System Dynamics

What is System Dynamics?

The mysteries of economic ups and downs. Terrorism control. Debt in developing countries. Salt marsh preservation. Cartilage mechanics and osteoarthritis. Next-generation automotive propulsion and power systems. These are examples of complex problems that face policymakers and researchers in government, public and private institutions, and industry. System dynamics applies sophisticated computer modeling to help solve problems like these.

System dynamics, born in the 1950s at MIT, uses computer models and simulation to analyze the collective impact of cause-effect relationships in a physical or organizational problem. Analysis factors in time delays and examines feedback loops: A causes B, which changes A, which worsens B or causes C. The methodology deals with multiple complex relationships over time in such applications as economic policy making, environmental resource management, scientific research, medicine, corporate leadership, and even teaching elementary or secondary math and science.

System dynamics is unique in that it supports research and decision making in the social sciences through experimentation. A system dynamics study can answer questions like "Why did this policy fail, and what can be done differently?" "What is the social, economic and environmental impact of adopting this new technology under these conditions, and how must the technology change as conditions change?" The analysis of a model yields new policy or process solutions.

Programs

WPI is the only university in the nation to offer a bachelor's degree in system dynamics. Although this program emphasizes the use of technology and rigorous modeling techniques, at its core it teaches students to think differently. Undergraduate majors acquire a system dynamics skill set that can be applied to any field of interest. At the same time, they concentrate in a content area of their choice. For this reason, the major often attracts students seeking to combine their technical orientation with an interest in economics, psychology or other social science. Some students link the study of system dynamics with the physical sciences or technology.

System Dynamics and the Social Sciences

Because WPI integrates formal modeling mathematics into psychology, sociology and economics, system dynamics is well-suited to these disciplines. WPI has also gained prominence in the field of heterodox economics (heterodox models represent the real world more closely than traditional economic models). System dynamics brings an experimental methodology to economics.

System Dynamics and the Physical Sciences

Students pursuing advanced math and science in undergraduate, graduate or professional degree programs find system dynamics an effective methodology for explaining concepts and solving problems. Flow diagrams allow educators and students to formulate causal relationships in more visual terms than can be done with differential equations. Models are invaluable research tools for simulating physical systems.

The Undergraduate Program

Students electing a major in system dynamics tailor the program to their interests. Those who wish to develop next-generation software modeling tools may take upper-level courses in control theory, numerical analysis and programming. Those who wish to focus on policy setting may lean toward course work in economics, psychology or public policy.

To earn the B.S. in system dynamics, students must complete 15 units of course and project work.

Following are course distribution requirements:

System Dynamics: five courses, chosen from Introduction to System Dynamics Modeling, System Dynamics Modeling, the Psychology of Decision Making and Problem Solving, Advanced Topics in System Dynamics Modeling, Group Model Building, and System Dynamics Seminar.

Other Social Science: five courses, one each in economics, psychology, and public policy; the remaining two are free electives.

Management: two courses, one in organizational science and one free elective.

Mathematics and Basic Engineering Science: Eight courses; after students meet requirements for differential and integral calculus, differential equations and numerical analysis, they may take other math, basic science, or engineering courses to complete the requirement.

Computer Science: two courses, Introduction to Programming and Data Structures and Programming Techniques, are recommended.

Application Area: five courses (minimum) in any one of 12 content areas, or students may select another area with departmental permission.

Free Electives: five courses (physical education = one course).

Projects

Students couple system dynamics with their areas of interest and creativity to engage in a wide variety of Major Projects. Here are some examples:

A student built a model of how terrorism is created and experimented with the policy options that might be considered to eradicate it.

A group of students used a model to explore alternative energy options and how they could be integrated into the existing electric supply network to increase its capacity and reliability.

A student modified an existing model to mimic the failure of silicon gel breast implants and the manufacturer's resulting bankruptcy. He then used the model to determine what the manufacturer could have done differently to avoid bankruptcy, and presented his results at an MIT doctoral seminar.

A student teamed with a professor to create a decision-making model with nearby town planners. At stake was whether or not to build a controversial racetrack. The idea fell through, yet the planning board decided to complete the model for other uses. The results were published in a professional journal.

A student team analyzed the causes of stagnation of a cosmetic product for a company in Thailand using a system dynamics model that combined apparently rational decisions made by the various company departments and studying their overall impact for devising a strategy for recovery.

A student worked with a major pharmaceutical company to develop a training program for research and development managers. He used a system dynamics model to create a learning environment that is being used to understand implication of critical resource allocation decisions by the company.

A double-major in engineering and system dynamics spent two months in Australia working with a university and nonprofit organization on a land management project. She used system dynamics to model the long-term benefits to farmers of switching from cotton farming to forestry.

Faculty

Department faculty members have expertise in system dynamics modeling plus application areas in the social sciences, engineering, public health, political science and law.

All have earned Ph.D.s; many also hold professional degrees. Faculty research areas include macroeconomics, environmental policy, healthcare planning and regulation, sustainable economic development, regulatory politics and law, judgment and decision making, and interdisciplinary group dynamics.

Faculty contribute to the field of system dynamics through published work in books and journals such as System Dynamics Review, Oxford Economic Papers, Economics Letters, Socio-Economic Planning Sciences, Technological Forecasting and Social Change, Journal of Economic Issues, Center for Quality of Management Journal and Journal of Applied Social Psychology. Some serve on journal editorial boards or as officers of the System Dynamics Society.

Facilities

Though WPI's preeminence in system dynamics is widely recognized, the department continues to expand its reach through new programs, initiatives and activities. Through global learning opportunities, exposure to visiting scholars from all over the globe, and partnerships with other institutions, students literally use the world as their laboratory.

Careers

A system dynamics degree provides a combination of analytical skills, technical orientation, big-picture perspective and broad knowledge—all highly prized attributes in the job market and in graduate or professional programs. Since many graduates choose a career aligned with their application area, career opportunities are limitless. Professionals in all sectors have used system dynamics in ways like these:

The Millennium Institute, a private research firm, converted a cumbersome computational model used by the International Monetary Fund into a system dynamics model and merged it with its own "Threshold 21" system dynamics model. The new tool allows developing nations to make informed policy decisions. The Carter Center, under the auspices of the Jimmy Carter Presidential Library, has adopted a version of the model for its development work.

The National Institutes of Health hired a system dynamics specialist in the early 1990s to study the drug problem in the United States. He determined that survey data collected by the government were misleading because some respondents were lying. He was able to detect the lying because the answers to the questions did not conform to basic principles of dynamic systems. He went on to build a system dynamics model that mimicked the survey and revealed its flaws.

telecommunications company used system dynamics to analyze the relationships between consumers' use of mobile phones and its plan choices. The company learned where to expand service and where to cut back, avoiding the problems another provider had faced when caught unprepared by unexpected demand for a new service.

A pharmaceutical company hired consultants to learn why an unusually high percentage of its drugs remained in research and development. Consultants used system dynamics to model three research and development stages. Their analysis pinpointed the changes needed to make the R&D process more efficient.

An ecology professor used system dynamics to analyze the use of tidal gates to control mosquitoes in salt marshes. He determined that, by starving the salt marshes of salt, tidal gates were not only killing the marshes but actually increasing the mosquito population.

Graduate Studies

For students who want to study system dynamics at the graduate level, WPI offers an interdisciplinary master of science in systems modeling and an interdisciplinary Ph.D. with a one-year residency of full-time research. WPI also offers a graduate certificate in system dynamics that is completed via distance learning.

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Last modified: November 08, 2006 15:06:22