated in their partnership. There are already over 7,000 of these.
    • Tiberius Brastaviceanu
       
      Can SENSORICA be one of these?
  • the Profit generated in a competitive economy based upon shareholder value and unsustainable growth results from a transfer of risks outwards, and the transfer of reward inwards, leading to a one way transfer of Economic Value.
  • This,
  • will very often impoverish one or more constituency of stakeholders
  • A partnership, however, involves an exchange of value through the sharing of risk and reward.
  • Whether its assets are protected within a corporate entity with limited liability or not, it will always operate co-operatively – for mutual profit.
  • Open Capital, Economics and Politics
  • continuity between Capital as Static Value and Money as Dynamic Value which has never before been possible due to the dichotomy between the absolute/infinite and the absolute/finite durations of the competing claims over assets – “Equity” and “Debt”
  • Open Capital Partnership gives rise to a new form of Financial Capital of indeterminate duration. It enables the Capitalisation of assets and the monetisation of revenue streams in an entirely new way.
  • It is possible to envisage a Society within which individuals are members of a portfolio of Enterprises constituted as partnerships, whether limited in liability or otherwise.
  • Some will be charitable
  • Others will be ‘social’
  • ‘Commercial’ enterprises of all kinds aimed at co-operatively working together to maximise value for the Members.
  • the process has already begun
  • Capitalism
  • superior
  • to all other models, such as Socialism.
  • It can only be replaced by another ‘emergent’ phenomenon, which is adopted ‘virally’ because any Enterprise which does not utilise it will be at a disadvantage to an Enterprise which does.
  • The ‘Open’ Corporate Partnership is: capable of linking any individuals anywhere in respect of collective ownership of assets anywhere; extremely cheap and simple to operate; and because one LLP may be a Member of another it is organically flexible and ‘scaleable’. The phenomenon of “Open Capital” – which is already visible in the form of significant commercial transactions - enables an extremely simple and continuous relationship between those who wish to participate indefinitely in an Enterprise and those who wish to participate for a defined period of time.
  • Moreover, the infinitely divisible proportionate “shares” which constitute ‘Open’ Capital allow stakeholder interests to grow flexibly and organically with the growth in Value of the Enterprise. In legal terms, the LLP agreement is essentially consensual and ‘pre-distributive’: it is demonstrably superior to prescriptive complex contractual relationships negotiated adversarially and subject to subsequent re-distributive legal action. Above all, the ‘Open’ Corporate Partnership is a Co-operative phenomenon which is capable, the author believes, of unleashing the “Co-operative Advantage” based upon the absence of a requirement to pay returns to “rentier” Capitalists.
Tiberius Brastaviceanu

Value network - Wikipedia - 0 views

  • a business analysis perspective
  • describes
  • resources within and between businesses
  • ...38 more annotations...
  • nodes in a value network represent people
  • nodes are connected by interactions that represent tangible and intangible deliverables
  • Value networks exhibit interdependence
  • Companies have both internal and external value networks.[1]
  • customers or recipients, intermediaries, stakeholders, complementary, open innovation networks and suppliers
  • key activities
  • processes and relationships that cut across internal boundaries
  • Value is created through exchange and the relationships between roles
  • F&S's value networks consists of these components
  • customers
  • Some service the customers all use, and enables interaction between the customers
  • service
  • contracts that enables access to the service
  • the network formed by phone users
  • example
  • example
  • car insurance company
  • how a company understands itself
  • value creation process
  • value creating system
  • all stakeholders co-produce value
  • systematic social innovation
  • strategy as
  • the Value Network to emerge as a mental model
  • Verna Allee defines value networks [5] as any web of relationships that generates both tangible and intangible value through complex dynamic exchanges between two or more individuals, groups or organizations. Any organization or group of organizations engaged in both tangible and intangible exchanges can be viewed as a value network, whether private industry, government or public sector.
  • Allee developed Value network analysis, a whole systems mapping and analysis approach to understanding tangible and intangible value creation among participants in an enterprise system
  • participants, transactions and tangible and intangible deliverables that together form a value network.
  • knowledge
  • benefits
  • favors
  • know-how
  • policy
  • planning
  • process
  • biological organisms, including humans, function in a self-organizing mode internally and externally
  • no central “boss” to control this dynamic activity
  • The purpose of value networks is to create the most benefit for the people involved in the network (5)
    • Tiberius Brastaviceanu
       
      Verna starts with relationships. I think this is wrong. Perceived value and how to get  to it determines the type of relationships we forge with other people with whom we robe shoulders.  
Tiberius Brastaviceanu

Designing the Void | Management Innovation eXchange - 0 views

    • Tiberius Brastaviceanu
       
      This is about self-organization, putting in place bounderies and internal mechanisms to make the the system self-organize into something desirable.  You can see this from a game theory perspective - how to set a game which will drive a specific human behavior. 
    • Tiberius Brastaviceanu
       
      This is about self-organization, putting in place bounderies and internal mechanisms to make the the system self-organize into something desirable.  You can see this from a game theory perspective - how to set a game which will drive a specific human behavior. 
    • Tiberius Brastaviceanu
       
      Very similar to SENSORICA, an environment of entrepreneurs. The argument against this is that not everyone is a risk taker or has initiative. The answer to it is that not every role in the organization requires that. 
    • Tiberius Brastaviceanu
       
      Very similar to SENSORICA, an environment of entrepreneurs. The argument against this is that not everyone is a risk taker or has initiative. The answer to it is that not every role in the organization requires that. 
  • The system is not made up of artifacts but rather an elegantly designed void. He says “I prefer to use the analogy of rescuing an endangered species from extinction, rather than engaging in an invasive breeding program the focus should be on the habitat that supports the species. Careful crafting of the habitat by identifying the influential factors; removing those that are detrimental, together with reinforcing those that are encouraging, the species will naturally re-establish itself. Crafting the habitat is what I mean by designing the void.”
  • ...75 more annotations...
  • It is essential that autonomy is combined with responsibility.
  • staff typically manage the whole work process from making sales, manufacture, accounts, to dispatch
  • they are also responsible for managing their own capitalization; a form of virtual ownership develops. Everything they need for their work, from office furniture to high-end machinery will appear on their individual balance sheet; or it will need to be bought in from somewhere else in the company on a pay-as-you go or lease basis. All aspects of the capital deployed in their activities must be accounted for and are therefore treated with the respect one accords one’s own property.
    • Tiberius Brastaviceanu
       
      So they have a value accounting system, like SENSORICA, where they log "uses" and "consumes". 
    • Tiberius Brastaviceanu
       
      ...
    • Tiberius Brastaviceanu
       
      So they have a value accounting system, like SENSORICA, where they log "uses" and "consumes".  
  • The result is not simply a disparate set of individuals doing their own thing under the same roof. Together they benefit from an economy of scale as well as their combined resources to tackle large projects; they are an interconnected whole. They have in common a brand, which they jointly represent, and also a business management system (the Say-Do-Prove system) - consisting not only of system-wide boundaries but also proprietary business management software which helps each take care of the back-end accounting and administrative processing. The effect is a balance between freedom and constraint, individualism and social process.
  • embodiment of meaning
  • But culture is a much more personal phenomenon
  • Culture is like climate- it does not exist in and of itself- it cannot exist in a vacuum, it must exist within a medium.
  • underlying culture
  • Incompatibility between the presenting culture and the underlying one provide a great source of tension
  • The truth of course is that when tension builds to a critical level it takes just a small perturbation to burst the bubble and the hidden culture reveals itself powered by the considerable pent-up energy.
    • Tiberius Brastaviceanu
       
      SENSORICA had this problem of different cultures, and it caused the 2 crisis in 2014. 
    • Tiberius Brastaviceanu
       
      SENSORICA had this problem of different cultures, and it caused the 2 crisis in 2014. 
  • Consider again the idea that for the health of an endangered species; the conditions in their habitat must be just right. In business, the work environment can be considered analogous to this idea of habitat.
  • A healthy environment is one that provides a blank canvas; it should be invisible in that it allows culture to be expressed without taint
  • The over-arching, high-level obligations are applied to the organization via contractual and legal terms.
  • But it is these obligations that the traditional corporate model separates out into functions and then parcels off to distinct groups. The effect is that a clear sight of these ‘higher’ obligations by the people at the front-end is obstructed. The overall sense of responsibility is not transmitted but gets lost in the distortions, discontinuities and contradictions inherent in the corporate systems of hierarchy and functionalization.
  • employees are individually rewarded for their contribution to each product. They are not “compensated” for the hours spent at work. If an employee wants to calculate their hourly rate, then they are free to do so however, they are only rewarded for the outcome not the duration of their endeavors.
  • Another simplification is the application of virtual accounts (Profit and Loss (P&L) account and Balance Sheet) on each person within the business.
  • The company systems simply provide a mechanism for cheaply measuring the success of each individual’s choices. For quality the measure is customer returns, for delivery it is an on-time-and-in-full metric and profit is expressed in terms of both pounds sterling and ROI (return on investment).
    • Tiberius Brastaviceanu
       
