The aim of this paper was to propose a system model that will lead to an efficient participation of a destination management organization (DMO) on the management of a tourism destination and will help to reach a consensus among stakeholders. It means a high efficiency of the Hospitality & Tourism industry, as well as a high level of visitors̕ satisfaction, low level of residents̕ irritation and a preservation of a cultural and natural potential of a tourism destination. The computer simulation model, which enables policy testing and the scenario analyses of the future development based on various policies and decisions, are presented in this paper. The main methodological approach used in this paper was system dynamics. This method helped to reveal the complexity of a tourism system and to identify connections among a number of stakeholders in a tourism destination. This method, which is based on the computer simulations, enabled not only the economic impacts evaluation, but also to reveal the sociocultural and environmental relations in a complex organism such as tourism destination. The system dynamics model was developed for the Region of South Bohemia, which is one of the leading tourism destinations in the Czech Republic. The model has also allowed an application of conditions for tourism development from neighbour Region of Upper Austria for a comparison of various tourism policies.