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The Unaccountability Machine: Why Big Systems Make Terrible Decisions - and How The World Lost its Mind Kindle Edition
LONGLISTED FOR THE FINANCIAL TIMES AND SCHRODERS BUSINESS BOOK OF THE YEAR 2024
A NEW STATESMAN BOOK OF THE YEAR 2024
A FINANCIAL TIMES BOOK OF THE YEAR 2024
'A great book ... a wonderful way of talking about our current world' Rory Stewart
'Entertaining, insightful ... compelling' Financial Times
'One of the most insightful books I've read in a long time' Sam Freedman
'The kind of book from which you look up to find the world suddenly more comprehensible. Also, it's about ten times funnier than any book about management has the right to be' Guardian
When we avoid taking a decision, what happens to it? In The Unaccountability Machine, Dan Davies examines why markets, institutions and even governments systematically generate outcomes that everyone involved claims not to want. He casts new light on the writing of Stafford Beer, a legendary economist who argued in the 1950s that we should regard organisations as artificial intelligences, capable of taking decisions that are distinct from the intentions of their members.
Management cybernetics was Beer's science of applying self-regulation in organisational settings, but it was largely ignored - with the result being the political and economic crises that that we see today. With his signature blend of cynicism and journalistic rigour, Davies looks at what's gone wrong, and what might have been, had the world listened to Stafford Beer when it had the chance.
- LanguageEnglish
- PublisherProfile Books
- Publication date18 April 2024
- File size1.6 MB
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From the Publisher
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Product description
Review
Drawing on the work of economist Stafford Beer, Davies explores why big systems often make flawed decisions or duck out of them altogether - and the damaging consequences that can follow. ― Spear's Magazine
Funny, fascinating and compelling - this is a book to make you chuckle, to make you angry, and above all to make you think -- Tim Harford, author ― The Undercover Economist
One of the most insightful books I've read in a long time -- Sam Freedman
Davies explains the basic logic of an accountability sink: decision-making power is removed from individuals you might want to shout at, and made instead by an algorithm or some distant committee both ignorant of and immune to your objections -- Tim Harford ― Financial Times
Everybody wonders why nobody is ever to blame for a crisis. Diving into cybernetics, economics and management, Dan Davies explains why it's always the fault of the system not the people, how this lack of accountability has come about - and even what to do about it -- Diane Coyle, Bennett Professor of Public Policy at the University of Cambridge
Really worthwhile. Dan Davies' concept of accountability sinks is a great example of what Edwin Schlossberg meant when he noted that "The skill of writing is to create a context in which other people can think -- Tim O'Reilly, author ― WTF: What's the Future and Why It's Up to Us
An extraordinary book ... we all blame 'The System' for numerous woes, but what is The System? Dan Davies' immensely readable book tells us how there actually isn't one - it's far far weirder than that. I have come away a wiser man -- Patrick Alley, author ― Very Bad People
There's never been a better rebuttal of the neoliberal assumption that clever systems can run themselves without continuous human engagement and oversight. This book shows that humane results need human inputs: science will help us, but we have to help it too. There's no such thing as a free hunch -- Brian Eno
It is always rewarding to learn how things work, and The Unaccountability Machine lucidly shows the inner workings of corporate life and its systematic -- Laleh Khalili, author ― Sinews of War and Trade
Mischievous and fiercely intelligent -- Ed Smith, 'Books of the Year' ― New Statesman
The Unaccountability Machine offers a timely reminder: the machines we fear most are the ones we've already built ... It is a great book because it sheds light on one of the most pressing issues of our time: why big systems make terrible decisions ... an essential read for those looking to understand the complexities of modern decision-making ... It should be read by anyone concerned with the direction in which our world is headed, offering both a stark warning and a glimmer of hope for a more accountable future. -- J. Bradford DeLong
The most hope-inducing, game-changing book I've read recently ... The kind of book from which you look up to find the world suddenly more comprehensible. Also, it's about ten times funnier than any book about management has the right to be -- Francis Spufford ― Guardian, 'Books for a Better World'
Quirky and very intelligent ... The Unaccountability Machine explores how organisations get into the bizarre but common situation of acting in line with "process" but against all logic ... Davies is a surprising and provocative guide to an obvious societal problem that does not have an obvious fix -- Ed Smith ― New Statesman
Wonderful ... fascinating ... tackles very contemporary problems by reviving the discipline of cybernetics and the work of Stafford Beer, with passing discursions involving squirrels, Brian Eno, Milton Friedman and a well-deserved kicking delivered to the discipline of modern economics. -- Rory Sutherland ― Spectator
A clear and compelling account of how decision-making works, or rather doesn't, in the twenty-first century. It will make you look at the world differently -- Stephen Bush
Entertaining, insightful ... Dan Davies makes a compelling case for the use of Stafford beer's management cybernetics ... with The Unaccountability Machine, he provides an elegant new introduction to this intriguing road-not-taken in postwar social science, and makes a compelling case that in the age of AI its time has finally come -- Felix Martin ― Financial Times
Not just a glorious tour of a neglected piece of intellectual history, though it is that, in passing. Really, a demonstration with unexpected tools that the world since the 1970s, far from being governed by steely economic rationality, has actually been in the grip of an ideologised greed that has systematically undermined our ability to manage and organise -- Francis Spufford, author ― Cahokia Jazz
From the Back Cover
Management cybernetics was Beer's science of applying self-regulation in organisational settings, but it was largely ignored - with the result being the political and economic crises that that we see today. With his signature blend of cynicism and journalistic rigour, Davies looks at what's gone wrong, and what might have been, had the world listened to Stafford Beer when it had the chance.
