Which management perspective conceptualizes an organization as a set of interconnected sub-components that continuously interact with their external environment?

Explanation

• Ludwig von Bertalanffy’s Systems Theory views an organization as an dynamic, open system composed of mutually dependent subsystems.
• It emphasizes that changes in one sub-component inevitably affect the entire organizational ecosystem operating through Inputs, Transformations, Outputs, and Feedback.
• An ‘Open System’ exchanges energy, resources, and feedback with its external environment, whereas a ‘Closed System’ operates isolated from external influences.