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 The Big E   
                                        |                                                     This                             new economy has three distinguishing characteristics:                             It is global. It favors intangible things - ideas,                             information, and relationships. And it is intensely                             interlinked. These three attributes produce a new                             type of marketplace and society, one that is rooted                             in ubiquitous electronic networks. Networks                             have existed in every economy. Whats different                             now is that networks, enhanced and multiplied by technology,                             penetrate our lives so deeply that network                             has become the central metaphor around which our thinking                             and our economy are organized. Unless we can understand                             the distinctive logic of networks, we cant profit                             from the economic transformation under way. Kevin                           Kelly - 1998The                           Rules of the New Economy
 |                                         |                                                      |  The                               ENTERPRISE, that we are involved in - what                               we call the Big E - is much larger                              than the sum of the Taylor organizations or even                              the                              sum of all the organizations that make it up. It                              embraces the entire growing ValueWeb                               system associated with iterations, MG Taylor,                               AI, knOwhere, SFIA Architects-Master Builders,                              TomorrowMakers and                               our active investor/customer/user networks. This                               web is composed of investors, many companies,                              several                               employee groups and supply chain members                               (traditional label), and a growing, diverse end-user                                                            group. It is still not a fully functioning ValueWeb                               in the technical sense. It lacks balance between                                                            the Producer, Investor and Customer Networks. It                              also is short of critical mass although it should                              grow to that minimum level requirement over the                              next 12 months (June 03 to June 04). Also, the                              System Integration function has often been                              in                               conflict with several nodes in the producer Network.                               This has been a factor of growth and immaturely                                                            of the idea. It takes a ValueWeb to make                              a  ValueWeb. We are just coming out of bootstrap                               mode after over two decade of activity.
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 Business                         of Enterprise Model - 1985   |                                         |                                                      | In                                   all, it is an active network of several hundred                                                                providers and several thousand users representing,                                   by 2002, more than $75,000,000 a year in direct                                                                economic activity while leveraging and facilitating                                   many times that amount. Several times a week,                                  somewhere                               in the world, groups go through a Taylor                               DesignShop process in an environment, in some combination,                               inspired, designed, built, equipped by our web                              of                               organizations and partners. There are, globally,                               over 27 Taylor-AI designed and equipped or inspired                                                            NavCenter (our term) environments. The CGEY ASE                               work makes up the biggest piece of this activity,                                                            however, this is being supplemented by a growing                               web of other users/producers. CGEY is the only                              member                               of our ValueWeb, so far, who has taken the a major                               part of the system and method to global scale.                              This                               is a major achievement and a significant step in                               the proof of concept process.   |                                                     | ValueWeb                                   membership ebbs and flows. It is the nature                                  of webs                               that membership can be more volatile during their                                   formation than many traditional organizations.                                  It                               is also the nature of webs that they are more stable,                                   in the long run, than most organizations.                                  Under                               the proper conditions, communities of practice                                  can  flow thorough different ValueWeb enterprises                                  without                               disruption to either. Critical mass is essential                                   to ValueWeb viability, however. What makes                                  critical                               mass is web-specific. This is a product of mission                                   and environmental circumstances. The mission                                  of                               our ValueWeb has been very broad and has always                                   been global in scope. Over a 24 year period                                  (1979-2003), it                               has grown from the vision and efforts of two individuals                                   to the many facets that exist today.   |                                                     | I                                   expect our web will be an order of magnitude                                  bigger                               a year from now (June 2004). Exactly how this                               will be so is not known, however, a new energy                              and growth stage is clearly emerging. The activities                              associated with ValueWeb                              creation                               are at a far higher level than at any time in                              the                               past. Growth, however, cannot                               be forced it must be both designed                                and facilitated - and, in the end,                                be heuristic and spontaneous. ValueWebs are the                                creatures of                               intent and emergence. They come about                               differently than do traditional organizations                              be they hierarchical or loose networks.   |                                                     | Growth                               to critical mass was, of course, our intention from                               the beginning. It was not until 1985, however, that                               we had a formal                               Model of ValueWebs and their creation process.                               And, it was not until 1996 that the size and growth                               rate of the Taylor Enterprise was such that this                               intrinsic architecture started to emerge as a (potential)                               feature of it. It is an interesting thing to be                               part of this as it plays out today - in some ways                               as predicted and in many, many ways... not. A precise                               understanding of critical mass and how it is measured                               and accomplished is important to ValueWeb facilitation.                               It is just now possible to get an operational sense                               of this. So far, it has proven easier to evolve                               value-web-ness out of mature organizations than                               to build from scratch. This has been, in part, because                               of the environment (legal, financial and economic)                               around these nascent webs. I may also be that we                               have not yet learned how to do it.   |                                                     | The                               two following quotes were great inspiration to me                               when I read them in the mid 70s. I used them                               in the ReBuilding                               the Future course that I taught in Kansas City                               while launching the Renascence Project. From these                               quotes and the work of Kenneth Boulding and others                               I extracted the essence of the network economy which                               became the organizational and financial basis of                               our Enterprise. Both still cary great power for                               me today.   |  
 |                                         |    There                         is in the world today an invisible college                         of people in many different countries and many different                         cultures, who have a vision of the nature of the transition                         through which we are passing and who are determined to                         devote their lives to contributing towards its successful                         fulfillment. Membership in this collage is consistent                         with many different philosophical, religious, and political                         positions. It is a college without a founder and without                         a president, without buildings and without organization.                         Its founding members might have included a Jesuit like                         Pierre Teihard de Chardin, a humanist like Aldous Huxley,                         a writer of science fiction like H.G. Wells, and it might                         have even given honorary degrees to Adam Smith, Karl Marx,                         Pope John XXIII, and even Khrushchev and John F. Kennedy.                         Its living representatives are a pretty small group of                         people. I think, however, that it is they who hold the                         future of the world in their hands or at least in their                         minds...
 Kenneth                         E. BouldingThe Meaning                         of the Twentieth Century - 1968
    But                         beyond formal organizational structures there are invisible                         colleges - the loose aggregates of individuals scattered                         throughout the nation and the world who periodically communicate                         with one another. They are the sociologists, architects,                         lawyers, doctors, teachers and others whose avocation                         is change and how it might be effected...
 Their                         communications are via the telephone, the Xerox machine,                         and the jet. They meet, exchange information, ideas, theories,                         and concepts. Tied neither to time place, nor position,                         they operate on many different levels at the same time.                         They are the link between industry and government, between                         the public and private sectors, between the the federal,                         state and city governments, between the government and                         neighbor-hoods, between the money givers and the money                         receivers, between the theorists and the activists. Their                         value lies both in their access to information from many                         sources and their rapid dissemination and utilization                         of that data. Leonard                         J. DahlGeneral Systems                         Theory and Psychiatry - 1972
 
 |                                         |                                                      |  In                               January, 1983, I outlined in my Notebook (pages                               504 - 506) the Strategy, costs and architecture                               of a network of Centers aimed at facilitating a                               network economy. This envisioned a A                               global neural net by 1996 - a new political/economic                               system. The estimated economic resources to                               launch the project through start up: $16,000,000.                               This network architecture was conceived as a fractal,                               recursive system starting from a Center/Center:                               Growth occurs both by intent and organically                               in time: the Center disappears. The                               expectation:Specific networks form to do specific                               projects - then disband. System remains coherent                               by means of an operational principle(s) expressed                               in a systemic operational modality.
