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Foundational Structures of Systemic Thinking: Reinforcing and Balancing loop



reinforcing loop is one in which an activity creates an outcome that impacts business as usual activity in this manner bringing about development or decay. The reinforcing loop is one of the two basic structures of systems thinking, the other being the Balancing Loop. Because of the manner in which this structure reinforces itself it generally produces exponential growth or decline. This exponential change may be unnoticeable for a period of time until it reaches a certain threshold. The structure then seems to change very rapidly causing one to wonder how it began all at once, when in fact it really didn't. The growth just wasn't substantial enough to be noticed.

balancing loop tries to move things from the current state (the way things are) to the desired state (goal or objective) through some action (whatever is done to reach the goal). A balancing loop is representative of any situation where there is a goal or an objective and action is taken to achieve that goal or objective. The desired state interacts with the current state to produce a gap. The desired state is considered to be fixed during this consideration. The gap created by the difference between the desired state and the current state is really the motivation for action, and the larger the gap the greater the tendency to produce action. The action taken then adds to the current state. The current state subtracts from the gap, thus reducing it. When the action succeeds in moving the current state to a point where it is equal to the desired state the gap is reduced to zero and there is no more motivation for action.

Effective Strategies to manage the loops
  • If a reinforcing structure is producing a desirable result it is generally referred to as a virtuous cycle. When this happens there is a tendency to ignore it and let it go. When everything is going just the way you want it to that's the best time to be concerned about how to ensure it continues going the way you want it to.

  • When a reinforcing structure is producing an undesirable result it is generally referred to as a viscous cycle. The best way to deal with a viscous cycle is to find a way to break one of the feedback loops so the structure can no longer reinforce itself.

  • Ensure there is an explicit well understood and agreed upon definition of the desired state. If you don't know where you're trying to get to then any action will take you somewhere.
  • Ensure there is an as objective as possible definition of the current state. It is the relation between the desired state and the current state that forms the basis for planning and subsequent action. If the planning is flawed there is a good chance the resultant action will be inappropriate to move the current state to the desired state.
  • Because action is driven by the size of the gap there is a natural tendency for the extent of action to decline as the current state approaches the desired sate. This tendency accounts for the fact that as projects approach completion it seems to be more and more difficult to make progress toward completion. To overcome this tendency the motivation for action must come from somewhere else other than the gap. In terms of project completion, the focus might be to begin to think about completing this project so the organization can get on to the next one. The answer to the predicament lies outside the structure.

What should concern you?

It has been repeatedly indicated that nothing grows forever. What often happens with a reinforcing structure is that there are limits to growth which have not yet kicked in. The best thing to do is look for these before you run into them. Since you can't create something from nothing, the growth comes with a cost somewhere. Consider whether the growth is creating a decline somewhere else you haven't quite noticed as of yet. Often the reinforcing nature of this structure is the result of a synergistic relationship between two or more individuals, groups, or organizations. When this is the case there is a tendency for the involved parties to take unenlightened action which actually destroys the synergy.

The current state is what it is for some reason, the action is taken to change the current state, or the change in the current state itself may produce side effects which in fact cause the current state, in time, to return. If the period of time over which it takes action to move the current state to the desired states is relatively long there may be a willingness to settle for less than the initial desired state. In this instance, the goal is never reached because the goal is lowered over time. Pursuing this desired state may cause problems elsewhere. These problems may actually result in increasing the goal making it more difficult to reach. The situation may be such that the action is taken to achieve the goal actually causes the current state to overshoot the goal. This would then require additional action to bring the current state back toward the goal. It is also possible that the structure that exists promotes an endless oscillation.


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