Abstract At present, most of the enterprises make use of a set of software system of Enterprise Resource Planning (ERP) in order to improve the internal management, and regards it as the nuclear information system. Their goal is to promote the enterprise's operational benefits (Hong and Kim, 2002) by the synthetic effects. Some enterprises induct do brings certain benefits after using the EPR. However, faces the current violent and competitive environment, the majority of ERP are not able to arrange the uses of resources effectively, which causes the enterprises unable to make the delivery dates of the customers¡¦ orders punctually or causes the enterprises¡¦ original profits reduced due to storing up too much stock for satisfy the delivery dates of the customers¡¦ orders. This research take a T Corporation, one of small and medium manufactures of Taiwan, as an example, this company uses the domestic well-known brand system of ERP as the main information system of the enterprise. After using the producing and managing module of ERP to plan its purchase policy of raw materials for a long time, the material inventory stay at a high level even after several years¡¦ adjustment. In addition, due to the price of copper fluctuated heavily frequently in recent years, not only the inventory cost can¡¦t be controlled well but also the orders are missed usually involving being unable to reflect the cost of raw materials on the customers¡¦ quotes immediately. Therefore, this research takes the System Dynamics which is good at solving the problems of dynamic complexity as a simulated research to practice the models¡¦ constructions and simulations and add the prosperity of system thinking into the business strategy to provides the quantifiable analogue result in order to strengthen the insufficient aspects of products and materials of EPR and to assist the enterprises¡¦ boss to solve those problems of dynamic complexity which are easily been neglect when makes operational strategies.

The Balanced Scorecard (BSC) facilitates managers to balance strategic focuses on four perspectives, on complex cause and effect relationships, and on developing more systemic aligned strategy. But some literatures showed that the BSC theory and practice had some limitations. The root of limitations is ¡§cause and effect are not closely related in time and space¡¨. And that will mislead managers to generate misperceptions of feedback information and execute wrong strategy. This research employs system dynamics as a method to overcome the limitations, and focuses on exploring the dynamic complexity of developing the BSC strategy. By two case studies, this research finds some opinions to conceptualize a theoretical framework, generate some dynamic pitfalls propositions, and summarize some dynamically aligned principles. By system dynamics method, this research builds qualitative and quantitative system dynamics models and inquires the cases¡¦ BSC strategy. And by case study method, this research follows qualitative research perspective to compare two cases and generate propositions. The conclusion, firstly, includes a conceptualized framework of ¡§improving the dynamic alignment of the balanced scorecard strategy in system dynamics¡¨, to support ¡§the theory of developing BSC with system dynamics¡¨ and enhance the long-term effectiveness of BSC strategy. Secondly, this research finds some dynamic pitfalls propositions. Lastly, this research discusses some implications on management, limitations, and future research.

Tidal current and wave power, as emerging forms of renewable generation, represent innovations that are confronted by significant technological and financial challenges. Currently, the marine energy sector finds itself in a decisive transition phase having developed full-scale technology demonstrators but still lacking proof of the concept in a commercial project environment. After the decades-long development process with larger than expected setbacks and delays, investors are discouraged because of high capital requirements and the uncertainty of future revenues. Although ideas for improving the investment climate can be found, there is a lack of well-founded arguments and coordinated strategies to work towards a breakthrough in the marine energy market. The objective of this research is to provide stakeholder-specific prioritised strategy options for de-risking the commercialisation of tidal current and wave power technologies. A key principle applied is to integrate a wide knowledge spectrum comprising the technology, policy and financing sectors and to compile the information in a holistic and transparent manner. To gain a broad understanding of the characteristics of presently ongoing marine energy activities and the correlated strategic planning, a comprehensive survey was conducted. Based on this multidisciplinary attempt, an all-encompassing appraisal was possible by avoiding over-concentration on stakeholder-specific views or interests. System dynamics modelling was employed to develop a series of cause-effect relationship diagrams of the key interactions and correlations in the field. It was revealed that the circular relationship between two major risks for array-scale projects - reliability and funding - requires coordinated action to overcome. As funding is necessary for improving system reliability (and vice-versa), showcasing 'array-scale success' was identified as the game-changing milestone towards commercial generation. Furthermore, it was found that a number of comparably competent manufacturing firms is required to implement major marine energy projects. This would result from fostering a multi-company market breakthrough concept, based on intensified knowledge sharing and trustful collaborative interaction between competitors. Additionally, effective separation of complexity into 'detail' and 'dynamically complex' constituents was found to be fundamental for identifying long-term, effective solutions. It is decisive to accept this primary classification, as measures appropriately applied on one type of complexity can be counterproductive if applied on the other. Most of the available planning tools and analytical methods do not address the management of dynamic complexity, necessary in innovative environments where flexibility and tolerance of vagueness are indispensable. Successful application of several strategies to deal with both types of complexity in comparable innovation-driven environments was considered suitable for de-risking the commercialisation of marine energy. The challenges for strategy-finding in a demandingly complex and increasingly dynamic environment are addressed in this research by exploiting a case-specific expert knowledge database. The structured information compression and subsequent strategy-finding process is realised based on calculated rankings of impact factors by systems dynamics software and substantiated by representative interview statements. The analysis makes use of multi-level expert knowledge and the application of a control-loop-based methods. The systems approach as applied in this research comprises the combination of interview-based (bottom-up learning) processes and the application of prioritised strategy options in the form of concerted management action (top-down planning). The approach of processing multi-level interview data by system dynamics modelling represents a powerful method to detect and assess ongoing developments and thus to advance strategy-finding. The systematic and unbiased approach to identify the top-level drivers for commercialising marine energy supports the long-term creation of investor confidence, based on a concept of transparency and credibility.

