If we regard the figure as a realistic portrayal of the business cycle and we view the organization as if it were a system we can derive a clear context for business processes and can conclude that:
All organizations exist to fulfil a specific purpose and they need to be managed effectively to fulfil their purpose.
A system is set of elements interconnected for a purpose. In a system it is the interplay between the elements that produce the outputs, therefore the performance of the whole results from the interactions of the elements and cannot be predicted by analysing each element separately.
When we take a systems approach to management it means that we:
We can therefore express the relationship between the mission and vision, the management system, the results and the stakeholders the results are intended to satisfy as a business cycle as shown below. (Pass your mouse over the graphic and follow the links)
© Transition Support Last edit 23/05/2018
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