Open Systems

In: Business and Management

Submitted By pauls5321
Words 1197
Pages 5
Open Systems Concept
Applied Management Concepts
ADM-510

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Open Systems Concept There are many models that affect business and one of them that has been examined for more than fifty years is the systems model of business. In this paper, the authors will examine what the open systems model is versus the closed systems model. The authors will also explain how these systems impact decision-making within an organization, and how The Vera Bradley Company makes decisions in light of using the open systems approach. “A system is commonly defined as a group of interacting units or elements that have a common purpose” (Heil, 2006). Systems theory can be divided into two categories: closed versus open systems. Ludwig von Bertanlanffy, a biologist, initially developed open system theory and it became readily apparent that it was immediately applicable across all disciplines. It defines the concept of a system, where "all systems are characterized by an assemblage or combination of parts whose relations make them interdependent ("General systems theory," 1968). Before the 1960’s, most businesses focused on more of a closed system of business in which the organization was independent from the outside world. During the 1960’s, the open system theory was further developed. This theory explained how businesses were…...

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