Abstract Strategy Map shows the cause and effect relationships diagram which is selected the goal projects of four perspectives from Balanced Scorecard (BSC) , it is a more advanced managed tool than BSC. But both have not contained the feedback circulation of the strategies also fail to judge and prove the influence of events¡¦ time delays , they are unable to simulate the complicated environment, to lack the strategy¡¦s simulation, and not to inspect the impact on performance of the strategy further. This research proceeds case study with the method of System Dynamics and uses ¡§the strategy¡¦s goal planning and dynamic decision procedure¡¨, it launches the case¡¦s Strategy Map and Balanced Scorecard then proceeds System Dynamics modeling, simulation , testing and analyzing, and proposes the conclusion of this research. This research discovers mainly as: 1. The use of Strategy Map and Balanced Scorecard can help system Dynamics to make the system boundary conveniently while the enterprise¡¦s strategy model are developing. 2. Strategy Map and Balanced Scorecard are static, simple, without positive and negative relationships, and one-way causality link from bottom to top. They pay close attention to the short-term goal and neglect the long-term goal, also don¡¦t consider the time delays, but System Dynamics can make up their deficiency. 3. The levels and auxiliaries of System Dynamics Model Structure can assist the measures of Balanced Scorecard to be instituted and be discussed. 4. The system thinking from System Dynamics can prove general objective and intuitional thought, also can get counterintuition. 5. Each KPI of Balanced Scorecard only knows the ¡§up and down¡¨ change in itself, doesn¡¦t understand the dynamic colloction between each other, from System Dynamics simulation can tell the influence of each other KPI. Finally, propound 5 points of this research: 1. To integrate the theories of strategy management for application. 2. To explain the changeful meaning of the performance indicator and to strengthen the performance management. 3. To assist the examing of the strategies to obtain proper decision. 4. To find the counterintuition which can help enterprises to dig unexpected questions out of the objective intuition. 5. To analyze the revenue of the strategy actions and the cost benefit, also to help the system of the budget and the strategies estimate.

With the changeable and complex business models, the enterprise needs high integration, flexibility and diversifies to face to the market changes. It is necessary to have a set of perfect integration management strategy in the globalization market environment. Strategy Maps provide the enterprise covert strategy a series of performance activities. With Balance Scorecard, the high level manager can realize the enterprise strategy execution result easily. However, Strategy Maps and Balance Scorecard are linear thinking which can¡¦t express what kind of the feedback of the strategy. Meanwhile, it is hard to explain and analysis the problems burst from the events delay. Enterprise management is dynamic not linear thinking mode. This research is provide the W company assembly planet better method to execute¡Bmanage and analysis with Strategy Maps and Balance Scorecard to solve dynamic problems. We use System Dynamics to solve dynamic complex problems. Also we can use System Dynamics to view the practical example utilizing the Strategy Maps, Balance Scorecard and supply chain management. In this research, we find the following points. Firstly, the Strategy Maps and Balance Scorecard is linear thinking. Secondly, the System Dynamics is possible the way to find out the key point of the problem. Thirdly, With the KPI variation can supply discover where the enterprise problem is. Fourthly, applying dynamic simulation can supply to solve enterprise management problem. Fifthly, VMI management can solve material reservation question, but it depends on the situation to the most profit. In the end, we have some contributions in this field. Management and strategy tools need integration. Then it is necessary to modify and change the strategies after they put into practice. Keyword¡GBalance Scorecard¡BStrategy Maps¡BSystem Dynamics¡BDynamic Complexity¡BSuply chain management

