Synergy is the interaction of multiple elements in a system to produce an effect different from or greater than the sum of their individual effects. The term synergy comes from the Greek word synergia συνέργια from synergos, συνεργός, meaning "working together".[1]
In the natural world, synergistic phenomena are ubiquitous, ranging from physics (for example, the different combinations of quarks that produce protons and neutrons) to chemistry (a popular example is water, a compound of hydrogen and oxygen), to the cooperative interactions among the genes in genomes, the division of labor in bacterial colonies, the synergies of scale in multi-cellular organisms, as well as the many different kinds of synergies produced by socially-organized groups, from honeybee colonies to wolf packs and human societies. Even the tools and technologies that are widespread in the natural world represent important sources of synergistic effects. The tools that enabled early hominins to become systematic big-game hunters is a primordial human example.[2]
In the context of organizational behavior, following the view that a cohesive group is more than the sum of its parts, synergy is the ability of a group to outperform even its best individual member. These conclusions are derived from the studies conducted by Jay Hall on a number of laboratory-based group ranking and prediction tasks. He found that effective groups actively looked for the points in which they disagreed and in consequence encouraged conflicts amongst the participants in the early stages of the discussion. In contrast, the ineffective groups felt a need to establish a common view quickly, used simple decision making methods such as averaging, and focused on completing the task rather than on finding solutions they could agree on.[3] In a technical context, its meaning is a construct or collection of different elements working together to produce results not obtainable by any of the elements alone. The elements, or parts, can include people, hardware, software, facilities, policies, documents: all things required to produce system-level results. The value added by the system as a whole, beyond that contributed independently by the parts, is created primarily by the relationship among the parts, that is, how they are interconnected. In essence, a system constitutes a set of interrelated components working together with a common objective: fulfilling some designated need.[4]
If used in a business application, synergy means that teamwork will produce an overall better result than if each person within the group were working toward the same goal individually. However, the concept of group cohesion needs to be considered. Group cohesion is that property that is inferred from the number and strength of mutual positive attitudes among members of the group. As the group becomes more cohesive, its functioning is affected in a number of ways. First, the interactions and communication between members increase. Common goals, interests and small size all contribute to this. In addition, group member satisfaction increases as the group provides friendship and support against outside threats.[5]
There are negative aspects of group cohesion that have an effect on group decision-making and hence on group effectiveness. There are two issues arising. The risky shift phenomenon is the tendency of a group to make decisions that are riskier than those that the group would have recommended individually. Group Polarisation is when individuals in a group begin by taking a moderate stance on an issue regarding a common value and, after having discussed it, end up taking a more extreme stance.[6]
A second, potential negative consequence of group cohesion is group think. Group think is a mode of thinking that people engage in when they are deeply involved in cohesive group, when the members' striving for unanimity overrides their motivation to appraise realistically the alternative courses of action. Studying the events of several American policy "disasters" such as the failure to anticipate the Japanese attack on Pearl Harbor (1941) and the Bay of Pigs Invasion fiasco (1961), Irving Janis argued that they were due to the cohesive nature of the committees that made the relevant decisions.[7]
That decisions made by committees lead to failure in a simple system is noted by Dr. Chris Elliot. His case study looked at IEEE-488, an international standard set by the leading US standards body; it led to a failure of small automation systems using the IEEE-488 standard (which codified a proprietary communications standard HP-IB). But the external devices used for communication were made by two different companies, and the incompatibility between the external devices led to a financial loss for the company. He argues that systems will be safe only if they are designed, not if they emerge by chance.[8]
The idea of a systemic approach is endorsed by the United Kingdom Health and Safety Executive: The successful performance of the health and safety management depends upon the analyzing the causes of incidents and accidents and learning correct lessons from them. The idea is that all events (not just those causing injuries) represent failures in control, and present an opportunity for learning and improvement.[9] This book describes the principles and management practices, which provide the basis of effective health and safety management. It sets out the issues that need to be addressed, and can be used for developing improvement programs, self-audit, or self-assessment. Its message is that organizations must manage health and safety with the same degree of expertise and to the same standards as other core business activities, if they are to effectively control risks and prevent harm to people.
