In order to meet the needs of water-saving society development, the system dynamics method and the Cobb-Douglas (C-D) production function were combined to build a supply and demand model for urban industrial water use. In this model, the industrial water demand function is expressed as the sum of the general industrial water demand and the power industry water demand, the urban water supply function is expressed as the Cobb-Douglas production function, investment and labor input are used as the control variables, and the difference between supply and demand in various situations is simulated by adjusting their values. In addition, the system simulation is conducted for Suzhou City, Jiangsu Province, China, with 16 sets of different, carefully designed investment and labor input combinations for exploring a most suitable combination of industrial water supply and demand in Suzhou. We divide the results of prediction into four categories: supply less than demand, supply equals demand, supply exceeds demand, and supply much larger than demand. The balance between supply and demand is a most suitable setting for Suzhou City to develop, and the next is the type in which the supply exceeds demand. The other two types cannot meet the development requirements. We concluded that it is easier to adjust the investment than to adjust the labor input when adjusting the control variables to change the industrial water supply. While drawing the ideal combination of investment and labor input, a reasonable range of investment and labor input is also provided: the scope of investment adjustment is 0.6I 0 − 1.1I 0 , and the adjustment range of labor input is 0.5P 0 − 1.2P 0 .Sustainability 2019, 11, 5893 2 of 18 include the quota method and the sampling method. The sampling method has a higher difficulty in selecting the typical samples and is not easy to implement [4]. Therefore, the quota method has been become widely employed in the research of industrial water consumption.With the development of the society, "set production by water and set the city by water" is an inevitable trend in the future. In terms of urban water management, many scholars have conducted a variety of research. They tried to use different methods to model water supply and demand balance. Idowu et al.[5] studied the Abeokuta and suburban drinking water supply systems in the southwestern part of Nigeria, estimating the water demand based on population growth and per capita water use in 2030. Kralisch [6] proposed the use of neural network methods to solve the balance between urban water diversion and efficiency of agricultural water. Ahmed Saad Al-Shutayri et al.[7] analyze a scenario-based modeling used in conjunction with Water Evaluation and Planning (WEAP) software to find the best combination of scenarios that meet future water demands. They think this model can analyze the unmet water demands, water demand, supply delivered, and supply requirement for each scenario. Malika Kahlerras et al. [8] build the WEAP model to assess and analyze the current an...