System views of management associates with the Management division of the organization and it assumes that all of the organizations are systems, whereas all of the systems are sub-systems of larger systems. Here the the question is how a sub-system adjusts and meets the needs of the larger system. It clearly defines whether the sub-system is going to gain the prosperity or hit the ground. Before talking about the system views of management, lets see the some basic concepts of management and system.
Managing System is another way to overview the job responsibilities of a manager such as how the manager performs certain actions for the betterment of management systems and the organization.
A set of interdependent and interconnected objects ordered as a compilation is called as System, a concept taken from physical science that is applied to the organizations. There are two basic types of system that are closed system and opened system.
The system that cannot be interacted or influenced by the environment is called as the closed system.
The system, which is dependent on the outer effects of atmosphere, is known as open system.
Nowadays, Open System has been widely used across a great range of organizations, because of its continuous interaction with the outer environment. Actually, when the organization is connected with the environment, then it helps in having a deep insight into needs, approaches, manners and new trends of the environment. At some point, these things help the organization build a new innovative goal that would be beneficial for both, i.e. the organization and the environment.
System Views of Management Theory
The system views of management theory is a technique based upon the idea that the organization are imagined as the systems of correlated parts or subsystems to be operated as a whole for the achievement of common and similar targets and goals.
Variety of manpower, raw material, equipment and information resources required for production of goods and services.
- Transformation process
Technological and Managerial abilities of an organization, applied to change input into the output is called as Transformation process.
Final production and by-production resulted through the transformation process in the form of product or services of the organization are called as Output.
Feedback always determines the reaction of final users. Here the feedback will be the response of final consumers of the products or services.
Open v/s Closed System
The interaction of the system with its environment in related degree is indicated through these terms. There are only few systems that are completely open or completely closed ones. Open systems have continuous interaction with its environment for feedback and closed systems have a very low degree of interaction regarding feedback to its environment. Two major specifications of the open systems are described as:
- Negative Entropy
The ability of an open system that brings the innovation and energy in the way of feedback mechanism and input is called as Negative Entropy.
It is the ability of the organization that is the sum of all parts of working areas.
It provides the suggestion to the managers that they can be more successful, if they try to operate their units and areas under the open systems than closed ones.