| There is a problem facing many businesses today---How to continue to grow top line sales and bottom line profits? The process used so far has been a continual proliferation of products, brands, and customers. This has been working to increase top line sales but many times the bottom line profits are not growing as fast or even worse, bottom line profits are actually declining. What these companies might be experiencing is a complexity crisis. Measuring complexity with a new measurement called the complexity factor will be discussed and challenged.;The objective of this research is to examine critically John Mariotti's "complexity factor" and test its empirical validity against data derived from a U.S. Midwest diversified global technology company. The concept to be explored is that there is a significant negative relationship between complexity and business performance. The theory suggested is that by utilizing several components to measure complexity a business can improve its profitability. A convenience sample will be used in this research.;Keywords: complexity, complexity theory, performance. |
