A Systems Approach to Management

By a systems approach to management is meant the study of a firm in its totality so that the men and material resources of the firm can be organized to realize the firm's overall objectives as efficiently as possible. This approach is now becoming essential because of the growth of complexity of firms and the increasing potential of automatic computers. The systems approach to management implies that every manager should be much more precise about decision-making and information flow. For this to be effective, a company should have an overall system of corporate objectives. First a detailed systems study will be necessary to decide on the best objectives and then subsidiary systems must be set up to realize these objectives as efficiently as possible. This paper is directed at senior management and is a simple attempt to emphasize the urgent need to apply the systems approach, both in government and industry.