Page 46 - DMGT402_MANAGEMENT_PRACTICES_AND_ORGANIZATIONAL_BEHAVIOUR

Unit 2: Development of Management Theories

2. A system is composed of several sub-systems: A system is composed of several sub-systems. Notes
For example, in a manufacturing organisation, total manufacturing is one system, within
which may exist a complete production system which again may contain an inventory
control system. Conversely, a system or sub-system may form part or container of other
system. For example, an individual who may be a part of one system, may also be a part
or container for another physiological system.
3. Every system has its own norms: Every system may be distinguished from other systems
in terms of objectives, processes, roles, structures, and norms of conduct. So, every system
is unique if anything happens in the organisation, we regard it as an outcome of a particular
system and we locate the fault in the system.
4. Systems are open: Almost all systems are open. Open system imports certain factor processes
them and exports them to the environment. Organisation is also an open system. It imports
matter, energy and information, from its environments, transforms or converts them into
a usable product or useful service and export that product or service to the environment.
This process of importing, transforming and exporting goes on indefinitely. Though the
organisation exports, they do not import all but retain some energy within themselves for
survival and growth. As they are open, they are to absorb shocks and influences from the
environment and those that are flexible respond to adapt themselves to the environment
situation.
5. Systems influence and are influenced by other systems: As systems are open, they influence
other systems in the environment depending upon its strengths and capacities in relation
to other systems. Obviously, the influence of environment, in most cases is greater than
the system’s over impact on the environment.

Concept of Sub-system in an Organisation

In the previous section, we have suggested that a system is an integrated whole of various
sub-systems. An organisation as a system can better be understood by identifying the various
sub-systems within it. The levels of systems within a sub-system are called sub-systems and
levels of systems within are identified by certain objectives, processes, role, structures and
norms of conduct. A system is composed of various lower order sub-systems and is also a part
of a super-system.

The various sub-systems of the system constitute the mutually dependent parts of the large
system, called organisation. These sub-systems interact, and through interaction create new
patterns of behaviour that are separate from, but related to, the patterns specified by original
system. The interdependence of different parts as characterised by Thompson, may be pooled,
sequential, or reciprocal. When dependence is not direct, it is pooled interdependence.

Example: An organisation, having sales divisions in different cities making their own
buying and selling, but drawing upon its common funds is an example of pooled interdependence.
When one sub-system is directly dependent upon another, it is sequential interdependence.
Such type of interdependence may be seen in production job or assembly line when output of
one sub-system is the input for the other department or sub-system. Reciprocal interdependence
refers to the situation where output of each unit becomes inputs for another such as in production
and maintenance divisions. Thus, system behaviour emerged as one, and since different variables
are mutually interdependent, the true influence of alerting one aspect of the system cannot be
determined by changing it alone.

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