Need business and finance help to identify at least five principles of some systems

Business & Finance
Tutor: None Selected Time limit: 1 Day

 Businesses try to create systems that deliver goods or services to customers as efficiently as possible. This often involves multiple steps and systems that hopefully work together to accomplish that goal. Explain the systems perspective, and identify at least five principles of systems thinking that can improve your skills as a manager.

Dec 13th, 2015

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Taking into account all of the behaviors of a system as a whole in the context of its environment is the systems perspective. While the concept of system itself is a more general notion that indicates separation of part of the universe from the rest, the idea of a systems perspective is to use a non-reductionist approach to the task of describing the properties of the system itself.

In the systems perspective, once one has identified the system as a separate part of the universe, one is not allowed to progressively decompose the system into isolated parts. Instead, one is obligated to describe the system as a whole. If one uses separation into parts, as part of the description of the system properties, this is only part of a complete description of the behavior of the whole, which must include a description of the relationships between these parts and any additional information needed to describe the behavior of the entire system.

Further, in a systems perspective one should be careful about considering the system in the context of the environment and not as an isolated entity. Thus one should include the interactions and relationships between the system and the environment.

Five basic principles:

1. Systems thinking is a management discipline that concerns an understanding of a system by examining the linkages and interactions between the components that comprise the entirety of that defined system.

2. The whole system is a systems thinking view of the complete organisation in relation to its environment. It provides a means of understanding, analyzing and talking about the design and construction of the organisation as an integrated, complex composition of many interconnected systems (human and non-human) that need to work together for the whole to function successfully.

3. Systems may be thought about as having clear external boundaries (closed) or having links with their environment (open). An open systems perspective is the more common and realistic.

4. The leadership challenge is accentuated by the realisation that for every legitimate, official or consciously designed system (which is intended to be and is supposedly rational) there is a shadow system. The shadow system is where all the non-rational issues reside; e.g. politics, trust, hopes, ambitions, greed, favours, power struggles, etc. 

5. The system can confuse, overpower, block, and fail leadership. But leadership can fail the system. A major failure of leadership within, across or down an organisation is referred to as ‘systemic’. 

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Dec 13th, 2015

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