   |                                                     | This                               is the seed of the ValueWeb concept and the MG Taylor                               patent stance that mind, memory, networks and global                               infrastructure can be treated as a single system                               of many recursion levels that, in its own architecture,                               contains information. There are many                               organizing principles employed in memory systems,                               however, the major, integrating architecture of                               any system beyond minimal complexity ToA,                               in an environment beyond minimal complexity, is                               a network ToA. The architecture of this network,                               itself, contains information. This pattern can be                               read from another level of recursion. Activity (of                               interactions), and so on, contain and transmit information.                               The architecture of memory is specific to the actual                               degrees of freedom of Channels ToA, Nodes                               ToA, and Thresholds ToA and their                               access strategies (rules). Real estate is important.                               (Page 268 11/07/01). The metaphor of the global                               mind becomes real.   |                                                     |  The                                 estimate of 16 million was appalling at the                                time and                             turned out to be quite accurate. The estimates further                                 indicated a 20 million dollar cost to get to                                a full                             service capability and $300 million to achieve                             true global scale. By 1995 the entire historical                                                        economic activity of our organization was about 8                             million and there were three active Centers. In                            1996                             and 1997, there was 16 million dollars of activity                             adding 4 Centers. The goal of a global net by 1996                                                        was not reached - it still is not. However, there                             are over 27 Center nodes now with more than 75 million                                                        in economic activity a year. ValueWeb members                             plan call for a doubling of Centers and a 4 times                                                        increase in economic activity in less than two years.                             Not yet there, however, enough critical mass is                            emerging                             to get a first view of system behavior                             on a global scale. Page 505 of my Notebook addressed                             the architecture of investors. This posited that                            there                             were many forms of wealth that can be seen in a 2                             x 4 matrix that has many layers. This matrix shows                                                        a coexisting "individual and Commonwealth                             structure that is expressed through physical,                             mental and spiritual values,                             or motives. Within this matrix, then, there are                            many                             reasons for different populations to invest: individuals,                             organizations, communities affinity networks, governments                                                        and, ultimately, global networks. |    |                                         |                                                      | In                                 time, this nascent system will grow in to a                                true                               marketplace. However, it will be a market place                                 that has value far beyond just the financial                                transactions                               that take place within it. It is my sense that                                the                               Network Economy will soon mutate into                               something else.                               The focus will shift from transactions and income                                                            making to wealth generation and work/lifestyle                              quality  and sustain-ability. This economy                              will run  by a new set of social rules. It will be                               network based. However, it will be made up of                              many                               distinct affinity markets with their                               own tools                               of exchange, rules of engagement and standards                              of  value. This will be a curious mixture of central                                                            systems and decentralization. The opposing trends,                               that we see today, between huge centralized organizations                                                            and a multiplication of small decentralized enterprises                               will be resolved.   |                                                     | The                               Big E ValueWeb is formed around a number of specific                               premises related to knowledge work, collaboration,                               emergent structures and the like. There is a strong                               value-set in regards how these tools should be applied.                               This, then, is an intentional network. Like                               all cultures, this web will grow and change. Its                               core will most likely stay intact. Since                               this core is related to - and has been from the                               beginning - a set of new economic assumptions, it                               will be interesting to see what effects growth and                               economic success has on the idea, operations and                               meme of the web itself and its various                               component organizations and nodes.                                   |                                                     |  The                                   Big E ValueWeb is a concrete application of                                  the                               Earth Library concept from the Renascense                               Project. It is one form in which the Renascense                                Project agenda will be recreated and carried                                 out. From my own personal viewpoint, the creation                                                              of this ValueWeb is the most complex project I                                have  ever taken on. Its creation is directly                                related  to the vision                               I experienced on New Years 1958. Creating this Community                               of Work has consumed my attention more than,                              perhaps, any other idea. My goal is to become a                              member of this ValueWeb, and within it, pursue                              the                              creation of true ARCHITECTURE. In my                               definition of architecture, the practice of                                it includes design, building and using-operating                                 the environments. By 1958,                                  just two years into my architectural practice                                 activities,                               I knew that I would fail in the practice of architecture                                  in the conventional sense of practice.                                  By                               1974,                               I had failed.                                My challenge was to find a way to bring my vision                               into reality. This required, although I did not                               know it at the time, building a place                               to work - a network and number of physical nodes                               within which to build a practice.                               In doing this for me, of course, I                              am  doing it for everyone who will understand and                              use the tool.
   |                                                     |  While                               this is my personal purpose, there is much                               that goes beyond it. In the first place, for my                               purpose to be accomplished, a social space with                               a much richer composition than architecture itself                               has to be created. When getting down                               to why architecture is so rare, the issues                               related to social values and transformation predominate.                               Architecture is outer development.                               It is the true expression of its builders                               values. It is a social art form. To build                               is to reveal who you are. Personal transformation                               and social transformation are co-emergent. Individual                               wealth and commonwealth are codependent. Node and                               Network are coexistent. Either/or is a tool of logic                               - not a description of reality. True architecture                               expresses, as a context for living, this integration.                               True architecture will require a new practice and                               that                               practice will be ValueWeb based.
