Define the system concept. How does Management Information System (MTS) fit in it?
A system is defined as a sum total of individuals but inter-related parts (sub-systems), which are put together according to a specific scheme or plan, to achieve the pre-stated objectives.
A system has the following components:
1. A number of sub-systems which when put together in a specific manner form a whole system
2. Boundaries within which it exists
3. A specific goal or goals. This goal is expressed in terms of an output which is achieved by receiving input and processing it to form the output.
4. Closer inter-relationship and inter-dependency amongst the various sub-systems.
A system can be closed or open. A closed system is self-sufficient and self-regulatory and has no interaction with the environment in which it exists. The feedback from the output triggers off a control mechanism which then regulates the input to bring back the output to the desired level.
An open system is one which interacts with the environment in which it exists. All living, biological and social systems are examples of open systems. An organisation is an open system and its sub-systems are its various divisions and departments. But at the same time, it is a sub-system of the environmental
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