Session 2
Introduction to Systems Thinking
Session Overview
Today’s Outline
System Definition
Activity: Identify a few systems, their elements, and purpose
Concept Maps (visualizing a system)
Activity: Mapping a well-known system
What is a System?
Reflections on Chapter 1 of Meadows
Question posed: What do you think is a system? How do you define it?
Definition of a System
A system is an interconnected set of elements that is coherently organized and has a purpose.
They continually interact over time to form a unified whole.
Examples of Systems
A System from the Natural World
Example: Forest Ecosystem
Elements:
Soils
Soil moisture
Microbes
Fungi
Trees
Bedrock
Groundwater
Animals and insects
These elements are interconnected with a purpose related to ecosystem health and balance.
A System from Economics
Example: Auto Industry
Elements:
Manufacturers
Consumers
Suppliers of inputs to manufacturers (raw materials, parts, energy, labor, machinery)
Government regulators
Shareholders
Advocacy groups and other stakeholders
The elements are connected, and the purpose of this system encompasses economic productivity and consumer satisfaction.
Is a Table a System?
Discussion point raised without a direct answer.
Revisiting the Definition of a System
A system is an interconnected set of elements that are coherently organized and have a purpose.
Elements continually interact over time and are dynamic, meaning they change over time to form a unified whole.
Identifying a System
In-Class Exercise
Form groups of three and identify three examples of systems you are familiar with, identifying the elements and purpose of each.
Important: Do not use the internet for this task. Be prepared to report your findings.
Characteristics of Systems
Systems are More than Elements
A system is about:
How elements are organized
How elements interact with one another
The underlying relationships and connections between components is called the structure of the system.
Determining if It’s a System
Key Questions to Consider
Can you identify the parts?
Do the parts affect one another?
Do the parts change over time?
Do the parts together produce an effect that is different from the effect of each part on its own?
Describing Systems
Importance of Visualization
Visualization is crucial for system analysis and description because:
Verbal narrative can lead to miscommunication regarding complex systems.
The brain often processes visual information faster than words.
Visualization allows us to see the big picture.
Visualizations are often easier to remember.
Visualizing a System
Concept Maps
Concept maps (also known as causal loop diagrams, conceptual diagrams, mind maps, etc.) effectively illustrate:
The elements in the system
The organization of these elements in relation to each other
How elements interact with one another
Constructing a Concept Map
Steps to Create
Write down the name of each element.
Show causal relationships between elements with arrows.
Determine what happens over time to the elements in the system (the purpose of the system).
Note: Everyone's concept map will differ—there's no single correct map, but there can be incorrect mappings.
Types of Relationships in Systems
Two Types of Arrows
Direct Relationship
As the cause increases, the effect increases; or as the cause decreases, the effect decreases, all else being equal.
Inverse Relationship
As the cause increases, the effect decreases; or as the cause decreases, the effect increases, all else being equal.
These relationships can be represented with different colors in visual diagrams.
Unintended Consequences
Example from Economics
Scenario
The economy is at maximum capacity. The government gives cash to households to improve living standards (intended consequence).
Subsequent events:
Demand for products and services increases.
Prices of goods and services rise.
Higher prices lower living standards (unintended consequence).
Mapping Example
Elements mapped:
Government cash transfer to households
Price of goods and services
Demand for goods and services
Living standards
Unintended Consequences Continued
Additional Economics Example
Scenario
Rent control is imposed to make a city attractive to young and low-income people (intended consequence).
Long-term effects:
Landlords cannot afford property maintenance, lowering the quality of rental units.
This diminishes the attractiveness of the city for current and new residents and businesses (unintended consequence).
Mapping Example
Elements mapped:
Imposing Rent Control
Attractiveness of the city to young and low-income people
Rental income for landlords
Landlords’ spending on maintenance
Quality of housing
Personal System Example
Gloom and Alcohol Effects
Scenario
Feeling gloomy can lead to:
Hang-over the next day
Dehydration and other adverse effects of alcohol
Drinking to feel good now
Group Exercise
Work in small groups (approx. 3 people) to consider the unintended consequence you described last class and create a concept map for it. Be prepared to present your findings to the class.
Linear Thinking vs. System Thinking
Traditional Approach
Linear thinking often follows a cause-effect pattern:
Cause → Effect → Cause → Effect → Effect…
Differences in Thinking
Systems Thinking vs. Linear Thinking
Viewing the whole, not just the parts
Judgmental vs. Inclusive approach
Integrating science, social justice, and business/entrepreneurship as holistic, vs. seeing them as separate
Emphasizing continuous learning—understanding the complexity of systems
Perceptions of Systems
Visual and Cognitive Limitations
We typically don’t see systems as wholes.
We tend to recognize the individual parts rather than the organization and interactions.
Our focus is often on immediate events, leading to linear thought, though systems operate in a non-linear fashion.
Preparation for the Next Session
Complete readings from Meadows pp. 17-25, stopping at the section titled "feedbacks".
Review class material to prepare for an in-class quiz to be conducted at the beginning of the next class.