General Systems Theory: Foundation, Intuition and Applications in Business Decision Making (IFSR International Series in Systems Science and Systems Engineering (32))

This book demonstrates the theoretical value and practical significance of systems science and its logic of thinking by presenting a rigorously developed foundation--a tool for intuitive reasoning, which is supported by both theory and empirical evidence, as well as practical applications in business decision making. Following a foundation of general systems theory, the book presents an applied method to intuitively learn system-sciences fundamentals. The third and final part examines applications of the yoyo model and the theoretical results developed earlier within the context of problems facing business decision makers by organically combining methods of traditional science, the first dimension of science, with those of systems science, the second dimension, as argued by George Klir in the 1990s. This text would benefit graduate students, researchers, or practitioners in the areas of mathematics, systems science or engineering, economics, and business decision science.-- Provided by publisher Preface of the Current Edition 6 Preface of the First Edition 11 Acknowledgements 13 Contents 15 About the Author 20 Synopsis 22 1 Introduction 24 1.1 Historical Background 25 1.2 Whole Evolutions—Blown-Ups and Revolving Currents 29 1.3 Systems Philosophy and Methodology 32 1.4 The Reason for Looking at Applications in Economics and Business Areas 35 1.5 Organization of Contents in This Book 39 References 42 The Foundation 45 2 The Concept of General Systems 46 2.1 Various Attempts 46 2.1.1 The Concept of Systems 47 2.1.2 The Set-Theoretical Definition of General Systems 51 2.1.3 Structures 52 2.1.4 L-Fuzzy Systems 53 2.1.5 G-Systems 54 2.2 Internalities of Systems 54 2.3 The Edifice of Systems 56 References 60 3 Mappings and Constructions of Systems 61 3.1 Mappings from Systems into Systems 61 3.2 Free Sums 65 3.3 Products and Cartesian Products 68 3.4 One-Level Products 71 References 74 4 Connectedness 76 4.1 Connected Systems 76 4.2 Connectedness of Constructed Systems 80 References 86 5 Hierarchies—Construction of Large-Scale Systems 87 5.1 Existence of Linkages 87 5.2 Mappings from Hierarchies into Hierarchies 92 5.3 Time Systems 95 References 98 6 Controllabilities 99 6.1 Controllabilities of Input–Output Systems 99 6.2 General Controllabilities 101 6.3 Controllability of Time Systems 107 References 109 7 Limit Systems 110 7.1 Existence of Limits 110 7.2 Induced Mappings Between Limits 114 7.3 Centralizability of Limits 117 References 118 8 Systems of Single Relations 119 8.1 Chaos 119 8.2 Attractors 122 References 126 9 The Feedback Mechanism 127 9.1 Linear Systems 127 9.2 Feedback Systems 130 References 135 10 Properties Invariant Under Feedback 136 10.1 Linearity 136 10.2 Mesarovic–Takahara Time Systems 138 10.3 Time-Invariable Realization 142 References 145 11 Decoupling of Single-Relation Systems 146 11.1 The Concept 146 11.2 Transferrable Properties 147 11.3 Decoupling Through Feedback 152 11.4 An Example 154 References 158 12 Decomposability Conditions 159 12.1 Global and Complex System Representations 159 12.2 Isomorphisms and Monomorphisms 163 12.3 Input–Output System Covering 166 12.4 Surjective Complex System Representation of Order n 170 References 176 The Systemic Intuition 177 13 How Systems Could Be Intuitively Seen 178 13.1 The Systemic Yoyo Model 179 13.2 Properties of Systemic Yoyo Fields 185 13.3 Interactions of Systemic Fields 189 13.4 Laws on State of Motion 194 13.5 Remarks 200 13.5.1 How Calculus, a Pinnacle Achievement of Science, Was Made Possible? 200 13.5.2 Usefulness of Intuition 201 13.5.3 Validity of Figurative Analysis 202 References 204 14 Whole Evolutions, Where Systemic Yoyos Come from 206 14.1 Blown-Ups: Moments of Transition in Evolutions 206 14.2 Properties of Blown-Ups 208 14.2.1 Blown-Ups of Quadratic Models 209 14.2.2 Blown-Up Properties of nth Degree Polynomial Models, n ge3 212 14.2.3 Blown-up of Nonlinear Time–Space Evolution Equations 215 14.3 Issues Facing Quantitative Infinity 216 14.3.1 An Implicit Transformation Between Euclidean Spaces and Curvature Spaces 217 14.3.2 Motions Represented by General Dynamic System 220 14.3.3 Wave Motions Versus Eddy Motions 222 14.4 Equal Quantitative Movements and Effects 225 14.5 Remarks 230 References 231 15 Some Empirical Justifications 233 15.1 Eddy Effects Caused by Changes in Density of Media of Movement 233 15.2 Conservation of Informational Infrastructure 238 15.2.1 Physical Essence of Dirac’s Large Number Hypothesis 239 15.2.2 The Angular Momentum Mystery of the Solar System 242 15.2.3 Movements of the Atmosphere on Earth 244 15.2.4 Conjecture of a Law of Conservation of Informational Infrastructure 245 15.2.5 Impacts of the New Law of Conservation 247 15.3 Bodily Communications that Can Be Felt Undoubtedly 249 15.3.1 