IMS013E Introduction to Systems Thinking

Introduction to Systems Thinking Daniel H. Kim System. We hear and use the word all the time. “There’s no sense in trying to buck the system,” we might say. Or, “Mary, Contents she’s a systems analyst.” Or, “This job’s getting out of control; What Is Systems Thinking? ............................................. 2 I’ve got to establish a system.” Whether you are aware of it or not, you are a member of many systems—a family, a commu- What Is a System?........................................................... 2 nity, a church, a company. You yourself are a complex biological Collections Versus Systems system comprising many smaller systems. And every day, you probably interact with dozens of systems, such as automobiles, Defining Characteristics of Systems ATM machines, retail stores, the organization you work for, etc. The Importance of Purpose But what exactly is a system? How would we know one if we saw one, and why is it important to understand systems? Most Putting Systems in Context: “The Iceberg” ................. 4 important, how can we manage our organizations more effec- What Do Systems Do? A Close Look at tively by understanding systems? Systemic Behavior............................................................ 5 This volume explores these questions and introduces the princi- Fun with Feedback ples and practice of a quietly growing field: systems thinking. With roots in disciplines as varied as biology, cybernetics, and The Building Blocks of Systemic Behavior: Reinforcing ecology, systems thinking provides a way of looking at how the and Balancing Processes world works that differs markedly from the traditional reduc- Looking for a Sign: Loops and Labels tionistic, analytic view. But this is not an either-or distinction The Good, the Bad, and the Ugly: A Closer Look at we are making here. Because some problems are best solved Balancing Loops through analytic thinking and others through a systemic perspective, we need both to better understand and manage the Delays: The Hidden Troublemakers world around us. Putting It All Together: Two Examples of How to Why is a systemic perspective an important complement to ana- Manage Systems ........................................................... 12 lytic thinking? One reason is that understanding how systems Managing Product Quality at FitCo work—and how we play a role in them—lets us function more Fixes That Backfire at DevWare Corp. effectively and proactively within them. The more we understand systemic behavior, the more we can anticipate that behav- Working on the System, Not in the System................... 16 ior and work with systems (rather than being controlled by them) to shape the quality of our lives. Appendix: “Acting” in Different Modes........................ 17 It’s been said that systems thinking is one of the key manage- A Glossary of Systems Thinking Terms.......................... 19 ment competencies for the 21st century. As our world becomes ever more tightly interwoven globally and as the pace of change continues to increase, we will all need to become increasingly Introduction to Systems Thinking “system-wise.” This volume gives you the language and tools @1999 by Pegasus Communications, Inc. you need to start applying systems thinking principles and prac- All rights reserved. No part of this publication may be reproduced or transmitted tices in your own organization. in any form or by any means, electronic or mechanical, including photocopying and recording, or by any information storage or retrieval system, without written permission from the publisher. For additional copies contact: IMS0013E [email protected] Introduction to Systems Thinking 2 Pegasus Communications, Inc. (tel) 781-398-9700 www.pegasuscom.com What Is Systems which ones are systems and which ones nant organizing force in any system. If Thinking? are just collections of parts. Ready, set, go! you want to understand why a system is • Bowl of fruit organized in a particular way, find out What exactly is systems thinking? In • Football team the system’s purpose. simplest terms, systems thinking is a way • Toaster Bowl of fruit. Most people would of seeing and talking about reality that •Kitchen classify this as an obvious collection, helps us better understand and work • Database of customer names because the pieces of fruit are not inter- with systems to influence the quality of • Tools in a toolbox related in any way and do not interact our lives. In this sense, systems thinking • A marriage with each other. In truth, however, they can be seen as a perspective. It also So, which ones are systems and are interacting—at a microscopic level. involves a unique vocabulary for which are merely collections? This ques- For instance, if you put certain fruits describing systemic behavior, and so can tion isn’t as easy to answer as it might together, they are apt to decay faster be thought of as a language as well. And, seem at first. Your responses depend on because they interact at a molecular because it offers a range of techniques what assumptions you are making about level. Someone for whom these interac- and devices for visually capturing and the item in question. Let’s walk through tions are important (a fruitologist?) communicating about systems, it is a set each example (starting with the simpler might even consider this bowl of fruit of tools. ones first) and make our assumptions as to be a very interesting system—one For anyone who is new to systems explicit as we can. whose purpose is to maximize the thinking, the best way to “get your feet Kitchen, database of customer biodegrading process. wet” is to first learn about the defining names, and tools in a toolbox. These Marriage. For any of you who saw characteristics of systems; in short, are all collections, because this one as a collection, please seek mar- what is a system? But to be a true sys- none of them meets riage counseling immedi- tems thinker, you also need to know our original cri- ately! All kidding how systems fit into the larger context Honey, are we teria of inter- aside, the question of day-to-day life, how they behave, a collection I hope relatedness and we're a of whether one and how to manage them. The final or a system? interdependence. system! has a healthy three sections of this volume tackle Even though the marriage has a lot those issues. kitchen itself is full of sys- to do with whether tems (refrigerator, the relationship more microwave, dishwasher), resembles a collec- What Is a System? it is still just a place that tion or a system. has a collection of sys- Marriage is essen- In the most basic sense, a system is any tems and other elements tially a voluntarily group of interacting, interrelated, or in it. None of those things chosen state of interde- interdependent parts that form a com- interrelate or interact in an pendence with another plex and unified whole that has a interdependent way. (Note, though, that person (not codependence, which is specific purpose. The key thing to once humans enter a kitchen, they, something altogether different). This remember is that all the parts are inter- together with the other elements, form state actually characterizes any long- related and interdependent in some a system. It’s a curious fact, but when- term relationship, including friendships. way. Without such interdependencies, ever you add people to a collection, you Is there anybody among us who has not we have just a collection of parts, not a almost always transform a collection into been reminded by someone that our system. a system!) actions have an impact on him or her? Football team and toaster. Both are Sometimes, that is how we first systems. Notice that in addition to our encounter systems, and how we learn Collections Versus Systems criteria of interrelatedness and interde- (often painfully) that we are part of a Let’s illustrate this point with the follow- pendence, a team and a toaster are each larger system than we may have realized. ing exercise. Take a look at the list of put together for a specific purpose. Well, that was quite an excursion. I items below and determine for yourself Indeed, purpose acts as the predomi- hope this tour has revealed that systems Introduction to Systems Thinking 3 Pegasus Communications, Inc. (tel) 781-398-9700 www.pegasuscom.com are indeed all around us and that they randomly rearrange the parts in your mechanical) systems, the intended pur- take many different forms. In spite of automobile!) pose is usually explicit and reasonably these differences, though, all systems Systems attempt to maintain sta- clear, at least at the outset. The purpose share several defining characteristics. It bility through feedback. In simplest of a washing machine, for example, is to may be helpful at this point to summa- terms, feedback is the transmission and wash clothes. The washing system is rize those characteristics. return of information. The most designed so that all the components important feature of feedback is that it work together to accomplish that pur- provides information to the system that pose as effectively as possible.1 In Defining Characteristics of lets it know how it is doing relative to mechanical systems, the purpose is usu- Systems some desired state. For example, the ally “hard-wired” into the design and Systems have purpose. As we saw in the normal human body temperature is therefore does not evolve over time. examples above, every system has some 98.6 degrees Fahrenheit. If you go for a Your car, for example, was designed to purpose that defines it as a discrete run, the exertion warms your body take you places and will continue to entity and that provides a kind of beyond that desired temperature. This operate with that purpose (provided integrity that holds it together.

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