System Dynamics Perspectives and Modeling Opportunities for Research in

Operations Management

by: Rembrandt Pansaon

New insights have been developed in the operations management although its dynamics
are changing drastically hence posing a challenge for the scholars. Dynamic modeling in
operational management recognized core production processes in the organization such as
feedback interactions are known to cause a significant delay, information distortion among other
challenges such as slow learning and improvement. Forester generated a general approach to
dynamic modeling in a management system with conceptual and software tests used in
developing, testing, and improving some of the behavioral models of the human systems and
implementation of any recommendations that arise from these systems. The purpose of the
experiment was to examine the system dynamics perspectives and modeling opportunities in
operational management. The research question addressed was on how methodological
elements of system dynamics that are most distinctive and relevant to the operations
management community.

The researchers utilized secondary data to develop their arguments and conclusions in
the paper. They focused on three existing research to analyze their research. A comparative
statistics approach is utilized to draw relevant conclusions. It examined relationships between
contextual variables, practices and associated performance outcomes.

The study identified the methodological elements of system dynamics that are relevant
and distinctive to operations management, as first, being structural and behavioral system
representations. Second, SD models capture disequilibrium especially when decision making
governs inflows and outflows. Reactions of the actors on these imbalances cause feedback, and
modelers should not assume any equilibrium is stable. Third, a broad model boundary is critical
because research shows people’s mental models have narrow boundaries hence omitting
feedback and interactions that often generate system behavior. Fourth, SD and management
modelers often strive to capture system interactions because they exist in the real world. The
resulting models should often reflect operational thinking. A majority of scholars are expanding
boundaries to include other models for instance decision making and performance.

Regarding supply chain, analysis from three experimental studies used in the research
helped illuminate behavioral operations, but the role of system dynamics studies in the supply
chain is not limited to consideration of decision failures made by planners. Regarding project
management, the researchers acknowledge that it remains troubled despite numerous research
and proliferation of its tools. System dynamics models of project management give explanations
Journal Review: System dynamics perspectives and modeling opportunities for research in
operations management 3 | P a g e for LEW dynamics hence SD models that capture a wider
array of behavioral grounded feedback are applied to improve project performance. Regarding
human resource, process management and dynamics of different improvement studies
conclude that actions of different actors that interact with each other and physical operating
system traps low performance and impedes improvement.

The findings identified that there is a gap in research especially in the application of
methodological instruments which have dozens of interactions hence resulting in complex
models. In addition, leading edge in research was showed to evolve along similar lines hence
identifying a gap. Also, the findings indicated that there are gaps in the core areas of operations
management as far as project management is concerned despite the proliferation of its tools
and approaches as they deliver low quality and have constantly failed to meet the requirements.
The findings of the study supported the conclusion that scholars need to expand their thoughts
and theorize more on operations management.

One of the study limitations is that it does not outline its objective, purpose, findings, and
results hence the reader strains to find out what the research aims to achieve. The study has
over relied on secondary data hence it is subject to bias. One of the recommendations on how
future studies can be improved is that researchers need to focus more on primary data to draw
solid conclusions. In addition, the mixed approach of studying the field can be useful in
expanding the scope of the study.