SIMPLIFIED LECTURE NOTES OF SYSTEM THINKING

01. Overview of Systems Thinking, its importance and historical context

- holistic approach to understanding and solving complex problems
- systems are interconnected and interdependent (co-dependent) entities
- the behavior of a system is a result of the interactions and relationships between various parts

Considers the
entirety of a Seeks to understand how these components
system and its interact and influence each other
context

Holistic
Approach

interactions cause emergent properties which are

key
outcomes that are not directly predictable from the
properties of individual components points System thinking is particularly suitable for
addressing complex problems characterized by
variables, uncertainty and non-linear relationships

Interactions & Complex

relationships Problems

recognise the This allows us to grasp the connections and

interactions feedback loops that contribute to the complexity of
and the issue
relationships
in a system

why empasize
interactions and
relationships?

Unintended
Emergent Properties Feedback Loops consequences (of System Behaviour
another part)

caused by also caused by

interactions of interactions of due to interactions
caused by a change in between components
components components one part of the system
due to intricate
relationships

feedback loops allows us to predict

influence further and influence system
actions behaviour

positive (reinforcing)

negative (balancing)
SIMPLIFIED LECTURE NOTES OF SYSTEM THINKING

think of there's a
it as an beginnin
invisible g an an
border end

Boundaries

defines a
scope used to focus on
how components
interacts

Emergent
Components
Properties

Key
concepts
Feedback
Loops Interactions
SIMPLIFIED LECTURE NOTES OF SYSTEM THINKING
SIMPLIFIED LECTURE NOTES OF SYSTEM THINKING

Reductionist Systems
Thinking Thinking
seek to understand
complex phenomena
by breaking them holistic approach
down into simpler,
manageable parts

analyzes each
component to know emphasize
their specific interactions &
functions & relationships
properties

good for identifying

good to study the
patterns and making
details of elements
predictions

may overlook
interactions &
relationships in a
larger context
benefits of adopting
systems thinking

Holistic Problem
Solving
Improved
Decision Making

Challenges & complexities of applying system thingking

Balancing Delayed Unpredictable

Complexity Results Outcomes
SIMPLIFIED LECTURE NOTES OF SYSTEM THINKING

02.Fundamental concepts: boundaries, components, interactions, feedback loops, and emergent

properties

Characteristics of a system
01. Defining Boundaries
a. Definition
 Limits drawn to understand what’s inside and what’s outside. This creates a clear
map of the system we’re exploring
b. Importance
 helps us focus on what’s relevant
 we gain a better grasp of the system’s scope and intricacies
02. Components & their roles
a. Definition
 individual parts/elements within a system
 they’re either tangible (e.g machine parts) or intangible (e.g ideas, relationships)
b. Importance
 components have roles that define how they interact and influence each other.
03. Dynamic interaction
a. Definition
 the connections, relationships, and exchanges that occur among different parts of
a system

Types of
interactions

Direct Indirect
Linear non-linear

e.g a friend
accidentally hurts
your feelings straightforward like butterfly
cause-and-effect effects, small
increase can cause
large increase
e.g temperature
rise, ice melts

b. Flow Chart
 shows how component connect and affect each other
SIMPLIFIED LECTURE NOTES OF SYSTEM THINKING

04. Feedback loops

a. Definition
 mechanism that amplifies or regulate a system’s behaviour
Positive Feedback Loops Negative Feedback Loops
amplify change regulate change

more
more
customers
production
buying
for pencils
pencils you sweat,
temperature
thus body
too high
cools
more
demand
for pencils

equilibrium achieved

05. Emergent properties

a. Definition
 results from the complex interactions of components.
 give rise to behaviors, patterns, and qualities that couldn’t be predicted by
looking at individual components alone
06. Interconnectedness of concept
o all the concepts mentioned are tightly connected and influence each other in a fascinating
way

a. Boundaries and components

i. Boundaries define what’s inside the system, and components are parts in the
boundaries
ii. Understanding the boundaries helps us identify the components that play
roles within the system
b. Interactions and Feedback Loops
i. Interactions shape how components influence each other, and feedback loops
show how the system responds to those interactions
ii. Components interact, thus triggering feedback loops, leading to emergent
properties
c. Feedback Loops and Emergent Properties
i. either amplify or regulate interactions among components, resulting in
emergent properties
SIMPLIFIED LECTURE NOTES OF SYSTEM THINKING

