Complex Decision-Making in Economy and Finance

Pertinent to modern industry, administration, finance and society, the most pressing issue for firms today is how to reapproach the way we think and work in business. With topics ranging from improving productivity and coaxing economic growth after periods of market inactivity, Complex Decision-Maki...

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Bibliographic Details
Main Authors: Massotte, Pierre, Corsi, Patrick (Author)
Format: eBook
Language:English
Published: Wiley-ISTE 2020
Edition:1st edition
Series:Innovation, entrepreneurship and management series
Online Access:
Collection: O'Reilly - Collection details see MPG.ReNa
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100 1 |a Massotte, Pierre 
245 0 0 |a Complex Decision-Making in Economy and Finance  |c Massotte, Pierre 
250 |a 1st edition 
260 |b Wiley-ISTE  |c 2020 
300 |a 372 pages 
505 0 |a Note continued: 18.1.3. The advantages and consequences of this evolution -- 18.1.4. Cultivating diversity -- 18.2. Interactions: towards a crisis model? -- 18.2.1. Effects of the crisis of confidence -- 18.2.2. Banks' subprime exposure -- 18.2.3. Subprime effects within banks and the stock exchange -- 18.2.4. Subprime effects, at the level of individuals -- 18.2.5. Subprime effects, at bank level -- 18.2.6. Effects of changes in securities -- ch. 19 Technological, Monetary and Financial Crashes -- 19.1. Yet another view to complexity -- 19.1.1. Global complexity of economy -- 19.2. The reference financial systems are continuously changing -- 19.2.1. The US Dollar and Chinese Yuan -- 19.2.2. Lifetime of a currency. Importance of gold? -- 19.2.3. Distribution of GDP around the world -- 19.2.4. In terms of economical and overtime evolution -- 19.3. Conclusive discussion -- 19.3.1. Problem of gold and rare earth materials -- 19.3.2. Summary and main conclusions 
505 0 |a Note continued: 10.3.1. The vertical axis is the axis of the "structure" -- 10.3.2. The horizontal axis is the axis of "explanations" -- 10.3.3. The ascending bisector axis -- 10.3.4. The "descriptive inversion" axis -- 10.4. Illustration of the method -- 10.4.1. Evaluating project proposals -- 10.4.2. The RAGTIME proposal -- 10.4.3. The BOLERO proposal -- 10.5. What are the advantages of using the method? -- 10.6."The network metaphor" as the general application context of the method -- 10.7. Perspectives beyond the CINSYS method -- 10.7.1.A generic methodology for dealing with complex problems -- 10.7.2. Analysis of how, or design of new systems -- 10.7.3. Systems development: organization -- 10.8. Conclusion -- pt. 2 Dealing with Risk in Complex Environments -- ch. 11 Underlying Mechanisms in Finance -- 11.1. Introduction to finance theory and its evolution -- 11.2. What are the best candidates for the so-called econophysics? 
505 0 |a Note continued: 4.5. Conclusion: information related to the use and usage of modeling -- 4.5.1. Free Trade considerations -- 4.5.2. Harmonization of situations and objectives -- 4.5.3. Emergence of the ecology and "patriotism" -- 4.5.4.Comments and expectations on modeling expectations -- ch. 5 Complexity and the Theory of Organizations: Implementation of Collective Intelligence -- 5.1. Introducing the notion of collective intelligence -- 5.2. Definition of a multi-agent system -- 5.2.1. Introduction -- 5.2.2. What's in a multi-agent system? -- 5.2.3. MAS areas of application -- 5.2.4. Negotiation protocols between agents -- 5.3. Behavioral and interaction strategies between agents -- 5.3.1. Applying the above principles -- 5.3.2. Application example: workshop reconfiguration -- 5.3.3. Influence of the individual characteristics of agents on the decision process -- 5.4. Concluding comments -- ch. 6 Complexity and the Theory of Organizations: The Notion of Collective Patterns 
505 0 |a Note continued: 8.2. Application and implementation of concepts in the "Fractal Factory" -- 8.2.1. The case of the Fractal Factory -- organization -- 8.2.2. Consequences for production management -- ch. 9 Complexity and the Theory of Organizations: Complex Systems Reengineering -- 9.1. The reengineering of complex systems -- 9.1.1. Introduction -- 9.1.2. The approach and the initial conditions -- 9.1.3. The RECOS reengineering methodology -- 9.2.Comments on the technologies used -- 9.2.1. Modeling techniques and tools -- 9.2.2. Role and contribution of IT in BPR -- 9.3. Theory of constraints and complexity management -- 9.4. Measurement of the complexity of a new organization -- 9.5. Concluding remark -- ch. 10 Evaluating and Measuring Complexity: The CINSYS Methodology -- 10.1.A brief overview of the CINSYS system -- 10.2. What can be found in a CINSYS model? -- 10.3. Functional analysis of the method: interpretation by the CINSYS symbolic and structural diagram 
