One of the most volatile market environments of our time is the energy business. Whether the energy medium is gasoline, electricity, or natural gas, traditional market forces do not seem to exert the same influences as in other markets. Indeed, the behavior of the energy market sometimes seems to defy traditional understanding of the law of supply and demand. Management of, and survival within,...

System Dynamics evolved from Dynamic Systems often associated with classical mechanical engineering. However, today System Dynamics (SD) and Dynamic Systems (DS) are differentiated in theory and application. We believe that the link between SD and DS shall be reemphasized if not re-established in certain fields in order to advance system development and understanding. In some regulatory environ...

This chapter combines disruptive innovation strategy (DIS) theory with the system dynamics (SD) modeling method. It presents a simulation model of the hard-disk (HD) maker population overshoot and collapse dynamics, showing that DIS can crucially affect the dynamics of the IT industry. Data from the HD maker industry help calibrate the parameters of the SD model and replicate the HD makers’ ove...

Allocation of construction risks between clients and their contractors has a significant impact on the total construction costs. This paper presents a system dynamics (SD)-based approach for quantitative risk allocation. Using the proposed SD based approach, all the factors affecting the risk allocation process are modeled. The contractor’s defensive strategies against the one-sided risk alloca...

In this paper, we present a procedure Grounded System Dynamics (GSD) which we use as a guide to underpin a System Dynamics (SD) model with a domain modeling method called Object-Role Modeling (ORM). GSD is a combination of two existing methods (SD with ORM). By combining these two methods we generate synergy effects by using already existing modeling methods and by so doing we overcome some of ...

the long term goal attaining of economic system management requires the establishment of a dynamic framework to integrate multiple perspectives. this article considers the problem of economic development in macro level. as economic systems are complex adaptive systems composed of numerous numbers of components of dynamic and multidimensional nature, dynamics method is applied in this research. ...