Systems Thinking Handout

What is a Model?
A model is a simplified representation of a system
over some time period or spatial extent intended to
promote understanding of the real system.

Why Build a Model?

Building models helps us understand the problem
(and its surrounding system) we are investigating
solutions for. Computer software assists in
organizing information about our system, and, more
importantly, forces us to identify interrelationships
between various components of the system.

One goal for a collaborative model building process

is to generate a model focused on the
interrelationships between geographic, economic,
political, and social components of the local system.

How Do I Make the Right

Model?
Whether a model is right or wrong is a matter of
judgement. While no model can be absolutely
correct, all models can be helpful. The extent to
which a model aids in the development of our
understanding is the basis for deciding how good
the model is.

In developing models there is always a trade off

between over and under simplifying the complexity
of the system. As a model is always a simplification
of reality, certain details are excluded. The question
is what level of detail to include and what to
exclude. If relevant components are excluded, we
risk making the model too simplistic, which will not
develop the understanding desired. Likewise, if we
include too much detail the model becomes too
complicated to develop a deeper understanding of
the problem or its solution.

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 Systems Thinking Handout

“All models are

What are the Components of a
wrong… but
Model?
some models are A model has three main components that you
useful!” should be familiar with for the purposes of these
workshops.
• STOCK: a stock is a population of something – it
is best explained using a “reservoir” or a
How do we Start “bathtub” metaphor, because we can easily
Building Models? visualize it accumulating something (e.g. water,
people, interest, etc.).
Model building is a visual • FLOWS: flows inform the stock (to say it in a
process that starts with drawing fancy way: they “update the magnitudes of
diagrams, or “model maps.” stocks”). Flows fluctuate and without flows a
Model maps are abstract system would be remain static. Some examples
sketches that visually depict of flows include: eroding, being born, delivering,
interconnections of a system’s dying, producing, in-migrating, discharging,
components. Modelers often draining – notice the “-ing” on the end – this
call this “qualitative” modeling. indicates action.
After the qualitative model is • CONVERTERS: converters inform the flows,
drawn, a quantitative model they indicate the “drivers” of the activity
can be created using special represented by the flow.
computer software.

How Do I Decide What’s a

Stock, Flow, or Converter?
We came up with three questions that have been
MODELING TIPS helpful for us when beginning to model a complex
system.
STOCKS are NOUNS because
First: If we were to tell a story about this
they represent a collection of
problem/situation/system, what would be the central
physical or non-physical
component? Your answer should be a noun of
components to the system (i.e.
some sort, thus, the main component becomes a
persons, places, things, or
STOCK.
ideas).
Second: What specific actions influence the main
FLOWS are VERBS because
component of the story? Your answer may be
they represent the actions
multiple verbs, these become the FLOWS in the
necessary to keep the stock
model. Flows represent action.
from being stagnant or static.
Third: What issues drive or inhibit the actions? Your
CONVERTERS are ADVERBS
answer will be a modifier, an adverb; which is a
because they modify the flows.
CONVERTER in the STELLA™ language.
Converters influence the actions being represented
by flows in the model.

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 Systems Thinking Handout

What is a System?
A system is an entity that maintains its existence
through the mutual interaction of its parts. A
system exists and operates in time and space. The
key part of this definition is “interaction.” A system
is much more than a “heap” or a “lump” of parts; the
interactions–not the parts—are responsible for the
characteristics of the system.
This definition of system implies something beyond
cause and effect. Rather than simply “A” affects
“B”; “B” also affects “A”. Examples of systems
include: particle, atom, molecule, cell, organ,
person, community, nation, world, solar system,
galaxy, and universe -- in increasing levels of
complexity. Some argue that there is only one
system -- the “Universe” -- and all other systems
are sub-systems of this larger system. The relevant
question is where one chooses to draw the system
boundaries.

What is “Systems Thinking”?

Systems-thinking is seeing beyond what initially
appears to be a set of isolated and independent
incidents to identify the system of interactions. This
type of thinking encourages us to recognize
connections between events to better understand
and influence them.

Systems Thinking as a
Mindset...
Systems thinking is a mindset to understand how
things work. It is a perspective to go beyond events
and look for patterns of behavior, seeking the
underlying systemic relationships responsible for
resulting events. Systems thinking requires
adopting a “world-view” which examines the
interrelationships among multiple elements.

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 Systems Thinking Handout

Why Not Use the

When Should we use a
Traditional Scientific Systems Thinking Approach?
Method? Examples where systems thinking has proven its
value include:
Decartes and Bacon provided
us with a precise recipe for • Complex problems involving multiple actors see
understanding the world -- the the “big picture” and not just their individual part.
scientific method. Later • Recurring problems, which are often made
Newton, with the discovery of worse through past attempts to fix them.
the laws of motion and gravity,
• Issues where an action affects (and is affected
provided us with a clockwork
by) the environment surrounding the issue.
paradigm for understanding the
These can include both the natural environment
universe. These paradigms
or the competing social and economic
are not wrong, but incomplete.
environments.
The Newtonian paradigm is
based on linear cause and • Problems whose solutions are not obvious.
effect relationships. The Many of the important problems plaguing us today
difficulty with linear cause and are scientifically complex and involve multiple
effect understandings is that stakeholders. Dealing with such problems is
they only provide a short-term notoriously difficult; sometimes a solution is
perspective for understanding reached, but only after extensive compromising.
how things really work.
Such solutions may discourage the prospects of
When we go beyond the linear effectively addressing the problem. The benefit of
cause and effect paradigm to systems thinking lies in its ability to effectively deal
study patterns of behavior and with these types of problems and raise our thinking
the systemic interrelationships to a level that develops collaborative, creative
among the parts of the system options for complex problems.
we develop a deeper
understanding of the nature of
the way things operate in time
and space. Where Did These Ideas Come
This understanding allows to
work with the system instead of
From?
against it, trying to manipulate Systems thinking, as a formal method, has its
it as in traditional scientific foundation in the field of system dynamics, founded
approaches to problem solving. in 1956 by MIT professor Jay Forrester. Professor
A systems thinking perspective Forrester recognized the need for a better way of
allows for the development of testing new ideas about social systems, in the same
interventions to create lasting way we can test ideas in engineering. Typically
change within the system. engineers build models to test new ideas; the same
can be done in the world of systems thinking.