      They have a value accounting system. 
    • Tiberius Brastaviceanu
       
      They have a value accounting system. 
  • The innumerable direct links back to an external reality -like the fragile ties that bound giant Gulliver, seem much more effective at aligning the presenting culture and the underlying embodied culture, and in doing so work to remove the existing tension.
  • With a culture that responds directly to reality, the rules in the environment can be “bounding” rather than “binding”- limiting rather than instructive; this way individual behavior need not be directed at all. The goal is to free the individual to express himself fully through his work, bounded only by the limits of the law. With clever feedback (self-referencing feedback loops) integrated into the design, the individuals can themselves grow to collectively take charge of the system boundaries, culture and even the environment itself, always minded of the inherent risks they are balancing, leaving the law of the land as the sole artificial boundary.
  • the conventional company, which, instead of rewarding enterprise, trains compliance by suppressing individual initiative under layer upon layer of translation tools.
  • apply accountability to the individual not command-and-control.
  • without the divisive and overbearing management cabal the natural reaction of humans is to combine their efforts
  • a new member of staff at Matt Black Systems
  • recruited by another staff member (sponsor) and they will help you learn the basics of the business management system- they will help you get to know the ropes.
  • jobs are passed to new staff members, a royalty payment can be established on the work passed over.
  • Along with that job you will be given a cash float (risk capital), P&L Account, a Balance Sheet and computer software to help plan and record your activities. Your operation is monitored by your sponsor to see if you increase the margin or volume, and so establish a sustainable operation. Training and mentoring is provided to support the steep learning curve - but without removing the responsibility of producing a return on the sponsor’s risk capital.
  • You will, in the meantime be looking to establish some of your own work for which you will not have to pay a commission or royalty to your sponsor and this will provide you with more profitable operations such that eventually you might pass back to the sponsor the original operation, as it has become your lowest margin activity. It will then find its way to a new employee (along with the associated Balance Sheet risk capital) where the process is repeated by the sponsor.[4]
  • Remuneration for staff is calibrated in a way that reflects the balance of different forces around ‘pay’
  • there is an obligation upon the company to pay a minimum wage even if the profitability of the operation does not support this
  • there are therefore two aspects of the basic pay structure: one is “absolute” and reflects the entrepreneurial skill level of the employee according to a sophisticated grading scale
  • A further 20% of the original profit will be paid into his risk capital account, which will be his responsibility to deploy in any way he sees fit as part of his Balance Sheet. Of the three remaining 20% slices of the original profit, one is paid out as corporation tax, another as a dividend to the shareholders and the last retained as collective risk capital on the company’s balance sheet- a war chest so to speak.
  • Julian Wilson and Andrew Holm sell products / services to their staff (such as office space and software) they have an identical customer/supplier relationship with the other employees.
  • Naturally there are some people that can’t generate a profit. The sponsor’s risk capital will eventually be consumed through pay. After a process of rescue and recovery- where their shortcomings are identified and they are given the opportunity to put them right, they either improve or leave, albeit with a sizeable increase in their skills.
  • there is a gradual process of accustomisation; the void of the new employee is surrounded by others dealing with their particular activities, offering both role models and operations they may wish to relinquish. One step at a time the new employee acquires the skills to become completely self-managing, to increase their margins, to make investments, to find new business, to become a creator of their own success. Ultimately, they learn to be an entrepreneur.
  • responsible autonomy as an alternative vision to traditional hierarchy
  • Matt Black Systems it is not simply commitment that they targeted in their employees, rather they aim for the specific human qualities they sum up as magic- those of curiosity, imagination, creativity, cooperation, self-discipline and realization (bringing ideas to reality).
  • a new form of association of individuals working together under the umbrella of a company structure: a kind of collective autonomy
  • The business is called Matt Black Systems, based in Poole in dorset
  • Turning an organisation on its head- removing all management, establishing a P&L account and Balance Sheet on everyone in the organisation and having customers payment go first into the respective persons P&L account has revolutionised this company. 
  • This innovative company’s approach views business success as wholly reliant upon human agency, and its wellspring at the individual level.
  • problem (of unnecessarily high overheads placed on production) that arguably is behind the decline in western manufacturing
  • over-managed business
  • Autonomy Enables Productivity
  • organizational design brings to light the unconscious socio-philosophical paradigm of the society in which it exists, organizational development points to how change occurs.
  • a mechanistic approach to organization
  • scientific management employs rationalism and determinism in pursuit of efficiency, but leaves no place for self-determination for most people within the system.
  • Command and Control
  • today, a really “modern” view of an organization is more likely to be depicted in terms that are akin to an organism.
  • When it comes to getting work done, the simple question is: are people the problem or the solution?
  • the Taylorist approach may be more real in theory than in practice: its instrumentalist view of the workforce is cursed by unintended consequences. When workers have no space for their own creative expression, when they are treated like automata not unique individuals, when they become demotivated and surly, when they treat their work as a necessary evil; this is no recipe for a functional organization.
  • The natural, human reaction to this is unionization, defiance and even outright rebellion; to counter this, management grows larger and more rigid in pursuit of compliance, organizations become top heavy with staff who do not contribute directly to the process of value creation but wield power over those who do.
  • voluntary slavery of ‘wagery’
  • Even when disgruntled employees strike free and start their own businesses they seem unable to resist the hegemony of the conventional command-and-control approach
  • Making the transition involves adherence to a whole new sociology of work with all the challenging social and psychological implications that brings.
  • first principal that people in the business have the ability to provide the solution
  • In the “theory of constraints” the goal is to align front-line staff into a neat, compact line for maximum efficiency. Surely the most considered approach is to have front-line staff self-align in pursuit of their individual goals?
  • The removal of hierarchy and specialization is key to a massive improvement in both profitability and productivity. In summary: there are no managers in the company, or foremen, or sales staff, or finance departments; the company is not functionally compartmentalized and there is no hierarchy of command. In fact every member of staff operates as a virtual micro-business with their own Profit & Loss account and Balance Sheet, they manage their own work and see processes through from end to end
  • Formal interaction between colleagues takes place via “customer and supplier” relationships.
  • autonomy enables productivity
  • if one creates a space in which staff pursue their own goals and are not paid by the hour, they will focus on their activities not the clock; if they are not told what to do, they will need to develop their own initiative; if they are free to develop their own processes, they will discover through their own creative faculties how to work more productively- in pursuit of their goals
  • The human qualities which are of greatest potential value to the business are: curiosity, imagination, creativity, cooperation, self-discipline and realization (bringing ideas to reality)
  • These qualities are the very ones most likely to be withheld by an individual when the environment is ‘wrong’.
  • Any elements in the business environment that undermine the autonomy and purpose of the individual will see the above qualities withheld
  • High on the list of undermining elements come power-hierarchy and over-specialization
  • the responsibility of the individual is formalized, specified and restricted. An improved system is not one where responsibility is distributed perfectly but rather one where there is simply no opportunity for responsibility to be lost (via the divisions between the chunks). Systems must be reorganized so responsibility -the most essential of qualities -is protected and wholly preserved.
  • Matt Black Systems believe this can only be done by containing the whole responsibility within an individual, holding them both responsible and giving them ‘response-ability’
  • The experience of Matt Black Systems demonstrates that radical change is possible
  • productivity is up 300%, the profit margin is up 10%[3], customer perception has shifted from poor to outstanding, product returns are at less than 1%, “on time and in full” delivery is greater than 96%, pay has increased 100%.
  • staff develop broader and deeper skills and feel greater job security; they get direct feedback from their customers which all go to fuel self-confidence and self-esteem.
  • the staff manage themselves
  • “only variety can absorb variety”.
  • What is particular about their story is that behind it is a very consciously crafted design that surrounds the individualism of each person with hard boundaries of the customer, the law and the business. It is these boundaries rather than the instructive persona of ‘the boss’ that gives rise to the discipline in which individuals can develop. Autonomy is not the same as freedom, at least not in the loose sense of ‘do as you please’. An autonomous person is a person who has become self-governing, who has developed a capacity for self-regulation, quite a different notion from the absence of boundaries. Indeed, it is with establishing the right boundaries that the business philosophy is most concerned. The company provides the crucible in which the individual can develop self-expression but the container itself is bounded. Wilson calls this “designing the void”. This crucible is carefully constructed from an all-encompassing, interconnecting set of boundaries that provide an ultimate limit to behaviours (where they would fall foul of the law or take risks with catastrophic potential). It is an illusion to think, as a director of a company, that you are not engaged in a process of social conditioning; the basis of the culture is both your responsibility and the result of your influence. The trick is to know what needs to be defined and what needs to be left open. The traditional authoritarian, controlling characters that often dominate business are the antithesis of this in their drive to fill this void with process, persona and instruction. Alternatively, creating an environment that fosters enterprise, individuals discover how to be enterprising.
Tiberius Brastaviceanu

How Peer to Peer Communities will change the World - 0 views

  • role of p2p movement
  • historical role
  • horizontalisation of human relationships
  • ...55 more annotations...
  • allowing the free aggregation of individuals around shared values or common value creation
  • a huge sociological shift
  • new life forms, social practices and human institutions
  • emergent communities of practice are developing new social practices that are informed by the p2p paradigm
  • ethical revolution
  • openness
  • participation
  • inclusivity
  • cooperation
  • commons
  • the open content industry in the U.S. to reach one sixth of GDP.
  • political expressions
  • the movement has two wings
  • constructive
  • building new tools and practices
  • resistance to neoliberalism
  • we are at a stage of emergence
  • difficulty of implementing full p2p solutions in the current dominant system
  • At this stage, there is a co-dependency between peer producers creating value, and for-profit firms ‘capturing that value’, but they both need each other.
  • Peer producers need a business ecology to insure the social reproduction of their system and financial sustainability of its participants, and capital needs the positive externalities of social cooperation which flow from p2p collaboration.
  • peer producing communities should create their own ‘mission-oriented’ social businesses, so that the surplus value remains with the value creators, i.e. the commoners themselves, but this is hardly happening now.
  • Instead what we see is a mutual accomodation between netarchical capital on one side, and peer production communities on the other.
  • the horizontal meets the vertical
  • mostly hybrid ‘diagonal’ adaptations
  • For peer producers the question becomes, if we cannot create our own fully autonomous institutions, how can we adapt while maintaining maximum autonomy and sustainability as a commons and as a community.
  • Why p2p have failed to create successful alternatives in some areas?
  • In commons-oriented peer production, where people aggegrate around a common object which requires deep cooperation, they usually have their own infrastructures of cooperation and a ecology combining community, a for-benefit association managing the infrastructure, and for-profit companies operating on the market place; in the sharing economy, where individuals merely share their own expressions, third party platforms are the norm. It is clear that for-profit companies have different priorities, and want to enclose value so that it can be sold on the marketplace. This in fact the class struggle of the p2p era, the struggle between communities and corporations around various issues because of partly differential interests.
  • Even commercially controlled platforms are being used for a massive horizontalisation and self-aggregation of human relationships, and communities, including political and radical groups are effectively using them to mobilize. What’s important is not just to focus on the limitations and intentions of the platform owners, but to use whatever we can to strengthen the autonomy of peer communities.
  • requires a clever adaptation
  • use for our own benefit
  • The fact today is that capital is still capable of marshaling vast financial and material resources, so that it can create,
  • platforms that can easily and quickly offer services, creating network effects
  • without network effects, there is no ‘there’ there, just an empty potential platform.
  • p2p activists should work on both fronts
  • using mainstream platforms for spreading their ideas and culture and reach greater numbers of people, while also developing their own autonomous media ecologies, that can operate independently, and the latter is an engagement for the ‘long haul’, i.e. the slow construction of an alternative lifeworld.
  • The commons and p2p are really just different aspects of the same phenomena; the commons is the object that p2p dynamics are building; and p2p takes place wherever there are commons.
  • So both p2p and the commons, as they create abundant (digital) or sufficient (material) value for the commoners, at the same time create opportunities to create added value for the marketplace. There is no domain that is excluded from p2p, no field that can say, “we wouldn’t be stronger by opening up to participation and community dynamics”. And there is no p2p community that can say, we are in the long term fully sustainable within the present system, without extra resources coming from the market sector.
  • One trend is the distribution of current infrastructures and practices, i.e. introducing crowdsourcing, crowdfunding, social lending, digital currencies, in order to achieve wider participation in current practices. That is a good thing, but not sufficient. All the things that I mention above, move to a distributed infrastructure, but do not change the fundamental logic of what they are doing.
  • we are talking about the distribution of capitalism, not about a deeper change in the logic of our economy.
  • No matter how good you are, no matter how much capital you have to hire the best people, you cannot compete with the innovative potential of open global communities.
  • the p2p dynamics
  • the new networked culture
  • the opposite is also happening, as we outlined above, more and more commons-oriented value communities are creating their own entrepreneurial coalitions. Of course, some type of companies, because of their monopoly positions and legacy systems, may have a very difficult time undergoing that adaptation, in which case new players will appear that can do it more effectively.
  • the corporate form is unable to deal with ecological and sustainability issues, because its very DNA, the legal obligation to enrich the shareholders, makes its strive to lower input costs,  and ignore externalities.
  • we need new corporate structures, a new type of market entity, for which profit is a means, but not an end, dedicated to a ‘benefit‘, a ‘mission’, or the sustenance of a particular community and/or commons.
  • abundance destroys scarcity and therefore markets
  • open design community
  • will inherently design for sustainability
  • for inclusion
  • conceive more distributed forms of manufacturing
  • entrepreneurs attaching themselves to open design projects start working from an entirely different space, even if they still use the classic corporate form. Prevent the sharing of sustainability designs through IP monopolies is also in my view unethical and allowing such patents should be a minimalist option, not a maximalist one.
  • The high road scenario proposes an enlightened government that ‘enables and empowers’ social production and value creation and allows a much smoother transition to p2p models; the low road scenario is one in which no structural reforms take place, the global situation descends into various forms of chaos, and p2p becomes a survival and resilience tactic in extremely difficult social, political and economic circumstances.
  • accelerated end of capitalism
  • Making sure that we get a better alternative is actually the historical task of the p2p movement. In other words, it depends on us!
  • I don’t really think in terms of technological breakthroughs, because the essential one, globally networked collective intelligence enabled by the internetworks, is already behind us; that is the major change, all other technological breakthroughs will be informed by this new social reality of the horizontalisation of our civilisation. The important thing now is to defend and extend our communication and organisation rights, against a concerted attempt to turn back the clock. While the latter is really an impossibility, this does not mean that the attempts by governments and large corporations cannot create great harm and difficulties. We need p2p technology to enable the global solution finding and implementation of the systemic crises we are facing.
Kurt Laitner

