The following equation, which we call the

**Principle of Fragility**, has been coined by Ontonix in early 2005 and indicates why complexity management is a form of risk management:

**Complexity X Uncertainty = Fragility**

In order to understand the Principle of Fragility let
us borrow Fourier’s idea of variable separation and create a useful
parallel. Let us assume, without loss of generality, that the term
“Complexity” is specific to a certain system, e.g. a corporation, while
the term “Uncertainty” concentrates the degree of turbulence (entropy)
in the environment in which the system operates, e.g. a market. The
equation assumes the following form:

**Csystem X Uenvironment = Fragility**

or, in the case of a business,

**Cbusiness model X Umarket = Fragility**

What the equation states is that in a market of given turbulence a more
complex business model will be more fragile (exposed). In practical
terms, the equation may be seen as a mathematical version of Ockham’s
razor: with all things being equal a less complex compromise is
preferable.