Organization as a system

Abstract

Organizations are components of society that create or mediate the creation of goods and services necessary for human existence. An organization is therefore a group of people working together to achieve common goals in order to produce a product for the customer. The concept of firm or enterprise is also defined in a narrower sense: these are organizations whose stated purpose is to make a profit from the sale of production. The enterprise is characterized by a certain type of activity, functional and technological organization, the capacity to produce certain goods, and economic and financial self-management. In a systemic approach, an organization can be considered as a system in which input quantities, state quantities and output quantities are distinguished. Input quantities are subject to a transformation process specific to each organization ("le savoir-faire" or "know-how" of the organization), based on methods by which the process is kept under control. The state margins characterize at any time the transformations or processes in the system. Output margins represent the realized product, which also includes added value (this is considered to be directly related to product quality).