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Open System Theory in Management

Open System Theory in Management

In this video, the presenter discusses the concept of open system theory, contrasting it with the older notion of closed systems in management.

Open systems emphasize the interaction between organizations and their environment, highlighting the importance of inputs, processes, outputs, and feedback. Drawing inspiration from biology, open system theory identifies common characteristics such as energy importation, cycles of events, information exchange, homeostasis, differentiation, and equifinality, which influence organizational behavior and longevity.

Can you think of any real-life examples where understanding open system theory could benefit a company?

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Introduction to Healthcare Management: Organisational Insights

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