Accelerating economic, technological, social, and environmental change challenge managers and policy makers to learn at increasing rates, while at the same time the complexity of the systems in which we live is growing. Many of the problems we now face arise as unanticipated side effects of our own past actions. All too often the policies we implement to solve important problems fail, make the problem worse, or create new problems.
Effective decision making and learning in a world of growing dynamic complexity requires us to become systems thinkers–to expand the boundaries of our mental models and develop tools to understand how the structure of complex systems creates their behavior.
This book introduces you to system dynamics modeling for the analysis of policy and strategy, with a focus on business and public policy applications. System dynamics is a perspective and set of conceptual tools that enable us to understand the structure and dynamics of complex systems. System dynamics is also a rigorous modeling method that enables us to build formal computer simulations of complex systems and use them to design more effective policies and organizations. Together, these tools allow us to create management flight simulators–microworlds where space and time can be compressed and slowed so we can experience the long-term side effects of decisions, speed learning, develop our understanding of complex systems, and design structures and strategies for greater success.