The term synergy was refined by R. Buckminster Fuller, who analyzed some of its implications more fully[10] and coined the term Synergetics.[11]
"We cannot understand any system by seeking to comprehend each component. When elements interact with each other there is a flow of energy between them, perhaps in the form of nutrients, water, food, or information. Synergy is when the sum of the whole system is greater than the sum of its parts; 1 + 1 = 3. We have the individual elements and we also have the relationship that adds further complexity and characteristics. Many parents will identify with having to manage not only the demands of each child but also the dynamic between them, which can create more work. The whole is not predictable from looking at the parts, because we do not know what the relationship and flow of energy is between them or how that will influence each part. From this synergy of interactions new properties will emerge. We cannot predict the wetness of water from looking at oxygen and hydrogen molecules separately. From neurons, consciousness and creativity emerge. The number of possible relationships increases exponentially with the number of parts."[12] Permaculture seeks to create more synergy in systems (whether they are gardens, groups or communities) by seeking to make beneficial relationships between the different elements of systems.
Drug synergy occurs when drugs can interact in ways that enhance or magnify one or more effects, or side-effects, of those drugs. This is sometimes exploited in combination preparations, such as codeine mixed with acetaminophen or ibuprofen to enhance the action of codeine as a pain reliever. Some drugs users frequently utilize 5-HTP, a serotonin precursor often used as an antidepressant, prior to and after ingestion of MDMA. It is said to increase the "high" and decreases the "comedown" stages of MDMA use, although most anecdotal evidence has pointed to 5-HTP significantly altering the effect of MDMA when used at the same time, as well as potentiating the side effects associated with serotonin syndrome [citation needed]). Other examples include the use of Cannabis with LSD, where the active chemicals in cannabis have been reported to enhance the hallucinatory experience of LSD.[citation needed].
Negative effects of synergy are a form of contraindication. For example, a combination of depressant drugs that affect the central nervous system (CNS), such as alcohol and Valium, can cause a greater reaction than simply the sum of the individual effects of each drug if they were used separately. In this particular case, the most serious consequence of drug synergy is exaggerated respiratory depression, which can be fatal if left untreated. Mixing drugs can produce potentially fatal reactions within the brain, such as serotonin syndrome, due to synergistic reactions changing chemical and receptor activity. In the case of Monoamine oxidase inhibitor (MAOI) medications, mainly used as last-straw antidepressants, mixing certain foods and drugs may cause hypertension or hyperserotonemia.
Drug synergy can occur both in biological activity and because of pharmacokinetics. Shared metabolic enzymes can cause drugs to remain in the bloodstream much longer in higher concentrations than if individually taken.
Synergy of various kinds has been advanced by Peter Corning as a causal agency that can explain the progressive evolution of complexity in living systems over the course of time. According to the Synergism Hypothesis, synergistic effects have been the drivers of cooperative relationships of all kinds and at all levels in living systems. The thesis, in a nutshell, is that synergistic effects have often provided functional advantages (economic benefits) in relation to survival and reproduction that have been favored by natural selection. The cooperating parts, elements, or individuals become, in effect, functional “units” of selection in evolutionary change.[13] Similarly, environmental systems may react in a non-linear way to perturbations, such as climate change, so that the outcome may be greater than the sum of the individual component alterations. Synergistic responses are a complicating factor in environmental modeling.[14]
Pest synergy would occur in a biological host organism population, where, for example, the introduction of parasite A may cause 10% fatalities, and parasite B may also cause 10% loss. When both parasites are present, the losses would normally be expected to total less than 20%, yet, in some cases, losses are significantly greater. In such cases, it is said that the parasites in combination have a synergistic effect.
