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LeadershipManagementStrategy

Systems Thinking: Seeing the Forest and the Trees Simultaneously

McKinsey & CompanyMcKinsey & Company14 min readJanuary 1, 2023
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Summary

Most problems in organizations are systemic, yet most solutions address symptoms. Systems thinking — understanding how interconnected parts create complex behaviors — is the antidote to symptomatic problem-solving. This article introduces the key concepts from Peter Senge's The Fifth Discipline and Donella Meadows' Thinking in Systems: feedback loops, delays, stocks and flows, leverage points, and system archetypes (fixes that fail, shifting the burden, tragedy of the commons). For each concept, it provides business examples and exercises for developing systems thinking as a daily practice.

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