Use Of System Dynamics Research Articles

System Dynamics for Local Supply Chain Management: A Literature Review

Nowadays, logistics activities are growing annually by 4.4%, reaching annual valuations of up to 10 billion dollars. This area is key for manufacturing companies and commerce in general, which is why the central question arises in this area of knowledge about how to approach proposals or improvement actions in a sustainable way. On the other hand, technological tools such as simulation are an important element to evaluate sustainability alternatives and operational strategies due to their flexibility and high scope. This article addresses a systematic literature review about the use of system dynamics within the management of current supply chains, covering 144 articles in databases such as Scopus and ScienceDirect, for the period between 2000 and 2022 to generate an overview for new sustainability proposals in México.

Dynamics of circular business development: The case of social clothing recycle

AbstractNowadays, scholars and policymakers see circular economy (CE) as a relevant paradigm to pursue sustainability. Despite the mushrooming literature on CE, management studies lack in describing CE implementation features at a firm level and the driving forces for circular conversion. This paper thus seeks to investigate the key dynamics occurring in native circular firms to support hypotheses generation on the development and diffusion of circular business models. For this purpose, two representative case studies in the social clothing sector have been performed with a qualitative and participative approach, making use of system dynamics (SD) tools. Cases' narrative and embedded SD causal structures depict the organization's business, environmental, social and educational features. The model illustrates self‐reinforcing dynamics of circular consumptions and sales, organizational capacity building and consumer conversion to circularity. Composite learning mechanisms and educational initiatives catalyse the commercial business and disclose a role for circular companies in the affirmation of CE as an alternative paradigm to the linear economy. Furthermore, case‐based inductive understanding is discussed through a typological matrix that contains a classification of CE businesses. Overall, the paper attempts to contribute to the management field by describing the development dynamics of CE business models. The case studies, faced with an SD approach, provide insights on implementation mechanisms of CE at a company level and are the basis of new hypotheses generation on circular development and conversion.

System dynamics applied in enterprise engineering – a systematic literature review

Purpose This study aims to investigate the combined use of System Dynamics (SD) applications in Enterprise Engineering (EE) research and practice. SD application in EE is becoming widely accepted as a tool to support decision-making processes and for capturing relationships within enterprises. Design/methodology/approach A systematic literature review (SLR) is conducted using a standard SLR method to provide a comprehensive review of existing literature. The search was conducted on ten platforms identifying 30 publications which were analysed through the use and development of a codebook. Findings The SLR showed that 90% of the result set consisted of peer-reviewed academic conferences and journal papers. The SLR identified a highly dispersed author set of 83 authors. Amongst these authors, Vinay Kulkarni was an active author who has co-authored up to four publications in this research area. The analysis further revealed that the combined use of SD applications and EE is an emerging research area that still needs to develop in maturity. While all phases of EE have received attention, the current research work is more focused on the design phase. The important gap between model development and implementation is identified. Originality/value The study elucidates the existing status of interdisciplinary research combining techniques from the SD and EE disciplines, suggesting future research topics that combine the strengths of these existing disciplines.

A System Dynamics Approach to Feedback Processes in Project Scheduling

Projects, as catalysts for proactive transformation, offer a temporary and adaptable framework that effectively handles complexities (or uncertainties) within a competitive corporate landscape. Hence, the use of an effective project management framework, such as Dynamic Project Scheduling (DPS), is a method to handle intricacies in order to accomplish organizational objectives. DPS refers to a triangle interaction involving baseline scheduling, schedule risk analysis, and project control while supporting schedule adjustment in response to changes and uncertainties. However, there is a lack of information regarding studies that have investigated the feedback mechanisms among DPS components. This study was designed to examine the counterintuitive relationships between these components using system dynamics. The quantities within the DPS system were identified and defined. A casual loop diagram was used to illustrate the interactions among these quantities. Subsequently, a Stock and Flow Diagram (SFD) was created to identify the inputs, states, and flow mechanisms within the DPS. Using the SFD, a system dynamics expression was generated which was then employed to compute the rate of change of the Budgeted Cost of Work Remaining (BCWR) for two projects at different time intervals. The results properly indicated the period of idleness during project execution. The use of BCWR rather than schedule variance provides a more effective visual representation for evaluating performance and tracking progress. The BCWR and planned value exhibit contrasting trends, highlighting the importance of earned value quantities in project control. The use of system dynamics in project management can enhance the planning and scheduling phase, allow project managers to monitor pertinent performance measures, and optimize project outcomes through informed decisions.