UK Indymedia - WOS4: The Creative Anti-Commons and the Poverty of Networks - 0 views

  • Something with no reproduction costs can have no exchange-value in a context of free exchange.
  • Further, unless it can be converted into exchange-value, how can the peer producers be able to acquire the material needs for their own subsistence?
  • For Social Production to have any effect on general material wealth it has to operate within the context of a total system of goods and services, where the physical means of production and the virtual means of production are both available in the commons for peer production.
  • ...26 more annotations...
  • "All texts published in Situationist International may be freely reproduced, translated and edited, even without crediting the original source."
  • The website of the creative commons makes the following statement about it's purpose: "Creative Commons defines the spectrum of possibilities between full copyright -- all rights reserved -- and the public domain -- no rights reserved. Our licenses help you keep your copyright while inviting certain uses of your work -- a 'some rights reserved' copyright."
  • The website of the creative commons makes the following statement about it's purpose: "Creative Commons defines the spectrum of possibilities between full copyright -- all rights reserved -- and the public domain -- no rights reserved. Our licenses help you keep your copyright while inviting certain uses of your work -- a 'some rights reserved' copyright."
  • Or more specifically, who is a position to convert the use-value available in the "commons" into the exchange-value needed to acquire essential subsistence or accumulate wealth?
  • All texts published in Situationist International may be freely reproduced, translated and edited, even without crediting the original source
  • The point of the above is clear, the Creative Commons, is to help "you" (the "Producer") to keep control of "your" work. The right of the "consumer" is not mentioned, neither is the division of "producer" and "consumer" disputed.
  • Creative "Commons" is thus really an Anti-Commons, serving to legitimise, rather than deny, Producer-control and serving to enforce, rather than do away with, the distinction between producer and consumer
  • specifically providing a framework then, for "producers" to deny "consumers" the right to either create use-value or material exchange-value of the "common" stock of value in the Creative "Commons" in their own cultural production
  • Thus, the very problem presented by Lawrence Lessig, the problem of Producer-control, is not in anyway solved by the presented solution, the Creative Commons, so long as the producer has the exclusive right to chose the level of freedom to grant the consumer, a right which Lessig has always maintained support for
  • The Free Software foundation, publishers of the GPL, take a very different approach in their definition of "free," insisting on the "four freedoms:" The Freedom to use, the freedom to study, the freedom to share, and the freedom to modify.
  • The website of the creative commons makes the following statement about it's purpose: "Creative Commons defines the spectrum of possibilities between full copyright -- all rights reserved -- and the public domain -- no rights reserved. Our licenses help you keep your copyright while inviting certain uses of your work -- a 'some rights reserved' copyright
  • In all these cases what is evident is that the freedom being insisted upon is the freedom of the consumer to use and produce, not the "freedom" of the producer to control.
  • Moreover, proponents of free cultural must be firm in denying the right of Producer-control and denying the enforcement of distinction between producer and consumer
  • where a class-less community of workers ("peers") produce collaboratively within a property-less ("commons-based") society
  • Clearly, even Marx would agree that the ideal of Communism was commons-based peer production
  • the property in the commons is entirely non-rivalrous property
  • The use-value of this information commons is fantastic
  • However, if commons-based peer-production is limited exclusively to a commons made of digital property with virtual no reproduction costs then how can the use-value produced be translated into exchange-value?
  • Further, unless it can be converted into exchange-value, how can the peer producers be able to acquire the material needs for their own subsistence
  • The root of the problem of poverty does not lay in a lack of culture or information
  • but of direct exploitation of the producing class by the property owning classes
  • The source of poverty is not reproduction costs, but rather extracted economic rents, forcing the producers to accept less than the full product of their labour as their wage by denying them independent access to the means of production
  • So long as commons-based peer-production is applied narrowly to only an information commons, while the capitalist mode of production still dominates the production of material wealth, owners of material property, namely land and capital, will continue to capture the marginal wealth created as a result of the productivity of the information commons.
  • Whatever exchange value is derived from the information commons will always be captured by owners of real property, which lays outside the commons.
  • For Social Production to have any effect on general material wealth it has to operate within the context of a total system of goods and services, where the physical means of production and the virtual means of production are both available in the commons for peer production
  • For free cultural to create a valuable common stock it must destroy the privilege of the producer to control the common stock, and for this common stock to increase the real material wealth of peer producers, the commons must include real property, not just information
  •  
    Strong grasp of the issues, not entirely in agreement on the thesis that the solution is the removal of producer control as this does not support the initiation of an economy, only its ongoing function once established, and the economy is continuously intiating itself, so it is not a one time problem. I do support the notion that producers are in fact none other than consumers of prior art but also that effort is required to remix as much as the magical creation out of nothing. In order to incent this behavior then (or even merely to allow it) the basic scarce needs of the individual must be taken care of. This may be done by ensuring beneficial ownership, but even that suffers from the initiation problem, which the requires us to have a pool of wealth to kickstart the thing by supporting every last person on earth with a basic income - that wealth is in fact available...
Tiberius Brastaviceanu

Evolving Towards a Partner State in an Ethical Economy - 0 views

  • In the  emerging institutional model of peer production
  • we can distinguish an interplay between three partners
  • a community of contributors that create a commons of knowledge, software or design;
  • ...46 more annotations...
  • There is a clear institutional division of labour between these three players
  • a set of "for-benefit institutions' which manage the 'infrastructure of cooperation'
  • an enterpreneurial coalition that creates market value on top of that commons;
  • Can we also learn something about the politics of this new mode of value creation
  • Is there perhaps a new model of power and democracy co-evolving out of these new social practices, that may be an answer to the contemporary crisis of democracy
  • we are witnessing a new model for the state. A 'P2P' state, if you will.
  • The post-democratic logic of community
  • these communities are not democracies
  • because democracy, and the market, and hierarchy, are modes of allocation of scarce resources
  • Such communities are truly poly-archies and the type of power that is held in them is meritocratic, distributed, and ad hoc.
  • Everyone can contribute without permission, but such a priori permissionlessness is  matched with mechanisms for 'a posteriori'  communal validation, where those with recognized expertise and that are accepted by the community, the so-called 'maintainers' and the 'editors',  decide
  • These decisions require expertise, not communal consensus
  • tension between inclusiveness of participation and selection for excellence
  • allowing for maximum human freedom compatible with the object of cooperation. Indeed, peer production is always a 'object-oriented' cooperation, and it is the particular object that will drive the particular form chosen for its 'peer governance' mechanisms
  • The main allocation mechanism in such project, which replaces the market, the hierarchy and democracy,  is a 'distribution of tasks'
  • no longer a division of labor between 'jobs', and the mutual coordination works through what scientist call 'stigmergic signalling'
  • work environment is designed to be totally open and transparent
  • every participating individual can see what is needed, or not and decide accordingly whether to undertake his/her particular contribution
  • this new model
  • has achieved capacities both for global coordination, and for the small group dynamics that are characteristic of human tribal forms and that it does this without 'command and control'! In fact, we can say that peer production has enabled the global scaling of small-group dynamics.
  • And they have to be, because an undemocratic institution would also discourage contributions by the community of participants.
    • Kurt Laitner
       
      disagree, there are many ways to ethically distribute governance, not just democracy
  • Hence, an increased exodus of productive  capacities, in the form of direct use value production, outside the existing system of monetization, which only operates at its margins.
  • Where there is no tension between supply and demand, their can be no market, and no capital accumulation
  • Facebook and Google users create commercial value for their platforms, but only very indirectly and they are not at all rewarded for their own value creation.
  • Since what they are creating is not what is commodified on the market for scarce goods, there is no return of income for these value creators
  • This means that social media platforms are exposing an important fault line in our system
  • If you did not contribute, you had no say, so engagement was and is necessary.
    • Kurt Laitner
       
