Task A5.2: Collect the System 4 Activities

What is Task A5.2?

Task A5.2 is part of the "Observe" phase in the Viability Canvas methodology, specifically within the "System Four - Outside and Then" step (Step A5). This task instructs you to "List the activities of System 4. These include planning, research and development, actions to improve the resilience and adaptivity of your business, and so on."

Purpose of Collecting System 4 Activities

The purpose of this task is to identify and document all the current activities your organization undertakes to scan the environment, plan for the future, and adapt to changing circumstances. This serves several important functions:

1. Activity inventory: Creating a complete picture of your organization's future-oriented activities
2. Gap identification: Revealing areas where future planning may be inadequate
3. Resource assessment: Understanding how much effort is currently devoted to adaptation
4. Coordination evaluation: Seeing how well future-oriented activities are integrated
5. Effectiveness analysis: Assessing whether current activities are sufficient for environmental challenges

By collecting System 4 activities, you gain insight into your organization's current capacity to adapt to change and prepare for the future, which is essential for long-term viability.

Understanding System 4 Activities

In the VSM framework, System 4 is responsible for connecting the organization to its environment and planning for the future. System 4 activities typically include:

• Research and development initiatives
• Strategic planning processes
• Market research and competitive intelligence
• Scenario planning and forecasting
• Innovation programs and future product development
• Environmental scanning and trend monitoring
• Organizational learning and adaptation mechanisms
• Business model evolution planning
• Technology roadmapping
• Working in industry associations and networks

These activities collectively enable the organization to anticipate changes, develop appropriate responses, and adapt to evolving circumstances.

How to Complete Task A5.2

To collect System 4 activities:

1. List all current activities that focus on the future and the external environment:
   • What formal planning processes exist?
   • What research and development activities are underway?
   • What market research or environmental scanning is conducted?
   • What innovation initiatives are in progress?
   • Who monitors external trends and developments?
2. Verify activity completeness by considering:
   • Are all relevant aspects of the environment being monitored?
   • Is there adequate focus on both short and long-term futures?
   • Are both threats and opportunities being considered?
   • Do activities cover all important strategic areas?
3. Document each activity with details on:
   • Purpose and scope of the activity
   • Resources allocated (people, budget, time)
   • Frequency or timeline
   • Outputs produced
   • How findings are integrated into decision-making
   • Responsible individuals or departments
4. Confirm system-in-focus relevance:
   • Ensure the list refers to the system-in-focus
   • Remove items that belong to embedded System 1 Operational elements
   • Note that System-in-Focus level activities relate to the entire unit under analysis

Example Application

For a manufacturing company like Canned Tornado, System 4 activities might include:

• Quarterly strategic planning sessions
• Annual technology roadmapping process
• Monthly competitor analysis reports
• R&D department's new product development projects
• Participation in industry associations and trade shows
• Customer focus groups for future needs assessment
• Trend monitoring through subscribed market research
• Innovation workshops and idea generation sessions
• Sustainability initiative to prepare for environmental regulations

By documenting these activities, the company can assess whether it has sufficient mechanisms in place to sense and respond to external changes and prepare for the future.

Assessment Considerations

When collecting System 4 activities, consider these evaluative questions:

1. Comprehensiveness: Do the activities cover all relevant aspects of the environment?
2. Balance: Is there appropriate focus on both short-term adaptation and long-term planning?
3. Integration: How well are these activities coordinated with each other?
4. Connection: How effectively do findings from these activities inform Systems 3 and 5?
5. Resources: Are sufficient resources allocated to these activities?
6. Effectiveness: Do these activities successfully help the organization adapt to change?

The answers to these questions will help determine whether your organization's System 4 is adequately developed to support long-term viability in a changing environment.