Critical Thinking Skills Enhancement through System Dynamics-Based Games: Insights from the Project Management Board Game Project

This study aims to explore and discuss the role of systems thinking and system dynamics-assisted games in enhancing critical thinking skills in learners. In more detail, the study relies on the use of a system dynamics-based interactive learning environment related to project management issues, followed by systems thinking-supported debriefing sessions. The interactive learning environment was developed and used in the form of a single-player, online, computer-based game. The game was designed to mimic all the necessary planning and operational activities needed to organize a wedding ceremony. The acquisition of critical thinking skills in learners was evaluated in three main ways: (1) players’ performances were analyzed through a scoring system embedded in the game that considers several performance dimensions; (2) feedback from the players was collected and analyzed by using basic content analysis; (3) players’ performances were analyzed using five main categories of structures that are typical of project management domains, i.e., project features, the rework cycle, project control, ripple effects, and knock-on effects. The findings show that the joint use of system dynamics and systems thinking tools and principles within a gaming environment has the potential to facilitate and enhance the acquisition of critical thinking skills in learners and may also provide valid support for educators and practitioners interested in the enhancement of project management skills.

Opportunities for system dynamics research in operations management for public policy

Operations management (OM) in the public policy context is extremely complex with many mutually interacting factors characterized by feedback loops, delays and nonlinearities, as well as multiple stakeholders pursuing divergent objectives. Prior researchers have called for a systems approach in these contexts, arguing that standard OM methodologies such as mathematical programming, and queuing theory often cannot fully address these problems. Researchers have employed one such systems approach, system dynamics, successfully for decades for studying OM problems in public policy because it can address such complexity and can also integrate disciplines from outside OM such as political science, epidemiology, ecology, etc. In this paper, we create a roadmap for researchers—both those who are familiar with systems dynamics and those who are not—for the expanded use of system dynamics studying public policy‐related OM problems. We review and organize relevant system dynamics literature in both traditional operations management venues as well as public policy venues unfamiliar to OM audiences. We then identify a set of interesting open questions and potential system dynamics building blocks for answering them by topic. Leveraging this review, we describe under what conditions system dynamics is most appropriate. We then identify several overarching methodological and domain gaps for future research. Finally, we build on previous work to extend a process for using system dynamics with traditional operations management methodologies. It separates model building into two sequential phases: consensus‐building models and detailed operational models. It also incorporates scenario planning and feedback from implementation outcomes.

Modelling the net environmental and economic impacts of urban nature-based solutions by combining ecosystem services, system dynamics and life cycle thinking: An application to urban forests

Nature-based solutions (NBS) are gaining relevance as sustainable urban actions because of their potential to provide multiple benefits in the form of ecosystem services (ES), and thus mitigate urban challenges. This paper presents an original semi-dynamic modelling framework that simultaneously considers i) ES supply and demand dynamics, ii) negative environmental impacts, externalities, and financial costs derived from NBS, and iii) life cycle NBS impacts beyond the use phase. Compared to other models, it also aims to be valuable for urban planning actions at site level, i.e., for evaluating the net impacts of specific urban NBS projects. To validate the modelling framework, a proof-of-concept model for urban forests is developed and tested for a case study in Madrid (Spain). The modelling framework is split in two interrelated parts: foreground (dynamic modelling) and background (static modelling). In the foreground, the environmental impacts derived from the use phase of an NBS project are quantified considering its spatio-temporal dynamism, by making use of system dynamics. In the background, the environmental impacts derived from the rest of the life cycle phases of the NBS are quantified making use of steady state life cycle impact assessment. The net economic impact of the NBS project, considering both financial values and externalities, is eventually calculated in the background encompassing all the life cycle phases. Results from the case study illustrate how planning, design, and management decisions over the entire life cycle of an urban forest can influence the net environmental and economic performance of this type of NBS. A discussion is provided to inform on how the modelling framework can help moving beyond the state-of-the-art, and how the derived model can be used for sustainability assessments of urban NBS projects.

