A Simple Example of How System Dynamics Modeling C
A Simple Example of How System Dynamics Modeling C
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The field of system dynamics grew out of engineering feedback control systems
and electronics and, over the past 40 years, use of this approach has spread to a
number of other fields. Within the past 10 years further use of this approach has
been aided by the development of graphical modeling environments such as
Stella, VenSim, and PowerSim. While mathematical and computer modeling
have long been an integral part of fisheries management, use of system dynamics
modeling in fisheries is relatively rare. The biomass dynamic model of Schaefer
is a simple model familiar to fisheries professionals, and forms the basis of
several similar models. It provides a simple example of how system dynamics
modeling encourages an explicit representation of model structure, and mediates
discussion and modification of a model.
Introductory Comments
Ecological and natural resource systems have been subjects of interest for fifty years or more.
Over this same period techniques for the analysis of system structure and dynamics have been
refined. Approaches for the study of systems emerged as a distinct field within engineering:
system dynamics. Subsequently system dynamics was applied to management science and
other fields. Most system dynamics workers recognize Jay W. Forrester as the father of
system dynamics and his classic, Industrial Dynamics (Forrester 1961), was probably the first
highly detailed application of system dynamics techniques to non-engineering problems. This
was later followed by Urban Dynamics (Forrester 1969) and by World Dynamics (Forrester
1971) which was a precursor to the well known Limits to Growth models (Meadows et al
1972)4. These and other works helped to establish the idea that system dynamics modeling
not only helps us describe and understand systems, but can be useful in exploring possible
scenarios to solve complex real world problems, including those involving human behavior
and soft variables.
Various systems approaches have been used in ecology and natural resource management for
many years (e.g. Watt 1968, Patten 1971, Holling 1978, Walters 1986). The need for, and
utility of, these approaches have recently been summarized by Grant (1998). Academic
interest in systems approaches to natural resource management seems inconsistent with the
relative scarcity of actual application of these approaches for solving fishery management
problems. Increased application of the relatively standardized, simple, yet rigorous approach
of Forrester may help alleviate this scarcity. Some recent examples of application of the
system dynamics modeling approach to fisheries management are Ruth and Lindholm (1996)
and Holland and Brazee (1996).
The importance of improving our ability to manage dynamic natural resource systems has
been recently pointed out by Moxnes (1998a, b). In simulation settings he found that would-
be managers, including those well trained in population dynamics, consistently overharvested
a model stock even when given cash rewards for proper management.
In some senses system dynamics can be viewed as a quasi- standardized framework (i.e. the
stock flow modeling paradigm and associated rules) within which systems, and the human
1
For presentation at the 129th Annual Meeting of the American Fisheries Society, Charlotte,
North Carolina. August 1999.
2
Jalan Pangrango 6, Bogor, Indonesia. [email protected]
3
One Smith Road, Hanover, NH 03755 Chris.S.Soderquist@@pontifexconsulting.com
4
Which, more recently, was followed up with Beyond the Limits (Meadows et al 1992).
policies that drive many of them, can be rigorously examined. By stretching this point a bit
we could say that, just as statistics provides a framework for examining data, system
dynamics could provide a framework for examining systems.
Forrester's system dynamics approach utilizes stock and flow modeling which follows
variables over time. Calculations are accomplished via numerical integration over short
solution intervals (e.g. ∆t) which requires computing power and appropriate software. During
the 60's and 70's the software used was usually DYNAMO. During the 1980's system
dynamics software developers took advantage of the new computing capabilities. Current
software allows onscreen creation of the model structure of stocks, flows and auxiliary
variables, and has convenient user interfaces allowing detailed examination of very complex
model structures and output.5 These improvements have drastically improved the
accessibility of this modeling approach.
The Schaefer biomass dynamic model provides a simple example, with which we are all
familiar, of how a system dynamics modeling approach can help to:
The typical formulation of the Schaefer model (Schaefer 1954) equates the rate of change of
population biomass to inflows of biomass minus biomass outflows. It is typically presented
as follows:
dB B
= rB1 − − qEB
dt k
this simplest of models is not something we could present profitably in a public forum for
discussion.
