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Unit I 2nd Part System, Contingency, Types of Org 3rd Dec Upload - 2018

This document discusses management approaches and types of business organizations. It introduces systems thinking and compares the systems approach and contingency approach to management. The systems approach views an organization as an integrated set of interrelated elements working toward common goals. It considers both internal and external factors. A business is described as an open system that receives inputs from the environment, transforms them through internal processes, and produces outputs back to the environment. The key differences between open and closed systems are also summarized.

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Rajesh Singh Kumabam
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55 views19 pages

Unit I 2nd Part System, Contingency, Types of Org 3rd Dec Upload - 2018

This document discusses management approaches and types of business organizations. It introduces systems thinking and compares the systems approach and contingency approach to management. The systems approach views an organization as an integrated set of interrelated elements working toward common goals. It considers both internal and external factors. A business is described as an open system that receives inputs from the environment, transforms them through internal processes, and produces outputs back to the environment. The key differences between open and closed systems are also summarized.

Uploaded by

Rajesh Singh Kumabam
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
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UNIT 1

MANAGEMENT
By Rajesh Singh Kumabam
Content
 Introduction
 Management Approaches:
 System approach
 Contingency approach
 Business Organisation:
 Types of ownership .
Introduction
1 • Nothing exists in a vacuum

• Everything in our world, universe and


2 even galaxy, is somehow
interconnected and dependent on each
other and thus, things can become very
complex very quickly

• Which is why we need ‘systems


3 thinking’ to deal with these complex
issues
Systems Approach
Set of interrelated and inter dependent parts
coming towards a common
goals/cause/purpose which exists in the
environment
Eg. The human
body is a system
with all its organs,
muscles, bones
and conscious that
likes all its parts
Systems Approach

Eg. In a company
various
divisions/departments
work for a common
goal to achieve certain
well defined
objectives
Systems Approach
Integrating Approach
Considers management in its totality
based on empirical data
Basic idea
An organization must
rely on a method of
analysis involving
simultaneous
variations of mutually
dependable variables
Definition of a System

A system is an integrated set of


elements that are organized according
to a plan and function as a whole.
System Approach

Organization as a System receives Input, Transforms it through a Process for


Output and Operates in an Environment (Economic, Regulatory and Other
forces)
System Approach
Features of a System
A combination of different parts
(Subsystems)
Parts and subparts of a system are
mutually related to each other
Arrangement of parts and subparts
important
Boundary
Two boundary – Open & Closed system
System transforms inputs into outputs
Open and Closed Systems
Open System
Definition –
Any system
that
continuously
interacts with its
environment for
taking inputs
and giving
outputs
Characteristics - Open System
Importation of energy – Cannot survive
Throughput or transformation process
– inputs into outputs
Outputs – exports some outputs to the
environment
System as cycles of events
Negative Entropy – law suggesting all
organized forms move towards
disorganization and demise
Feedback mechanism
Characteristics - Open System

Steady state
Differentiation
Integration and Coordination
Equifinality
Closed System
A closed
system does
not interact
with its
environment
Characteristics of a Closed System
 No interaction with outside
environment
 No outside system impinges on it for
taking inputs or giving outputs
 Self-contained and self-maintaining –
Less complex to manage
 Generally mechanical in nature – Eg.
Automatic mechanical watch
 Closed loop and lacks feedback
mechanism – susceptible to entropic
process
Difference between open and closed systems

Dimension
1. Interaction

2. Maintenance

3. Feedback

4. Entropy

5. Continuity
Difference between open and closed systems
Dimension Open System Closed System

1. Interaction Continuous interaction with No interaction with environment


environment

2. Maintenance Inputs required for maintenance Self-maintaining


3. Feedback Continuous feedback No feedback mechanism
mechanism
4. Entropy Negative Entropy Highly susceptible to entropic process
5. Continuity Tends to have longer life cycle Tends to have shorter life cycle
Thank You

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