Systems Strategy and Dynamics
Prof. Luigi Geppert; Prof. Mauro Bernuzzi
COURSE AIMS
A socio-economic framework such as the current one is increasingly dominated by situations of continuous change, with the process of making business decisions being complex, difficult to structure, and less and less related to specific models.
Such processrequires the support of appropriate methods and toolsfor representing and measuring the dynamic complexity of the firm; such methods and tools can be employed for improving and expanding the level of understanding of the phenomena.
Systems dynamics will cover such methods and tools, allowing for the creation of micro spheres and “management flight simulators” where space and time can be compressed, inflated and frozen so as to allow the manager to explore the effects of long-term decisions, to evaluate new strategies, and to develop and comprehend complex systems.
The principal objective of the course is to apply the basic concepts and tools of systematic thought and of the systems dynamics, that can be used for:
–improving the process of analysing and evaluating business decisions;
–constructing appropriate dynamic micro spheres that represent similar business situations, where the identification of the "winning" decision becomes the critical success factor.
In particular, such concepts are to be applied to the management of the supply chain, which constitutes its basic decision-making theme and the venue forapplication, in relation to:
–purchases/sales management;
–supplier/customer relationships;
–outsourcing strategy;
–planning and forecasting (local and distributed);
–ERP and techniques for managing industrial and logistics processes;
–inventory management and management of working capital;
–performance measurement.
COURSE CONTENT
After providing an essential overview of supply-chain management and an appropriate introduction to dynamic modelling of both systems and the relationships withbusiness decisions, the course looks at the means for planning and constructing appropriate dynamic simulators (micro spheres) that exemplify recurring decision-making situations within companies, and that deal with issues of applied strategic management of the supply chain. In particular, thestudents will be organised into teams so as to get involved in the analysis of already tested simulations.
READING LIST
Thecoursematerial is contained in lecture notes and slides prepared by the professor, a seriesof articles for more in-depth study, and a variety of strategic simulation cases that exemplify real decision-making situations.
The following textbooks are recommended with regard to the partof the coursedealing with the study of the supply chain:
S. Cohen-J. Roussel, Strategic Supply Chain Management, McGraw Hill.
J.W. Martin, Lean Six-sigma for Supply Chain Management, McGraw Hill.
TEACHING METHOD
Thecourse is organised in two modules, appropriately integrated and not sequential, with two different professors. Module I illustratestypical supply-chain issues, whereas Module II integrates and expands onsuch issues through the illustrationof systems dynamics addressed to decision-making processes. Theinstruction is based on lectures on theory and assignments to be completed in class and at home. The environmentconsidered suitable for class assignments is that of several work stations, each of which is equipped with a computer (for every 5-6 students).The course may also include presentations by managers who are using dynamic simulation.
ASSESSMENT METHOD
Students attending class on a regular basis will be graded on the basis of several written tests during the academic term, and depending on the number of students enrolled, also through class participation.
NOTES
Further information can be found on the lecturer's webpage at or on the Faculty notice board.