COMMERCE 1BA3 Lecture Notes - Lecture 29: Loose Coupling, Michael Degroote
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External environment: all events and conditions surrounding an organization that influence its activities. (ex. Things to pay attention to: increased competition, change in legislation (laws that affect my organization, human rights, meaning of loss of critical customer. Organization as open systems external environment, transform some of them, and send them back into the: organizations can be described as open systems that take inputs from the environment as outputs. (ex. Inputs students, the transformation- being taught, and learning, output becoming a well-educated professional to enter the workplace. ) Organization as closed systems: believe that organizations are perfectly self contained machine, function apart from and unaffected by what goes on around you. In loosely coupled organizations, employees have more autonomy and different departments may operate without much coordination between each other. Interest groups party or organization that has vested interest in how the organization is surviving.