Systems Theory and Human Relations

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Hamilton Acorn presentation on Systems Theory and Human Relations

Systems theory within organisations states that businesses retrieve inputs from the external environment, transform these inputs from processes and procedures and then out put them back into the environment. Below is a diagram to illustrate this with examples of each.

The inputs generally come from other organistaions outputs, and the outputs of organisations tend to become inputs for other organisations. Within the organisation as a system, each of the different transformation activities may themselves may be looked at as individual sub-systems with their own inputs-transformations-outputs. They may also be looked at to interact with different sub-systems. The 5 main sub-systems are as follows:

Task – goals and objectives of the company
Technology – the tools and knowledge in which are used to carry out tasks •People – attitudes, skills, needs etc
Structure – both formal and informal, flow of authority, grapevine etc •Management – co-ordination of the other 4 sub-systems and interactions with outside world

Human relations approach pays greater attention to the social factors at work and the behaviour of employees. Employees come to work for more than just monetary needs, they come to interact with each other also. Therefore employees need to be able to interact with each other and not be excluded, Hamiltons work plan enables this and also encourages this. One way by which Hamilton uses this approach is by humanising the workplace, recognising the importance of the informal structure and also giving concern for the manufacturing staff. Hamilton does many things to humanise the workplace, such as: •Regular walk abouts by directors

Quarterly updates/briefs
Nights of social events such as Christmas funded by the company •Attend certain MDW meetings
Works council to communicate to management about certain issues on shop floor •Birthdays always...
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