System is a structured set of things that are interconnected with each other.

And have the same

goal that’s aiming

Thinking is a process of reasoning, perceiving to produce thought.

System thinking, according to you sir is an alternative to business logic. And logic enable us to
make optimum choice that is objective, rational and based from factual information. Therefore,
system thinking allows us to think logically in a way of free from our own biases and formulate
an objective response.

Simple system fosuses in single path. Simple by means that it is a system where there are few
components and their behavior is understandable or predictable. For example sir, in marking up
the cost of a product for selling price we use 30% gross margin. It means that all throughout our
sales are marked by 30% of the cost. And the next operating period, markup will be the same.

Complex system, on the other hand, have many components and tend to have a dynamic
behavior. For instance sir, a sudden change in the policy of standardization. All accounts will be
affected and thus, income and other statement of financial position will be modified and change.

Systems are formed due by several reasons but mainly it is created for the goal it wants to
achieved. For instance, a government institution is created to govern the nation and practice
equality and equity over its constituents/people.

Generally, there are many factors, instances and elements to consider as the whole systems are
interrelated to each other. I think whatever it is, it needs to address/consider all that will be
affected to it as it may open opportunity or cause of befall of the system.

System thinking in the system is basically the thinking by the system. If you know how a system
operates you can organize your thoughts collaborately to the conflict itself between and within
the system.
○Understandinhg the rules of a system is power.
-Busineds itself is a system where rules and standards governs at it is the scope,. Boundaries and
the degree of freedom

Explanation: Business itself is a system. It comprises policies, processes, practices, people and
other entities that is interrelated with each other. Having a clear understanding among these
elements is crucial for the overall success of a system.

○Ad-hoc applications
-Businesses will oftentimes tumble in a spontaneous dilemma that demands ad-hoc applications
for solution.
Explanation: Businesses, oftentimes, will suffer system failures rooted from several actions such
as due to negligence of the management, or the flawed execution of the original plan and the
likes. Knowing how the system operates, you can mapped out a plan collaborately to whatever
shortcomings between or within the system.

○It can use as an upper-hand or at least anticipate it’s severity

-Thinking by the systems allows you to virtually envision the problems and acknowledge your
current state/reality. Thereby giving you the ability to solve problems effectively and even
innovate contingency planning.
Explanation: Understanding and anticipating how the whole systems work can use to be prepared
and strategize how one can come up for possible solutions. Applying thinking systems can unfolds
leverage point that will be helpful to turn events around.

For example the appropriation of inventory stored in the warehouse of a business. Knowing how
the system operates in a daily basis, you can estimate how many supplies and raw materials
needed in every batch it created. Thereby, you can store not high or low amount of it without
compromising the operation nor adding additional costs for over supplies ordered.

For example Technological advancement, we all know that the technology is rapidly changing and
we must agile enough to embrace them, otherwise we well left behind.
I think the whole message that Donella wants to convey is that systems are everywhere. And
consciously/unconsciously, we are surrounded by them. Moreover, each of it are different from
one another. And their complexity is enormous. And the book tells us hot how to predict what
events will unfolds rather to explore a series of events if one factor unfolds. Thinking system is a
book that explains how the system run and thinking by the system emphasize to see the
interconnection of elements and understand their parts.