      key divergence from birth/process citizenship driven democracy
  • ⁃   At the core of value creation are various commons, where the innovations are deposited for all humanity to share and to build on ⁃   These commons are enabled and protected through nonprofit civic associations, with as national equivalent the Partner State, which empowers and enables that social production ⁃   Around the commons emerges a vibrant commons-oriented economy undertaken by different kinds of ethical companies, whose legal structures ties them to the values and goals of the commons communities, and not absentee and private shareholders intent of maximising profit at any cost
  • the citizens deciding on the optimal shape of their provisioning systems.
    • Kurt Laitner
       
      ie value equations..?
  • Today, it is proto-mode of production which is entirely inter-dependent with the system of capital
  • Is there any possibility to create a really autonmous model of peer production, that could create its own cycle of reproduction?
  • contribute
    • Kurt Laitner
       
      defined as?
    • Tiberius Brastaviceanu
       
      "ad hoc": perhaps based on context, needs and everyone's understanding of the situation
  • and whose mission is the support of the commons and its contributors
  • In this way, the social reproduction of commoners would no longer depend on the accumulation cycle of capital, but on its own cycle of value creation and realization
  • Phyles are mission-oriented, purpose-driven, community-supportive entities that operate in the market, on a global scale, but work for the commons.
  • peer production license, which has been proposed by Dmytri Kleiner.
  • Thijs Markus writes  so eloquently about Nike in the Rick Falkvinge blog, if you want to sell $5 shoes for $150 in the West, you better have one heck of a repressive IP regime in place.
  • Hence the need for SOPA/PIPA , ACTA'S and other attempts to criminalize the right to share.
  • An economy of scope exists between the production of two goods when two goods which share a CommonCost are produced together such that the CommonCost is reduced.
  • shared infrastructure costs
  • 2) The current system beliefs that innovations should be privatized and only available by permission or for a hefty price (the IP regime), making sharing of knowledge and culture a crime; let's call this feature, enforced 'artificial scarcity'.
  • 1) Our current system is based on the belief of infinite growth and the endless availability of resources, despite the fact that we live on a finite planet; let's call this feature, runaway 'pseudo-abundance'.
  • So what are the economies of scope of the new p2p age? They come in two flavours: 1) the mutualizing of knowledge and immaterial resources 2) the mutualizing of material productive resources
  • how does global governance look like in P2P civilization?
  • conflicts between contributors
  • are not decided by authoritarian fiat, but by 'negotiated coordination'.
Kurt Laitner

Club of Amsterdam blog: The impact of culture on education - 0 views

  • For example in some countries the objective of education is: to develop a critical mind, which in other cultures is viewed as absurd. In these countries students are supposed to try to learn as much as possible from the older generation and only when you are fully initiated you may communicate to have ideas of yourself.
  • For example in some countries the objective of education is: to develop a critical mind, which in other cultures is viewed as absurd. In these countries students are supposed to try to learn as much as possible from the older generation and only when you are fully initiated you may communicate to have ideas of yourself.
  • The combined scores for each country explain variations in behavior of people and organizations. The scores indicate the relative differences between cultures.
  • ...13 more annotations...
  • n masculine cultures like USA, UK, Germany, Japan and Italy the dominant values are achievement and success. The dominant values in feminine cultures are consensus seeking, caring for others and quality of life. Sympathy is for the underdog. People try to avoid situations distinguishing clear winners and losers.  In masculine cultures performance and achievement are important. The sympathy is for the winners. Status is important to show success. Feminine cultures like the Scandinavian countries and the Netherlands have a people orientation. Small is beautiful and status is not so important.
  • In masculine cultures like USA, UK, Germany, Japan and Italy the dominant values are achievement and success. The dominant values in feminine cultures are consensus seeking, caring for others and quality of life. Sympathy is for the underdog. People try to avoid situations distinguishing clear winners and losers.  In masculine cultures performance and achievement are important. The sympathy is for the winners. Status is important to show success. Feminine cultures like the Scandinavian countries and the Netherlands have a people orientation. Small is beautiful and status is not so important.
  • In masculine cultures like USA, UK, Germany, Japan and Italy the dominant values are achievement and success. The dominant values in feminine cultures are consensus seeking, caring for others and quality of life. Sympathy is for the underdog. People try to avoid situations distinguishing clear winners and losers.  In masculine cultures performance and achievement are important. The sympathy is for the winners. Status is important to show success. Feminine cultures like the Scandinavian countries and the Netherlands have a people orientation. Small is beautiful and status is not so important.
  • For example in some countries the objective of education is: to develop a critical mind, which in other cultures is viewed as absurd. In these countries students are supposed to try to learn as much as possible from the older generation and only when you are fully initiated you may communicate to have ideas of yourself.
  • c. Masculinity vs. Femininity (MAS) In masculine cultures like USA, UK, Germany, Japan and Italy the dominant values are achievement and success. The dominant values in feminine cultures are consensus seeking, caring for others and quality of life. Sympathy is for the underdog. People try to avoid situations distinguishing clear winners and losers.  In masculine cultures performance and achievement are important. The sympathy is for the winners. Status is important to show success. Feminine cultures like the Scandinavian countries and the Netherlands have a people orientation. Small is beautiful and status is not so important.
  • He defines culture as “the collective programming of the mind that distinguishes the members of one group or category of people from others”.
  • Analyzing his data, Hofstede found five value clusters (or “dimensions”) being the most fundamental in understanding and explaining the differences in answers to the single questions in his questionnaires
  • The five dimensions of national culture identified by Hofstede are:  Power Distance Index (PDI)  Individualism vs. collectivism (IDV)  Masculinity vs. femininity (MAS)  Uncertainty Avoidance Index (UAI)  Long Term Orientation (LTO)
  • Power distance is the extent to which less powerful members of a society accept that power is distributed unequally. In high power-distance cultures everybody has his/her rightful place in society. Old age is respected, and status is important. In low power-distance cultures people try to look younger and powerful people try to look less powerful
  • In individualistic cultures, like almost all the rich Western countries, people look after themselves and their immediate family only; in collectivist cultures like Asia and Africa people belong to "in-groups" who look after them in exchange for loyalty
  • In masculine cultures like USA, UK, Germany, Japan and Italy the dominant values are achievement and success. The dominant values in feminine cultures are consensus seeking, caring for others and quality of life. Sympathy is for the underdog. People try to avoid situations distinguishing clear winners and losers.  In masculine cultures performance and achievement are important. The sympathy is for the winners. Status is important to show success. Feminine cultures like the Scandinavian countries and the Netherlands have a people orientation. Small is beautiful and status is not so important
  • Uncertainty avoidance (or uncertainty control) stands for the extent to which people feel threatened by uncertainty and ambiguity. In cultures with strong uncertainty avoidance, people have a strong emotional need for rules and formality to structure life
  • The last element of culture is the Long Term Orientation which is the extent to which a society exhibits a future-orientated perspective rather than a near term point of view.  Low scoring countries like the USA and West European countries are usually those under the influence of monotheistic religious systems, such as the Christian, Islamic or Jewish systems. People in these countries believe there is an absolute and indivisible truth. In high scoring countries such as Hong Kong, Taiwan, China, for example those practicing Buddhism, Shintoism or Hinduism,  people believe truth depends on time, context and situation
  •  
    has explanatory power over many of the fundamental disagreements I have seen play out in sensorica discussions - may be worthwhile to understand constituents based on this model
Kurt Laitner

Value Creating Service Systems: From Service Systems to Digital Lives - 0 views

  •  
    "Service dominant logic suggest that value is always co-created in context of use and experience. Co-creation is not an option (Vargo and Lusch, 2004, 2008). "Moving things along meant a focus on 2 key aspects. philosophy and methods. "An SD logic approach is not one that you can run a survey of attitude, behaviours or intentions. The person is embedded in his actions and practices of value creation. The focus on context means the unit of analysis is in the sociology of real life behaviours. A sociological approach makes methods a problem because we've inherited a world where we have created tools from analysing water in a bucket, not by looking at its behaviour in a river. "GD logic is compelling not only because it is entrenched for over 500 years, but also because you could measure its constructs. GDP, sales, revenues, CPI - they are all constructs of a GD logic society. What SD logic needed was better methods and new constructs. "To that end, and rather ironically, I found an ally in digital technology. Here was a world of sensors and actuators with an enthusiastic community looking for novel ways of deploying them into homes and buildings i.e. the internet-of-things. "I also found, as an ally, the thinking around new economic and business models. Here was another strand of literature largely marginalised by mainstream business literature because it was (the way I interpreted it) taking a systemic view of value proposition, value creation and value capture (ie, change one, change all) and the way the organisation had to be agile and transformed for it - which sat very nicely with SD logic. "Customised products are firm centric. Personalised products are customer initiated and empowering. Personalised products also tend to move the product into becoming platforms to afford co-creation, which advanced the notion of symmetry in value co-creation further. Finally, with the advent of platforms, the economics of 2 or multi-sided markets completed my set of theoretica
  •  
    an interesting starting point for research
Tiberius Brastaviceanu