03.Defining system boundaries and understanding the system’s environment

1) Defining system boundaries and understanding the system’s environment

a) Defining Boundaries
i) boundaries are like the limits we draw around a system to understand what’s inside and
outside (idk how many times I’ve wrote this)
b) Importance
i) Helps us focus on what’s relevant in the system. Thus, we gain a better grasp of the system’s
ecosystem and intricacies
c) Why define system boundaries?

Points Explanation
Clarity in analysis helps isolate what’s within the scope of the
analysis and vice versa, which prevents
information overload and confusion

Focus on relevant Factors helps concentrate on the most relevant

components and interactions within a system.
Thus streamlining (organize) the analysis and
allows for more effective problem-solving

Identification of interactions allows you to identify interactions and

relationships within the system. Hence helps you
understand how different components influence
each other

Preventing scope creep without clear boundaries, it’s easy to get

sidetracked by tangential issues, making it
difficult to address the core problem (read: you’ll
get distracted by a lesser issue from the bigger
issue)

Resource allocation resources (time, money, effort etc) can be directed

toward the specific components and interactions
that matter most

Enhancing decision making When you have a better grasp of your system, you
can make informed choices on where to intervene
or invest resources for the most significant impact

Managing complexity Complex systems can be overwhelming when you

don’t have a clear vision on what to grasp on,
making it challenging to gain insights and take
meaningful actions

Adaptability When you understand what’s inside and outside

the system, it’s simpler to assess the consequences
of changes
SIMPLIFIED LECTURE NOTES OF SYSTEM THINKING

involve tangible and measurable elements

Physical

usually defined by physical space, objects or structures

defined by abstract concepts/ideas

Conceptual
often used to categorize and differentiate element of a system
conceptually

based on time

Temporal

defines the duration/timing or a system's existence/activities

Hybrid incorporates element of multiple types

Types of system Hierarchical contains subsystem with its own boundaries, functions and interactions
boundaries

based on geographic features

Geographical

e.g mointain ranges, rivers etc

Economic based on market segments, industries, or economic zone

Informational defines the scope of data flow and access

conceptual

Social

defines social groups, organizations, or communities

Ecosystem define the limits of a particular ecological system, such as forest, wetland or coral reef

What constitutes the system’s environment?

1. Elements & factors
a. Physical surroundings
b. Other systems
c. Stakeholders
d. Resources
e. External Events
2. Interactions & Dependencies
3. Scope of analysis
4. Adaptation & resilience
System’s Environment: External Factors
a. Dynamic & interconnected Nature
b. Significant impact on functioning and outcomes
c. Opportunities and Challenges
d. Strategic Responses
e. Adaptation and resilience
f. Continuous Monitoring
g. Decision-Making Implications
SIMPLIFIED LECTURE NOTES OF SYSTEM THINKING

Interactions with the environment

a. Dynamic and reciprocal interactions
b. Analogous to natural systems
c. influence on behavior and outcomes
d. every system has an environment
e. interconnectedness of systems
Common Challenges in Determining System Boundaries
a. Boundary complexity
b. Interconnected Systems
c. Temporal Boundaries
d. Conceptual Boundaries
e. Boundary Stakeholder Disagreements
f. Boundary Adjustments Over Time
SIMPLIFIED LECTURE NOTES OF SYSTEM THINKING

04. Identifying variables, properties, and major components within a system

Variables vs Properties
Aspect Variables Properties
Definition dynamic aspects/elements of a stable characteristics/attributes of a
system that can change, evolve, or system that can remain constant and
measured define the system’s identity and
behavior
Examples -temperature -Color
-Stock Prices -Shape

