Here’s how our system dynamics-based model works.
1. We build a structural causal model.
A structural causal model provides a comprehensive overview of the system from a bird’s-eye view. It is a model that depicts human decision-making – not just this is how it theoretically should go, but this is how it’s actually done. The model is completely transparent, and we always build it in collaboration with the client, learning decision-making rules through interviews with experts and by data analysis.
2. We run simulations to assess and test different scenarios.
Simulation is a risk-free way to test how different measures or events are expected to affect the whole situation or a scenario. Unexpected side effects may emerge, or new information is gained on expected effects – for example when and how much the subject of interest, such as price, demand, export volume, or cost, changes. Simulations provide confidence in decision-making and aid in risk management.
3. We come up with tangible solutions that can be put to practice immediately.
Our solutions help you describe and understand the behaviour of your operating environment and avoid unwanted side effects and risks in decision-making. We support you and your organisation in running, shaping, and interpreting scenarios, and making solid conclusions from them. All in all, you get a powerful tool for improving your operations, and a fresh perspective that leads to the confidence to make the right decisions.
The main benefits of working with us.
Predict shifts in your operating environment, avoid unnecessary risks, and look around the corner of the business cycle!
Easier decision-making
Obtain a fresh perspective that leads to the confidence to respond to challenges in the best possible way – not only when and how, but also why.
Solving and mitigating problems
Gain valuable insights on cause-and-effect relationships, system principles, and where the current situation is leading and how it can and should be influenced.
Better bottom line
Achieve more value and better quality with what you already have in use, and stay ahead of the competition.
More insights to your operation
Get fresh data-based analysis that is pertinent to the situation at hand and valuable permanent insights into your whole business.
How does our method compare to other analysis and foresight tools?
| Question | Systems thinking / system dynamics | Artificial intelligence (AI) | Econometric approaches |
|---|---|---|---|
| Does the underlying problem need to be clearly understood in its broader context? | Most suitable: Provides a holistic understanding, offering transparency into underlying assumptions and system interconnections. | Least suitable: Often relies on opaque, “black box” models, limiting transparency. | Moderately suitable: Offers transparency but is limited to linear relationships and lacks feedback mechanisms. |
| Is the focus on long-term strategy and understanding how actions influence future outcomes? | Most suitable: Captures long-term strategic feedbacks, helping to understand the impact of decisions over time. | Less suitable: Primarily focused on short- to medium-term predictions and outcomes. | Less suitable: Primarily suitable for short-term forecasts, lacking focus on strategic, long-term effects. |
| Is the problem complex and dynamic, requiring understanding of feedback loops and time delays? | Most suitable: Captures feedback loops, delays, and non-linear behavior for dynamic problems. | Moderately suitable: Handles complexity but lacks system-wide feedback awareness and temporal dynamics. | Least suitable: Focuses on linear relationships and historical trends, unsuitable for dynamic systems. |
| Is the problem data-driven, with a need for pattern recognition and correlations? | Least suitable: Focuses on qualitative and systemic aspects as well, making it less suitable for purely data-driven problems. | Most suitable: Excels at identifying patterns and correlations within large datasets. | Moderately suitable: Effective for analysing historical data trends but lacks predictive power for complex systems. |
| Is there a scarcity of high-quality data available to support decision-making? | Most suitable: Works effectively with limited or qualitative data, using causal structure to inform decisions. | Least suitable: Requires large, high-quality datasets for accurate predictions, making it less effective with limited data. | Moderately suitable: Limited by the availability of reliable, high-quality data but can still provide insights. |
A variety of industries have benefited from our solutions.
Process industry
STE Analytics has been a reliable partner to the forest, chemical, and energy industries for many years, and recently we have actively expanded our expertise also into the metal industry.
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Other industries
Our solutions and tools are used in for example agriculture and engineering for foresight, risk management, strategic work, and much more.
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Service sector
We provide expert analytical services to companies in the service sector, helping them achieve better efficiency and customer satisfaction.
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Public and societal services
STE Analytics has established itself as a trusted partner to the public sector. We are committed to supporting social and healthcare service providers in their challenges.
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More value and better quality.
Foresight and risk management
By employing a structural causal model designed by us, you can consider a much broader range of undesirable side effects than might otherwise come to mind. It enables effective risk management and anticipating the undesirable consequences of seemingly right decisions.
Data-driven leadership
Co-operation with us happens at the executive level. When needed, we are able to offer continuous proactive insights into market variables and their contributing factors. Your whole executive leadership will receive tools for addressing recurring problems in the best possible way, minimising undesirable side effects.
Strategy development
We provide you with a transparent model that depicts your operating environment. With the support of STE Analytics, you can drive, shape, interpret, and draw conclusions from various possible scenarios, and make the best possible strategic decisions.
Resource allocation
Our solutions help you in identifying local leverage points, and if a specific outcome is desired, you can easily determine which action most effectively leads to it. No more wasted resources due to insufficient insight.
