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What is Systems Thinking?

 , updated on June 24, 2016
Systems thinking is the practice of developing strategies and plans that consider full end-to-end impacts and interactions. It can be contrasted with a strategy developed to reach a single goal or improve a small set of metrics.
The value of systems thinking is that it may avoid unintended impacts by considering the full lifecycle and linkages of a system. It has applications for business, science, government and personal decision making and problem solving.
Systems are often complex. Consider the difficulty in modeling all the interactions that go on in an economy or ecological system. For this reason, systems thinking often results in simple strategies. For example, a circular economy is a well known systems thinking strategy that suggests that industrial economies shouldn't produce any waste that isn't a safe biological nutrient. This removes the risks associated with how thousands of synthetic compounds will impact thousands of organisms in an ecosystem.
Overview: Systems Thinking
TypeBusiness Strategy
Thought Processes
DefinitionA strategy that considers full end-to-end impacts including all interactions and linkages.
ValueAvoiding unintended consequences.
ExampleCircular Economy
Related ConceptsThought Processes
Economics
Business Strategy
Environmental Issues

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Cite »

Circular Economy

A list of techniques for a circular economy.

Machine Efficiency

How to calculate machine efficiency with examples.

Green Logistics

The definition of green logistics with examples.

Capitalism Problems

A list of the primary problems with capitalist economies.

Externality Example

An overview of externalities with examples.

Abundance

The definition of abundance with examples.

Environmental Impact

An overview of environmental impact with examples.

Environmental Issues Examples

A list of environmental issues.

Thought Processes

A list of thinking approaches and types.

Logic

A few logic terms explained.

Cognitive Biases

A list of common cognitive biases explained.

Abstract Ideas

A few dangers of being too abstract.

Objective vs Subjective

The difference between objective and subjective.

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Creative Value

The definition of creative value with examples.

Anecdotal Evidence

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