Jam. Vennix, BUILDING CONSENSUS IN STRATEGIC DECISION-MAKING - SYSTEM DYNAMICS AS A GROUP SUPPORT SYSTEM, Group decision and negotiation, 4(4), 1995, pp. 335-355
System dynamics was originally founded as a method for modeling and si
mulating the behavior of industrial systems. In recent years it is inc
reasingly employed as a Group Support System for strategic decision-ma
king groups. The model is constructed in direct interaction with a man
agement team, and the procedure is generally referred to as group mode
l-building. The model can be conceptual (qualitative) or a full-blown
(quantitative) computer simulation model. In this article, a case is d
escribed in which a qualitative system dynamics model was built to sup
port strategic decision making in a Dutch government agency.Since peop
le from different departments held strongly opposite viewpoints on the
strategy, the agency had discussed its strategic problem for more tha
n a year, but was obviously not able to reach consensus. The applicati
on of group model-building was successful in integrating opposite poin
ts of view, as well as in fostering consensus and creating commitment.
The purpose of the article is twofold: first, to illustrate the proce
ss of group model-building with system dynamics; second, to evaluate w
hy it was successful. Evaluation results reveal the importance of both
systemic thinking through model-building and the role of the facilita
tor in catalyzing the strategic decision-making process.