Businesses are made up of different elements such as people, groups, resources,internal and external stakeholders, systems which interact with each other and make the organizations work. If these systems work in silos, then the organization will not move in the same direction and there will be frequent breakdowns and miscommunications. Therefore, these systems need to work smoothly and directionally in order for organization to move ahead. It's important to understand the complex individual systems and hot these systems interact to work with each other. It is the same as a car where individual components make the car move ahead. How a gear shaft interacts with the drive train to produce movement etc. Same is the analogy with all the business. Various complexes systems of the company interact. If these complex systems interact in a smooth way, then there is less wastage in the systems and business running is smooth. Hence systems thinking is critical for the competition to remain competitive. Without knowing hoe systems interact, the business will not be able to repair or develop these systems in cases of any breakdowns or improvements.
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