Topic 2: Managers and System Concept
Topic 2: Managers and System Concept
Managers and
System Concept
System
System
A system is defined as a group of elements
that work together to achieve an objective
System Elements
A system has basic elements such as
objectives, control mechanisms, input,
transformation and output
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System
An open system is a system that is connected to its
environment through the flow of resources.
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Model
A model is the representation of things like
an object, a concept or real activity known
as entity
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Model
Physical Model
representation of 3 dimensional entities, which can be
seen by the naked eye
Narrative Model
used by managers by explaining the entity through
oral and written communication
Graphical Model
used to visualise the entity via graphs, charts, forms,
symbols and lines
Mathematical Model
a formula or mathematical equation which consists of
a few variables and constants
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Physical System
A firm’s physical system transforms the
input resources to the output resources
and then returned to the same
environment
Material Flow
Personnel Flow
Machinery Flow
Monetary Flow
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Conceptual System
A conceptual system is a system that uses
conceptual resources which cannot be seen
physically to represent physical system
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Conceptual System
Information Dimensions
The manager evaluates output produced by
information processor based on four
information dimensions:
Relevant
Accurate
On Time
Complete
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Management Techniques
Help managers to execute their tasks efficiently and effectively:
Management by Exception
is applied when a manager takes an action only if an activity occurs out
of fixed performance and norms
can change according to time
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Environment
In the general system model, resource flow into
the firm from the environment and will return to
the environment after the transformation process
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Problem Solving
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Problem Solving
Internal constraint is limited resources in a
firm
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Problem Structure
Structured problem
is a problem that has certain elements and relationship between
the elements can be clearly understood and seen
Semi-structured problems
have parts of elements or relationships that are understandable
and parts that are not understandable
Non-structured problems
problems which are not understood by the manager and do not
have elements or relationships that are understood by the
problem solver
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System approach
System approach is the guide to solving a
problem step-by-step to ensure the
problem can be understood, an alternative
solution is identified and the solution
chosen is effective
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System approach
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