Systems thinking should be applied to organisation design and management. Systems thinking is an approach to problem-solving that sees complex entities as a series of components with each part interacting with and influencing the rest. The approach can be applied to managing organisations: the various divisions, units and teams – the components – of a large organisation are seen to continually interact with and affect each other. In effect, they behave collectively as a system. The performance of the system is largely determined by the ways in which this system is configured and the elements interact, not simply by the results of individuals’ actions or effort. As such, business leaders need to take a ‘whole-system’ perspective if they’re to maximise organisational performance, instead of just looking at the efforts of each employee.
Read the article: “Why HR leaders needs to be systems thinkers” HR Magazine January 27, 2016