What Is Systems Thinking & How to Apply It?

Systems thinking is a highly practical skill that looks at the parts of larger systems and how they work together, using six core concepts for analysis.

In a world full of complex systems, it's easy to be overwhelmed or miss parts of the system. Systems thinking is a cognitive process that focuses on identifying not only the whole system but also the individual parts to understand the relationships of the parts and how they fit into the whole.

Applying systems thinking can help people in a variety of education and employment settings because it is a conceptual, big-picture way of thinking that is independent of what is being analyzed.

What Is Systems Thinking?

Systems thinking shifts the emphasis of analysis from the system to the parts of the system. Looking at the parts of the whole can establish a better understanding of what is going on and can help with the identification of issues and problem-solving.

The application of systems thinking can help project managers and leaders evaluate everything from degree programs to production facilities. Systems thinking needs to also be applied to help understand the concepts that make up the larger system.

What Are the 6 Concepts of Systems Thinking?

Systems thinking is a system on its own, which involves multiple core concepts that serve as the parts of the whole. To understand the process of systems thinking, you must understand each part of the system.

Interconnectedness

Interconnectedness is the concept of how parts of a system are related. Before you can understand systems theory on a deeper level, you'll need to understand what makes each of the underlying structures of the system connected.

Once the literal connections are established, it becomes easier to analyze more of the abstract connections between parts of the system.

Synthesis

Thinking in systems requires analyzing the parts, but synthesis is the concept that evaluates how the parts make the whole. Interconnectedness establishes what ties parts of a system together, synthesis looks at what they come together to create.

Using an analogy, interconnectedness would be looking at how links of a chain connect, synthesis is looking at the chain.

Emergence

Emergence is the result of factors coming together to create a system. In terms of systems thinking, this is connected to synthesis as it is more focused on the result of parts coming together to make a dynamic system.

Feedback Loops

System dynamics' sustainability depends on the feedback between the different parts of the system. There are two types of feedback loops: balancing and reinforcing.

Balancing feedback loops maintains a stable level as a result of the system's function. A real-world example of this is a heating or cooling system. A temperature is set and the system provides feedback loops to heat or cool to maintain that set temperature, without the need of external interventions.

Reinforcing feedback loops results in a change over time, instead of maintaining a consistent level. Think about expanding a production budget at a company, as production increases sales can increase which can result in the ability to further expand production.

Causality

Causality is simply understanding the role of cause and effect in a dynamic system. Related to interconnectedness, causality helps systems thinkers understand how feedback loops are set up. Sometimes it's not easy to see the difference between the two types of feedback loops, but understanding causality can help a system thinker evaluate what kind of system they are observing.

Systems Mapping

Sometimes visualization is a key component of understanding complex problems. This can take a few different forms including:

  • graphs
  • iceberg models
  • causal loop diagrams
  • connected circles

There are other ways to visualize systems, but these archetypes are some of the most common.

How Does Systems Thinking Differ From Traditional Analysis?

Systems thinking and traditional analysis are both ways to look at patterns of behavior in action, but they take different approaches. Traditional analysis often looks at a whole or the parts but doesn't make the same deep connections between the two that systems thinking does.

Both are valuable components of an informed decision-making process, but the methodology of looking at the parts of an ecosystem as well as how they synthesize the complete system often provides a better understanding than just looking at one of the two.

How Do We Use Systems Thinking Tools?

Systems thinking tools can be used in a variety of ways ranging from education to industry. Any time there is an identifiable system, the tools can be applied to learn more about the parts and the system as a whole.

Understanding parts of the whole and looking at the connections between them can help thinkers make a systems change that can solve problems or just improve overall quality.

Why Is It Important To Be a Systems Thinker?

The entire world is made of systems. It's important to be a systems thinker because it will give you a better understanding of individual parts and larger systems as a whole. Without knowledge of the individual points of a systems model, opportunities for change and improvement can be missed.

People who can use systems thinking will be valuable in any industry because the skillset is universal. Problem-solving at a systems level can't happen without using the 6 concepts of systems thinking to evaluate every part of the system as well as the system itself.

Practical Applications of Systems Thinking

There are multiple applications for systems thinking that can be used for education and business, some of the most practical ones include:

  • analyzing a production line
  • reviewing a curriculum for a degree program
  • analyzing shipping routes and systems
  • updating computer systems or other technological processes
  • updating pricing
  • analyzing sales systems