The fragility of decentralised trustless socio-technical systems

The blockchain technology promises to transform finance, money and even governments. However, analyses of blockchain applicability and robustness typically focus on isolated systems whose actors contribute mainly by running the consensus algorithm. Here, we highlight the importance of considering trustless platforms within the broader ecosystem that includes social and communication networks. As an example, we analyse the flash-crash observed on 21st June 2017 in the Ethereum platform and show that a major phenomenon of social coordination led to a catastrophic cascade of events across several interconnected systems. We propose the concept of “emergent centralisation” to describe situations where a single system becomes critically important for the functioning of the whole ecosystem, and argue that such situations are likely to become more and more frequent in interconnected socio-technical systems. We anticipate that the systemic approach we propose will have implications for future assessments of trustless systems and call for the attention of policy-makers on the fragility of our interconnected and rapidly changing world

Self-Configuring Socio-Technical Systems: Redesign at Runtime

Modern information systems are becoming more and more socio-technical systems, namely systems composed of human (social) agents and software (technical) systems operating together in a common environment. The structure of such systems has to evolve dynamically in response to the changes of the environment. When new requirements are introduced, when an actor leaves the system or when a new actor comes, the socio-technical structure needs to be redesigned and revised. In this paper, an approach to dynamic reconfiguration of a socio-technical system structure in response to internal or external changes is proposed. The approach is based on planning techniques for generating possible alternative configurations, and local strategies for their evaluation. The reconfiguration mechanism is presented, which makes the socio-technical system self-configuring, and the approach is discussed and analyzed on a simple case study

A Neuro-Classification Model for Socio-Technical Systems

This paper presents an original classifier model based on an artificial neural network (ANN) architecture that is able to learn a specific human behavior and can be used in different socio-economic systems. After a training process, the system can identify and classify a human subject using a list of parameters. The model can be further used to analyze and build a safe socio-technical system (STS). A new technique is applied to find an optimal architecture of the neural network. The system shows a good accuracy of the classifications even for a relatively small amount of training data. Starting from a previous result on adaptive forecasting, the model is enhanced by using the retraining technique for an enlarged data set.artificial neural network, training process, classification, socio-technical system

Which conceptual foundations for environmental policies? An institutional and evolutionary framework of economic change

This paper draws on institutional and evolutionary economics and contributes to an approach to environmental policy which diverges from mainstream prescriptions. The 'socio-technical system' is the core concept: this is a complex made of co-evolving institutions, technologies, markets and actors that fulfils an overall societal need (such as housing, production, mobility, etc.). A systemic and dynamic analysis of those structural changes which are needed to create more sustainable socio-technical systems is provided; actors – and their ability to influence politics and policy – are explicitly taken into consideration. Unsustainable socio-technical systems feature a relevant resistance to change, because they are embedded in the very structure of our society and because of the conservative action of dominant stakeholders; this is why no environmental policy will be effective unless it aims at 'unlocking' our societies from their dominance. But also a constructive side of environmental policy is needed in order to establish new and more sustainable socio-technical systems; consistently, environmental policy is viewed as a combination of actions that can trigger, make viable and align those institutional, technological and economic changes which are needed to reach sustainability. Again, actors (for change) are at the heart of this vision of environmental policy: as subject, because the creation of new and sustainable socio-technical systems is made possible by (coalitions of) actors for change; as object, because environmental policy – to be effective – must actively support the empowerment, legitimation and social networking of such coalitions. A ‘chicken and egg’ problem remains: who comes first? Actors for change advocating policies for sustainability or policies for sustainability supporting actors for change?Environmental policy; Economic dynamics; Institutional economics; Evolutionary economics; Socio-technical systems

A strategic perspective for managing socio-technical systems: the missing link

Most man-made systems around us are mainly socio-technical systems. As such it is imperative that to manage such systems effectively we need to understand their properties at both the micro and macro level and the holistic functioning of such systems. Such an approach is important in understanding the emergent properties that are exhibited by such system. We already have been delving into the micro level and the intricacies of the different subsystems without actually having the broader view of the whole system. This current approach came from the fact that reductionism is the ‘mantra’ of our scientific nature and endeavours, and dictates how a problem is solved. In this paper a strategic approach is put forward, making use of the force field theory as a necessary missing component for designing and managing socio-technical systems. With this proposed strategic approach the true understanding of solving these emergent properties will be reinforced with what we already know and also help in solving some disorder exhibited in these systems, without creating more uncertainties. This paper sets out the framework and its usefulness to understanding the socio-technical systems around us