This illustrates one way in which system dynamics modeling differs from many other forms
of modeling: the system dynamics modeler generally tries to formulate each component of a
model separately, defines the structure linking components and then "lets the software do the
talking". Mathematical modelers, on the other hand strive to develop one summary "elegant"
equation that will calculate the answer for a particular set of inputs. Other forms of modeling
are, perhaps, somewhere in between. While other forms of computer modeling appear to
5
Some examples of such software are:
Stella - High Performance Systems, Inc., 45 Lyme Road, Suite 200, Hanover, NH 03755,
USA. http://www.hps-inc.com
VenSim - Ventana Systems, Inc., 60 Jacob Gates Road, Harvard MA 01451, USA.
http://www.vensim.com
PowerSim - Powersim Corporation, 1175 Herndon Parkway, Suite 600, Herndon, VA 20170
http://www.powersim.com/
We have all seen the above equation, and probably have examined the underlying logic. We
recall that the rate of increase with respect to time is equal to biomass times the constant r.
That -qEB represents the removal of biomass as catch is also obvious. But why is that extra r
in the outflow side, and what exactly is the meaning of B2?
Presented in a typical system dynamics stock and flow diagram (Figure 1) the biomass
dynamic model seems much clearer and the mathematical formulation of each component is
explicitly stated.6
In answer to the questions posed above, firstly we can clearly see that r, the rate of increase,
also equals the rate of decrease in the absence of fishing. That is, the inflow to biomass must
equal normal outflow when there is no catch.
UNITS OF
FISHING GEAR
GEAR E EFFICIENCY q
catch fraction
deaths
RATE OF INCREASE r
ratio of current
biomass to
unfished NORMAL
biomass DEATH
FRACTION
BIOM ASS OF
UNFISHED
STOCK k <RATE OF INCREASE r>
Figure 1. A system dynamics model formulation (here the Schaefer biomass dynamic model) facilitates
examination of model structure and assumptions. The rectangle labeled Current Fish Biomass B is a
stock, or accumulation. Metaphorically, it is similar to a bathtub containing all the biomass. The thick
arrows are flows. Whatever accumulates in the bathtub flows in and out via these pipes. For example, the
"additions" flow adds biomass to the stock by flowing into the Current Fish Biomass B stock at a rate of
some amount of biomass per unit time (where time is the chosen time interval, ∆t).
To someone not familiar with the model it becomes clearer that in this model we have
assumed a proportional effect of fish biomass on deaths. That is , we have assumed that the
effect of current biomass on death fraction is equal to the biomass ratio B/k. In other words
we assume that natural death of biomass from the population is equal to the normal death
fraction r multiplied by B further multiplied by B/k.
rB 2
So the origin of becomes apparent as
k
B
"normal deaths" rB times the "effect of biomass on death" .
k
6
See page 13 for model equations.
15,000
5
10,000
4 56
3
4 5
3 4 6
3 45 45
5,000 3 4 4
2 6 3 3 5 3 5 34 3
4
34 34 34 34 3
2 6 5 5 5
2 2 5 5 5
2 2 6 2 2 2 2 2 2 2 2
6
6 6 6 6
1 1 1 1 1 1 1 1 1 1 1 1 61 61
0
0 5 10 15 20 25 30 35 40 45 50
Time (Year)
Figure 2. Example output from the Schaefer model for 6 fishing levels emphasizes the fact that system
dynamics models typically follow model variables over time.
This is a predictable result: the model is not dynamic, the rates do not change (except when
the user changes them). As expected, for each selected "units of fishing gear" an equilibrium
yield is reached, and as expected there is a maximum equilibrium yield obtained when the
stock biomass is 50% of the un-fished biomass.
While this result is not particularly surprising, it nevertheless, leads us to three important
points about this modeling approach:
Catch
10,000
150
Equilibrium catch
endpoints at each fishing level 10
0
0 25000 50000 75000 100000
Current Fish Biomass
Figure 3. Of course, data can also be presented in other formats. Here, time lines for each fishing
level terminate at each equilibrium catch. The traditional format of the model illustrates that
equilibrium catch is maximized at an intermediate biomass.
1) Might biomass ratio also have an effect on inflow to the stock? Perhaps as the
stock drops further from k then the intrinsic rate of increase would increase? Or
is the density dependency of the deaths a sufficient description of the system?
2) In the model the number of fishing units is fixed by the model operator. What
happens in the real world? Perhaps number of fishing units could be modeled as
being dependent on catch per unit?