Problem Solving

Importance of
identifying
variables and
properties

Understanding
Modelling
system behaviour

Components in a system
1. Defining Major Components
a. tangible and essential physical components/entities within a
system that play pivotal roles.
b. fundamental building blocks and key actors that contribute
significantly to the system’s purpose, operation, and
outcomes
c. tangible elements that are indispensable for the system’s
effectiveness and efficiency
d. define the system’s structure, behavior, and capabilities
SIMPLIFIED LECTURE NOTES OF SYSTEM THINKING

05.Introduction to modeling in Systems Thinking

System Models
Definition 1. Simplified Representations
2. Understanding, Analyzing, and predicting
Purpose 1. Gain insights into Complex Systems
2. Test Hypotheses and Scenarios
3. Aid Decision-making and Problem-
Solving

Types of Models

Types Computer Simulation Conceptual Mathematical Physical

Definitions Developed using arises during Derived from often made after
programming languages, brainstorming observations, the conceptual
based on mathematical sessions or initial experiments and phase, when
models and data problem-solving statistical analysis there's a clearer
stages idea of the system

Usage Widely used in research, Utilized to present Common in Useful in

gaming, training, an overarching sciences, teaching,
simulations and more idea or system economics, experiments and
without diving engineering, for for stakeholders
into its predictions and to visualize a
complexities understanding product
system behaviors
Strengths Highly interactive, can Easily digestible, Quantitative, can Offers a tangible,
simulate real-time quickly highlights be very accurate, hands-on
responses, useful for the core of a allows for understanding;
scenarios too complex or system or idea predictions helps in
risky to study in real visualizing spatial
time relationships

Limitations Requires extensive lacks depth and Requires precise Can be expensive
computational resources; details, not data; complexity and time-
accuracy depends on suitable for can increase consuming to
underlying data and accurate rapidly produce; lacks
algorithms predictions functionality

Modelling in Systems Thinking

1. Sketching
2. Identifying Feedback Loops
3. Identifying Bottlenecks
4. Identifying Leverage Points
SIMPLIFIED LECTURE NOTES OF SYSTEM THINKING

06. Graphic notation techniques: Causal Loop Diagrams

Importance of visualization
1. Understanding Complex Interrelationships
a. numerous interactions and feedback loops within a system are hard to grasp
b. visualization helps map out these relationships, making it easier to see how different parts
of the system affects another
c. Thus, we get a holistic view rather than a fragmented one
2. Forecasting System Behavior
a. Visualization, especially dynamic models or simulations, can demonstrate how alterations
in certain variables can lead to shifts in system behavior over time
b. decision-makers can anticipate future challenges or opportunities
3. Promoting Collaborative Insight
a. System thinking often requires collaboration across different disciplines or departments,
each with its own jargon and perspective
b. Visualization provides a common language that transcends these barriers.
c. With a shared visual representation of the system, teams can collectively identify patters,
discuss insights, and come up with solutions that take into account the system’s identity
Graphic Notation

Positive Loop
(Reinforcing)
Causal Loop Diagrams
(CLD) @ Feedback Loops
Negative Loop (Balancing)

Stock Flow Diagrams

Causal Loop Diagrams

a) Constructed by identifying key variables of a system (nouns) and indicating causal relationship
between them via links (verbs)
b) Consists of 4 basic elements
i. Variables
ii. Links between them
iii. Signs on the links (show how variables are interconnected)
iv. sign of the loop (shows type of behavior the system will produce)
SIMPLIFIED LECTURE NOTES OF SYSTEM THINKING
SIMPLIFIED LECTURE NOTES OF SYSTEM THINKING
SIMPLIFIED LECTURE NOTES OF SYSTEM THINKING
SIMPLIFIED LECTURE NOTES OF SYSTEM THINKING
SIMPLIFIED LECTURE NOTES OF SYSTEM THINKING

07.Graphic notation techniques: Stock Flow Diagram

Importance of SFD:
1. Understanding Complex Systems
2. Predictive Analysis
3. Decision Making
4. Communication
5. Identification of Bottlenecks and Opportunities
SIMPLIFIED LECTURE NOTES OF SYSTEM THINKING