Partner State - P2P Foundation - 0 views

    • Tiberius Brastaviceanu
       
      we call this a custodian
    • Tiberius Brastaviceanu
       
      we call this a custodian
  • So here we have it, the new triarchy: - The state, with its public property and representative mechanisms of governance (in the best scenario) - The private sector, with the corporation and private property - The commons, with the Trust (or the for-benefit association), and which is the ‘property’ of all its members (not the right word in the context of the commons, since it has a different philosophy of ownership)
    • Tiberius Brastaviceanu
       
      so where is direct democracy in all this?
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  • In a first phase, the commons simply emerges as an added alternative.
  • becoming a subsector of society, and starts influencing the whole
  • phase transition and transformation will need to occur.
  • how a commons-dominated, i.e. after the phase transition, society would look like.
  • At its core would be a collection of commons, represented by trusts and for-benefit associations, which protect their common assets for the benefit of present and future generations
  • The commons ‘rents out’ the use of its resources to entrepreneurs. In other words, business still exists, though infinite growth-based capitalism does not.
  • More likely is that the corporate forms will be influenced by the commons and that profit will be subsumed to other goals, that are congruent with the maintenance of the commons.
  • The state will still exist, but will have a radically different nature
  • Much of its functions will have been taken over by commons institutions, but since these institutions care primarily about their commons, and not the general common good, we will still need public authorities that are the guarantor of the system as a whole, and can regulate the various commons, and protect the commoners against possible abuses. So in our scenario, the state does not disappear, but is transformed, though it may greatly diminish in scope, and with its remaining functions thoroughly democratized and based on citizen participation.
  • In our vision, it is civil-society based peer production, through the Commons, which is the guarantor of value creation by the private sector, and the role of the state, as Partner State, is to enable and empower the creation of common value. The new peer to peer state then, though some may see that as a contradictio in terminis, is a state which is subsumed under the Commons, just as it is now under the private sector. Such a peer to peer state, if we are correct, will have a much more modest role than the state under a classic state society, with many of its functions taken over by civil society associations, interlinked in processes of global governance. The above then, this triarchy, is the institutional core which replaces the dual private-public binary system that is characteristic of the capitalist system that is presently the dominant format.
  • fundamental mission is to empower direct social-value creation, and to focus on the protection of the Commons sphere as well as on the promotion of sustainable models of entrepreneurship and participatory politics
  • the state becomes a 'partner state' and enables autonomous social production.
  • the state does exist, and I believe that we can’t just imagine that we live in a future state-less society
  • retreating from the binary state/privatization dilemma to the triarchical choice of an optimal mix amongst government regulation, private-market freedom and autonomous civil-society projects
  • the role of the state
  • “the peer production of common value requires civic wealth and strong civic institutions.
  • trigger the production/construction of new commons by - (co-) management of complexe resource systems which are not limited to local boundaries or specific communities (as manager and partner) - survey of rules (chartas) to care for the commons (mediator or judge) - kicking of or providing incentives for commoners governing their commons - here the point is to design intelligent rules which automatically protect the commons, like the GPL does (facilitator)"
  • the emergence of the digital commons. It is the experience of creating knowledge, culture, software and design commons, by a combination of voluntary contributions, entrepreneurial coalitions and infrastructure-protecting for-benefit associations, that has most tangibly re-introduced the idea of commons, for all to use without discrimination, and where all can contribute. It has drastically reduced the production, distribution, transaction and coordination costs for the immaterial value that is at the core also of all what we produce physically, since that needs to be made, needs to be designed. It has re-introduced communing as a mainstream experience for at least one billion internet users, and has come with proven benefits and robustness that has outcompeted and outcooperated its private rivals. It also of course offers new ways to re-imagine, create and protect physical commons.
  • stop enclosures
  • peer to peer, i.e. the ability to freely associate with others around the creation of common value
  • communal shareholding, i.e. the non-reciprocal exchange of an individual with a totality. It is totality that we call the commons.
  • It is customary to divide society into three sectors, and what we want to show is how the new peer to peer dynamic unleashed by networked infrastructures, changes the inter-relationship between these three sectors.
  • In the current ‘cognitive capitalist’ system, it is the private sector consisting of enterprises and businesses which is the primary factor, and it is engaged in competitive capital accumulation. The state is entrusted with the protection of this process. Though civil society, through the citizen, is in theory ‘sovereign’, and chooses the state; in practice, both civil society and the state are under the domination of the private sector.
  • it fulfills three contradictory functions
  • Of course, this is not to say that the state is a mere tool of private business.
  • protect the whole system, under the domination of private business
  • protector of civil society, depending on the balance of power and achievements of social movements
  • protector of its own independent interests
  • Under fascism, the state achieves great independence from the private sector , which may become subservient to the state. Under the welfare state, the state becomes a protector of the social balance of power and manages the achievements of the social movement; and finally, under the neoliberal corporate welfare state, or ‘market state’, it serves most directly the interests of the financial sector.
  • key institutions and forms of property.
  • The state managed a public sector, under its own property.
  • The private sector , under a regime of private ownership, is geared to profit, discounts social and natural externalities, both positive and negative, and uses its dominance in society to use and dominate the state.
  • civil society has a relative power as well, through its capability of creating social movements and associations
  • Capitalism has historically been a pendulum between the private and the public sector
  • However, this configuration is changing,
  • the endangerment of the biosphere through the workings of ‘selfish’ market players; the second is the role of the new digital commons.
  • participatory politics
  • Peer production gives us an advance picture of how a commons-oriented society would look like. At its core is a commons and a community contributing to it, either voluntarily, or as paid entrepreneurial employees. It does this through collaborative platforms using open standards. Around the commons emerges enterprises that create added value to operate on the marketplace, but also help the maintenance and the expansion of the commons they rely on. A third partner are the for-benefit associations that maintain the infrastructure of cooperation. Public authorities could play a role if they wanted to support existing commons or the creation of new commons, for the value they bring to society.
  • if a commons is not created as in the case of the digital commons, it is something that is inherited from nature or former generations, given in trust and usufruct, so that it can be transmitted to our descendents. The proper institution for such commons is therefore the trust, which is a corporate form that cannot touch its principal capital, but has to maintain it.
Kurt Laitner

Crisis of Value Theory - P2P Foundation - 0 views

  • accumulation of knowledge assets
  • a new class has arisen which controls the vectors of information
  • In terms of knowledge creation, a vast new information commons is being created, which is increasingly out of the control of cognitive capitalism.
  • ...19 more annotations...
  • But notice that to do this, the system had to change, the core logic was no longer the same.
  • The emergence of the peer model of production, based on the non-rivalrous nature and virtually non-existent marginal cost of reproduction of digital information, and coupled with the increasing unenforceability of “intellectual property” laws, means that capital is incapable of realizing returns on ownership in the cognitive realm.
  • capital is becoming an a posteriori intervention in the realization of innovation, rather than a condition for its occurrence
  • 1) The creation of non-monetary value is exponential 2) The monetization of such value is linear
  • What this announces is a crisis of value, most such value is ‘beyond measure’, but also essentially a crisis of accumulation of capital.
  • more and more positive externalizations are created from the social field
  • “the core logic of the emerging experience economy, operating as it does in the world of non-rival exchange, is unlikely to have capitalism as its core logic.”
  • This takes the form both of “intellectual property” law, as well as direct subsidies from the taxpayer to the corporate economy
  • crisis of realization under state capitalism to capital’s growing dependence on the state to capture value from social production and redistribute it to private corporate owners
  • The state capitalist system will reach a point at which, thanks to the collapse of the portion of value comprised of rents on artificial property, the base of taxable value is imploding at the very time big business most needs subsidies to stay afloat.
  • We live in a political economy that has it exactly backwards. We believe that our natural world is infinite, and therefore that we can have an economic system based on infinite growth. But since the material world is finite, it is based on pseudo-abundance. And then we believe that we should introduce artificial scarcities in the world of immaterial production, impeding the free flow of culture and social innovation, which is based on free cooperation, by creating the obstacle of permissions and intellectual property rents protected by the state. What we need instead is a political economy based on a true notion of scarcity in the material realm, and a realization of abundance in the immaterial realm.
  • Brains and bodies still need others to produce value, but the others they need are not necessarily provided by capital and its capacities to organize production.
  • The household and informal economies have been allowed to function to the extent that they bear reproduction costs that would otherwise have to be internalized in wages; but they have been suppressed (as in the Enclosures) when they threaten to increase in size and importance to the point of offering a basis for independence from wage labor. “
  • increasing untenability of property rights in the information realm
  • there is no more outside.
  • one of intensive development, to grow in the immaterial field, and this is basically what the experience economy means
  • Innovation is becoming social and diffuse, an emergent property of the networks
  • failure of artificial abundance
  • failure of artificial scarcity
  •  
    the passing of the capitalist age
Tiberius Brastaviceanu

Permaculture Principles | Design Principles - 1 views

  • how the principles of permaculture might apply to business.
  • The shift will be from merely prioritising output to thinking more widely.
  • how to build resilience for business
  • ...64 more annotations...
  • observation
  • A post-peak world will depend on detailed observation and good design rather than energy-intensive solutions.
  • not rely on weather forecasts but to learn to read the clouds,
  • “instead of researching the market, be the market”
  • businesses should be out there observing.
  • larger businesses tend to rely more on surveys and on second-hand information.
  • direct contact with customers.
  • move our idea of ‘capital’ from what we have in the bank, to the resources we have around us
  • not running a business on a constant high speed cash throughput with little or no capital reserves
  • lack of resilience in the just-in-time supply approach
  • a shift to storages of parts and materials, as well as the need to financially not be so dependent on debt financing
  • work slower with more financial reserves and take less risks, not building beyond what the company’s financial resources can support.
  • either to not borrow any money at all, or to borrow so much money that you can’t fail, being bigger than the people you borrow money from, so they have a vested interest in your succeeding!
  • energy efficient
  • long term
  • Looking to make buildings as autonomous as possible in a world entering energy descent is critical
  • see things that are flowing past and through the business that others don’t see as being a resource and having no monetary value as being valuable.
  • any intervention we make in a system, any changes we make or elements we introduce ought to be productive
  • This is instinctive to businesses
  • Obtain a Yield, in this context, is out of balance
  • much of business
  • have taken this to extremes
  • A well-designed system using permaculture principles should be able to self-regulate, and require the minimum of intervention and maintenance, like a woodland ecosystem, which requires no weeding, fertiliser or pest control.
  • moving from “we’re just obeying the law” to being proactive, acting before you get hit over the head with regulation and other vulnerabilities.
  • be able to put a foot on the break, not just going hell for leather on profit maximisation.
  • apply applied restraint, avoiding excessive, overfast growth that hasn’t been consolidated
  • looking for the negative feedbacks, from customers and from the environment in general
  • We need to increase the tightness of feedbacks.
  • Where nature can perform particular functions
  • we should utilise these attributes, rather than thinking we can replace them
  • Where nature can take some work off our hands we should let it.
  • a shift towards renewable resources
  • The emerging opportunities for businesses are things that are renewable. Renewable energy sources are the ones that will ensure a business’s stability in the long run. We can also broaden the concept of renewable resources to include things like goodwill and trust, things which a business can rebuild with good husbandry. Most business doesn’t just depend on law and competition, trust is at the heart of much business and it is very much a renewable resource.
  • The concept of waste is essentially a reflection of poor design. Every output from one system could become the input to another system. We need to think cyclically rather than in linear systems.
  • looking at our work from a range of perspectives
  • wider context
  • keep a clearer sense of the wider canvas on which we are painting, and the forces that affect what we are doing.
  • being strategic is important too
  • ask how is what we are doing part of a bigger picture, the move away from globalisation and towards the local, taking steps back from the everyday.
  • This can be done firstly by allowing space for Devil’s advocates, for black sheep, for hearing the voices of those outside of the dominant culture of the organisation and secondly by looking from a holistic perspective of how things interconnect, rather than just relying on experts who are embedded in detail. It emphasises the need to value the generalist, to give value to holistic thinkers.
  • allowing people to imagine different possibilities.
  • scenario planning
  • Permaculture has been described as the science of maximising beneficial relationships.
  • Solutions are to be found in integrated holistic solutions rather than increased specialisation and compartmentalisation
  • The challenge here is to move to seeing business as being part of the geographical community, as being rooted in place, rather than just part of a globalised community. At the moment for many larger businesses, the local is something one pays lip-service to as a source of good PR, something one is passing through, rather than actually being an integral part of the community.
  • This is a profound structural challenge for large organisations. Part of the resilience of the organisation comes from the degree of lateral integration. Resilience is in all solutions, it is the characteristic of ecological systems. If we apply these principles, resilience is one of the emergent properties
  • the notion that big is best needs to be challenged
  • new opportunities are very hard to understand and exploit from a macro level perspective, and are much better done from small scale perspective. It is here that the idea of appropriateness of scale becomes key.
  • more diverse systems have much more inbuilt resilience
  • have a diversity of small businesses, local currencies, food sources, energy sources and so on than if they are just dependent on centralised systems, globalisation’s version of monoculture.
  • not having all your eggs in one basket.
  • In the short term this kind of diversification could reduce profits, but in the longer term it will be more secure
  • this is about the reverse of specialisation, about having a mixed portfolio, and presents a big culture change for businesses.
  • it is a good strategy for business to keep a diverse portfolio of what sustains the business, keep some things that appear to be peripheral. They may not at this stage appear to be a serious part of how the business is run, but in this new world they will increasingly become so
  • ‘edge’
  • the point where two ecosystems meet is often more productive than either of those systems on their own.
  • overlap systems where possible so as to maximise their potential.
  • recognising that innovation doesn’t come from the centre but from fringe thinkers.
  • giving status to the marginal
  • It is important that the business has as many fingers in as many pies as possible, as many interfaces, and recognises that every person working for the business represents it in the community.
  • Natural systems are constantly in flux, evolving and growing.
  • Remaining observant of the changes around you, and not fixing onto the idea that anything around you is fixed or permanent will help too.
  • be flexible, lean and adaptable
  • A healthy approach is to start with no complete plan, to allow the process to be emergent. This is not a time when we can work to a rigid plan as conditions will change so fast. Organisations will need to stay on their toes, without rigid management.
Tiberius Brastaviceanu