Exploring the Use of Systems Dynamics for the Valuation of Freight Transport Time Changes

Exploring the Use of Systems Dynamics for the Valuation of Freight Transport Time Changes

A system dynamics approach to venture capital investments illustrated by cases from singapore

Despite the amount of research on VC decision-making, very little is known about the dynamic decision processes venture capitalists (VCs) execute in the real world, paying attention to the systemic interactions within the industry. The importance of dynamic decision processes lies in recognizing that investment decisions in VC take place in complex, rapidly changing, and highly competitive markets where growth and returns are expected to be significantly higher. The objective of this paper is to create and simulate a quantitative model of VC investment dynamics drawing on cases from Singapore. The geographic focus is on Singapore and in terms of methodology, the paper makes use of System Dynamics. As key findings, our model captures how the boom-and-bust phenomenon may be generated by the economic agents’ intendedly rational decisions within a competitive VC market, that, however, leads to unintended poor performance for the industry as a whole. Future research could then compare our simulation results not only with each other or to the base run, but also to other kinds of scenarios; for example, an external shock like a market crash scenario.

Assessment of Environmental Impacts on Health: Examples from the Pacific Basin.

Assessing environmental impacts on health in the Pacific Basin is challenged by significantly varying data types - quantities, qualities, and paucities - because of varying geographic sizes, environments, biodiversity, ecological assets, and human population densities, with highly varied and unequal socio-economic development and capacity to respond to environmental and health challenges. We discuss three case-based methodological examples from Pacific Basin environmental health impact assessments. These methods could be used to improve environmental health evidence at all country and regional levels across a spectrum of big data availability to no data. These methods are, 1) a risk assessment of airborne particulate matter in Korea based on the chemical composition of these particulates; 2) the use of system dynamics to appraise the influences of a range of environmental health determinants on child health outcomes in remote Solomon Islands; and 3) precision environmental public health methodologies based on comprehensive data collection, analyses, and modelling (including Bayesian belief networks and spatial epidemiology) increasing precision for good environmental health decision making to prevent and control a zoonotic disease in Fiji Islands. We show that while a common theme across the three examples is the value of high quality and quantity data to support stronger policy decisions and appropriate prioritizing of investment, it is also clear that for many countries in the Pacific Basin, sufficient data will remain a challenge to inform decision makers about environmental impact on health.

A system dynamics approach for dairy herd modeling considering fixed-term artificial insemination scenario

Objective: To design and develop a continuous simulation model based on System Dynamics to analyze reproductive parameters considering artificial insemination and reproductive policies aimed at sustainability in a dairy herd. Methodology: The procedure is classified into four stages: (I) Analysis of the behavior of the dairy herd and definition of the problem, (II) Description of processes and contextualization of a model, (III) Generation of the preliminary model, verification, validation and (IV) Analysis of results. Results: It was shown that using simulation tools it is possible to model the processes within the dairy herd. The effective detections of periods of heat constitute a determining factor in the application of policies of artificial insemination and in general in the sustainability of the herd. Therefore, using a reproductive biotechnology protocol, such as heat synchronization and fixed-term artificial insemination, are policies that mitigate the problems associated with reproductive problems. Conclusions: The use of system dynamics allowed us to have a holistic approach to the problem considering all the relevant variables to evaluate improvement policies. The model presented in the development of the research allowed evaluating different policies associated with animal management, meat exploitation in dry cows, and policies of continuous review on situations associated with the efficiency in the identification of cows in heat.

MODEL OF INTEGRAL HEALTH CARE

Financial sustainability has been one of the most worrying aspects of health systems, regardless of the country's stage of development. Thus, the purpose of this study is to analyze the value generation (EVA) and the possible cost reductions provided by the adoption of the Primary Health Care (PHC) Model. This is an exploratory and quantitative research with the use of the EVA (Economic Value Added) model and the system dynamics approach. The study connects the System Dynamics framework with the (EVA) to achieve cost savings in (PHC). The main results indicate that the Medical Cooperative was able to generate economic value of R$ 15.8 million in 2018 and the migration of care procedures to the PHC model could reduce costs of about R$ 330 million over a 10-year period. Theoretically, this investigation contributes to the application of a concept to a complex context. Methodologically, the contribution is the applicability of EVA and the use of system dynamics to analyze scenarios. The implementation of the PHC Model represents an important initiative in addressing the enormous management challenges in the area

