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An Introductory Guide
to
Systems Thinking
By David Kerr
Managing Director
Watt Works Consulting Ltd
This eBook is published by Watt Works Consulting Ltd,
Booths Hall, Chelford Road,
Knutsford,
Cheshire, WA16 8GS,
United Kingdom
© Watt Works Consulting Ltd, 2012
Copyright 2012 David Kerr,
All rights reserved.
Published in eBook format by Watt Works Consulting Ltd
Converted by http://www.eBookIt.com
ISBN-13: 978-1-4566-0933-7
No part of this book may be reproduced in any form or by any electronic or mechanical means including information storage and retrieval systems, without permission in writing from the author. The only exception is by a reviewer, who may quote short excerpts in a review.
Introduction
Hello, and welcome to ‘An Introductory Guide to Systems Thinking’.
As a former student of the world-renowned management consultant and systems thinker, Stafford Beer, I have been using the principles of systems thinking for over twenty years in a variety of roles across the IT and management consulting sector. I have also used it to undertake a large number of strategic reviews and performance improvement initiatives for organisations across a range of sectors that include higher education, telecommunications, pharmaceuticals, manufacturing, local government, retail and banking.
As an organisation that focuses on creating sustainable performance improvements for people and organisations, systems thinking is an extremely important part of what we do at Watt Works Consulting.
If you want to find out what is really happening in your organisation, manage large-scale change, unlock hidden potential and make step-changes in your performance, systems thinking can provide some significant insights.
I hope you find this introductory guide illuminating and useful, either in your personal or professional life.
Section 1 – An Overview
Systems thinking is not new. The principles of systems thinking have been known and adopted for hundreds (even thousands) of years. Famous systems-thinkers throughout history include Leonardo da Vinci, Isaac Newton, Charles Darwin and Albert Einstein.
The wisdom and knowledge inherent in systems-thinking crosses cultural and language barriers and is implicit in the teachings of ancient Hindu scriptures, Sufis, Zen Buddhists and Native American culture.
The modern world, however, is only now beginning to understand the relevance of systems thinking. School children are routinely taught now about how complex systems such as climate change work and how small changes in the balance of things can have disproportionate effects and unintended consequences in other areas. Thirty or forty years ago these ideas were simply unthinkable to the mainstream.
You are about to realise that you’ve been a systems thinker all your life.
DEFINITION OF A SYSTEM
“An interconnected set of elements that is coherently organised in a way that achieves something.”
Many things in your life are systems. Your own body, for example, is a perfect example of a system comprising a digestive system, immune system, temperature regulation system etc. Other systems might include a car, a forest, a school, or an organisation.
Systems are all around you.
SYSTEM ‘ELEMENTS’
A key principle of systems is that they are comprised of “elements” or components. Hence, your car for example has an ignition system, fuel system and braking system.
These components can work alongside each other, or they can be contained or embedded within each other. I remember being fascinated with this embedding of elements as a child and went through a phase of always writing my address as
“……..
United Kingdom,
Europe,
The World,
Solar System,
The Milky Way,
The Universe”.
Elements within an organisation, for example, could include specific business units, department or divisions. At a higher level a group of companies could be composed a set of companies within a group.
SYSTEM ‘INTERCONNECTIONS’ AND ‘INTER-RELATIONSHIPS’
The elements that comprise a system are interconnected and are interrelated. These elements can affect the other elements within the system in a variety of ways.
For elements that are embedded within each other within an organisation, for example, a business unit operating within a division will be affected by the actions of the division. In the same way, the division will be affected by the actions of the business unit itself.
Elements operating at the same ‘level’ may also be interconnected. For example, there may be a specific process ‘flow’ at work in a manufacturing organisation where a particular part is assembled in Department A and then might be passed to Department B, where it might be combined with another part and then perhaps operated on in some way (bolted, welded, sprayed, polished or whatever).
The ‘interconnection’ and ‘interrelationship’ within an organisation may also mean that there is a flow of information from one team or department to another. The information that flows across departments is often the ‘lifeblood’ that holds the organisation together.
Within an organisation, the fact that these various elements also operate independently mean that there needs to be a flow of information up and down, as well as across. This also suggests that there needs to be a certain amount of coordination across the elements, as well as overall management and control of each element to ensure that they operate together in some sensible way. This is the unfolding of complexity that takes place in every organisation at every moment. It proliferates and requires management.
‘EMERGENCE’
A key principle of systems thinking is the idea that “the whole is greater than the sum of its parts” - a saying you may already be familiar with. This is the principle of emergence, and says that when elements of a system come together and interact in some
