Online Learning
CLICK HERE TO ORDER YOUR ASSIGNMENT

System Thinking as an Important Component in Any Business Organization

System thinking is an important component in any business organization as it gives a clear outline of how problems should be solved in an easier that will most likely cause less impact to other parts of the system. Apple Inc. Corporation in recent years has been successful since they put emphasis on key factors such as strategic thinking. Strategies help them predict the market trends of the future, therefore, they can adjust accordingly to fit and run without problems. Systems thinking is also used unsparingly as is ensures multiple benefits due to the reduction of taking uncertain risks and decisions. The methodology used is observation and different literature mix. The paper will also describe how different parts of a system come together to achieve a specific organizational goal. System thinking is an important component in any business organization as it gives a clear outline of how problems should be solved in an easier that will most likely cause less impact to other parts of the system. Apple Inc. Corporation in recent years has been successful since they put emphasis on key factors such as strategic thinking. Strategies help them predict the market trends of the future, therefore, they can adjust accordingly to fit and run without problems. Systems thinking is also used unsparingly as is ensures multiple benefits due to the reduction of taking uncertain risks and decisions. The methodology used is observation and different literature mix. The paper will also describe how different parts of a system come together to achieve a specific organizational goal. The traditional approach to strategy Traditional thinkers about strategy concentrated more on the environment since the wider it was the broader the organization’s ability. The organization was viewed as an agent whose operations were conducted in a complex environment. The strategist was required to acknowledge complexities and reduce uncertainties. The prediction of outcomes was vital since it helped the organization strategize accordingly. Comprehension of the environment was important so as to know what is to be upheld in the future. Thinking categorized the environment according to political factors, technological factors, and economic factors. Pictures were presented on how the future would possibly look like. From such predictions, strategists were to mention certain possible impacts that may negatively impact the organization. With a good strategy, the organization will be able to keep afloat in the changing market trends. However, it was not certain that the future could be accurately foreseen. Recent ideas are very different from the traditional ones. Organizations have improved in determining the change in the environment. Influential companies influence the market trends and those companies that wait to see how things will turn out risk a great loss that might be hard to recover from. Nowadays, the strategy is influenced by technology. According to Porter and Michael, (2001, p.66), technology provides an easy way to access suppliers and as a result, the buyer’s bargaining power is significantly lowered. Strategic thinking traditionally, the strategy was laid down in different episodes, either occurrence of cycles or previous crises, and was mainly conducted by experts among the staffs or a hired consultant. Therefore, the tendency of strategizing is monopolized and mainly focuses on analysis rather than synthesis. Consequently, the management fails to acquire the opportunity to be competent strategic thinkers. As time went by, the dynamic and complexity of strategy increased. Strategy effectiveness solely depends on its flexibility in the adaptation of the future, rather than what it contains. The management risk employing previous strategies, even if they failed, once they ignore the perspective of dynamic. A newly formulated strategy has to be weighed and well-balanced with the company’s financial status to make its implementation realistic, thus possible. According to Whittington (2007, p.1578), managers should take charge during the making of a strategy since their failure results in the failure of the entire organization. Jarzabkowski, (2004, p.534) added that problems arise in strategic management from the repetition of practices. Strategic thinking serves many purposes. It aids in the establishment of a coherent strategy that can be used to dictate directions that a businessshould take and how to utilize its resources.

System Thinking as an Important Component in Any Business Organization