For the thinking of System Dynamics guidance the priority is the understanding and governing the Dynamic Complexity of management strategy in the enterprise operation, how to get over the maze of Dynamic Complexity in the field of strategy management has been becoming the necessary thinking, and also be required as the basic element of enterprise management for all remarkable entrepreneurs. Dynamic Complexity is existing in the nature (Marco Cycling), also embodying in each human being (Micro Cycling), which is changing in every mil-second, interacting and maintaining the cyclic operation in harmonic balance skillfully. As likely, the internal, external environment and conditions of the enterprise operation are also varing, inter-complementing, inter-restricting all the time so as to reciprocally create the constant rule of Causal Feedback. The philosophy concept and method of System Dynamics, System Thinking is completely furnishing a key to release the Dynamic Complexity, so the management strategy can be reviewed, integrated by this marco thinking to the fullness. General reviewing on the operation status of Small-Medium Enterprise (SME) in Taiwan are being become more strictly constricted by the marco economical environment and the owned resource of each self. The sustained years of enterprise operational life and the ratio of survived company numbers of SME are becoming lower-down year by year. Therefore, in the front of management the System Complexity has been more serious now, then how to find out a key to pass thru this maze is the focus of thinking in this thesys researching. By a Questionnaire Investigation in this study the Strategy Themes of SME in Taiwan have been selected by the management of bench-marking enterprises for which they are most concerning about, there-after the Strategy Themes of System Complexity on Strategy Map, Balanced Scorecard are infrastructed. The dynamic inter-relation of Strategy Themes are displayed in the four perspectives of Balanced Scorecard and Strategy Map, there-after the real example of an enterprise is substantially applied to illustrate KPI and target of Balanced Scorecard and the Action Plan in this study. The core of System Complexity for these Strategy Themes are guidied to study by the System Thinking of Causual Diagram, One General Diagram is arised and ten of Causual Diagram are constructed separately from it to present the inter-relative of these Strategy Themes connections, there-after ¡§Positive Loop¡¨ (Reinforcing Loop), Negative Loop (Balancing Loop), Time Delay in each Loop are reviewed and explained the presentation of its inter-relative and followed up the workable leverage solutions as per the experienced reality of business practice. The presentation in each Causual Diagram doesn¡¦t mean to only one implication exclusively, it is giving the management to have the non-linear, marco reviewing more widely on these Strategy Themes and it will be able to find out the solutions and settlement when they are facing or tired-up by the same or similar strategy concerns in the substantial of business operation. This will be the favorable way of the management to find out a key for getting over the maze of System Complexity. Keyword: System Dynamics, System Thinking, Dynamic Complexity, Balanced Scorecard, Strategy Map, Small-Medium Enterprise.

Due to Cable-TV by special permission with high restriction and monopolize that the customers forced to accept without choices. The result of customer satisfaction inquire unable to understand what¡¦s the enterprise real needed and expect of customer. Formerly scholar research of relationship and interaction between customer satisfaction and enterprise by using inquire tools and result for strategy. But, That¡¦s not only one condition to judge the customer satisfaction. Such as channel content, network quality, manner of customer service ¡K etc. The multi condition to judge of customer satisfaction for the enterprise. Because, Every condition has causality of an event or a situation. It¡¦s not easy to explain the complicated with time delay. The system thinking will be solved such as this case In my research. The purpose of research : 1. Using BSC(Balance Score Card) and strategy map for case analysis in my research and find out what¡¦s critical problem in this case. 2. Using SD(System Dynamic) to simulation what is causality between system and customer satisfaction. The simulation result will verify with real system and provide for decision.

In order to make company work efficiently, managers often divide an enterprise into several functions or departments, such as sales, marketing, human resource, finance and manufacture. However, in this structure, managers would fail to see the wood for the trees. Because each department manager has to be responsible for his own performance, which may easily leads these managers to make decisions that are fit for their department instead of the whole company. Therefore, it¡¦s impossible for companies to make an optimized decision in a dynamic environment. As we enlarge space and time, we can find out that decisions may influence one by another, and the feedback of each decision has a long time delay which makes the manager try to see the wood for the trees even harder. For one manager who tries to show up his performance in a short time will leave the side effect which caused by time delay to other people. What even worse is they can¡¦t predict how much side effect is behind. In this research, we used system dynamics and systems thinking to develop our system dynamics model for the case study. And we developed a MFS(management flight simulator) as a learning tool. Students who manipulate this MFS can enrich their ability to see the wood for the trees. In this case study, we choose a factory which provide electronic product assemble services as a research object. The company was established since AD 1989 until now. After first five years hard working time, it started to grow up stably by keeping changing the product and service. In this industry, success is relied on product quality, price, service and delivery time. Only by making the optimized decision in this competition market can gain better performance. This thesis simulated the case company surface mount technology plant from 1995 to 2006 for 12 years. Students can make different decisions to obtain different equity and capital equipment to evaluate their performance. By different result, simulators can reconsider the structure which is behind the game and their own mental models. After learning from this virtual world, players will find out that their own mental models influencing the final result. From the result and experience, one simulator can accumulate their know-how for the next game. After experiencing this double loop learning process, player will finally learn how to make the best decisions by systems thinking for the real world. Keywords : System Dynamics¡BSystems Thinking¡BDynamic Complexity¡BEnterprise Modeling¡BManagement Flight Simulator¡BSurface Mount Technology(SMT)¡BElectronic Manufacturing Services(EMS)