505 0 |a Note continued: 14.1.1. At present, what do we mean by energy crisis? -- 14.1.2. Energy crisis: impacts on prices and the economy -- 14.1.3. Biofuels: how can we prepare for and manage the shortage? -- 14.1.4. What about raw materials and resulting products? -- 14.2. The future: limit of price increases? Implications of the shortage -- 14.3. Modeling the problem correctly -- 14.4. Crisis or heuristic tactics? Large-scale oil shock? -- 14.5.A few conclusive remarks -- ch. 15 On Managing Risk in the Financial Domain -- 15.1. Taking about disasters -- from risks to catastrophes in finance -- 15.2. An interesting approach: financial analysis of losses -- 15.3. When the drama occurs -- 15.4. How to conduct a risk consequence analysis process? -- 15.5. Conservatory measures: risk and diversification -- 15.6. An additional risk: the decline and inversion rate at the stock exchange -- 15.7. Concluding with additional risks of the shared economy -- ch. 16 Why Current Tools Are Inadequate 
505 0 |a Machine generated contents note: pt. 1 Dealing with Complexity -- ch. 1 Engineering Complexity within Present-Day Industrial Systems -- 1.1. Introduction -- 1.1.1. Reference definitions -- 1.1.2. What are the problems to be solved? -- 1.1.3. What is the "engineering" approach developed here? -- 1.2. Basic properties of complex industrial systems -- 1.2.1. Structure and organization of system functions -- 1.3. The complexity of systems -- 1.3.1. The basic principles of complexification -- 1.3.2. The complexification process -- 1.3.3. The smoothing property of chaotic characteristics -- 1.4. Analysis of some industrial dynamic systems -- 1.4.1. Introduction -- 1.4.2. Interactions in industrial workshops -- 1.4.3. Product flow in a flexible production system -- 1.4.4. Message flows in complex information systems -- 1.5. Applications of new concepts in industrial systems -- 1.5.1. New features and functionalities to consider -- 1.5.2. Design of complex industrial systems management tools 
505 0 |a Note continued: 1.5.3. The contribution of chaos and self-organization -- 1.5.4. Consequences -- ch. 2 Designing Complex Products and Services -- 2.1.Complex systems engineering: the basics -- 2.1.1. Relationship between organization and product: basic principles -- 2.1.2. Reminder of the operating rules of an organization -- 2.1.3. The challenges of such organizations -- 2.1.4. Concepts of sociability and emergence of order -- 2.1.5. The genesis and evolution of complex systems -- 2.1.6. How and where do structures emerge? -- 2.2. The implementation conditions for self-organization -- 2.2.1. Emergence of self-organized patterns -- 2.2.2. Best stability conditions: homeostasis -- 2.3. Advantages and benefits of a complexity approach -- ch. 3 Engineering and Complexity Theory: A Field Design Approach -- 3.1. Design approach for a complex system -- 3.1.1. Methodological elements for the design of a complex system -- 3.1.2. Example: how can we propose a "customized product"? 
505 0 |a Note continued: 3.2. Applications and solutions -- 3.2.1. Case 1: current approaches based on "design on demand" -- 3.2.2. Case 2: "design by assembly according to demand" approach -- 3.2.3. Case 3: product reconfiguration and on-demand adaptation -- 3.2.4. Case 4: product auto-configuration and adaptation for use -- 3.2.5. Case 5: designing self-propagating computers -- 3.3. Application: organization and management in companies -- 3.4. Main conclusions related to the first three chapters -- ch. 4 Organizational Constraints and Complexity Theory: Modeling with Agents -- 4.1.A preamble to modeling -- 4.2. Introducing collective intelligence -- 4.3. Studying the agent concept -- 4.3.1. Some definitions of an agent -- 4.3.2. The different categories and models of agents available -- 4.4. Applications using agents -- 4.4.1. Modeling the behavior of a living organism -- 4.4.2. Modeling of an industrial management and control system 
505 0 |a Note continued: 6.1. The emergence of collective patterns -- 6.1.1. Conditions and method of emergence of patterns -- 6.2. System complexity factors and their measurement -- 6.3. Conclusion: towards the notion of "complex adaptive systems" (CAS) -- ch. 7 Complexity and Theory of Organizations: Structure and Architecture of an Enterprise -- 7.1. Notions of structure in organizations -- 7.1.1. The "enabling" environment for Information and Decision Systems -- 7.1.2. The structural environment -- 7.1.3. The company and the global context -- 7.2. Structure of distributed complex systems -- 7.2.1. Introduction -- 7.2.2. The centralized structure -- 7.2.3. The non-centralized structure; the hierarchical structure -- 7.2.4. The heterarchical non-centralized structure -- 7.2.5. The n-cube structure -- 7.3. Conclusion -- ch. 8 Complexity and the Theory of Organizations: Applications -- 8.1. Applications: trends and models -- 8.1.1. Application of the principles to steering systems 