SFD VS CLD

SFD CLD
Definition - A diagram that visualizes the detailed representation of a system’s
feedback loops in a system structure, showing stocks, flows, and the
- highlights the relationships feedback loops that influence these flows
between variables without
detailing the specific
quantities or rates

Components - Variables: Elements in a - Stocks: represent accumulations or

system that can change over quantities of something
time - Flows: represent the rates at which
- Links: arrows showing stocks change
relationships between - Converters: variables that affect the
variables. either + or – flow rates but aren’t stocks
- Feedback loops: closed - Connectors: Arrows depicting the
chains of cause-and-effect influence or information flow
relationships. Can be between elements
reinforcing® or
balancing(B)

Detail and Provides a high-level qualitative more detailed, quantitative view of the
Complexity understanding of system structure system, can be used for simulation
and feedback mechanism

Use Cases Useful for initial brainstorming, more suitable for detailed system analysis,
conveying system structure to a creating computational models, and running
broad audience, and identifying simulations
potential leverage points
Data Does not usually incorporate specific often incorporate actual data, equations, and
Representation data or numbers. Highkey about parameters. built for precise modelling
relationships and feedbacks

Visualization Emphasizes loops and the polarity of Emphasizes the stocks and the rates at which
relationships they change, giving a clearer picture of the
dynamic over time

Learning Curve generally easier for beginners to requires a deeper understanding of system
grasp dynamics concepts and often software
knowledge for simulation
SIMPLIFIED LECTURE NOTES OF SYSTEM THINKING

08.Analyzing interrelated structures and their impact on system behavior

What are interrelated structures?
a) refer to the various elements within a system that are connected and affect each other’s behavior
and functionality
b) can encompass feedback loops, hierarchical relationships, network configurations, and other
complex linkages that determine how system components interact

Types of Interrelated Structures

Hierarchical Hierachies in Hierarchies in Network Networks in Networks in Matrices in Matrices in
Structures Information Decision Structures Information Decision Information Decision
• the chain of Flow Making • Complex, Flow Making Flow Making
command • Information • Centralized adaptive • Rapid and • Collective and • Cross- • Shared and
• Linear, top flow typically decision systems multi- distributed functional collaborative
down vertical authority comprised of directional decision information decision-
management, • Orderly, • impact on nodes and links information authority exchange making
clear authority managed agility and that form a web dissemination • impact on • Innovation, • Impact on
gradient communication responsiveness of connections • Resilience, system collaboration innovation and
• e.g military • Potential for • The balance • Non-linear, redundancy adaptablity • Ambiguity, problem-
command bottlenecks and between decentralized • Complexity, • Challenges in conflict over solving
gatekeeping efficiency and • e.g Social potential for coordination authority • Balancing
innovation networks overload and cosensus- multiple
building interests and
objectives
SIMPLIFIED LECTURE NOTES OF SYSTEM THINKING

IMPACT ON SYSTEMS BEHAVIOR

System Resilience System Adaptability Emergence in System

Definition the ability to absorb disturbances, Adaptability refers to the Describe emergence as
maintain function, and reorganize ability of a system to the process where
while undergoing change modify itself in response complex systems and
to internal or external patterns arise out of
stimuli relatively simple
interactions

Examples Ecological Resilience: How a forest Business Adaptability: A Emergence in Traffic

ecosystem recovers after a wildfire, company that shifts its Patterns: How individual
maintaining its core functions operational model in vehicle behaviors can
despite significant damage. response to market lead to
changes or technological complex traffic flow
Technological Resilience: The advancements. patterns or traffic jams.
resilience of the internet
infrastructure to withstand localized Social System Emergent Behavior in
failures without disrupting global Adaptability: The social media: How
connectivity evolution of social norms individual user
and legal systems in interactions can lead
response to cultural and to viral trends or
demographic shifts collective movements
that were not directed by
any single
user
SIMPLIFIED LECTURE NOTES OF SYSTEM THINKING

09.Identifying patterns over time: oscillations, delays, and trends

Importance of
patterns in system

recognizing patterns
Patterns as indicators The role of patterns in
aids in problem-
of systemic health forcasting future
solving and strategic
and functionality system behavior
planning

