How can you use systems thinking to identify the factors that contribute to a problem?

A change in one element can reverberate through the entire system. Interconnectedness is the essence of systems. While each component has its function, it's the collective behavior that dictates the overall outcome.

I think of a system as smaller components/efforts moving in unison towards achieving a collective goal, be it within a community and/or organization. It usually is messy in its initial state, but through multiple improvements, a system will eventually improve continuously and take shape within its different collaborative groups.

Sometimes, what seems like an obvious direct fix to an issue actually makes the matter worse. Negative feedback loop are often hidden, and uncovering them helps understand unexpected consequences of an action. For example, decreasing customer-facing headcount or services may save costs initially, but it may also trigger a decline in customer satisfaction and thus in your market share and revenue, leading to the need to cut more costs. Such examples also abound in public policy, where negative feedback loops are everywhere and solutions are rarely obvious.

Systems can also be affected by external influences. Just as one component change within the system can reverberate through it, an external shift in ecosystems, business, or social landscapes can upend the components’ symbiosis. Understanding the system itself is pivotal to managing and mitigating external risk. Providing not only deep system interrelationship knowledge, any system should dedicate strategic resources as safeguards to understanding what could threaten the system from the outside, as well from the inside.

Systems thinking is a problem-solving approach that involves understanding the interconnected elements within a system. To identify factors contributing to a problem using this method, start by defining the problem and delineating the system's boundaries. Create a visual system map to represent components and their relationships, while identifying feedback loops. Collect comprehensive data and information, and analyze interconnections between elements. Pinpoint key variables with high leverage on the problem, consider time delays, challenge mental models, and perform scenario analysis. Engage stakeholders and iterate through this process to uncover the root causes and develop effective, holistic solutions.

Opportunities don't exist in isolation and need coordinated efforts by cross-functional teams to address. A systems thinking approach helps understand the full nature of opportunities and how they exist in a broader organisational or market context. Understanding the interrelatedness of organisational functions can help design more valuable customer solutions. That new product feature needs a revised marketing and segmentation approach, driving higher volumes into digital channels needing more technology and fulfilment capacity. It's no longer just a new product feature! Bringing people together from different disciplines drives new innovations by leveraging the intersection of their capabilities and experiences in a collaborative manner.

Systems thinking allows for a comprehensive approach to problem-solving by considering the interconnectedness of various components within a system. It not only helps in identifying the root causes of issues but also in anticipating future challenges. By understanding the broader context and relationships among elements, you can develop more resilient and adaptive solutions. Additionally, systems thinking is transferable across different fields, making it a versatile skill for tackling complex problems. Overall, it offers a structured yet flexible methodology that is increasingly essential in today’s interconnected world.

It is important to take into account multiple perspectives towards approaching any situation. This is the core value of systems thinking that allows systematic approach to be carried out in order to minimize risks and errors in judgement.

In my view, logical thinking and systems thinking complement each other. We often tend to observe things with our snapshot perspective. However, everything is interconnected and constantly changing globally. This is why we should sometimes view things from a systemic perspective, not just as a snapshot.

These explanations of why systems thinking is beneficial are good. What’s not so obvious perhaps is the benefit that a systems thinking approach can have in the context of a group or team. The simple technique of visualizing system dynamics in the form of cause-and-effect diagrams with positive/negative feedback loops can reveal how different individuals view the world and their beliefs. Quite often people’s mental models are not in sync, which may explain and help pinpoint the root of disagreements. A systems thinking approach allows you to clarify and communicate your beliefs and assumptions with others. Through experimentation and learning you can gradually harmonize and develop your shared mental models and improve decision-making.

The use of the iceberg model is a good tool to understand underlying patterns, structures and mental models. Mental models are the deepest part of the iceberg because it relates to beliefs and values that people hold about the system. It is these beliefs and values that potentially keep a system in place. If we are seeking to leverage transformative change in a system, then understanding the mental models is essential. Otherwise, any attempt to positively change a system may only revert back to its original state later without buy-in of those operating within the system.

Systems thinking can be applied to address issues like declining company productivity. Rather than just blaming employees, it looks at various elements: work processes, management practices, and employee engagement. By understanding how these components interact, organizations can find root causes and develop strategies to boost productivity effectively.

Tools and processes can also be seen as systems and system thinking can be applied successfully, bringing great benefits and efficiency into creating or managing them. If you're just picking up a process in the scope of managing it, always seek its map or the task level description documentation and start by using them to simulate going through it. Be sure to maintain them going forward. If these are missing, start with their creation along with gaining knowledge into it. If you're the one developing a process, always add and maintain a map with a clear and detailed description of its elements. It will not only help the next person to manage it, but often yourself once new elements come into the picture and its complexity increases.

Observation power is one of the foundational abilities for systems thinking. Often observing a system up close focusing on its individual parts and interactions can provide valuable insights into how the system operates. Other times taking a step back to view the system as a whole helps in understanding its overall behavior and patterns. The key in systems thinking is to adopt multiple perspectives and observation approaches -whether from a distance to grasp the big picture or up close to understand specific interactions-to gain a comprehensive understanding of how the system functions and evolves. A high level of observation power enhances ones capacity to discern and decipher the interdependencies and causal relationships within a system.