This dissertation investigates the dynamics that underlie enterprise performance and takes a significant step toward showing how it might be predicted. In a novel approach, a comprehensive Enterprise System Architecture (ESA) is developed that introduces separate layers for strategic and operational processes, respectfully. We identify four broad dimensions that contribute to and influence enterprise performance: (1) enterprise processes, (2) technology-based support of enterprise processes [denoted information systems], (3) technology structure and deployment [denoted information technology], and (4) Enterprise Architecture (EA). Detailed interviews were conducted with ten executives, mostly from the aerospace and defense industry, along with a web-based survey of aerospace and defense industry executives. We empirically determine a value for each dimension of maturity and individually assess it as a predictor of enterprise performance. ESA maturity is calculated as the weighted summation of each of dimensional maturity, and is also evaluated as a predictor of enterprise performance. Results indicate that ESA maturity, the weighted summation of process maturity, information systems maturity, information technology maturity, and enterprise architecture maturity, is a good predictor of enterprise performance. In order to provide some practical utility to our empirical results, we outline an ESA maturity assessment framework to enable decision-makers to assess the overall maturity of an enterprise system. Two other extensions of our research results, the development of a strategic layer analysis / portrayal tool, and enterprise system simulation, are also briefly described.

This dissertation studies decision theories for both individual and interactive choice problems. This thesis proposes three non-standard models that modify assumptions and settings of standard models. Chapter 1 provides an overview of this dissertation. In the second chapter I present a model of decision-making under uncertainty in which an agent is constrained in her cognitive ability to consider complex acts. The complexity of an act is identified by the corresponding partition of state space. The agent ranks acts according to the expected utility net of complexity cost. I introduce a new axiom called Aversion to Complexity, that depicts an agent's aversion to complex acts. This axiom, together with other modified classical expected utility axioms characterizes a Complexity Aversion Representation. In addition, I present applications to competitive markets with uncertainty and optimal contract design. The third Chapter discusses how a complexity averse agent measures the complexity cost of an act after she receives new information. I propose an updating rule for the complexity cost function called Minimal Complexity Updating. The idea is that if the agent is told that the true state must belong to a particular event, she needs not consider the complexity of an act outside of this event. The main result characterizes axiomatically the Minimal Complexity Aversion Representation. Lastly, I apply the idea of Minimal Complexity Updating to the theory of rational inattention. The last chapter deals with a variant model of fictitious play, in which each player has a perturbation term that measures to what extent his rival will stick to the rules of traditional fictitious play. I find that the empirical distribution can converge to a pure Nash equilibrium if the perturbation term is bounded. Furthermore, I introduce an updating rule for the perturbation term. I prove that if the perturbation term is updated in accordance with this rule, then play can converge to a pure Nash equilibrium. / Doctor of Philosophy / This dissertation studies decision theories for both individual and interactive choice problems. This thesis proposes three non-standard models that modify assumptions and settings of standard models. Chapter 1 provides an overview of this dissertation. In the second chapter I present a model of decision-making under uncertainty in which an agent is constrained in her cognitive ability to consider complex acts. The complexity of an act is identified by the corresponding partition of state space. The agent ranks acts according to the expected utility net of complexity cost. I introduce a new axiom called Aversion to Complexity, that depicts an agent's aversion to complex acts. This axiom, together with other modified classical expected utility axioms characterizes a Complexity Aversion Representation. In addition, I present applications to competitive markets with uncertainty and optimal contract design. The third Chapter discusses how a complexity averse agent measures the complexity cost of an act after she receives new information. I propose an updating rule for the complexity cost function called Minimal Complexity Updating. The idea is that if the agent is told that the true state must belong to a particular event, she needs not consider the complexity of an act outside of this event. The main result characterizes axiomatically the Minimal Complexity Aversion Representation. Lastly, I apply the idea of Minimal Complexity Updating to the theory of rational inattention. The last chapter deals with a variant model of fictitious play, in which each player has a perturbation term that measures to what extent his rival will stick to the rules of traditional fictitious play. I find that the empirical distribution can converge to a pure Nash equilibrium if the perturbation term is bounded. Furthermore, I introduce an updating rule for the perturbation term. I prove that if the perturbation term is updated in accordance with this rule, then play can converge to a pure Nash equilibrium.