What does the term 'system school' refer to in management?

The term 'system school' in management emphasizes the interdependence of various components within an organization. It highlights how different subunits or departments do not function in isolation but instead work collaboratively to achieve common organizational goals. This perspective is rooted in systems theory, which posits that an organization is a complex entity made up of interconnected parts.

By viewing organizational elements as interconnected, the system school allows for a more comprehensive understanding of how the various functions and processes support one another. This approach is essential in management as it encourages cooperation and coordination among departments, leading to improved efficiency and problem-solving capabilities. Recognizing this interdependence is crucial for managers to effectively align resources and efforts across the organization, ensuring that tasks are accomplished collectively rather than in isolation.