The systems world has, since its inception, focused mainly on the development of relevant theory and concepts.Operationalization of the involved theory and concepts, however, has been a priority with only a few, such as Russell Ackoff who developed the "Interactive" planning paradigm.Jamshid Gharagedaghi believes that operationalization is the key to wider acceptance of the systems approach. In this book he has focused on designing the logic and hands-on models that will make the systems approach even more acceptable and useable. He bases his work on some familiar foundations. Gharajedaghi has long been a student and associate of other leaders in the systems field, especially Singer, Ackoff and Churchman. But rather than simply rehashing their work, he uses it as a starting point and builds on it, integrating the ideas of others and making valuable contributions of his own.The book starts with the basics of systems thinking and with an explanation of why it must become the foundation of organizational architecture if we are to continue to improve our quality of life. Gharajedaghi maintains that, while the analytical approach has remained essentially intact for nearly four hundred years, systems thinking has already gone through three distinct generations:~ The first generation of systems thinking (operations research) dealt with interdependency in the context of mechanical (deterministic) systems.~ The second iteration of systems thinking (cybernetics and open systems) dealt with the dual challenge of interdependency and self-organizationin the context of living systems.~ The third generation of systems thinking (design) responds to the triple challenge of interdependency, self-organization and choice in the context of socio-cultural systems.The third generation of systems thinking, in Gharajedaghi's view, is based in essence on 'Singerian experimentalism', which maintains that: "There are no fundamental truths; realities first have to be assumed in order to be learned; facts and laws have to form an interdependent set; and truth is not the startingpoint of an inquiry, but the end point."Systems thinking proceeds further to deal operationally with the art of simplifying complexity, managing interdependency, and understanding. It does so by offering a novel approach called 'iterative design'. Gharajedaghi proposes that design, as the core of systems methodology, is an iterative process that deals with all three dimensions - structure,function, process - AND with their containing environment. Each subsequent iteration of the design yields a greater understanding and more closely approximates the nature of the whole. The explicitness and the richness of the model used to generate the initial set of assumptions about the system, is the core of effective systems thinking. The author proposes that five principles (openness, purposefulness, multidimensionality, emergent properties, and counter-intuitiveness) are the building blocks of the mental model one needs to construct to become a systems-thinker. He then defines a comprehensive set of variables that collectively describe the organization in its totality. How do we design and build organizations so that they facilitate choice and take advantage of the involved interdependencies, rather than ignoring or treating them as obstructions? The ability to design effectively is critical to gaining choice and to enabling others to gain it. Also, the realization that interdependency cannot be avoided, on the invididual, organizational, or societal level, is critical. Gharajedaghi both tells us HOW to deal with these issues conceptually and shows us how to incorporate the involved concepts into organizational design. In the last part of the book he provides four case studies of redesign efforts from four diverse sectors of the economy and society - The Oneida Indian Nation of Wisconsin, Butterworth Health Systems, The Marriott Corporation, Commonwealth Energy Systems - describing how, though the details of the involved effortsmight have differed, the underlying logic of systemic change remained the same. Finally, Systems Thinking, Managing Chaos and Complexity provides a framework that allows seemingly unrelated books such as Goldratt's Critical Chain , Pine's Mass Customization , and Hamel and Prahalad's Competing for the Future to resonate and come together. Those who have read Capra's The Turning Point , Senge's The Fifth Discipline ,and Banathy's Designing Social Systems in a Changing World , and who feel the urge to delve more deeply into the world of systems thinking, will find this book to be a welcome addition to their libraries and a timely compliment.

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