Design Rules, Vol. 1: The Power of Modularity

Design Rules, Vol. 1: The Power of Modularity
by Carliss Y. Baldwin, Kim B. Clark

Design Rules, Vol. 1: The Power of Modularity
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Book Summary Information

Author: Carliss Y. Baldwin, Kim B. Clark
Edition: Hardcover
Audio: English (Unknown); English (Original Language); English (Published)
Published: 2000-03-15
ISBN: 0262024667
Number of pages: 483
Publisher: The MIT Press

Book Reviews of Design Rules, Vol. 1: The Power of Modularity

Book Review: Foundational
Summary: 5 Stars

This is one of the most useful and practical business books I have read. At my companies we apply it at two levels.

We use the modularization rules in the design of systems and businesses. These rules (i) define what is needed to modularize a system - interfaces, communication rules, aggregation rules and (ii) a set of operators that can be used to evolve modular systems. It is best practice to design all of these (interfaces, communication rules and data exchange, aggregation and disaggregation rules and the modularization operators) into business systems. This is even more important than ever in a time of rapid cycles and transformational change.

It is also useful, especially when combined with the work of Clayton Christensen on disruptive inovation, to understand the evolution of industry ecologies. I have heard that the next volume (if it ever comes out) will go further in this direction. One needs a point of view on value-web evolution to make strategic bets. Of course one will often be wrong, the future will always surprize us. The real purpose of strategic thinking is to help us realize we are wrong more quickly so that we can respond and shape the emerging change.

Design Rules also serves as history of evolution and differentiation in the mainframe industry (there are rich veins of historical data), introduces or reminds us of variable analytical tools, and it is physically a lovely book, well designed, well bound.

Software people reading this review may think 'so what' we know all this stuff about information hiding and modularization. But I wonder, how many software systems are designed to evolve? Most decay with change. A system that evovles needs to be self similar across levels of organization, allow the modular operators to operate, represent itself to itself ... Even if object and aspect programming catch much of this, few software engineers are able to apply it at an organizatoinal or value-web level, and so their systems are detached from the environments that will select them.

I hope the authors and publishers will get the second volume out soon!

Summary of Design Rules, Vol. 1: The Power of Modularity

We live in a dynamic economic and commerical world, surrounded by objects of remarkable complexity and power. In many industries, changes in products and technologies have brought with them new kinds of firms and forms of organization. We are discovering news ways of structuring work, of bringing buyers and sellers together, and of creating and using market information. Although our fast-moving economy often seems to be outside of our influence or control, human beings create the things that create the market forces. Devices, software programs, production processes, contracts, firms, and markets are all the fruit of purposeful action: they are designed.Using the computer industry as an example, Carliss Y. Baldwin and Kim B. Clark develop a powerful theory of design and industrial evolution. They argue that the industry has experienced previously unimaginable levels of innovation and growth because it embraced the concept of modularity, building complex products from smaller subsystems that can be designed independently yet function together as a whole. Modularity freed designers to experiment with different approaches, as long as they obeyed the established design rules. Drawing upon the literatures of industrial organization, real options, and computer architecture, the authors provide insight into the forces of change that drive today's economy.

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