Viable Model of the Enterprise – a Cybernetic Approach for Implementing the Information Technologies in Management

The purpose of the current paper is to present the developed methodology of viable model based enterprise management, which is needed for modern enterprises to survive and growth in the information age century. The approach is based on Beer’s viable system model and uses it as a basis of the information technology implementation and development. The enterprise is viewed as a cybernetic system which functioning is controlled from the same rules as for every living system.

Neural Network Based Approach for Developing the Enterprise Strategy

Modern enterprises work in highly dynamic environment. Thus, the developing of company strategy is of crucial importance. It determines the surviving of the enterprise and its evolution. Adapting the desired management goal in accordance with the environment changes is a complex problem. In the present paper, an approach for solving this problem is suggested. It is based on predictive control philosophy. The enterprise is modelled as a cybernetic system and the future plant response is predicted by a neural network model. The predictions are passed to an optimization routine, which attempts to minimize the quadratic performance criterion.