   |                                                     |  Every                               individual that becomes part of this ValueWeb will                               have their own individual and community related                               reasons for taking part. Each will have to balance                               between contribution and use, between putting in                               and taking out, between investing and consuming.                               The ValueWeb will be robust when thousands are making                               such judgments on a daily basis based on a systemic                               and ecological view of the Enterprise. Failing this,                               there will be a tragedy of the commons                               and the resource will be spoiled. This issue is                               one that humankind faces on a planetary scale. The                               same condition is manifested, on many levels of                               recursion, time and time again. If our Enterprise                               is to be a 21st Century organization,                               we will accomplish this stewardship principle. In                               doing this, we will be accomplishing far more than                               just the value of the Enterprise itself - we will                               be learning how to bring ValueWebs into existence.
   |                                                     |  In                               1998, the Taylor operating                               companies experienced a great financial setback.                               This caused tremendous stress to many members of                               the ValueWeb Enterprise. The spirit of the Big E                               was shocked. A few took great short term                               and unethical advantage of the situation - most                               did not. Almost no one, however, had a way of dealing                               with the circumstances. This was a true test of                               the viability of the system. Over the year, even                               as it was crashing and reforming, the ENTERPRISE                               continued to grow. It passed this first test of                               sustainability. If there were ever any doubts in                               my mind if this Enterprise was recognized as having                               value and if it had the inherent adaptability to                               sustain a well-directed death blow,                               1998 put them to rest. Economically, three years                               were lost for the Taylor core operating companies.                               Strategically,                               the major objectives have been achieved dispite                               this circumstance.
   |                                                     | There                               remains, as of 2002, some repair work to return                               some web members to full engagement. This will be                               accomplished in time and only by action.                               Each in their own way.   |                                                     |  The                               basic rule-of-participation of a ValueWeb is simple:                               make sure that the web is self-correcting and efficacious                               - and then, make sure that the organization (or                               business of one) that you operate is                               fit to function within that web.                               In 1998, the Taylor parts of this ValueWeb failed                               this test and we rapidly descended our fitness                               peak. This did not feel good. In 1999 we started                               climbing a new one. We were still climbing until                               the 2001 recession and September 11. These events                               have accelerated our process to a place with much                               greater inherent opportunity and value than the                               landscape we occupied in 1998. We stayed between                               two economic plateaus - 25% smaller or larger would                               have been profitable - for almost 18 months. The                               ValueWeb, as a whole, doubled within this period.                               It continues to grow at a rapid rate. The MG Taylor                               core Business Units shrunk, from 1998 to 2000 by                               about 24 percent. And, shrunk again by 25% in 2001.                               However, during the same period they diversified                               greatly. The variety of our User Network                               has expanded greatly. Scale and scope of operations                               are important to any enterprise - from a household                               to a nation to a world economy. The makeup of the                               economy is also important. In Jane Jacobs terms,                               in 1998 we were a supply economy - now                               we are becoming a replacement economy                               (See: Cities and the Wealth of Nations) -                               a long stated goal.
   |                                                     | My                               sense is that our ValueWeb is still (Spring, 2002)                               critically short of the scope necessary for fulfilling                               its long term mission. A close order of magnitude                               of growth is required - and in a short period of                               time. Most of the components, including MG Taylor,                               can stay in business at the present scale of their                               operations with perhaps 15% growth. However, sufficient                               capital for innovation may not be available at this                               mass. The diversity of the players might be inadequate.                               Critical mass could be lacking and therefore not                               constitute enough force to get the job done.                               In time, the Enterprise would risk fading into the                               background noise of our society and become increasingly                               irrelevant. A great deal of our strategic thinking                               of the last year has gone into developing countermeasures                               to these risks. Finding the right Investor and Client/Customer                               partner-members is the key.   |                                                     |  There                               are two caveats here. First it may be that                               a first level clam shell economic metabolism of                               about 100 million will prove sufficient to drive                               an overall ValueWeb of several hundred million (the                               amount - acting as a web - I believe this is necessary                               for long term viability). Second, even if this is                               not sufficient, the Enterprise, at a hundred million                               core level can advance its work, sustain indefinitely                               and transfer (or mutate) to whatever enterprise                               can carry the work to the next level. It also can                               pay those who created it in the first place a reasonable                               financial return for the effort put out and the                               value that was created.