Promoting and Assessing Value Creation in Networks - P2P Foundation - 1 views

  • Promoting and Assessing Value Creation in Networks: A conceptual framework
  • there are three pieces of a CoP
  • the evaluation framework is able to assess the value of each piece
  • ...7 more annotations...
  • The framework itself has five levels
  • The first level—related to the satisfaction level—is called "immediate value" and it assesses what just happened, for example, in a webinar
  • The second level is called "potential value," and I like to think of this as the new knowledge or understanding that is lying latent but ready to be put to use in the future
  • This level looks at change
  • The third level does this, and it is called "applied value" and this is where the model starts to become interesting to CEOs and others
  • hard metrics like reduced development time, improved efficiencies, or financial returns. The fourth level in the framework provides this, and the level is called "realized value."
  • he fifth level is where the community changes as a result of the activity occurring in the first four levels. At this highest level, the framework examines changes in the community—norms, standards, practices, and thought leadership—that has occurred as a result of activity within the community
Tiberius Brastaviceanu

P2P Foundation » Blog Archive » Ethical Marketing in Age of Horizontal Social... - 0 views

  • the development of marketing is sensible to its environment and is hence already self-limiting itself according to the previously mentioned legal and social framework
  • neuromarketing
  • explore new inner dynamics of marketing, new directions in the field of possibilities offered by the current organology and its articulations between techniques and social organization in order to influence and shape marketing as an associative force – in opposition to its current dissociative force – in the larger psychic, social and technic organology
  • ...70 more annotations...
  • find new ways of efficiency
  • arbitration between efficiency and care
  • a global thinking of the problem
  • Fighting the attention and desire resource shortage: stoping to use advertisement?
  • The question is rather here to think the moderation of the psychopower
  • empower transindividuation, i.e. to make sure that an economic activity creates more possibilities of individuation than it tend to destroy by attempting to capture attention and canalize motivation in a funnel. Empower transindividuation would imply to empowering actors of their own lifestyle, winning back the savoir-vivre prescribing production
  • Should marketing stop using psychopower?
  • marketing ethics guidelines
  • transactions are more likely to be morally defensible if both parties enter it freely and fully informed
  • the goal of marketing should be to increase the likelihood and frequency of free and informed transactions in the marketplace
  • putting freedom as a criteria of morality
  • the industrial use of pycho- and neuropower tend to fall under the category of barriers to freedom
  • neurotechniques – to capture the attention
  • psychotechniques – to attempt to create motivation
  • Most people think commercials are a small price to pay for these benefits
  • advertising
  • denying the schemes of addiction and the fact that we are becoming through the objects of attentions
  • right to avoid attention capture by advertising
  • progress made in cognitive sciences proving that
  • reward system being abnormally stimulated
  • Advertisements exploit
  • vulnerability and reinforce their overconsumption behaviors
  • “if food advertising on TV were banned, significant reductions in the prevalence of childhood obesity are possible.” (Veerman et al. 2009)
  • What is at stake falls to be much more complex than the sole Freedom of Speech invoked for the advertiser
  • liberty of non-reception
  • would mean to guaranty every citizen the right to choose where and when he wants to access the advertising information
  • Change in the industrial and commercial paradigm
  • Economy of contribution and peer production
  • An economy of contribution means that users of a service are contributing to the production of these services.
  • example
  • is open-source software that are contributively build by potentially hundreds of developers organized in communities
  • minimize the gap between the producer and consumer
  • blur the frontier between professionals and amateurs
  • The Copernican revolution of the Vendor Relationship Management paradigm
  • change in the commercial paradigm, described as an Intention Economy i.e. the opposite of the Attention Economy
  • consumers are charged to express and discuss their intention
  • with businesses rather than the usual paradigm in which businesses where fighting for a piece of canalized motivation
  • Implementing such a system would nevertheless imply that marketing departments dispose of a system in which they could value their supplies and where they could be easily found by customers. Doc Searls promotes his answer to this issue: the Vendor Relationship Management system.
  • the belief that free customers are more valuable than captive ones — to themselves, to vendors, and to the larger economy.
  • To be free
  • 1. Customers must enter relationships with vendors as independent actors.
  • 2. Customers must be the points of integration for their own data.
  • 3. Customers must have control of data they generate and gather. This means they must be able to share data selectively and voluntarily.
  • 4. Customers must be able to assert their own terms of engagement.
  • 5. Customers must be free to express their demands and intentions outside of any one company’s control.
  • This is a profoundly game-changing approach
  • big data that is the rush for consumers’ information potentially leading to the same dead-end of attention destruction and affective saturation than the former offline paradigm
  • VRM system working as a marketplace
  • the goal of marketing should be to increase the likelihood and frequency of free and informed transactions in the marketplace
  • less imperfect and less biased information in a cultural context overvaluing transparency, and a bigger atomicity due to the hereafter introduced trend for re-localized peer production.
  • 3.2.2.3 VRM and externalization of the socialization process
  • Promoting the end of advertisement
  • means to find a new way to make the information circulate, what was the primary goal of advertisement
  • Until there is no alternative to massive advertisement campaign for the information circulation, it is indeed hard to ask entrepreneurs and managers to get rid of those successors of propaganda: such a transition process necessarily imply adaptation costs from the producer and the consumer side, and possible competitive disadvantage against competitors still maximizing profit through advertisement means
  • But the internet transformation of the general organology offers new way to think information circuits and potentially constitute an opportunity to externalize the socialization process of products that is to empower citizen-consumers organized in communities
  • Empowering groups of citizen doesn’t annihilate the risks of mis-use or counterproductive interest-taker behaviors but a well-designed system of trust between peers could minimize this risk by creating a dependency to what social capital other peers give you, as it is happening in the sharing economy: the credibility of a contributive peer would be guaranteed through what the P2P Foundation calls Feedback systems and peer-police
  • a strong structuration of products characteristics, allowing customers to personalize their choices according to their desire and constraints: such a “VRM+” system
  • Marketing would then be the art of being as high as possible in this ranking, as it is happening in SEO for search engines, but in this context of criteria explosion, marketing would then be the disciple of listening to customers’ wishes and aspiration needing an attention, in order to kick in the production or to adapt the following series.
  • 3.2.2.4 Toward a possible equi-power
  • Such a system would tremendously re-configure the balance of power and tend toward a form of equi-power i.e. a social organization in which abuses of a “big” would be the potential object of a ranking sanction by the peers
  • self-regulative function
  • a form of economic Darwinism would let to conscious organization the right to curve their path toward a durable configuration in accordance with the social ecosystem.
  • the idea of equi-power is a form of homogenization of the social matter, in which the distortions in the balance of power would be compensated by the gathering of small forces sharing a common interest
  • Such a sanction systems, if successfully implemented, would make value-destructing businesses progressively decline and hopefully bankrupt,
  • long-term valuable strategic choice
  • long term satisfyingly high ranking
  • It would be utopic to think that the “being cool” marketing
  • would disappear, but marketers would have to make those two objectives compose together.
  • This social capital contagion is nevertheless a tool that would need to be controlled in its form of violence by extensive testings and iterations with forms of protections for the smallest peers, that is to say to keep this form of social violence to institutionalized, classic forms of businesses, clearly beyond the line of what should be acceptable in the global village.
  • the goal is here to create an artificial form of majority that is a self-censuring responsible behavior of corporations
Kurt Laitner