The biggest principle to keep in mind is that an optimized local decision may not be optimal for the system as a whole. The causal diagrams and feedback loops should faithfully reproduce the overall systems, with boundary conditions that reflect exogenous, environmental factors that may modulate the relationships identified above. Simulations and gaming would then allow for verifying whether localized optimization is in alignment with the system goal, as well as diagnosing undesirable outcomes anywhere within the system for remediation.

It's like upgrading from a 2D map to a 3D model. While both can guide you, the 3D model gives depth, showing mountains, valleys, and terrain undulations. Similarly, systems thinking provides depth to your understanding, allowing you to navigate challenges more adeptly.

Drawing from my experience in financial roles, I can confidently highlight the significant advantages of systems thinking. This approach empowers professionals to see the bigger picture in complex financial scenarios. It's akin to having a weather radar in a constantly changing climate. Systems thinking allows you to anticipate financial storms, chart a course through turbulent waters, and ultimately reach your desired financial destination with confidence.

I always like to point to the big time earth shaking changes derived from the micro to explain the macro, and in turn point to the macro as the clues that box in clarification of the pathways processes stemming from the micro. We learn with economics the undisputed dictum that the individual and their tradeoffs that impact decisions motivations efforts and potentiations, maps to macro observed global transformation. Likewise, analogous systems analysis one and of the same -objectives to optimize kpis/okrs - objectives agreed and aligned to with corporate strategy. So its more of a forward and reverse analyses boxing in clarity - as - process is transformative as steps taken by someone somewhere... are taken by billions everywhere

Rarely is a business completely broken. There are sometimes a few key areas that need to be remedied and a system approach helps you find the issues.

Systems demand accountability & organization; the system demands and the individual must respond. A delayed response, or no response at all, is indicative of a failure. A well balanced system indicates the issue immediately & can lead to quicker resolution. When systems thinking is well employed, we become predictive, anticipating trends & analyzing relationships. A written plan can be identified, assigned and audited for completion & effectiveness, bringing model into practice. As predictive statements solidify into reality, workforce morale and enthusiasm swells, providing value and inspiration for work performed, leading to more efficient and happier workforces. When I know what I must do, I don't fret over alternatives, I simply do.

Identify Root Causes, dig deeper to identify the underlying or root causes of the problem. These may not always be obvious and require a deeper understanding of the system's dynamics. therefore; the root cause can take time to identify and resources; however; it all depends on the person digging deeper into it and the tools used and why.

Systems require valid inputs. Procuring repeatable data sets requires detail. Detail requires attention. Attention requires you set your mobile device down and do the task at hand, without being distracted by it again 33 seconds from now. Managers can render a system effective or ineffective, based on their knowledge, skills and abilities. Many distracted managers, having obtained their current position, in a complex role, less than a year prior, are likely overwhelmed and incapacitated unless they are given directives and confirmations, through systems thinking. Holding these individuals accountable requires a plan and objectives. Systems thinking allows management to set logical, attainable and practical goals.

Challenges of system thing are many: 1.Can be time consuming. 2. Other people may not appreciate the long process it takes. 3. Requires playing various scenarios which other people may not want to hear! 4. May be too involving

Challenges also include the inevitable overwhelm that we will all hit at points in our systems thinking journeys, and the paralysis that can ensue. The important thing to remember is that there is no wrong way to start other than just not starting itself. Test and learn, test and learn and test and learn.

Embracing systems thinking is a commitment to understanding the deeper, interconnected nature of challenges, and while it might seem time-consuming, it often leads to more robust, enduring solutions. Consider it an investment in creating lasting positive change.

People tend to frame problems and seek solutions based on their own experiences. This can lead to solution-seeking from a narrow viewpoint (e.g., "Stay in your lane"). A dissenting voice can provide a valuable perspective. Innovation is often achieved by applying knowledge and expertise from multiple disciplines. As an example, Henry Ford's groundbreaking assembly line was based on continuous-flow processes used in other industries.

System thinking is a holistic approach that considers the interrelationships and interactions among the components of a problem. However, with the rise of AI, problems can be solved faster and more efficient, as AI can process large amounts of data, learn from patterns, and generate solutions. Nevertheless, AI cannot replace system thinking, as it still requires human guidance, creativity, and ethics to ensure the validity and appropriateness of the solutions.

Systems thinking can help in identifying hidden assumptions and mental models that may be contributing to the problem. These assumptions and mental models can be embedded in our culture, our organizations, and even our own minds. By identifying and questioning these assumptions, we can open up new possibilities for solving the problem. Systems thinking can help in looking at the problem from multiple perspectives. This can be helpful in identifying root causes that may not be obvious from a single perspective. For example, a problem with customer satisfaction may be caused by a number of factors, including product quality, customer service, and pricing. By considering all of these factors, we can develop a more comprehensive solution.

If you want to use systim thinking, in my experiences, Firstly is not define the problem & the system boundary, because we can not define the problem & the system boundary if we do not do the Firstly : Early Detect of TTOPMo & TTOPMi.....before Define the problem & the system boundary. I am sorry, I do not have time to explain this short time now....