Complexity in organizations arises from the dynamic relationships and interactions of people inside and outside the organization and the interdependencies between various internal subsystems (like teams and departments) and external factors, such as market conditions, regulatory changes, environmental changes, and technological advancements. The number of ever-evolving relationships and interactions makes it challenging to understand relationships of cause and effect until after events unfold, and it can also lead to rapid and unpredictable changes.

In complexity, you can’t expect a change to a system to lead to a predictable outcome, nor can you expect a policy to be, or to remain suitable or sufficient over time. This is why any approach to governance must embrace complexity by treating all policies and decisions as provisional.

Taking an iterative and incremental approach that includes the regular evaluation and adaptation of policies to integrate learning, along with integrating insights gained from considering diverse perspectives, experience, and expertise, helps develop and maintain the effectiveness of policies and makes the complexity of governance more manageable. Such adaptability is crucial for resilience in complex systems, as it balances stability with responsiveness based on the discovery of new information or when new challenges or opportunities arise.