Systems Thinking in Policy Design – 20 Feb 2025

Systems thinking is increasingly being recognised as a powerful tool that can support policy development. Systems thinking helps explain why some policy interventions, that do not make use of it, achieve few of their desirable outcomes. It also shows how well targeted interventions can produce a very substantial return on investment. It can help identify where unintended consequences might arise and can improve planning for monitoring and evaluation. It strengthens the case for involving a wide range of stakeholders to co-design a policy and for adopting an iterative and agile approach to policy.

The success of a policy intervention often relies on collective action taken across organisational boundaries, even the boundaries between economic sectors. Systems thinking can help clarify where actions might make the most difference and where there is scope for synergy. Systems in which policies operate have multiple drivers, elements, interconnections, and stakeholders with often conflicting viewpoints. In systems thinking, a system is much more than the sum of its individual parts; it is the connections between the elements of the system that are critical. With a systems perspective we can consider where actions might have more leverage and achieve greater value for money.