In a short essay, explain how the systems approach contributes to the understanding of management

What will be an ideal response?

Answer: A system is defined as a set of interrelated and interdependent parts that function together as a single unit, or unified whole. This view, which sees the goal of a system to function as a unit, is valuable because it puts managers' focus on (a) making sure that individual parts are the best they can be; (b) making sure that the coordination of the parts is optimal; and (c) making sure that the entire organization as a functioning unit is operating at optimal level.

The second aspect of the systems approach that helps inform managers is the idea that an organization is an open system–that is, an organization doesn't exist in isolation from the rest of the world. The organization has its boundaries, and within those boundaries, managers need to work to make sure that things are performing at an optimal level.

That said, managers also need to keep the outer environment in mind from which organizations obtain inputs and to which they provide outputs. Though managers have much less control of the outer environment than they do of the inner organization itself, paying attention to the outer world and how it relates to the organization can help the organization become successful.