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PMI standards describe complexity as "interdependent systems that do not have apparent cause and effect. Your company, your clients, and even your competitors comprise a system that interacts with each other, but for which many of the relationships can’t be seen or well understood." Complexity has different levels, so keep the full definition in mind.  

A common misconception when evaluating complexity is to limit it solely to technical factors. In reality, complexity emerges from a dynamic of cultural, technical, and environmental factors.

• Cultural complexity arises from an organization's values, beliefs, and long-term goals, all of which shape behavior and decision-making.

• Technical complexity stems from the interdependent systems and processes, including their inherent risks and potential impacts.

• Environmental complexity reflects the external conditions that influence an organization’s ability to operate efficiently and effectively.

These elements of complexity must be viewed holistically, spanning the cross-functional units of an organization. However, the most underestimated aspect of complexity is people—each individual brings their own perspectives, motivations, and challenges, adding layers that are often beyond a leader’s control.

Addressing complexity requires adaptive leadership.

Leaders must not only master technical systems but also deeply understand organizational culture and the surrounding environment. These are the drivers of meaningful change and progress. Despite many factors being outside of direct control, the key to navigating complexity lies in relationship-building and adaptability.

By fostering strong relationships, leaders gain insights into an organization’s strengths and weaknesses, enabling them to steer teams effectively and achieve the desired outcomes.

Reference

Project Management Institute. (2022, December). VUCA– Volatility, Uncertainty, Complexity, and Ambiguity. https://bit.ly/3Tl9Kq0