The Personal MBA

Implement feedback loops and balancing loops for system equilibrium

Instructions

Create a basic system that passes the current selection tests.
Begin by developing a simple system that meets the essential selection tests, and gradually improve and enhance it over time to create a more complex system that functions effectively. Monitor and track the resources that enter and exit the system to gain a better understanding of its operation. Adjust the inflows and outflows of resources as needed to maintain control over the system.
Recognize the feedback loops in the system.
Identify feedback loops in the system by examining how the output of one cycle becomes an input for the next. Understand the system's purpose by determining its reference level and how it is affected by external factors. Analyze the loops in the system by identifying balancing, reinforcing, and autocatalyzing loops. Evaluate the impact of the environment by assessing how it affects the system's processes and flows and how it alters the system's output. Use selection tests to determine whether the system is under control and meeting the required reference level.
Identify dependencies.
Identify inputs that are necessary for the next stage of a process to occur. Reduce unnecessary dependencies to make the system less interdependent. Establish policies that empower representatives to resolve issues and make the business system less reliant on the owner for operation.
Examine breakdowns or “close calls” when they occur.
Look for hidden interdependencies and create contingency plans to address similar potential situations in the future. Keep the system as flexible as possible to extend its lifespan and minimize catastrophic failures. Be vigilant for signs of system failure, as complex and long-lasting systems are more prone to major malfunctions. Be prepared to respond quickly by having an action plan in place to address system failures efficiently and effectively.