Understanding Oscillations in Systems

1. refer to the regular and repeated movement back and forth around a central point or between two
different systems
2. These are seen as cyclical patterns in variables such a population, economic indicators or energy
levels

Delays in Systems: Understanding the Time Lag

Definition time lag between an action and its observed effect
Types of Delays Decision, processing, feedback, transportation, or communication delays
Causes logistical issues, information processing, external factors
Impacts delays can lead to issues like inefficiency, negative feedback loops, unexpected
outcomes
SIMPLIFIED LECTURE NOTES OF SYSTEM THINKING

Types of delays

Informational Material Procedural

Result from the time taken to

occur when there's a lag in
involve the physical movement complete necessary procedures or
communication or processing the
or transformation of materials steps in process often due to
info
bureaucracy or complex systems

can impact supply chains,

affects decision-making and
manufacturing and delivery
response times
processes

Managing Delays
1. Anticipate and plan for delays
a. Develop contingency plans and buffer zones in project timelines.
b. Conduct risk assessments to identify potential areas of delay and plan accordingly.
2. Improve communication and coordination
a. Enhance communication channels within and across teams or departments.
b. Use collaborative tools and platforms for better coordination and information sharing
3. Streamline processes and coordination
a. Simplify bureaucratic procedures and reduce unnecessary steps.
b. Implement technology solutions for automation and efficiency.
4. monitor and adjust in real-time
a. Regularly monitor project progress and adjust plans as needed.
b. Implement agile methodologies to adapt quickly to changes and delays.
5. Collaborate with stakeholders
a. Engage with all stakeholders, including suppliers, clients, and regulatory bodies, to
understand and address delay causes.
b. Build strong relationships with key stakeholders to facilitate smoother processes.
SIMPLIFIED LECTURE NOTES OF SYSTEM THINKING

Upward indicate an increase

show a decrease
Downward
over time

represent patterns
Cylical
that recur over time

Distinguishing Trends from Fluctuations

Techniques for Differentiating Trends from Fluctuations
Time Frame Analysis:
- Trends typically manifest over longer periods, whereas fluctuations are observed in shorter time
frames.
- Examining data over various time scales can help identify if a movement is a persistent trend or a
temporary fluctuation.
Moving Averages:
- Utilizing moving averages smoothens short-term fluctuations, making it easier to observe
underlying trends.
- A moving average calculates the average of data points over a specific period, which is then
plotted over time to reveal trends.
Regression Analysis:
- Linear regression helps in identifying the overall direction of the data, indicating the presence of a
trend.
- It involves fitting a straight line through the data points, which shows the general direction over
time.
Statistical Significance Testing:
- Conducting tests to determine if observed changes are statistically significant can distinguish
between random fluctuations and genuine trends.
SIMPLIFIED LECTURE NOTES OF SYSTEM THINKING

10.Developing skills in system thinking: Problem-Solving, Decision-Making, Holistic Analysis

Definition
- In a system framework, a problem stems from the complex interplay of various elements that are
often interconnected, each affecting being affected by others
Systems Thinking Approach:
- Importance of looking at the bigger picture and understanding relationships and patterns.
Identifying Problems:
Steps to identify problems in a system:
a. Recognizing patterns, understanding relationships, and considering long-term impacts.
b. To consider both direct and indirect effects of a problem.
Causal Loop Diagrams (CLDs):
- CLDs help identify feedback loops (positive and negative) that contribute to the problem
SIMPLIFIED LECTURE NOTES OF SYSTEM THINKING

Defining Holistic Analysis:

- methodology for understanding systems in their entirety, rather than focusing on individual
components in isolation.
Benefits of a Holistic Approach:
- more sustainable and effective solutions by identifying how components influence one another.
- this approach can prevent 'solution-caused problems,' where a fix in one area may cause issues in
another.
Challenges in Holistic Analysis:
- complexity of performing a holistic analysis, given the numerous and dynamic interactions within
any given system.
- necessity of various tools and frameworks that assist in conducting a holistic analysis, such as
system dynamics modeling and multi-criteria decision analysis.