'A corporation, or a government department isn't a conscious being, but it is an artificial intelligence. It has the capability to take decisions which are completely distinct from the intentions of any of the people who compose it. And under stressful conditions, it can go stark raving mad.'
About the Author
Product details
- ASIN : B0CGFWBFD6
- Publisher : Profile Books (18 April 2024)
- Language : English
- File size : 1.6 MB
- Text-to-Speech : Enabled
- Screen Reader : Supported
- Enhanced typesetting : Enabled
- X-Ray : Enabled
- Word Wise : Enabled
- Print length : 304 pages
- Best Sellers Rank: 31,413 in Kindle Store (See Top 100 in Kindle Store)
- 2 in Cybernetics
- 10 in Perspectives on Law
- 22 in Business Life (Kindle Store)
- Customer reviews:
About the author
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Customers find the book engaging and entertaining. They appreciate the compelling premise and reasonable exploration of a big topic. However, some readers feel the explanations lack clarity or consistency.
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Customers find the book entertaining and interesting. It makes them think differently, but they don't find it insightful.
"...Davies, instead, has managed to produce a wide ranging and entertainingly written book which left me nodding my head in agreement, or with jaw..." Read more
"...All in all, an interesting book, with some insight but not particularly well thought through." Read more
"...It's a great read." Read more
"The book is very entertaining, and has definitely made me think differently when it comes to making decisions..." Read more
Customers find the book's premise compelling and reasonable. They find it insightful in places, but not clear or consistent.
"...Its a reasonable wander through some important stuff but it needed to be beefed up to be the book it might have been - nothing on recent regulatory..." Read more
"The book has a great premise, starts well, but peters out into superficial platitudes...." Read more
"A compelling explanation of the world as I find it..." Read more
"Interesting, insightful in place but not particularly clear or consistent..." Read more
Top reviews from United Kingdom
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- Reviewed in the United Kingdom on 24 June 2024Most often grand theories of “why the world is why it is” rely on bad-faith actors as the drivers of some malaise or other, or grossly simplify the human experience, or take some other shortcut which therefore doesn’t chime with my experience of life.
Davies, instead, has managed to produce a wide ranging and entertainingly written book which left me nodding my head in agreement, or with jaw dropped in enlightenment at a concept I thought I knew and understood being looked at from a different and enlightening perspective. I think he nails his diagnosis of a lot of the problems we face.
I potentially hoped for more time spent on how to fix organisations filled with “accountability sinks” but perhaps that’s my own challenge to face!
Strong recommend.
- Reviewed in the United Kingdom on 10 July 2024One part of this book is a dive into cybernetics, the study of how systems work and are controlled (in this case in the context of large organisations).
Another part of the book is a lament that economics is treated with such respect in the corporate and financial spheres and expresses a view that the mathematical direction the subject developed in leads to assuming away complexity and a focus on narrow measurable objectives. (The fact that early cybernetics was also a lot about measurement is skipped over). The two principal examples of bad economics in the book are central bank independence and shareholder value maximisation.
