isee systems Prepares for the 2nd Annual Barry Richmond Scholarship Award
Each year, isee systems presents the Barry Richmond Scholarship Award to a deserving Systems Thinking practitioner who plans to attend the International System Dynamics Conference.
Margarita Cruz accepts 2007 Barry Richmond Scholarship Award
The conference is an important opportunity to meet with others who are applying Systems Thinking to a wide range of educational, research, business, and scientific endeavors, to share experiences, learn new techniques, and gain new perspectives. But, for many students, academics, and others, conference attendance can be a financial strain.
Last year, isee systems presented Margarita Cruz, a recent graduate from the University of Bergen Master's program, with the $1,000 Scholarship Award that helped fund her trip to the 2007 International System Dynamics Conference in Boston, MA. Cruz's work includes evaluating System Dynamics as a tool for teaching history to high school students. This year the Award will enable its recipient to attend the 2008 Conference in Athens, Greece.
The Barry Richmond Scholarship Award is named for isee system's founder. Barry Richmond was devoted to the practice of Systems Thinking; it was his mission to make Systems Thinking accessible to people in all fields and professions. Through the annual Scholarship Award, isee systems is continuing Barry's legacy.
Applications for the 2008 Barry Richmond Scholarship Award will be available on the isee systems and System Dynamics Society web sites. Check those sites for more information.
Coming Soon:
isee NetSim, a utility that allows you to publish STELLA and iThink models on the internet, will be available at the end of 2007.
"Consultants, teachers, researchers, and other model builders are always looking for easy ways to share models with clients, students, and colleagues," reports Joanne Egner, Managing Director of isee systems. "We're really excited to be adding this powerful but very easy to use internet publishing capability"
Internet publishing with isee NetSim is a two-step process. First, your model is exported from iThink or STELLA as a NetSim (.TXM) file. Second, you'll use the NetSim wizard to publish the model to a selected location. isee NetSim will ship with a free Forio Broadcast account that can be created when your first model is ready for publication.
isee NetSim requires a browser and Internet connection.
John Morecroft's Systems Modeling and Business Dynamics: A Feedback Systems Approach Features iThink models
New book includes
iThink models
Wiley and Sons has recently published Systems Modeling and Business Dynamics: A Feedback Systems Approach. Authored by John Morecroft, Adjunct Associate Professor of Management Science and Operations at London Business School, the book "uses interactive 'management flight simulators' to create an engaging and effective learning environment in which readers, whatever their background, can develop their intuition about complex dynamic systems."
Morecroft is an isee systems friend and partner. His new book includes many iThink models, such as the "Fisheries Game Simulator" that determines how many new ships a fisherman can purchase and how many will retire to harbor. Save-disabled copies of iThink are distributed with the book so that readers can follow along and experiment with models on their own PC or Mac computer.
To read more about Systems Modeling and Business Dynamics: A Feedback Systems Approach or to order a copy, visit www.wiley.com/WileyCDA/WileyTitle/productCd-0470012862.html
iThink Model Helps DPS Telecom Double its Annual Revenue and Profit Margin
Bob Berry, CEO
DPS Telecom
Bob Berry and the management team at DPS Telecom had a name for their revenue pattern - The Blue Crush. "We had erratic monthly sales but always ended the year in the same place," reports Berry. "When we plotted our revenue flow we saw peaks following product releases, then big declines, and then revenue would recover to pre-peak levels. The curve looked like a drawing of a tidal wave."
Berry had often turned to Barry Richmond's (founder of isee systems) book Introduction to Systems Thinking for insights on how to apply Systems Thinking to business problems. He realized that his revenue cycle issues were going to take more than reading and he decided to learn how to use iThink to build a model of his system.
DPS Telecom designs, manufactures, markets, sells, implements, and supports network alarm monitoring systems. Its business is primarily US-based though the company is starting to grow in international markets. Obviously, the entire DPS Telecom "system" is fairly complex in that it covers every aspect of creating a product for market (design, testing, manufacturing), getting it to market (sales and marketing), and keeping it in the market (marketing, support). Complicating things further, DPS Telecom products require customization. Each implementation is tailored to customer requirements and technical specifications.
Berry attended an isee systems workshop and, with the help of the faculty, began to build a baseline model that described DPS' business. It was this baseline model that pointed out the Blue Crush tidal wave revenue cycle DPS was experiencing. "I was looking at the whole system so I could see that revenue peaks came after product releases. I could also see that revenue decreases began as sales and tech support staff began to spend more time on support calls than on sales calls. New product was not matching customer expectations. "We didn't have a sales productivity problem," says Berry. "We had a design and manufacturing problem."
Berry used his model to show the management team what was happening. They took steps to change design, manufacturing, and customer service processes. For example, customization planning was moved up-front to the design process. In one year, DPS Telecom doubled its revenue and profit margin.
"We got great returns on about three weeks of modeling," says Berry. That time includes the time he spent at the iThink workshop. "The faculty pointed out that models don't solve problems, they help you understand the physics of your system and give you insight."
"The beautiful thing about iThink," explains Berry, "is that I can try solutions on screen. For example, without hiring salespeople to try and get more revenue, I could add new salespeople to the model and see that they would make the problem worse. I could also see that leaner manufacturing and better customization processes would reduce the number of post-release customer calls and problems. The model lets me find the best leverage points in the system."
Berry has new business questions to answer with insights from iThink models. "Now I'm looking for ways to even out sales over time and to build repeat business in the current customer group."
"Every time I read Barry Richmond's book, I'd think the whole Systems Thinking thing should be taught to business people more often" remembers Berry. "I'm amazed at the impact Systems Thinking has had on my business."
