The Systems Theory

Systems Theory Summary:

The systems theory (1960-1980) states that the structures of organizations are open systems which are influenced by interdependent variables that rely on openness and feedback. A systems organization provides every worker with consciously coordinated activities or forces to achieve an agreed upon outcome

Assumptions of the Systems Theory:

·  Epistemological Assumptions (study of knowledge)

- Groups will use processes and their resources within their environmentto develop the desired outputs

·  Ontological Assumptions (study of the state of being: identities)

- The theory is deterministic, because the environment and the resources provide the processes that are used to gain the desired outputs

·  Organizations follow the ideas of equifinality and entropy

-Equifinality is the idea that multiple paths lead to the same outcome

-Entropy is the belief that an organization needs to import new energies and ideas in order to avoid deterioration and disintegration

·  Every organization is dependent on its environment

-The environment provides raw material and other inputs while the organization produces the outputs

-Tightly knit parts of the organization influence each other directly while loosely knit parts of the organization are more interdependent of one another

·  Organizations should focus on the process that shapes their activities and structures

- Activities and structures of an organization should be able to adapt to their customers and anticipate what they will want and/or need in the future

·  “System” might but assumed to mean harmony and unity, but this is not always the case

·  Organizations should believe in “wholeness”

- Each organization is viewed as a part of a larger system and composed of smaller subsystems

- Every worker in the organization should be doing their part to achieve a common goal that is central to the overall objective of the organization

Characteristic Patterns of the Systems Theory:

·  Organizations function like a living organization

- All parts of the organization are interdependent

- Organizations have ups and downs—similar to human beings

- Organizations must balance stability and adaption to compete with competitors

·  Groups can be open systems

- Systems are defined as a set of actions that affect one another within an environment and form a larger pattern that is different from any of the other parts

- Groups are deterministic due to the environment and resources which provided the processes that are used to gain the correct outputs

- Each group is influenced by such independent variables, i.e.: interdependence and the input/output process

- Feedback between workers provides the ability for monitoring and adjustment

·  Groups can be closed systems

·  Systems consists of objects in an environment that exhibit an internal relationship among other objects

- Objects are defined as parts, elements or variables that are both physical and abstract

- Systems rely on the wholeness and interdependence, focusing on the idea that the whole of an organization is more than the sum of all the interdependent parts

·  Systems theory focuses on correlations, supra- and sub-systems, chains of influence, and cause and effect

- Goals are achieved through lines, communes, and hierarchies

- Communication is perceived as an integrated process rather than an isolated event

- Each part of the organization affect and is affected by the other parts

Systems Theorists and Practitioners:

·  Ludwig von Bertalanffy: biologist/developer of systems theory

·  Nikolas Luhmann; German sociologist and systems theorist

·  Used by both Marx and Darwin in their development of theories

Network Analysis in Open Systems Theory:

·  Network Roles

- Group or clique members: most important

1. Rely on interaction and interdependence

2. Made up of subgroups and cliques

3. Relies on coordination and relationships

4. Wholeness

- Bridge: most important

1. Connects one variable to another (interaction)

2. Transfers feedback from environment and from within the system

- Isolate: least important

1. No feedback/openness

2. No groups or interactions

·  Dimensions of Analysis for Individuals

- Connectedness and Accessibility: most important

1. Chains of influence supra and sub-systems

2. Based on feedback which relies on connectedness and accessibility

3. Each part affected by each other—outcome is a product of multiple

actions

- Centrality: least important

1. No real hierarchy in systems

2. All parts work together

3. The common goal is central, not an individual

·  Dimensions of Analysis for Dyads

- All elements important: strength, symmetry, directions, stability, multiplexity and openness.

- Openness: most important

1. Everyone is connected to everyone and reflects ideas of each other

2. Rely on feedback from environment and between workers

- Stability: most important

1. Environment needs stability and openness and can adjust based on feedback

2. Must balance stability and adaption to compete with competitors

·  Dimensions of Analysis for Whole Networks

- Clustering: most important

1. Subgroups and cliques make up system like a living organism

2. All parts are part of a larger system which is composed of smaller

subsystems.

- Most of communication: most important

1. Feedback

- Size: least important

1. Not relevant to how a system works

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