Visual Stares 249 15.3.2 Reciprocal Impressions of People 250 15.4 Remarks 251 References 252 Applications in Business Decision Making 253 16 Economic Events and Processes 254 16.1 How Market Demand and Supply Interact with Each Other 255 16.2 Model Economic Cycles by Using Systemic Yoyos 258 16.3 Emergence of Market Competitions 260 16.4 Concluding Remarks 265 References 266 17 Issues of Competition 268 17.1 Some Background Information 269 17.2 The Market Conditions 270 17.3 Coordinated Monopoly and Stagnation in Expected Profits 275 17.4 Markets Change Faster and Customers Less Patient 279 17.5 Once Sustainable Competitive Advantages Become Transient 281 17.6 Conclusions 285 References 286 18 Some Issues of the Family 288 18.1 How Could Selfish People Behave Unselfishly 288 18.2 Two Mysterious Phenomena of the Family 296 18.3 Why Is Any Established Value System Imperfect? 301 18.4 Conclusions 307 References 308 19 Some Remarks on Organizational Efficiencies 309 19.1 The Question that Is to Be Addressed 310 19.2 Literature Review 310 19.3 Individuals’ Underlying Philosophical and Value Systems 312 19.4 Forever Existence of Inefficiency 316 19.5 One Possible Way to Achieve Managerial Efficiency 322 19.6 Principle of Organizational Inefficiency 323 19.7 Concluding Remarks 327 References 328 20 Dealing with Indecisive Customers Through Pricing 330 20.1 One Strategic Firm 331 20.2 All Firms Are Strategic 336 20.3 Which Price Strategy Leads to Higher Expected Profits? 340 20.4 Some Final Words 344 References 344 21 An Idea on How to Heighten the Competitive Spirits of Sales Associates 346 21.1 Sales Associates’ Compensation 348 21.2 Associates’ Sales at Cournot Equilibrium 350 21.3 Associates’ Payoffs at Cournot Equilibrium 353 21.4 Private Cost Information and Expected Incomes 354 21.5 Associates’ Incentive Weights 356 21.6 Remarks 357 References 358 22 Reducing the Adverse Effects of Speculative Capital 360 22.1 Categorizing Purchasing Power 361 22.2 Economic Sectors Defined Through Feedback Mechanism 363 22.3 The Main Result 367 22.4 A Strategy for National Defense 368 22.5 A Few Final Words 370 References 370 Index 371 Front Matter ....Pages i-xxiv Introduction (Jeffrey Yi-Lin Forrest)....Pages 1-21 Front Matter ....Pages 23-23 The Concept of General Systems (Jeffrey Yi-Lin Forrest)....Pages 25-39 Mappings and Constructions of Systems (Jeffrey Yi-Lin Forrest)....Pages 41-55 Connectedness (Jeffrey Yi-Lin Forrest)....Pages 57-67 Hierarchies—Construction of Large-Scale Systems (Jeffrey Yi-Lin Forrest)....Pages 69-80 Controllabilities (Jeffrey Yi-Lin Forrest)....Pages 81-91 Limit Systems (Jeffrey Yi-Lin Forrest)....Pages 93-101 Systems of Single Relations (Jeffrey Yi-Lin Forrest)....Pages 103-110 The Feedback Mechanism (Jeffrey Yi-Lin Forrest)....Pages 111-119 Properties Invariant Under Feedback (Jeffrey Yi-Lin Forrest)....Pages 121-130 Decoupling of Single-Relation Systems (Jeffrey Yi-Lin Forrest)....Pages 131-143 Decomposability Conditions (Jeffrey Yi-Lin Forrest)....Pages 145-162 Front Matter ....Pages 163-163 How Systems Could Be Intuitively Seen (Jeffrey Yi-Lin Forrest)....Pages 165-192 Whole Evolutions, Where Systemic Yoyos Come from (Jeffrey Yi-Lin Forrest)....Pages 193-219 Some Empirical Justifications (Jeffrey Yi-Lin Forrest)....Pages 221-240 Front Matter ....Pages 241-241 Economic Events and Processes (Jeffrey Yi-Lin Forrest)....Pages 243-256 Issues of Competition (Jeffrey Yi-Lin Forrest)....Pages 257-276 Some Issues of the Family (Jeffrey Yi-Lin Forrest)....Pages 277-297 Some Remarks on Organizational Efficiencies (Jeffrey Yi-Lin Forrest)....Pages 299-319 Dealing with Indecisive Customers Through Pricing (Jeffrey Yi-Lin Forrest)....Pages 321-336 An Idea on How to Heighten the Competitive Spirits of Sales Associates (Jeffrey Yi-Lin Forrest)....Pages 337-350 Reducing the Adverse Effects of Speculative Capital (Jeffrey Yi-Lin Forrest)....Pages 351-361 Back Matter ....Pages 363-370 "This book demonstrates the theoretical value and practical significance of systems science and its logic of thinking by presenting a rigorously developed foundation—a tool for intuitive reasoning, which is supported by both theory and empirical evidence, as well as practical applications in business decision making. Following a foundation of general systems theory, the book presents an applied method to intuitively learn system-sciences fundamentals. The third and final part examines applications of the yoyo model and the theoretical results developed earlier within the context of problems facing business decision makers by organically combining methods of traditional science, the first dimension of science, with those of systems science, the second dimension, as argued by George Klir in the 1990s. This text would benefit graduate students, researchers, or practitioners in the areas of mathematics, systems science or engineering, economics, and business decision science." -- Prové de l'editor