505 0 |a Note continued: 12.1.1. Problems of complexity and connectivity -- 12.2. On the principle of emergence -- 12.3. Finance, economics and physics: the quantification of emergence -- 12.3.1. Emergence and complexity -- 12.3.2.Complexity as a quality -- self-organization and emergence -- 12.3.3. Emergence and thermodynamics: a general view -- 12.3.4.A few applications -- 12.4. About Godel theorems -- 12.5. Conclusion -- ch. 13 Managing Behavioral Risks: Uncertainty and Catastrophes -- 13.1. Introduction -- 13.1.1. Uncertainty is not disorder -- 13.1.2. The different realities -- 13.1.3. World time -- 13.2. Implications for intellectual approaches -- 13.3. The uncertainties -- 13.3.1. Social acceptability -- 13.3.2. From ordinary risk -- 13.3.3. To major risk -- 13.3.4. Risk management -- ch. 14 On Managing Risk in the Energy Domain: Conventional Problems Encountered -- 14.1. From a new oil crisis (peak oil) and the resulting energy crisis 
505 0 |a Note continued: 11.3. Action plans in financial regulation and bank regulation: are they ok? -- 11.4. Back to physics and matter: their contribution -- 11.5. From matter up to living beings: how can big events be generated? -- 11.6. The evolution of an economic system -- the problem of CRISIS -- 11.6.1. Pre-industrial crises -- 11.6.2. Industrial crises -- 11.7. Role of complexity and diversity in Nature -- 11.8. Application: how should we proceed when faced with crises and financial crashes/crises? -- 11.8.1. Definition of a crisis and frequencies of occurrence -- 11.8.2. Future possible crisis -- 11.9. Crisis as the end of an evolution -- 11.10. Collapse theory and modeling -- a theory of the "end" -- 11.10.1. Modeling the collapse -- 11.10.2. Application -- 11.10.3.Comments -- 11.11. Design of financial products: the example of world interconnections -- 11.12. Conclusion -- ch. 12 Physics and Social Networks: Domain Similarities -- 12.1. Introducing a similarity of domains 
505 0 |a Note continued: 16.1. On the shortcomings of current tools: risk and probability -- 16.2.A thematic illustration -- 16.3. What regularities? -- 16.4. Characteristics of rational expectations in economics -- 16.5. Risk characteristics in the industry -- 16.6.A philosophical summary: chance and necessity -- 16.7. The environment's new challenge -- ch. 17 How to Manage Crises? -- 17.1. The fundamental principles of crisis management -- 17.2. Early warning risk signals and the basics of risk management -- 17.2.1. Several families of crises -- 17.2.2. Mechanisms and crisis preparation -- 17.2.3. Detecting early warning signals and containing damage -- 17.3. Five fundamental elements that describe a company -- 17.4. About stakeholders -- ch. 18 Managing Crises in Finance and Other Domains -- 18.1. Reorienting company aims -- 18.1.1. The growing importance of the shareholder -- 18.1.2. The specialization of companies in the new economy 
505 0 |a Note continued: 19.3.3.T-bonds versus Eurobonds and Chinese bonds, etc. -- 19.3.4. Application and comments 
700 1 |a Corsi, Patrick  |e author 
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989 |b OREILLY  |a O'Reilly 
490 0 |a Innovation, entrepreneurship and management series 
500 |a Made available through: Safari, an O'Reilly Media Company 
776 |z 9781119694984 
776 |z 9781786305022 
856 4 0 |u https://learning.oreilly.com/library/view/~/9781786305022/?ar  |x Verlag  |3 Volltext 
082 0 |a 658.4/03 
520 |a Pertinent to modern industry, administration, finance and society, the most pressing issue for firms today is how to reapproach the way we think and work in business. With topics ranging from improving productivity and coaxing economic growth after periods of market inactivity, Complex Decision-Making in Economy and Finance offers pragmatic solutions for dealing with the critical levels of disorder and chaos that have developed throughout the modern age. This book examines how to design complex products and systems, the benefits of collective intelligence and self-organization, and the best methods for handling risks in problematic environments. It also analyzes crises and how to manage them. This book is of benefit to companies and public bodies with regards to saving assets, reviving fortunes and laying the groundwork for robust, sustainable societal dividends. Examples, case studies, practical hints and guidelines illustrate the topics, particularly in finance