Crowding Out - P2P Foundation - 1 views

  • The curve indicates that while workers will initially chose to work more when paid more per hour, there is a point after which rational workers will choose to work less
    • Kurt Laitner
       
      in other words, people are financially motivated until they are financially secure, then other motivations come in
  • "leaders" elsewhere will come and become your low-paid employees
  • At that point, the leaders are no longer leaders of a community, and they turn out to be suckers after all, working for pittance, comparatively speaking
    • Kurt Laitner
       
      so part of the dynamic is that everyone is paid fairly, if not there is the feeling of exploitation
  • ...36 more annotations...
  • under certain structural conditions non-price-based production is extraordinarily robust
    • Kurt Laitner
       
      which are... abundance?
  • There is, in fact, a massive amount of research that supports the idea that when you pay people to do something for you, they stop enjoying it, and distrust their own motivations. The mysterious something that goes away, and that “Factor X” even has a name: intrinsic motivation.
    • Kurt Laitner
       
      the real question though is why, and whether it is the paying them that is the problem, or perhaps how that is determined, and who else gets what on what basis..  if you have to have them question the fairness of the situation, they will likely check out
  • giving rewards to customers can actually undermine a company’s relationship with them
  • It just is not so easy to assume that because people behave productively in one framework (the social process of peer production that is Wikipedia, free and open source software, or Digg), that you can take the same exact behavior, with the same exact set of people, and harness them to your goals by attaching a price to what previously they were doing in a social process.
  • Extrinsic rewards suggest that there is actually an instrumental relationship at work, that you do the activity in order to get something else
  • If you pay me for it, it must be work
    • Kurt Laitner
       
      only because a dichotomy of work and play exists in western culture
  • It’s what we would call a robust effect. It shows up in many contexts. And there’s been considerable testing to try to find out exactly why it works. A major school of thought is that there is an “Overjustification Effect.” (http://kozinets.net/archives/133)
    • Kurt Laitner
       
      yes, why is key
  • interesting examples of an effect called crowding
  • Offering financial rewards for contributions to online communities basically means mixing external and intrinsic motivation.
  • A good example is children who are paid by their parents for mowing the family lawn. Once they expect to receive money for that task, they are only willing to do it again if they indeed receive monetary compensation. The induced unwillingness to do anything for free may also extend to other household chores.
  • Once ‘gold-stars’ were introduced as a symbolic reward for a certain amount of time spent practicing the instrument, the girl lost all interest in trying new, difficult pieces. Instead of aiming at improving her skills, her goal shifted towards spending time playing well-learned, easy pieces in order to receive the award (Deci with Flaste 1995)
    • Kurt Laitner
       
      this is a more troubling example, as playing the harder pieces is also practicing - I would take this as a more complex mechanism at work - perhaps the reinterpretation by the girl that all playing was considered equal, due to the pricing mechanism, in which case the proximal solution would be to pay more for more complex pieces, or for levels of achievement - the question remains of why the extrinsic reward was introduced in the first place (unwillingness to practice as much as her parents wanted?) - which would indicate intrinsic motivation was insufficient in this case
  • Suddenly, she managed to follow the prescription, as her own (intrinsic) motivation was recognized and thereby reinforced.
    • Kurt Laitner
       
      or perhaps the key was to help her fit the medication into her day, which she was having trouble with...
  • The introduction of a monetary fine transforms the relationship between parents and teachers from a non-monetary into a monetary one
    • Kurt Laitner
       
      absolutely, in some sense the guilt of being late is replaced by a rationalization that you are paying them - it is still a rationalization, and parents in this case need to be reminded that staff have lives too to reinforce the moral suasion
  • "The effects of external interventions on intrinsic motivation have been attributed to two psychological processes: (a) Impaired self-determination. When individuals perceive an external intervention to reduce their self-determination, they substitute intrinsic motivation by extrinsic control. Following Rotter (1966), the locus of control shifts from the inside to the outside of the person affected. Individuals who are forced to behave in a specific way by outside intervention, feel overjustified if they maintained their intrinsic motivation. (b) Impaired self-esteem. When an intervention from outside carries the notion that the actor's motivation is not acknowledged, his or her intrinsic motivation is effectively rejected. The person affected feels that his or her involvement and competence is not appreciated which debases its value. An intrinsically motivated person is taken away the chance to display his or her own interest and involvement in an activity when someone else offers a reward, or commands, to undertake it. As a result of impaired self-esteem, individuals reduce effort.
    • Kurt Laitner
       
      these are finally very useful - so from (a) as long as self determination is maintained (actively) extrinsic reward should not shut down intrinsic motivation AND (b) so long as motivations are recognized and reward dimensions OTHER THAN financial continue to operate, extrinsic reward should not affect intrinsic motivation
  • External interventions crowd-out intrinsic motivation if the individuals affected perceive them to be controlling
    • Kurt Laitner
       
      emphasis on "if" and replacing that with "in so far as"
  • External interventions crowd-in intrinsic motivation if the individuals concerned perceive it as supportive
    • Kurt Laitner
       
      interesting footnote
  • In that case, self-esteem is fostered, and individuals feel that they are given more freedom to act, thus enlarging self-determination
    • Kurt Laitner
       
      so effectively a system needs to ensure it is acting on all dimensions of reward, or at least those most important to the particular participant, ego (pride, recognition, guilt reduction, feeling needed, being helpful, etc), money (sustenance, beyond which it is less potent), meaning/purpose etc.  If one ran experiments controlling for financial self sufficiency, then providing appreciation and recognition as well as the introduced financial reward, they might yield different results
  • cultural categories that oppose marketplace modes of behavior (or “market logics”) with the more family-like modes of behavior of caring and sharing that we observe in close-knit communities (”community logics”)
    • Kurt Laitner
       
      are these learned or intrinsic?
  • this is labor, this is work, just do it.
    • Kurt Laitner
       
      except that this cultural meme is already a bias, not a fact
  • When communal logics are in effect, all sorts of norms of reciprocity, sacrifice, and gift-giving come into play: this is cool, this is right, this is fun
    • Kurt Laitner
       
      true, and part of our challenge then is to remove this dichotomy
  • So think about paying a kid to clean up their room, paying parishioners to go to church, paying people in a neighborhood to attend a town hall meeting, paying people to come out and vote. All these examples seem a little strange or forced. Why? Because they mix and match the communal with the market-oriented.
    • Kurt Laitner
       
      and perhaps the problem is simply the conversion to money, rather than simply tracking these activities themselves (went to church 50 times this year!, helped 50 orphans get families!) (the latter being more recognition than reward
  • Payment as disincentive. In his interesting book Freakonomics, economist Steven Levitt describes some counterintuitive facts about payment. One of the most interesting is that charging people who do the wrong thing often causes them to do it more, and paying people to do the right thing causes them to do it less.
    • Kurt Laitner
       
      and tracking them causes them to conform to cultural expectations
  • You direct people _away_ from any noble purpose you have, and instead towards grubbing for dollars
    • Kurt Laitner
       
      and we are left with the challenge, how to work to purpose but still have our scarce goods needs sufficiently provided for?  it has to be for love AND money
  • When people work for a noble purpose, they are told that their work is highly valued. When people work for $0.75/hour, they are told that their work is very low-valued
    • Kurt Laitner
       
      so pay them highly for highly valued labour, and don't forget to recognize them as well... no?
  • you're going to have to fight your way through labour laws and tax issues all the way to bankruptcy
    • Kurt Laitner
       
      this is a non argument, these are just interacting but separate problems, use ether or bitcoin, change legislation, what have you
  • Market economics. If you have open content, I can copy your content to another wiki, not pay people, and still make money. So by paying contributors, you're pricing yourself out of the market.
    • Kurt Laitner
       
      exactly, so use commonsource, they can use it all they want, but they have to flow through benefit (provide attribution, recognition, and any financial reward must be split fairly)
  • You don't have to pay people to do what they want to do anyways. The labour cost for leisure activities is $0. And nobody is going to work on a wiki doing things they don't want to do.
    • Kurt Laitner
       
      wow, exploitative in the extreme - no one can afford to do work for free, it cuts into paid work, family time etc.  if they are passionate about something they will do it for free if they cannot get permission to do it for sustenance, but they still need to sustain themselves, and they are making opportunity cost sacrifices, and if you are in turn making money off of this you are an asshole.. go ahead look in the mirror and say "I am an asshole"
  • No fair system. There's simply no fair, automated and auditable way to divvy up the money
    • Kurt Laitner
       
      this is an utter cop out - figure out what is close enough to fair and iterate forward to improve it, wow
  • too complicated to do automatically. But if you have a subjective system -- have a human being evaluate contributions to an article and portion out payments -- it will be subject to constant challenges, endless debates, and a lot of community frustration.
    • Kurt Laitner
       
      yes to the human evaluation part, but "it's too complicated" is disingenuous at the least
  • Gaming the system. People are really smart. If there's money to be made, they'll figure out how to game your payment system to get more money than they actually deserve
    • Kurt Laitner
       
      yes indeed, so get your metrics right, and be prepared to adjust them as they are gamed - and ultimately, as financial penalties are to BP, even if some people game the system, can we better the gaming of the capitalist system.. it's a low bar I know
  • They'll be trying to get as much money out of you as possible, and you'll be trying to give as little as you can to them
    • Kurt Laitner
       
      it doesn't have to be this way, unless you think that way already
  • If you can't convince people that working on your project is worth their unpaid time, then there's probably something wrong with your project.
    • Kurt Laitner
       
      wow, talk about entrepreneurial taker attitude rationalization
  • People are going to be able to sense that -- it's going to look like a cover-up, something sleazy
    • Kurt Laitner
       
      and getting paid for others free work isn't sleazy, somehow...?
  • Donate.
    • Kurt Laitner
       
      better yet, give yourself a reasonable salary, and give the rest away
  • Thank-you gifts
    • Kurt Laitner
       
      cynical.. here have a shiny bobble you idiot
  • Pay bounties
    • Kurt Laitner
       
      good way to get people to compete ineffectively instead of cooperating on a solution, the lottery mechanism is evil
  •  
    while good issue are brought up in this article, the solutions offered are myopic and the explanations of the observed effects not satisfying
Tiberius Brastaviceanu

Laser Projector - SENSORICA - 0 views

  •  
    "Value accounting: [enter the project into the value accounting system] New system: You need to create a new project. Create processes associated to this project.   Old system (will be closing soon!!): you need to add the project to the following forms: time contributions form, financial contributions form, material contributions form.   "
Tiberius Brastaviceanu

How The Blockchain Will Transform Everything From Banking To Government To Our Identities - 1 views

