What is Viable System Model

In a knowledge-based economy, higher education institutions (HEIs) are a key factor in fostering innovation and play a central role in sustainable economic growth and development. Growing complexity of HEIs and their environments requires systemic, i.e. cybernetic approach to innovation. The chapter highlights the importance of introducing a cybernetic framework for innovativeness of higher education institutions by their examination in conceptual framework of organizational cybernetics (OC). The purpose is to demonstrate how viable system model (VSM) as a key methodological tool of OC can help understanding the viability and innovativeness of HEIs. In addition, higher education institutions are investigated in a conceptual framework of VSM through the case of the public higher education institution (HEI) in Serbia. The main contribution of the chapter is related to practical implications of presented framework including the strengths and weaknesses of a VSM application.