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The Science of Corporate Governance
Author(s) -
Turnbull Shann
Publication year - 2002
Publication title -
corporate governance: an international review
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.866
H-Index - 85
eISSN - 1467-8683
pISSN - 0964-8410
DOI - 10.1111/1467-8683.00291
Subject(s) - cybernetics , corporate governance , variety (cybernetics) , byte , unitary state , computer science , control (management) , database transaction , management science , knowledge management , management , artificial intelligence , political science , law , economics , programming language , operating system
Transaction Byte Analysis (TBA) is introduced as a basis to ground corporate governance in the science of information and control described as cybernetics. TBA provides fundamental criteria for evaluating the governance integrity of any type of organisation because all individuals possess physiological and neurological limits to receive, store, manipulate and transmit information measured in bytes. Cybernetics laws of requisite variety in com"munication channels, decision–making centres and control agents provide strategies for overcoming human variations and their limitations in managing complexity. The paper identifies the cybernetic advantages of compound boards and concludes that a unitary board cannot reliably govern complex firms.