The Governance Cascade

Second and third-order impacts of linear governance in complex organisations

What this analysis explores. Most governance in large organisations — public bodies, listed companies, regulators — is structured linearly. Risks are categorised. Committees are siloed. Board agendas run as sequential items. This is not accidental: it follows from legal accountability, auditability, and the practical constraints of how meetings work. It looks thorough. In a courtroom or a regulator's office, it is thorough.

Full framing — available in a working session

Related: Beyond the Superstar Board: Governance, Synthesis, and the Risk That Lives Between the Gaps

The curtain wall problem
FINANCIAL RISK REGULATORY COMPLIANCE OPERATIONAL RISK STRATEGIC OVERSIGHT PEOPLE & CULTURE INTERACTION EFFECTS COMPOUND RISK SLOW DIVERGENCE FRAME BLINDNESS RISK ENTERS THROUGH THE WALLS, NOT THE TOWERS
Tower — governed, audited, owned
Curtain wall — the gap between categories
Where the actual breach happens
How to use this Six domains below, each opens to show its 1st, 2nd, and 3rd-order effects — click a domain title to expand it, or use the toggle to switch between public-body and company framing.
Organisation type
Shared structural patterns across public and private governance.

The completeness illusion

What the board sees vs. what it cannot

Visible to governance

  • Each risk category individually assessed
  • Committee minutes and action logs complete
  • Board skills matrix maintained
  • +5 more

Structurally invisible

  • Interaction effects between risk categories
  • Slow divergence between metrics and reality
  • Knowledge held at operational level that never reaches the board
  • +5 more
In court, in a regulator's office, or in a shareholder meeting, the left column is what matters.
Full read — available in a working session

What is missing — and why it matters

The companion essay, Beyond the Superstar Board, argues that what governance lacks is a synthesis function — a dedicated capacity to see across the gaps between categories, to hold multiple analytical frames simultaneously, and to identify the interstitial risks that no single committee or domain expert is positioned to see.

Full analysis — available in a working session
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