How to Apply System Thinking to Your Business – Chris Porteous, business.com

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How to Apply System Thinking to Your Business – business.com

How You Can Apply System Thinking to Your Business

Chris Porteous

Chris PorteousCo-founder and CEO at Framestrbusiness.com MemberJan 11, 2021

What is system thinking, and how can it be applied to a wide range of businesses and industries without impacting their efficacy?

System thinking seems like a new buzzword in the world of business, but it’s actually complex. Companies can be considered from an abstract perspective. Each of its departments, inputs, outputs and processes can be compared, in analog, to systems. If you attempt to do this, we realize that the generalization can offer us deep insights.

System thinking is, at its core, a method of conceptualization. It’s not how we, as humans, typically see things. If we are involved in using it to aid our understanding of business processes, we must first grasp what it is and how it can be applied. This article delves into what system thinking is and how it can be used to benefit a wide range of businesses and industries.

How do you define system thinking?

Depending on whom you pose this question to, the answers will be distinctly different. Biologists view system thinking as to how colonies of organisms arrange themselves to perform tasks that are most beneficial to their ecological niche. Southern New Hampshire University defines system thinking as a way of exploring factors and events holistically that may lead to an outcome. From a business perspective, this seems vaguer than it has to be, but it can be briefly applied.

Businesses are involved in exploring behaviors. Whatever outcome you want from this behavior (a click, for a user to buy, etc.) comprises the outcomes. To fully access this outcome, we must first understand what the user goes through that leads them to that conclusion. These are the factors and events that lead to the click or closing of the sale. In this perspective, a business can figure out how to achieve a goal, given the inputs that make it up. However, these inputs are variable, and there’s no telling what they will be. The interaction of these factors and events is what gives rise to the system that we’re exploring. So, how does a company apply system thinking to its business?

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How to Apply System Thinking to Your Business – business.com