I've not hear many views against the independence of central banks and the argument against it was not well developed in the book (more that it was undertaken based on limited evidence i.e. New Zealand - from memory I haven't checked this and it's not stated clearly in the book) and led to bad financial regulations (which are nothing to do with independence in interest rate setting). There was a clear failure in prudential regulation in the lead up to the banking crisis and I think its convincing that systems failures and obsessions with measurement played a part in this - and a better functioning regulator might have noticed warnings signs earlier its just not got much to do with central bank independence.
The argument against shareholder value drifts into a critique of private equity and the tax deductibility of interest. The author's view of private equity is stuck in the 1980's and his criticisms don't mention that private equity is a small part of the economy, that equity cheques are typically 50% of a deal and have been for a generation, that countries do place limits (which vary) on interest deductibility which have had no real impact on anything, or that private equity is not really that short term - investments are 4-5 years and only work if someone else wants to buy the company which means looking out a further 4-5 years. I'm not sure the world is that knowable beyond 10 years so that sort of planning horizon doesn't seem short term to me.
I do think there is a credible argument private equity compensation has distorted executive pay and led to a focus on share prices which are more short term in nature and changing this would be beneficial and more important than interest rules. Linking pay to sustained operating performance (3 year averages say) with long vesting schedules would likely help reorientate corporate strategy more than interest.
All in all, an interesting book, with some insight but not particularly well thought through.
- Reviewed in the United Kingdom on 28 October 2024Listened to the audiobook first, then bought the hardcover because I wanted to support the author and have a but of a talking piece on my bookshelf. It's a great read.
- Reviewed in the United Kingdom on 9 August 2024The book is very entertaining, and has definitely made me think differently when it comes to making decisions (and interpreting those made by a big system)
- Reviewed in the United Kingdom on 27 May 2024Loved the book - easy to follow the magic of the VSM, explained without diagrams, surely a miracle! Clearly explains the thinking of Stafford Beer who was forefront in recognising the problems of complexity... bizarrely, several LOL moments.
- Reviewed in the United Kingdom on 6 August 2024Continues to make me look at things differently, and has added a big pile of new books to my reading pile!
- Reviewed in the United Kingdom on 20 December 2024The title of the book is great and it starts off well with some nice examples of accountability “black holes” ..
Dan Davis also connects his arguments to systems thinking and Stafford Beer’s work on cybernetics ..
but the “golden thread” of accountability issues gets lost in the process ..
Its a reasonable wander through some important stuff but it needed to be beefed up to be the book it might have been - nothing on recent regulatory and legal moves in the accountability space (eg BEAR and the SMCR) nor tools such as RACI and swim lane mapping and practical efforts being made to address the issues raised.. oh well ..
- Reviewed in the United Kingdom on 15 July 2024The book has a great premise, starts well, but peters out into superficial platitudes.
The author identifies a growing trend in large organisations to replace personal accountability with processes, meaning that no one is accountable for mistakes: the examples are vivid and blackly amusing (especially squirrel shredding at Schiphol Airport). This is accompanied by an introduction to cybernetics, which was new to this reader, and the writings of Stafford Beer. So far so good.
Unfortunately, the rest of the book is about the shortcomings of accounting and economics, and the baleful effects of shareholder value, management consultants and private equity. This is well-trodden ground and doesn’t help us reach a satisfying conclusion. Instead, the author points at the things that have gone wrong and eventually admits that cybernetics doesn’t shed much light on possible solutions.
Disappointing.
Top reviews from other countries
- Timothy ProsserReviewed in the United States on 12 January 2025
5.0 out of 5 stars Best read in the last 15 years
This is easily the most interesting, thought provoking and challenging for my worldview that I have read in the last 15 years! what I learned about Cybernetics was fascinating and I'm now off down that rabbit hole by ordering Brain of the Firm by Stafford Beer. I love Economics mostly Macro and would identify my school of thought as Milton Friedmanism. This book gored a number of my oxen, and I enjoyed it.
The author is a Brit and his subtle, biting commentary is enjoyable and entertaining. Mr. Davies seems to be well aware of his potential biases and handles controversial issues with thoughtful self-reflection.
Overall this is a must read and well worth your time.