3) How might one model agency decisions about numbers of fishing permits to be
issued in a limited entry fishery?
AVERAGE
VESSEL LIFE
SPAN IN FLEET
Units of
Fishing
entering or leaving fleet Gear E retiring from fleet
change efficiency
NORMAL RATE
OF VESSEL
ENTRY effect of cpue GEAR
EFFICIENCY
on vessel q
entry
catch fraction
cpue
look up table
cpue ratio
NORMAL
CPUE
deaths
RATE OF INCREASE r
effect of
BIOMASS OF relative NORMAL
UNFISHED biomass on DEATH
STOCK k death fraction FRACTION
Figure 4. A modification of the original model to reformulate "Units of fishing Gear E" as
a stock which grows more rapidly if cpue (catch per unit effort) is high.
This second suggestion (above) could be formulated as presented in Figure 4.7 Here we have
substituted a small sub-model in place of "units of fishing gear" which appeared in the
original model. In this sub-model "units of fishing gear" has been made dependent on catch
per unit effort (cpue). While we could use the actual ratio (of current cpue to that at
maximum equilibrium) or some multiplier, we chose instead to use a "lookup table or graph
input" which is presented in Figure 5.
Such graphs can be adjusted by the model user to indicate how the user thinks cpue (for
example) might affect the entry of new units of fishing gear into the fishery. This can make
the model clearer and facilitates increased participation from non-specialists. The lookup
table also reminds us that system dynamics modeling frees us from reliance on
mathematically tractable formulations.
7
See page 15 for model equations.
1
1
1
0 1
-10
0 1 2 3 4
cpue ratio
Figure 5. A lookup "table" showing the proposed relation between "cpue ratio" (x) and "effect of
cpue on vessel entry " (y). As with most lookup functions the point (1,1) defines the normal value; in
this case where there is no additional effect of cpue. Explicit statements regarding how each model
component is calculated allow improved discussion of the model by all stakeholders. Values of points
in the lookup function are provided in the model equation for "look up table " on page 15.
A) Baseline Scenario B) Start with One Fishing Unit and Virgin Stock
200 units
10,000 kg/Year
100,000 kg 6
4
150 units 4
7,500 kg/Year
75,000 kg 6
2 2 4
2
6 2
100 units 4 4
2
5,000 kg/Year 1 3 5 12 3 5 1 3 5 1 3 5 61 3 5 1 34 5 1 3 5 1 23 5 12 3 5 61 23 5 6 12 34 56 123 45 61 2
4 6 4 6 4 4
6 6
50,000 kg
50 units
2,500 kg/Year
25,000 kg
0 units 2
0 kg/Year
0 kg
0 5 10 15 20 25 30 35 40 45 50
Time (Year)
Figure 6. Two scenarios of the modified model showing the "baseline" (the straight lines), and a
scenario starting with one boat and a virgin stock of 100,000 kg. In the latter case the model will (as
currently structured) ultimately stabilize at the maximum equilibrium yield but only after overshooting
this goal by a considerable amount in terms of both catch and numbers of gear units.
2
2
3 3 2
1 1 3
50 kg/(units*Year)
3 3
5,000 kg/Year 3
1 2 34 1 2 34 1 2 34 1 2 34 1
100 units 4 2 3 1 1 1
1 3 1 3
50,000 kg 1 1
3 1 3 3 3
1 1
4
2 2
2
4 2 2
2 4
4 2 2 2 4 4 4
4 4 4 4 4
0 kg/(units*Year)
2,000 kg/Year
0 units
0 kg
0 5 10 15 20 25 30 35 40 45 50
Time (Year)
cpue 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 kg/(units*Year)
Catch C 2 2 2 2 2 2 2 2 2 2 2 2 2 2 2 2 2 2 kg/Year
Units of Fishing Gear 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 units
Current Fish Biomass 4 4 4 4 4 4 4 4 4 4 4 4 4 4 4 4 4 kg
Figure 7. This figure illustrates a scenario where the stock in in equilibrium with 50 vessels. Between
years 10 and 15 the effectiveness of the gear gradually increases by 50%. Here catch and number of
vessels initially increase, but of course eventually drop below the original value and eventually
approach a new equilibrium.