Toxicological synergy is of concern to the public and regulatory agencies because chemicals individually considered safe might pose unacceptable health or ecological risk in combination. Articles in scientific and lay journals include many definitions of chemical or toxicological synergy, often vague or in conflict with each other. Because toxic interactions are defined relative to the expectation under "no interaction", a determination of synergy (or antagonism) depends on what is meant by "no interaction".[15] The United States Environmental Protection Agency has one of the more detailed and precise definitions of toxic interaction, designed to facilitate risk assessment.[16] In their guidance documents, the no-interaction default assumption is dose addition, so synergy means a mixture response that exceeds that predicted from dose addition. The EPA emphasizes that synergy does not always make a mixture dangerous, nor does antagonism always make the mixture safe; each depends on the predicted risk under dose addition.
For example, a consequence of pesticide use is the risk of health effects. During the registration of pesticides in the United States exhaustive tests are performed to discern health effects on humans at various exposure levels. A regulatory upper limit of presence in foods is then placed on this pesticide. As long as residues in the food stay below this regulatory level, health effects are deemed highly unlikely and the food is considered safe to consume.
However, in normal agricultural practice, it is rare to use only a single pesticide. During the production of a crop, several different materials may be used. Each of them has had determined a regulatory level at which they would be considered individually safe. In many cases, a commercial pesticide is itself a combination of several chemical agents, and thus the safe levels actually represent levels of the mixture. In contrast, a combination created by the end user, such as a farmer, has rarely been tested in that combination. The potential for synergy is then unknown or estimated from data on similar combinations. This lack of information also applies to many of the chemical combinations to which humans are exposed, including residues in food, indoor air contaminants, and occupational exposures to chemicals. Some groups think that the rising rates of cancer, asthma, and other health problems may be caused by these combination exposures; others have alternative explanations. This question will likely be answered only after years of exposure by the population in general and research on chemical toxicity, usually performed on animals. Examples of pesticide synergists include Piperonyl butoxide and MGK 264.[17]
Human synergy relates to human interaction and teamwork. For example, say person A alone is too short to reach an apple on a tree and person B is too short as well. Once person B sits on the shoulders of person A, they are tall enough to reach the apple. In this example, the product of their synergy would be one apple. Another case would be two politicians. If each is able to gather one million votes on their own, but together they were able to appeal to 2.5 million voters, their synergy would have produced 500,000 more votes than had they each worked independently. A song is also a good example of human synergy, taking more than one musical part and putting them together to create a song that has a much more dramatic effect than each of the parts when played individually.
A third form of human synergy is when one person is able to complete two separate tasks by doing one action, for example, if a person were asked by a teacher and his boss at work to write an essay on how he could improve his work. A more visual example of this synergy is a drummer using four separate rhythms to create one drum beat.
Synergy usually arises when two persons with different complementary skills cooperate. In business, cooperation of people with organizational and technical skills happens very often. In general, the most common reason why people cooperate is that it brings a synergy. On the other hand, people tend to specialize just to be able to form groups with high synergy (see also division of labor and teamwork).
Example: Two teams in System Admin working together to combine technical and organizational skills in order to better the client experience, thus creating synergy.
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Main article: corporate synergy |
Corporate synergy occurs when corporations interact congruently. A corporate synergy refers to a financial benefit that a corporation expects to realize when it merges with or acquires another corporation. This type of synergy is a nearly ubiquitous feature of a corporate acquisition and is a negotiating point between the buyer and seller that impacts the final price both parties agree to. There are distinct types of corporate synergies:
A marketing synergy refers to the use of information campaigns, studies,and scientific discovery or experimentation for research or development. This promotes the sale of products for varied use or off-market sales as well as development of marketing tools and in several cases exaggeration of effects. It is also often a meaningless buzzword used by corporate leaders.[18]
A revenue synergy refers to the opportunity of a combined corporate entity to generate more revenue than its two predecessor stand-alone companies would be able to generate. For example, if company A sells product X through its sales force, company B sells product Y, and company A decides to buy company B then the new company could use each sales person to sell products X and Y, thereby increasing the revenue that each sales person generates for the company.
