Logic and Systems Thinking

One of the pillars of effective leadership is the application of logic and the understanding of systems thinking (ST). We believe that effective leaders see their organizations as adaptive systems, and that an understanding of ST is fundamental to organizational improvement, survival, and success.

Systems theory, systems thinking, and systems science originate from Ludwig von Bertalanffy (pictured above) who described General System Theory (GST), with additional contributions from Talcott Parsons, Niklas Luhmann, Ervin Laszlo, Peter Senge, and others.

Systems thinking (ST) is the understanding of how entities influence one another within a whole. The essence of systems thinking is that all components of a defined system, such as an organization, are interrelated, interdependent, and interconnected. The behavior of one affects others, and each is affected in some way by other components of the system. They are connected by interactions, often defined and described as processes, functions, or communication.

There is synergy in these interactions, such that the oft-said phrase is normally true: "The whole is greater than the sum of its parts." That is to say, the entire system performs in ways and at a level of effectiveness and efficiency that is related to the interdependent and collective behaviors of its components.

Therefore, ST strives to understand a system by examining the linkages, interconnections, interdependencies, and interactions between and among the elements that compose the entire system.

ST provides the basis for an approach to problem-solving, that views problems as parts of an overall system, rather than being either autonomous or reacting individually and/or linearly to other specific parts, outcomes, or events. ST recognizes that an improvement (optimization) in one area of a system can adversely affect another area of the system (sub-optimizing the entire system).

ST enables leaders to understand many of the influential factors in their organizations are cyclical, multi-factorial, and non-linear rather than linear cause-and-effect relationships, often with unintended or unpredictable consequences.

ST promotes the idea that, within the organizational system and external to it, components and organizations often interact in various feedback mechanisms, which lead to adaptation, learning, and constant adjustment. Recognition of these feedback mechanisms and the nature of learning and adaptation are essential to survival and success.

Finally, ST promotes organizational communication at all levels in order to avoid the silo effect—the tendency for one function or department to work strictly up and down its own structure, without interaction at working levels with other functions and departments, resulting in a lack of communication and common goals between departments in the organization.