The baseline scenario uses equilibrium baseline values where the model is started with 100
vessels, and a stock size of 50,000 kg. This results in the straight lines shown in Figure 6.
Also presented in Figure 6 is a scenario of a new fishery where the model starts with one
vessel and a virgin stock. In this case the fishery grows beyond its maximum capacity and
later stabilizes.
In Figure 7 is another scenario, where the fish stock begins in equilibrium, but then, between
years 10 and 15, the gear effectiveness is increased by a total of 50%. As cpue rises more
vessels enter the fishery which, after a short peak, drive down the cpue, the overall catch, and
the fish population.
Even this simple model can be useful in gaining an understanding of how a fishery works. A
number of different scenarios could be investigated, and model structure could be modified.
How would product price effect the entry of vessels into the fishery? What about competing
products? What about other factors causing fluctuations in stock size?
Rather than having the number of vessels entering and leaving the fishery determined by the
cpue, we could assume that a management agency compares the actual stock to optimal stock
density and adjusts the number of units in the fishery accordingly. Such a model might be
formulated as in Figure 8.
In this formulation we assume that data are collected about the stock size which is compared
to the optimum stock size (or goal) which, in the basic model, is assumed to be 0.5 of the
maximum stock size. We assume that the agency considers changes as they occur and forms a
perception of the stock's status. This perception is the basis of new decisions about numbers
effect of perception
on fishing gear RATE OF INCREASE r
numbers
ratio of current
biomass to
perception unfished NORMAL
vs decision biomass DEATH
lookup FRACTION
BIOMASS OF
UNFISHED
STOCK k
<RATE OF INCREASE r>
difference
in status
perception
latest perception
of fishery status
Current change in
Perception of perception
Fishery by change in perception lookup
Management
TIME NEEDED
TO CHANGE
PERCEPTION
Figure 8. Additions (shown in bold) to the original model simulate adjustment to fishing
gear numbers by a management entity. In this case the management entity reviews population
status and then makes appropriate adjustments in fishing gear numbers.
of fishing units, and these decisions are eventually implemented. Two stocks are added to
the model: one specifying the "current perception by fishery management" and the other
specifying the current "units of fishing gear". The times over which perception and the units
of fishing gear gradually change are also specified.
In this model there are two look-up functions which are presented in the equations on page 16
and graphically on page 18.
If this model is started with one fishing gear unit and a virgin stock the scenario evolves as
presented in Figure 9.
A second scenario, where fishing gear effectiveness is gradually increased 50% between years
10 and 15, is presented in Figure 10. (This is the same scenario that was used in the first
model modification presented in Figure 7). As larger amounts of fish are removed from the
population by the improved gear the population ratio decreases and management adjusts the
fishing gear numbers accordingly. Unlike the first model modification, this structure
eventually returns the stock to the point of maximum equilibrium yield. Even with such
constant adjustment, however, the population takes many years to return to equilibrium.
One might feel that a faster response time by the management entity in changing its
perception and in implementing the new fishing gear numbers would improve the response of
Conclusions
Our point here is not that these models are particularly appropriate or special. In fact they are
merely simple examples. Our point is that the system dynamics approach is simple and
convenient for looking at a variety of complex issues facing fishery scientists. When used for
this purpose unexpected consequences of our decisions become clear, and reasons for these
consequences are revealed. The system dynamics approach provides a somewhat
standardized framework for developing models of many types. The approach is not limited to
biological systems and is ideal for interdisciplinary teamwork. Several authors have provided
guidelines for developing such models in group environments (e.g. Andersen and Richardson
1994, Richardson and Andersen 1995).
In today's world fishery management is often carried out by agencies with a mandate to obtain
and use input from a variety of stakeholders. Interested elements of the public and special
interest groups insist on having input into the fishery management decision making.
Enmeshed in this reality we have a real need to develop mechanisms which allow these
interest groups or stakeholders to participate in the overall management scheme, even when
this scheme is complex. System dynamics modeling provides one such mechanism where
modeling can be made more transparent to a variety of stakeholders, and will permit the
incorporation of their ideas and desires into management planning and execution.
