Evolutionary Study on System Dynamics Model of Organizational Inertia in KIBS

This is the pilot study of adopting system dynamics model and method to demonstrate the organizational inertia of knowledge-intensive business services in perspective of dynamic evolution. This study aims to establish the causal feedback constructs and the corresponding dynamic models. It reveals that the motivation of enlarging the dimensions of organizational inertia from the structural inertia is that empirical practice demands the relevant modeling foundations. KIBS are regarded as the main study object in virtue of more uncertainties and complicatedly ever-changing environment in the modern society. The dynamic evolutionary processes of organizational inertia are highlighted by several causal feedback loops to illustrate that inertia is a two-edged sword that it is positive if change consistency and vice versa.