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Management article
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Reference no. 62311
Published by: Harvard Business Publishing
Published in: "Harvard Business Review", 1962
Length: 7 pages

Abstract

Companies and organizations are turning to systems theory to resolve problems. Its use can be exemplified by a parable of how a restaurant owner resolved his human relations problems through the use of a spindle in his ordering system. The spindle served to streamline operations by performing functions of memory, buffering, queuing, and adjustment of overload. The identification of problems as information breakdowns is a new frame of reference for business analysts. Because it is possible to view business as an information processing system, it is possible to simulate the information flow on digital computers, and to learn what effect and costs would be involved in change.

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Abstract

Companies and organizations are turning to systems theory to resolve problems. Its use can be exemplified by a parable of how a restaurant owner resolved his human relations problems through the use of a spindle in his ordering system. The spindle served to streamline operations by performing functions of memory, buffering, queuing, and adjustment of overload. The identification of problems as information breakdowns is a new frame of reference for business analysts. Because it is possible to view business as an information processing system, it is possible to simulate the information flow on digital computers, and to learn what effect and costs would be involved in change.

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