Draft:Integrated Value Networks

• Comment: Needs inline references. See H:REFB. Nobody (talk) 06:31, 19 November 2024 (UTC)

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An Integrated Value Network of the Federal Governance Structure, adapted from OMB Circular A-11, a government circular that addresses budget preparation for U.S. Federal agencies.

Integrated Value Networks (IVNs) are neural networks that depict the interdependencies across organizational requirements and deliverables, such as policies, plans, programs, performance measures, and priorities (collectively known as P5). An IVN treats these components as a neural network that transacts business value, so that delivering a component enables, or progresses, the delivery of other components. IVNs aim to optimize decision-making, resource allocation, and strategic alignment in complex organizational and governance contexts.

Foundations

IVNs are rooted in principles of systems thinking, and share analytical methods with network science. IVNs focus on identifying the transactions of business value across requirements and deliverables to improve situational awareness, collaboration, and functionality of the system.

Components and Nodes

Each node in an IVN represents a specific "component" of a requirement or deliverable from various organizational governance documents, such as public law, executive orders, or strategic plans. Nodes are classified into two types:

• Enabling Components: Nodes that provide resources, guidance, or frameworks for other nodes.

• Dependent Components: Nodes that require the successful delivery of enabling components to progress toward their delivery state.

Edges and Relationships

The edges in an IVN represent relationships between nodes, specifically whether the delivery of an enabling component influences the dependent component’s progression toward its intended delivery state. These relationships are quantified based on the likelihood (i.e., more than 50%) that fulfilling an enabling component's requirements will advance the dependent component in a measurable way.

Applications

Governance and Policy Analysis

IVNs are widely used to analyze and align governance structures, particularly in the public sector. They provide actionable insights by crosswalking (mapping relationships) between enabling and dependent components across governance documents from various groups, such as Federal agencies, interagency task forces, and external stakeholder organizations.

For example, IVNs have been applied to:

• The crosswalking of recommendations from Presidential Commissions like the President's Commission on Care for America's Returning Wounded Warriors.

• Aligning Executive Orders with Federal agency strategic plans.

Strategic Planning

In strategic planning, IVNs are used to identify synergies and dependencies across initiatives, helping decision-makers prioritize actions that maximize value across the network.

Methodology

The construction of an IVN involves several steps:

1. Inventory Components of Requirements and Deliverables: Analysts create an inventory of components from governance documents, ensuring all deliverables are accurately captured.

2. Crosswalking Relationships: Using keyword analysis and expert judgment, analysts link enabling components to dependent components where enabling relationships are evident.

3. Quality Control: Independent quality control processes for inventories and crosswalks ensure the logical validity and accuracy of the network.

Network Metrics

IVNs share similarities with complex networks and utilize similar metrics to analyze their structure and effectiveness, such as:

Degree Centrality: Measures the number of connections a node has, indicating its influence.

Betweenness Centrality: Identifies nodes that serve as critical links between different parts of the network.

Clustering Coefficient: Assesses the extent to which nodes cluster together, revealing opportunities for improved collaboration.

Key Advantages

IVNs offer several advantages over traditional methods of policy and governance analysis:

Enhanced Collaboration: By revealing interdependencies, IVNs encourage cooperation among stakeholders.

Improved Decision-Making: Insights into the network's structure help prioritize initiatives with the greatest potential for impact.

Resource Optimization: Identifying enabling relationships ensures efficient allocation of resources to initiatives that influence multiple outcomes.

Comparison to Network Science

While IVNs are a specialized application of network science principles, they differ in their focus on governance and value creation rather than general network structures. IVNs emphasize actionable insights and decision-making support, whereas traditional network science often focuses on theoretical models and statistical properties.

See Also

Governance

Policy Analysis

Strategic Management

Systems Engineering

References

• "OMB A-123, Management's Responsibility for Enterprise Risk Management and Internal Control", U.S. Office of Management and Budget
• "IVN poster presentation at the 2021 Information Architecture Conference"
• "Turning Strategy into Action Using the Integrated Value Network (IVN)", 2024 Project Management Institute symposium
• "Can Neural Networks Inform Policy Development?", Apolitical
• "Cole§law: Visualizing the US Legal Code", Sunlight Foundation
• "Integrated Value: The Aspirational Goal of Purpose-Inspired Organizations", Antwerp Management School

This page will be placed in the following categories if it is moved to the article namespace.

Categories:

• Network theory
• Network science
• Management theory
• Systems engineering