3
3
3
4 3
3 3 3 3 3 3 3 3 3
3
100 kg/(units*Year) 3 4
2 2 2
100 units 2 4
2 2 2 4 4 4 4
1 1 4 4 2 4 2 4 2 2 2 2 2
4,000 kg/Year 1
4 4 4
50,000 kg
2
1
1
1
1 1 1 1 1 1 1 1 1 1 1 1
2
3
0 kg/(units*Year)
0 units
0 kg/Year 2
0 kg 2
3
Figure 9. When started with a single unit of gear and a virgin stock (100,000 kg) the
Managed Fishery formulation of the model approaches the expected equilibrium with only
minimal overshoot of the ultimate number of fishing gear (line 2).
Response of the Managed Fishery to a 50% Increase in Gear Efficiency During Years 10 to 15
100 kg/(units*Year)
8,000 kg/Year
200 units
100,000 kg
1 1 1 1 1 1
1
1
2 1
1
2
1
1
1
50 kg/(units*Year) 1 1
1
5,000 kg/Year 4 4 4 4
2
4
2 4 2 4 2
12341234 3 4 2
100 units 3 2
4 2
2
50,000 kg 4 3 2
4 2
23 4 2
4 4 23 2
4
3
3 3 3 3 3 3 3 3 3
0 kg/(units*Year)
2,000 kg/Year
0 units
0 kg
0 10 20 30 40 50 60 70 80 90 100
Time (Year)
Figure 10. The represents the response of the managed fishery when fishing gear
effectiveness increases by 50% over a five year period. Even though management regularly
monitors the population and adjusts fishing gear numbers, biomass and catch return to their
original maximum equilibrium values only after a considerable delay.
85 2 1
3
1
2
1
3 3
70 1 3
2
3 3 3 3
1 3 3 2 23 2 2 2
3 3 2 2 3 3 3
2 1 2 1 1 1
1 3 3 2 1 1 1
1 3 2 1 1 1
2 12 1 1
3 2
2 2 2 2
55 3
3
3
40
0 5 10 15 20 25 30 35 40 45 50 55 60 65 70 75 80 85 90 95 100
Time (Year)
60,000
Current Fish Biomass
3 3
3 2 2 2 2 2 1 1 1 1
3 2 1 12 2 1 1 1
2
3 2 31 3 3 3 2 2
50,000 1231231231 31 3 3 3 3 23 23 23
2 3 31
2 3
3
3 1
2
1 1
3 2
23 1
2 1
40,000 12
2
2 1
1 1
1 1
Line 1: baseline
30,000 Line 2: times to act are 0.5 years
Line 3: times to act are 0.1 years
20,000
0 5 10 15 20 25 30 35 40 45 50 55 60 65 70 75 80 85 90 95 100
Time (Year)
Figure 11. The effect of changing the management response times: "time needed to change
perception", and "time to implement." In the baseline scenario these are 2 years and 1 year
respectively. In the test scenarios these are both set to 0.5 years (line 2) and 0.1 years (line
3). A more rapid response time maintains the current fish biomass nearer to the target level,
but induces unexpected larger oscillations in units of fishing gear.
Andersen, David F., Richardson, George P. 1994. Scripts for Group Model Building.
International System Dynamics Conference Sterling, Scotland.
Forrester, Jay W. 1961. Industrial Dynamics. Portland, OR: Productivity Press. 464 pp.
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System Dynamics Review 2(11) 113-137.
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374 pp.
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Components added for model where cpue affects fishing gear entry and exit
(12) Units of Fishing Gear E= INTEG (entering or leaving fleet-retiring from fleet, 1)
Units: units
Number of units of fishing gear in the fishery.
Components added for model where a management entity determines fishing gear
numbers.
(10) proposed change in gear numbers= (Units of Fishing Gear * effect of perception on
fishing gear numbers)-Units of Fishing Gear
Units: units
The change in fishing gear numbers proposed by the management entity.
(13) Units of Fishing Gear= INTEG (changing fishing gear numbers, INITIAL
NUMBERS OF GEAR)
Units: units
Number of units of fishing gear in the fishery.
1
1
0 1
1
1
-5 1
-10
0 0.25 0.5 0.75 1
biomass ratio
2
Lookup function describing the effect of
current perception of fishery status
on
1.5
effect of perception on fishing gear numbers
effect of perception on
fishing gear numbers
1
1
1 1
0.5 1
0
-10 -5 0 5 10