-
PIERPIERReviewed in Italy on 12 September 2024
5.0 out of 5 stars un libro che vale la pena di leggere
Il libro tratta fondementalmente i sistemi complessi e i loro problemi. Nella priima parte parla della responsabilità all'interno delle organizzazioni:qualsiasi organizzazione, in una moderna società industriale, tenderà a ristrutturarsi in modo da ridurre la quantità di responsabilità personale attribuibile alle sue azioni creando i cosiddetty accountability sink. Poi passa a illustrare i fondamenti della cibernetica, ci sono cinque funzioni fondamentali in un sistema e se una di queste manca o non ha risorse sufficienti, il flusso di informazioni non sarà bilanciato dalla capacità di elaborarla. Le informazioni contano solo se vengono fornite in una forma in cui possono essere tradotte in azioni, e questo significa che devono arrivare abbastanza rapidamente. I sistemi preservano la loro vitalità affrontando i problemi il più possibile allo stesso livello in cui arrivano, ma devono anche avere canali di comunicazione che attraversino più livelli di gestione, per gestire grandi shock. Passa poi ad una critica della economia e degli economisti, in particolare gli economisti creano dei modelli caratteristici dell'economia eliminando quasi tutta la complessità e fanno un sacco di ipotesi semplificatrici, spesso discutibili in termini di rilevanza empirica, inoltre agiscono come se le loro conclusioni fossero dimostrate nel mondo reale. Infine critica sia le teorie di Friedman e sia certe degenerazioni del management degli ultimi anni, con l'ossesione dei taglio dei costi quando diminuendo il personale e il middle management, si riducono le capacità cognitive delle organizzazioni. Coclude affermando che i sistemi in generale hanno bisogno di meccanismi per riorganizzarsi quando la complessità del loro ambiente diventa troppo difficile da sostenere, ma i sistemi di governo di alto livello del mondo industriale (politica economica e gestione aziendale) hanno mostrato alcuni difetti e punti ciechi che hanno impedito che ciò accadesse.In sintesi un libro che affronta molti argomenti, alcuni complessi, ma l'autore è molto bravo a rendere cose difficili in maniera gradevole da leggere e comprensibili che rende il libro molto leggibile. La recensione completa su: demo-critica-mente.blogspot.it
- Andre.EReviewed in Germany on 26 June 2024
5.0 out of 5 stars Unaccountability Sink - this is exactly what you would find in ...
Unaccountability Sink - this is exactly what you would find in modern business and public services...
If you are a company owner, or servant of the public entity or even government, or just a manager of any level - this is for you.
Of course, you can polish you area and finetune you personal Unaccountability, or...
Find a way how this problem could be addressed.
And if you do not want to address "Unaccountability Sink" problem - it is a matter of time when your company or service will suffer significantly (as we see with some e.g. aviation manufactures today), and possibly you personally.
This book is highly recommended to all who are in the management and/or lead e.g. projects, initiatives, units, companies.
- jimReviewed in Australia on 5 May 2024
5.0 out of 5 stars The only good accounting for populism not written by an I Think You Should Leave hot dog suit guy
In this book:
Lots and lots, and lots, of background on a kind of alternate history of economics that never came to pass, for a variety of reasons, but convincingly it argues that this is in large part because it wasn't easy to conceptualise by reductionists who couldn't fit alternatives neatly onto a punch card.
A proper re-litigation of how we got here, exactly, by looking at the touchstones of modern financialisation and the moral goal of profit and shareholder value maximisation, and pointing out they don't exactly say what the executive bullet point summary of a pocket guide said they said about it.
A book that correctly identifies that the problems are often coming from consultants offering solutions, who both tell their clients what they want to hear for lack of moral courage, and simply talking their own book, that has deliberately deafened anyone in a position to change things from any signal that isn't "stick it to the snooty elites".
- Gerard de ValenceReviewed in Australia on 27 June 2024
5.0 out of 5 stars The unaccountability sink, something has gone wrong but there is no-one to blame.
This is a great book, well written and enlivened with many anecdotes, examples and eccentrics. The idea that organisations are alien intelligences with rules and processes that are unaccountable because they decision-making to a rule rather than an individual is important. The first half is especially interesting, and Stafford Beer’s ideas on viable systems and designing organisations are well worth revisiting. In the second half Davies argues modern economics and private equity provide accountability sinks for poor government policies and predatory corporate finance respectively.
The final chapter suggests institutional and regulatory reforms to address the problem. When the problem is that ‘the artificial intelligences that rule our lives have gone mad’, the solution will be found not in economics and eliminating market failures, but in cybernetics and system design.