In media revenue, synergy is the promotion and sale of a product throughout the various subsidiaries of a media conglomerate, e.g. films, soundtracks, or video games.
Financial synergy gained by the combined firm is a result of number of benefits which flow to the entity as a consequence of acquisition and merger. These benefits may be:
This is when a firm having number of cash extensive projects acquires the firm which is cash-rich, thus enabling the new combined firm to enjoy the profits from investing the cash of one firm in the projects of other.
If the two firms have no or little capacity to carry debt before combination, it is possible for them to join and gain the capacity to carry the debt through decreased gearing (leverage). Thus creating value for the firm, as Debt is thought to be a cheaper source of finance.
It is possible that one firm has unused tax benefits which might be utilized against the profits of the other after combination thus resulting in less tax being paid. However this greatly depends on the tax law of the country.
Synergy in terms of management and in relation to team working refers to the combined effort of individuals as participants of the team. The condition that exists when the organization's parts interact to produce a joint effect that is greater than the sum of the parts acting alone. Positive or negative synergies can exist. In these cases, positive synergy has positive effects such as improved efficiency in operations, greater exploitation of opportunities, and improved utilization of resources. Negative synergy on the other hand has negative effects on production in the firm with effects such as reduced efficiency of operations, underutilization of resources and disequilibrium with the external environment.
A cost synergy refers to the opportunity of a combined corporate entity to reduce or eliminate expenses associated with running a business. Cost synergies are realized by eliminating positions that are viewed as duplicate within the merged entity.[19] Examples include the head quarters office of one of the predecessor companies, certain executives, the human resources department, or other employees of the predecessor companies. This is related to the economic concept of economies of scale.
Synergy can also be defined as the combination of human strengths and computer strengths, such as advanced chess. Computers can process data much more quickly than humans, but lack the ability to respond meaningfully to arbitrary stimuli.
In media economics, synergy is the promotion and sale of a product (and all its versions) throughout the various subsidiaries of a media conglomerate,[20] e.g. films, soundtracks or video games. Walt Disney pioneered synergistic marketing techniques in the 1930s by granting dozens of firms the right to use his Mickey Mouse character in products and ads, and continued to market Disney media through licensing arrangements. These products can help advertise the film itself and thus help to increase the film's sales. For example, the Spider-Man films had toys of webshooters and figures of the characters made, as well as posters and games.[21] The NBC sitcom 30 Rock often shows the power of synergy, while also poking fun at the use of the term in the corporate world.[22]
When spasticity occurs, such as following a stroke, it manifests in abnormal and stereotypical patterns across multiple joints called obligatory synergies.[23] They are described as either a flexion synergy or an extension synergy and affect both the upper and lower extremity (see below).[23] When these patterns occur in a patient, he or she is unable to move a limb segment in isolation of the pattern.[23] This interferes with normal activities of daily living.[23] Some aspects of the obligatory synergy patterns however, can be cleverly used to increase function relative to the movement available to the individual. Careful thought should, therefore, be considered in deciding which muscle groups to stretch at specific times during recovery. Obligatory synergy patterns are observed when a patient tries to make a minimal voluntary movement, or as a result of stimulated reflexes.[23]
The flexion synergy for the upper extremity includes scapular retraction and elevation, shoulder abduction and external rotation, elbow flexion, forearm supination, and wrist and finger flexion.[23]
The extension synergy for the upper extremity includes scapular protraction, shoulder adduction and internal rotation, elbow extension, forearm pronation, and wrist and finger flexion.[23]
The flexion synergy for the lower extremity includes hip flexion, abduction and external rotation, knee flexion, ankle dorsiflexion and inversion and toe dorsiflexion.[23]
The extension synergy for the lower extremity includes hip extension, adduction and internal rotation, knee extension, ankle plantar flexion and inversion, and toe plantar flexion.[23]
Note that some muscles are not usually involved in these synergy patterns and include the lattisimus dorsi, teres major, serratus anterior, finger extensors, and ankle evertors.[23]
