2/17/2010

INCREASED COMPLEXITY OF MANAGEMENT IN GLOBAL CORPORATE WORLD

What new techniques have become available that make the 1980s the era of the systems approach? There have been four developments that,when integrated with what we already know about managing,may give us a breakthrough in improving the management process.
Essentially,these four key factors developments are:--
1.The theory of information feedback systems
2.A better understanding of the decision making process
3.Operations research or management science techniques that permit an experimental or simulation approach to complex problems, and
4.The electronic computer.
A)INFORMATION FEEDBACK SYSTEMS:-
Basic to the understanding of the systems approach and to the design of management information systems is the concept of information feedback systems.This concept or theory is something more than our old exception principle.It explains the goal-seeking,self-correcting interplay between the parts of a system,whether the system is business, mechanical,or otherwise.Essentially,feedback systems are concerned with the way information is used for the purpose of control,and they apply not only to business or management systems but to engineering,biological,and many other types of systems.
B)DECISION MAKING:-
A development of extraordinary importance to building a foundation for the systems approach is the recent notion of automating or programming decisions.Indeed,this concept is at the very core of systems design,as we shall discover later.The notion of programming decisions by decision rule is now a basic consideration of management and information systems design.
C)MANAGEMENT SCIENCE:-
Closely allied to programmed decisions and decision rules are the techniques of management science.The techniques of management science combine with the computational ability of the computer to provide problem solutions that were not practical heretofore.A powerful tool of management science is simulation.Although this technique was used relatively infrequently prior to 1970,it offers great potential breakthroughs for applications of the systems approach.The technique involves construction of a mathematical model of the system under study.
D)THE ELECTRONIC COMPUTER:-
The fourth major development making the systems approach to management possible is the electronic digital computer.The arithmetic computations required in many problem-solving situations be economically undertaken.
Conclusion:-
The computer's capability to process and store information has outraced man's ability to design systems that adequately utilize this capability."Brainware" has fallen woefully behind "hardware."Unfortunately,it appears that the human talent available for the design of managerial applications will lag behind the technology of the computer for many years to come.In the past,managers sought information from miscellaneous-haphazard-sources and processed the information on a personal basis.It is a powerful method for aiding managers in solving problems and making decisions.

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