The use of system dynamics for energy and environmental education

The use of system dynamics as a learning tool for developing sustainable energy strategies and environmental education has advanced in recent years with the availability of new modelling software and webtools. Among the existing models, we highlight the online 2050 Calculators, which aim at simulating scenarios for greenhouse gas emissions, energy planning, sustainable land use, and food consumption. The objective of this study is to assess the available calculators and their contribution to an interdisciplinary education via systems thinking. We carried out a review of the existing models worldwide and ran some of the tools with students from three different postgraduate programmes at master’s level at Imperial College London (United Kingdom) and IFP School (France), whilst also assessing their individual views afterwards. The assessments were conducted once a year during three subsequent years: 2019, 2020, and 2021. The results are discussed under the epistemology of critical pedagogy, showing that the use of webtools, such as the 2050 Calculators, can significantly contribute to the students’ environmental awareness and political engagement, providing important lessons about the use of system dynamics for policy and science education.

Simulating the effect of the Pay-as-you-go scheme for solar energy diffusion in Colombian off-grid regions

Providing affordable and clean energy for all is a global priority, especially for off-grid and low-income regions. New business models, such as Pay-as-you-go (PAYG), has been a strategy for providing sustainable electricity in off-grid regions, especially in African countries. However, there is a need for analysis tools, such that we can test upfront the potential for this scheme varies according to local context. In this paper, we propose the use of system dynamics for energy policy assessment. We set-up the methodology considering the off-grid context, and then we developed a system dynamics model to assess the effect of the PAYG scheme in the diffusion of solar energy in off-grid and low-income regions. The method is tested using a case study, the Colombian case. The application of the methodology depicts simulations that indicate that effect of PAYG is limited under the current market conditions of Colombian off-grid regions, considering that solar companies obtain most of their income directly from Government's subsidy. Better results are obtained when implementing PAYG in a lower subsidy scenario, which indicates the potential to optimize the allocation of subsidies. We finally discuss the importance of the local conditions to use the proposed methodology.

End-of-life electric vehicles batteries in Brazil: modelling ways after the first use

This study aims to estimate the volume of EOL batteries in Brazil in 2050 and identify the implications for waste management. To achieve the goal, we made use of system dynamics. The number of EOL batteries can reach 250,000 units, representing environmental risks and loss of economic value due to improper disposal. Scenario 1, which represents a high recycling goal, demonstrates the possibility of recycling approximately 200,000 units, which represents economic gains. Scenario 2 demonstrates the insertion of the second use practice, and by 2050, EOL batteries could store about 2 GW of energy. It is recognised that the development of different management routes can bring new business models, technology development, recycling techniques, and new areas in the labour market. Understanding the implications and the need for implementation of regulations provides stakeholders with the possibility to act towards efficient management of EOL batteries.

Analyzing complexities in the Brazilian soybean supply chain: a systems thinking and modeling approach

Purpose This study aims to analyze the complexities of the Brazilian soybean supply chain (SSC) and develop strategic interventions to improve the origin system’s performance. Design/methodology/approach This study used stakeholder interviews to identify the SSC bottlenecks and determine and assess drivers of competitiveness. A methodological framework based on the systems thinking approach for developing long-term structural changes was used. The problem was structured using behavior over time graph and causal loop modeling to propose three investment strategies to solve the logistics problem in SSC. Findings This study highlights the gaps in coordination between stakeholders and the public sector regarding the public policy for infrastructure investment. Three strategic interventions were developed to address the agro-industrial logistical problem, namely, investment in storage, multimodal transport systems and improvements in existing transport infrastructure. To overcome transport and storage logistics limitations, the authors suggest different forms of partnerships, including public-private partnerships. Research limitations/implications This research is limited to evaluating an agricultural commodity (soybean) and does not include its by-products. The sample of stakeholders was limited and the boundary of analysis was Brazil. Nevertheless, the study showed how strategic interventions could be developed following a holistic analysis. Practical implications The proposed integrated approach illustrates the development of three strategic initiatives. It can be implemented by stakeholders, including the public sector, which is the basis for providing assertive long-term investments in Brazilian logistics. Social implications The SSC analysis could promote the implementation of systemically determined interventions and strategies. It could significantly improve the performance of agricultural systems and help the formulation of public policies aimed at rural development. Originality/value The use of system dynamics to identify intervention points is an essential contribution to mitigating the SSC’s hindrances. Moreover, the combining methodologies resulted in comprehensive intervention strategies.