   |                                                     |  The                               nature of this Enterprise, from its inception,                               has been determined by an ambition too great for                               any single organization to accomplish or for any                               one group of leaders to facilitate alone. Gail and                               I knew from the beginning that it was beyond us                               to accomplish. I have always stressed that what                               we invented was a social invention. It involves                               new technologies, new work processes, new forms                               of environments, new organizational principles -                               and, a new concept of wealth                               and enterprise. The nature of this effort                               is such that it takes the tool, itself, to                               create the tool. The tool is a creation engine.                               This engine is made up of people, tools,                               organizations and idea-to-reality throughput. It                               is designed to replace the way-of-working now accepted                               as the norm, the given. This method                               is such that only a ValueWeb can make and sustain                               it, only a ValueWeb can afford it and only a ValueWeb                               can truly use it.
   |                                                     |  To                               bring this about we had to start early - long before                               the need was commonly recognized. We built capacity,                               through a series of bootstrap level                               changes - multiple iterations over time.                               We built a conceptual model of social transformation                               and the network economy in the mid-70s and                               asked What opportunities would this create?                               What barriers exist that can block its successful                               implementation? Want is the problem?                               What tool-set is, therefore, required?                               Our first facility                               was called The Anticipatory Management                               Center to emphasize this look-ahead                               necessity. Today, much of what is happening is what                               we anticipated 25                               years ago. And today, we are just starting to                               employ                               this tool kit to the social/economic problems we                               foresaw.
   |                                                     | If                               this Enterprise is to flourish and stay viable,                               however, it must once again look out to the future                               - not just execute, as dictated by present circumstances,                               that we anticipated long ago. To be a replacement                               economy means to have the inherent critical mass                               and character to recreate oneself. To do this, one                               has to be future driven. Just when great energy                               is going into expanding and scaling past demonstrations                               for present success, it is time to start the process                               of re-birthing the enterprise (Stages of An Enterprise                               Model).    |    |                                         |   
   |                                         |                                                      | This                               next cycle of anticipatory design will                               require greater imagination than the last. There                               is little about the human experience that is not                               up for grabs in the next quarter of a Century. We                               did not design this Enterprise just for now                               - we designed it for, at least, the next cycle of                               change. Will it be capable of an appropriate                               response?   |                                                     | It                               is time to re-conceive and recreate even as we bring                               the present era of work to closure. In 2003, MG                               Taylor will sponsor a number of new (and some old)                               activities:                               TANSTAAFL DesignShop events, FutureViews newsletter,                               ReBuilding                               the Future seminars and the Master                               Planning Process. These will do many things.                               First off, focus the web on many issues that were                               the reason why this Enterprise was created in the                               first place. Second, rebuild the Model, now 25 years                               old, that the Enterprise was conceived and built                               on. Third, these activities will create a new level                               of interest,                               in our Enterprise,                               from a new generation of people and organizations.                               With a new generation KnetWeb                               in place, an accelerated level of organic growth                               will be possible.   |                                                     | The                               nanoPATCH                               exercises that we did for the Foresight Senior Associates,                               in 1999 and 2000, are one example of what this future                               work might be and illustrative of what kind                               of future took kit that is required. A PatchWorks                               exercise is, by definition, a ValueWeb scale                               exercise.   |                                                     | More                             importantly than these forming exercises                             that come from the Systems Integration (SI) core of                             the web is that a number of members are beginning                             to create web-scale activities. This reflects a true                             market need and are the first examples                             of spontaneous life in the Enterprise                             as the result of pull rather than push.                             This to me is a measure of growing maturity. In addition,                             we are now attracting new client members who will                             use the technology to build full-scale ValueWebs of                             their own. A mature                             ValueWeb has many recursion levels, many nodes                             that are in other webs and the web is always incubating                             and spinning of other ValueWebs. And, attracting other                             webs in. It is this aspect of working                             that makes ValueWebs work. |    |                                         |   Matt                         TaylorHilton Head
 January 5, 1999
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 (note:                           this document is about 95% finished) Copyright©                           1999, 2000, 2001, 2002 Matt Taylor
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