System Dynamics
Systems Thinking

Knowledge Center

   

The study and management of complex feedback. Explanation of Systems Thinking of Forrester. System Dynamics.

Contents

Premium

What is Systems Thinking? Definition

Systems Thinking is an approach for studying and managing complex feedback systems, such as one finds in corporations and other social systems. In fact it has been used to describe practically every sort of feedback system.

System Dynamics is more or less the same as Systems Thinking, but emphasizes the usage of computer-simulation tools.


The term System means an interdependent group of things forming a unified pattern. Feedback refers to the situation of X affecting Y, and Y in turn affecting X. Perhaps through a chain of causes and effects. One cannot study the link between X and Y and, independently, the link between Y and X and predict how the system will behave. Only the study of the whole feedback system will lead to correct results.


What is System Dynamics?

System Dynamics is based on Systems Thinking, but takes the additional steps of constructing and testing a computer simulation model. The System Dynamics field developed initially from the book "Industrial Dynamics" of Jay W. Forrester.


Steps in the System Dynamics methodology

  1. Identify a problem,
  2. Develop a dynamic hypothesis explaining the cause of the problem,
  3. Build a computer simulation model of the system at the root of the problem,
  4. Test the model to be certain that it reproduces the behavior seen in the real world,
  5. Devise and test in the model alternative policies that alleviate the problem,
  6. Implement the solution.

Often these steps have to be reviewed and refined, going back towards an earlier step. For instance, the first problem identified may be only a symptom of a still greater problem.


Typical applications of System Dynamics

  • strategy and corporate planning
  • business process development
  • public management and policy
  • biological and medical modeling
  • energy and the environment
  • theory development in the natural and social sciences
  • dynamic decision making
  • complex nonlinear dynamics

Book: John Sterman -  Business Dynamics: Systems Thinking.. -


System Dynamics & Systems Thinking Special Interest Group


Special Interest Group (367 members)


System Dynamics & Systems Thinking Forum  

Recent topics

  Complexity in Systems Approach
Complexity exists due to a multitude of worldviews held by organisational members and external stakeholders and the cultural influences, individual ex...
     
 
  Soft, Hard and Viable Systems
Three systems methods are normally used:
1. Soft systems method - complex messy situations
2. Hard systems method- difficulties where we kno...
     
 
  Nonlinear Dynamical Systems
Nonlinear dynamical systems can be linearized, if the relationship between elements of this is information.
To formalize the interaction between ...
     
 

Best Practices - System Dynamics & Systems Thinking
  Value of System Approach
What value does the system approach have to understanding and analyzing behaviour in oganisations?...
     
 
  Systems Thinking is Considering Issues Holistically
Systems Methodology can aid our analysis of organisations because its key assumption is to consider issues holistically. Rather than breaking a proble...
     
 
  Strategy > SD > Performance?
Could we use System Dynamics to assess if a firm's strategy is responsible for its performance?...
     
 

Expert Tips - System Dynamics & Systems Thinking
 

Complex Adaptive Systems

 
 
 

Structure your Organization at the Edge of Chaos

 
 
 

How to Use Counterintuition to Fight 5 Frequent Decision Making Errors

 
 
 

Complexity Principles

 
 



Advance yourself in business administration and management



Resources - System Dynamics & Systems Thinking

Systems, Systems Thinking and Soft System Methodology (SSM)

 

Are you Facing Complexity? Systems Thinking 101

 

Systems Thinking for Leaders

 

Introduction Into Systems Thinking

 

Simple, Complicated, Complex and Chaotic Decision Making Contexts

 

Efficiency of Mass Communication

 
 

News about System Dynamics


     
 

News about Systems Thinking


     
 

Videos about System Dynamics


     
 

Videos about Systems Thinking


     
 

Presentations about System Dynamics


     
 

Presentations about Systems Thinking


     
 

Books about System Dynamics


     
 

Books about Systems Thinking


     
 

More about System Dynamics


     
 

More about Systems Thinking


     



Accelerate your management career



Compare with System Dynamics:  Gestalt Theory  |  Strategy Dynamics  |  Soft Systems Methodology  |  Scenario Planning  |  Analogical Strategic Reasoning  |  Five Disciplines  |  OODA loop  |  Game Theory  |  Spiral Dynamics  |  Simulation  |  Quality Function Deployment


Return to Management Hub: Change & Organization  |  Decision-making & Valuation  |  Ethics & Responsibility  |  Human Resources  |  Knowledge & Intangibles  |  Leadership  |  Strategy


More Management Methods, Models and Theory

Special Interest Group Leader

 


About 12manage | Advertising | Link to us / Cite us | Privacy | Suggestions | Terms of Service
© 2018 12manage - The Executive Fast Track. V15.0 - Last updated: 13-12-2018. All names ™ of their owners.