A Comprehensive Review of Sustainability in Isolated Colombian Microgrids

Context: The increase in rural electrification projects has led to the emergence of technologies that allow operating local distribution networks such as isolated microgrids. However, the successful implementation of these isolated microgrids requires that their planning, operation, monitoring, and control consider a framework that allows maintaining technical, economic, and environmental sustainability over an extended time horizon. Therefore, this paper proposes a model that allows identifying the main technical, economic, regulatory, and environmental variables that should be considered for the successful planning of Colombian rural electrification solutions. Methodology: This paper proposes the use of System Dynamics to create a model that allows describing the causal relationships between the different variables essential for the design and operation of isolated microgrids. To this effect, the identification of the related variables and their corresponding classification are presented, together with a model of theoretical expectations about their relationships. Results: A model that integrates and describes the behavior of the main variables involved in the operation of microgrids was formulated to analyze the possible implementation of policies that guarantee the sustainability of these solutions and enhance the use of renewable energy resources while improving the continuity of the electric energy supply. Conclusions: It was possible to show that operation by means of isolated microgrids with the integration of Distributed Energy Resources is a sustainable solution for rural electrification in Colombia, given that it enhances the use of generation resources with a reduced carbon footprint that are present in the territories under study. These microgrids have the potential to improve the living conditions of users by reducing unsatisfied basic needs. Funding: Universidad Nacional de Colombia – Sede Manizales.

System dynamics for humanitarian operations revisited

PurposeThe purpose of this study is to show that the current complexity of humanitarian operations has only increased the usefulness of system dynamics (SD) in helping decision-makers better understand the challenges they face.Design/methodology/approachA critical analysis to evaluate how SD methodology has been applied to humanitarian operations.FindingsToday's humanitarian operations are characterized by huge complexity given the increased number of stakeholders, feedback loops, uncertainty, scarce resources and multiple objectives. The authors argue that SD's tools (causal-loop diagram, data layer, simulation model) have the capacity to appropriately capture this complexity, thereby enhancing intuition and understanding.Originality/valueResearchers and practitioners hesitate to use system dynamics when data is missing. The authors suggest alternatives to deal with this common situation.

System Dynamics as Ex Ante Impact Assessment Tool in International Development Cooperation: Study Case of Urban Sustainability Policies in Darkhan, Mongolia

In recent years, there has been a trend of increasing criticism towards official development assistance (ODA) and the optimization of ODA policies, in a world of growing inequality between the Global North and Global South. To contribute to efficient ODA planning, this article proposes to innovatively apply system dynamics as an optimal tool for ex ante impact assessment. The study case is located in the slums of Darkhan (Mongolia), whose citizens and environment suffer the consequences of poor urban planning and lack of municipal solid waste management (MSWM). In this context, the present research proposes a policy of education and infrastructure as key factors for the improvement of MSWM in the context of an international cooperation plan, carried out by the Korean agency KOICA. To evaluate its impact and anticipate its effects, a tailor-made system dynamics model of a Darkhan district has been created, with the focus on the education process in order to simulate the different options of the proposed policies. The results show that education policy is particularly relevant for behavioral change, in terms of reducing waste burned and waste on the ground, and increasing composted and recycled waste. However, in this context, the policy is ineffective for improving the district’s water and air pollution situation. This article also offers discussions and recommendations to be applied to the international cooperation plan, which takes place in real life. It is expected that the described process of model construction and its results will contribute to the further use of system dynamics as a planning tool in the international cooperation field.

Control deslizante de un robot paralelo de tres grados de libertad para realizar actividades de mantenimiento naval

Robotics has experienced a great evolution due to technological advances. One of its fields of study and development is the control of its movements. This research work is an important part for the contribution and industrial technological development and proposes the control of a parallel portable robot with three degrees of freedom to perform the task of metal shaping at sea using heat lines Line Heating, so decrease process costs and service times. The Robot must comply with the high performance requirements imposed by the task; a robust controller against external disturbances. mode control SMC Sliding Mode Control is implemented for positioning the tool in a parallel robot, RPS (Revolute-Prismatic-Spherical) type. The control method requires the use of system dynamics and its solution in real-time. This work presents, the dynamics that model the behavior of the system, performed by the Virtual Works method that provides less computational time, compared to usual dynamic formulations, due to more compact equations and the lower number of arithmetic operations.