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Transcript of Systems theory
GENERAL SYSTEMS THEORY
Engr. Marvin Darius M. Lagasca
Professor: Jo B. BitonioME 215 Management of Change & Transition
Ludwig von Bertanlaffy
Put forward in 1968 a theory known as
General Systems Theory. The theory
attempted to provide alternatives to
conventional models of organization.
Principles of General Systems Theory
Laws that govern biological open systems can be applied to systems of any form.
Open-Systems Theory Principles– Parts that make up the system are interrelated.– Health of overall system is contingent on subsystem functioning.– Open systems import and export material from and to the
environment.– Permeable boundaries (materials can pass through)– Relative openness (system can regulate permeability)– Synergy (extra energy causes nonsummativity--whole is greater
than sum of parts)– Equifinality vs. “one best way.”
Systems Theory Emphasizes:
Synergy Interdependence Interconnections
– within the organization – between the organization and the environment
Organization as ORGANISM
General Theoretical Distinctions
Previous theories prescribe organizational behavior, organizational structure or managerial practice (prediction and control). MACHINE
Systems theory provides an analytical framework for viewing an organization in general (description and explanation). ORGANISM
Strengths
Recognizes . . .– interdependence of personnel– impact of environment on organizational structure and
function– effect of outside stakeholders on the organization
Focuses on environment and how changes can impact the organization
Seeks to explain “synergy” & “interdependence” Broadens the theoretical lens for viewing
organizational behavior.
Summary Systems Theory is NOT a prescriptive management theory Attempts to widen lens through which we examine and
understand organizational behavior Key Concepts
– Synergy– Interdependence– Interconnections– Organization is treated not as a machine but an
organism Organizations cannot separate from their environment Organizational teams or subsystems cannot operate in
isolation
Contingency Theory
First extension of Systems Theory into Management Practice - CONTINGENCY THEORY
There is no one best way to structure and manage organizations.
Structure and management are contingent on the nature of the environment in which the organization is situated.
Argues for “finding the best communication structure under a given set of environmental circumstances.
Two Contingency Theories Burns and Stalker (1968) Management of Innovation
– Organizational systems should vary based on the level of stability in the environment
– Two different types of management systems Mechanistic systems - appropriate for stable environment Organic systems - required in changing environments (unstable
conditions)– Management is the Dependent Variable
Variations in environmental factors lead to management
Lawrence and Lorsch (1969)– Key Issue is environmental uncertainty and information flow– Focus on exploring and improving the organization’s relationship
with the environment– Environment is characterized along a certainty-uncertainty
continuum