  • The first generation of the Internet was a great tool for communicating, collaborating and connecting online, but it was not ideal for business. When you send and share information on the Internet, you’re not sending an original but a copy. That’s good for information — it means people have a printing press for information and that information becomes democratized — but if you want to send an asset, it’s a problem. If I send you $100 online, you need to be sure you have it and I don’t, and that I can’t spend the same $100 somewhere else. As a result, we need intermediaries to perform critical roles — to establish identity between two parties in a transaction, and to do all the settlement transaction logic, which includes record-keeping.
  • With blockchain, for the first time, we have a new digital medium for value where anyone can access anything of value — stocks, bonds, money, digital property, titles, deeds — and even things like identity and votes can be moved, stored and managed securely and privately. Trust is not established though a third party but with clever code and mass consensus using a network. That’s got huge implications for intermediaries and businesses and society at large
  • And also with government, as a central repository of information an entity that delivers services.
  • ...35 more annotations...
  • There’s an opportunity to disrupt how those organizations work. Intermediaries, though they do a good job, have a few problems — they’re centralized, which makes them vulnerable to attack or failure
  • They tax the system
  • They capture data
  • They exclude billions of people from the global economy
  • internet of value
  • With blockchain, we can go from redistributing wealth to distributing value and opportunity value fairly a priori, from cradle to grave.
  • creating a true sharing economy by replacing service aggregators like Uber with distributed applications on the blockchain
  • unleashing a new age of entrepreneurship
  • build accountable governments through transparency, smart contracts and revitalized models of democracy.
  • The virtual you is owned by large intermediaries
  • This virtual you knows more about you than you do sometimes
  • So there’s a strange phenomenon from the first generation of the Internet where the most important asset class that’s been created is data —and we don’t control it or own it.
  • individuals taking back their identity through your own personal avatar
  • The financial services industry
  • antiquated
  • a complicated machine that does a simple thing
  • settlement
  • an opportunity to profoundly change the nature of the entire industry. The Starbucks transaction should be instant.
  • At the heart of it, the financial services industry moves value.
  • so this is both an existential threat to the financial services industry and an historic opportunity.
  • Banks trade on trust
  • Within the decade, every single financial asset, which is really just a contract
  • will all move to a blockchain-based format
  • In the accounting world, a lot of firms rely on costly audits to drive their profits
  • With blockchain, you could have a third entry time-stamped in a distributed ledger that could be acceptable to any relevant stakeholders from regulators to shareholders, giving you a perfect record of the truth and thus the financial health of an organization.
  • Nobel-winning economist Ronald Coase argued that firms exist because transaction costs in an open market are greater than the cost of doing things inside the boundaries of the corporation.
  • four costs — of search, coordination, contracting and establishing trust
  • Blockchains will profoundly affect all of these.
  • you can now synthesize trust on an open platform and people who’ve never met can trust each other to do certain things. So this results in a whole number of new business models
  • It turns out the Internet of Everything needs a Ledger of Everything, because a lightbulb buying power from your neighbor’s solar panel definitely won’t use banks or the Visa network
  • Right now, governments take tax revenue from corporations, individuals, licenses and so on. All of that can change. We can first of all have transparency in a radical sense because sunlight is the best disinfectant. Secondly, we can open up governments in a different sense of sharing data.
  • governments can enable self-organization to occur in society where companies, civil society organizations, NGOs, academics, foundations, and government agencies and individual citizens ought to use this data to self-organize and create what we used to call services or forms of public value. The third one has to do with the relationship between citizens and their governments.
  • There are more opportunities to create government by the people for the people
  • Electronic voting won’t be delivered by traditional server technology because it won’t be trusted by citizens
Tiberius Brastaviceanu

The commons law project: A vision of green governance - 0 views

  • “commons law” (not to be confused with common law)
  • Commons law consists of those social practices, cultural traditions and specific bodies of formal law that recognize the rights of commoners to manage their own resources
  • Ever since the rise of the nation-state and especially industrialized markets, however, commons law has been marginalized if not eclipsed by contemporary forms of market-based law
  • ...19 more annotations...
  • individual property rights and market exchange have been elevated over most everything else, and this has only eroded the rights of commoners,
  • reframe the very notion of “the economy” to incorporate non-market sharing and collaboration.
  • we had concluded that incremental efforts to expand human rights and environmental protection within the framework of the State/Market duopoly were simply not going to achieve much
  • the existing system of regulation and international treaties has been a horrendous failure over the past forty years. Neoliberal economics has corrupted and compromised law and regulation, slashing away at responsible stewardship of our shared inheritance while hastening a steady decline of the world’s ecosystems
  • We concluded that new forms of ecological governance that respect human rights, draw upon commons models and reframe our understanding of economic value, hold great promise
  • An economics and supporting civic polity that valorizes growth and material development as the precondition for virtually everything else is ultimately a dead end—literally.
  • Achieving a clean, healthy and ecologically balanced environment requires that we cultivate a practical governance paradigm based on, first, a logic of respect for nature, sufficiency, interdependence, shared responsibility and fairness among all human beings; and, second, an ethic of integrated global and local citizenship that insists upon transparency and accountability in all activities affecting the integrity of the environment.
  • We believe that commons- and rights-based ecological governance—green governance—can fulfill this logic and ethic. Properly done, it can move us beyond the neoliberal State and Market alliance—what we call the ‘State/Market’—which is chiefly responsible for the current, failed paradigm of ecological governance.
  • The basic problem is that the price system, seen as the ultimate governance mechanism of our polity, falls short in its ability to represent notions of value that are subtle, qualitative, long-term and complicated.
  • These are, however, precisely the attributes of natural systems.
  • Exchange value is the primary if not the exclusive concern.
  • anything that does not have a price and exists ‘outside’ the market is regarded (for the purposes of policy-making) as having subordinate or no value.
  • industry lobbies have captured if not corrupted the legislative process
  • regulation has become ever more insulated from citizen influence and accountability as scientific expertise and technical proceduralism have come to be more and more the exclusive determinants of who may credibly participate in the process
  • we have reached the limits of leadership and innovation within existing institutions and policy structures
  • it will not be an easy task to make the transition from State/Market ecological governance to commons- and rights-based ecological governance
  • It requires that we enlarge our understanding of ‘value’ in economic thought to account for nature and social well-being; that we expand our sense of human rights and how they can serve strategic as well as moral purposes; that we liberate ourselves from the limitations of State-centric models of legal process; and that we honor the power of non-market participation, local context and social diversity in structuring economic activity and addressing environmental problems.
  • articulate and foster a coherent new paradigm
  • deficiencies of centralized governments (corruption, lack of transparency, rigidity, a marginalized citizenry)
Kurt Laitner

Value Accounting System - P2P Foundation - 0 views

  • are not exchanging anything among themselves
    • Kurt Laitner
       
      Not sure this is true in all cases or even in this one
  • A value creation process that requires more than one individual can be based on following 3 arrangements
  • stigmergic coordination
  • ...16 more annotations...
  • collaboration
  • cooperation,
  • The problem is that this economic dependency is not symmetrical
  • All labor is transferred into fluid equity through a value accounting system, which grants ownership to the participant member to a percentage of the future revenue generated for the lifetime of the product created
  • risk is shared among all contributors
  • based on contributions
    • Kurt Laitner
       
      and RISK, and...
  • anyone can add value
  • decentralized in terms of allocation of resources
  • horizontal governance system
    • Kurt Laitner
       
      not necessarily
  • A prearrangement on revenue is impossible in this context
  • impossible to do time management
  • no one can force anyone else to work more
  • the value equation embodies positive and negative (intrinsic) incentives
  • contains parameters to incentivise periodic and frequent contributions
  • quality of execution
  • priority level of tasks.
Kurt Laitner

The basic orientation of p2p theory towards societal reform: transforming civil society... - 1 views

  • under the ‘leadership’ of corporations and those members of our society who have access to capital.
  • Despite all democratic advances, the state forms have clearly been captured by private interests.
  • in a capitalist system, ‘civil society’ is not directly productive of the goods and services that we need to survive, live and thrive
  • ...22 more annotations...
  • everything that needs to be made, has to be designed through collaborative innovation in the first place
  • continuous interchange and dialogue of citizens as they determine their collective life
  • Both civil society and the notion of citizenship can be criticized for being insufficiently inclusionary, and therefore as ‘mechanisms of exclusion’.
  • consisting of shared depositories of knowledge, code and design; the communities of contributors and users of such commons
  • infrastructures of collaboration, which are managed by a new type of ‘for-benefit associations’
  • democratically governed by all participants and stakeholders in such commons
    • Kurt Laitner
       
      hmm
  • which are not derived or secondary from either the private or state forms.
  • civil society is the locus of the shared abundance of value creation, and the place for the continual dialogue regarding the necessities of common life.
  • democratically decide
    • Kurt Laitner
       
      ? our values need be expressed in every action within the matrix, not just when a 'vote' is held, in fact general democratic 'voting' should probably disappear
  • the ‘common good’ of society as a whole
    • Kurt Laitner
       
      there is no such thing
  • The difference is that the commons where the immaterial value is created are positioned in a field of abundance characteristic for non-rival or anti-rival goods; while the for-benefit associations are responsible for the sometimes contentious allocation of rival infrastructures.
    • Kurt Laitner
       
      !!!
  • Whereas the commons themselves are plurarchies based on permissionless contribution, forking and other rights guaranteeing the diversity of contributions and contributors; the for-benefit associations are democratically governed.
  • true reform of the private sector and the corporate form.
    • Kurt Laitner
       
      really?
  • Under conditions of the rule of capital, for-profit corporations are beholden to work for the interests of the shareholders. This format allows for the accumulation of capital, but also indirectly of political power, through the power of money to influence politics and politicians. For-profit corporations are part of a system of infinite growth and compound interest, must continuously compete with other corporations, and therefore, also minimize costs. For-profit corporations are designed to ignore negative environmental externalities by avoiding to pay the costs associated with them; and to ignore positive social externalities, also by avoiding to pay for them. In terms of sustainability, corporations practice planned obsolescence as a rule, because while the market is a scarcity allocation mechanism, capitalism itself is a scarcity maintenance and creation mechanism. Anti-sustainable practices are systemic and part of the DNA of the for-profit corporation.
  • Under conditions of peer production, design and innovation moves to commons-based communitiies, which lack the incentive for unsustainable design; products are inherently design for sustainability, and the production process itself is designed for openness and distribution.
  • designed to make the commoners and the commons themselves sustainable, by not ‘leaking’ surplus value to external shareholders
  • mission-oriented, community supportive, sustainability-oriented corporate forms, that operate in the marketplace but do not themselves reproduce capitalism.
  • surplus value stays within the commons, allows its autonomous social reproduction, and sustains the commoners
  • ethical mechanism that subsumes profit making under the social goal of strengthening the commons.
  • because commons and their communities are themselves specific, and do not automatically take into account the common good of society as a whole .
  • A Partner State functions center around enabling and empowering social production and abandons some of the paternalistic aspects of the welfare state by focusing on strengthening the possibilities of autonomy.
  • mobilization of social forces to obtain a new social contract
  •  
    Good synopsis of the big picture by Michel
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