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Case Study: System Analysis Assignment
Michael Whitener
Case Study: System Analysis Assignment
1. What is the cycle of production for this organization? i.e., what are we about as an organization?
Januziz Company which is a hypothetical name, is involved in the manufacturing business. As an organization, the company manufacturers finished consumer good that includes metallic products used in farms by the farmers to do their agriculture (Greenwood & Hinings, 2009). The raw material for the company is iron ore.
a. What do we bring in (input), how do we use it and form our product (throughput)?
The company relies on iron ore to produce its products. The iron ore is mined from different parts and transported to the company. Similarly, the company is recycling old metals to produce its products (Greenwood & Hinings, 2009). The company buys old metal, which is processed and fabricated into different products.
b. What do we send out into the larger world (output)?
The company produces assorted products from recycled metals that include hoes, pangas, slashers, speeds, shovel, tractors parts, and other spare parts of farm machines (Greenwood & Hinings, 2009). The output for the company is mainly farm equipment.
2. Are we open to negative feedback from the sub and super systems?
The company is located in a small town with a small population. The company is open to negative feedback, and it was because of this, it decided to focus on using old metals that are recycled to produce new equipment.
a. What are we doing to reverse the entropy of the system?
Januziz as a company contributes to the preservation of the environment by relying on old metals drawn from society. The company does not rely on mining iron ore, which degraded the environment during mining (Greenwood & Hinings, 2009). The company believes that using old recycled metal to produce its products contributes to upgrading entropy by removing hazardous old metals that are harmful to society.
b. Are we exploring other paths to the ends (equifinality)?
The company sought other paths that it resolved to work using the recycled metals for manufacturing its products. Apart from the old metals, the company is looking into the possibilities of starting a sister company that will recycle plastic products to produce new plastic plastics (vom Lehn, 2019). Exploring this path is informed that plastic products are littering everywhere and are degrading the environment. The company is focused on exploring other paths that will help conserve the environment.
3. What is our proper place in the broader society and economy? Issue: genotypic function. (Productive, Maintenance, Adaptive, Managerial/Political)
Based on the nature of the company activities, Januziz Company is a production company. We consider ourselves productive because the company is producing equipment or products required by society to enhance the livelihood of the people, but it is also contributing to efforts to reduce climate change by recycling old products (vom Lehn, 2019). The company is also productive because it has employed many people living in the region where it is located. Through its chain of distribution, the company has also provided both direct and indirect sources of income to many people in society.
4. Are we balancing our need for profit with a long-term view of survival? The issue is the Maximization Principle.
As it is the norm, any company that wants to maximize profits while balancing its future growth needs need to ensure that its marginal cost is equal to marginal revenues so that the marginal cost curve can rise. A rising marginal curve means that the business is making profits while also increasing its revenues for future expansion. As already noted, the company uses recycled raw material as input, which means that production costs are low compared to other manufacturing firms. The company, therefore, relies on second-hand raw materials to balance its profit and revenue equilibrium (Hobfoll et al., 2018). Similarly, to advance the company's survival chances, the company intends to open another plant that will use plastic wastes as a raw material. The company stands to benefit from the large plastic deposits scattered all the region by opening another plant.
5. How are we scanning the environment? What do we know about the environmental sectors (Economic, political, social, etc.)?
As a company that is in the manufacturing sector, we understand the significance of conducting environmental scanning. In this regard, we use both a SWOT analysis and PESTLE to understanding the environment we operate in (vom Lehn, 2019). SWOT-analysis helps to understand the company's strengths, weaknesses, opportunities that the company is presented with, and the threats that prevail in the industry. Through SWOT analysis, we can compare with others in the industry and determine our company niche. Through PESTLE analysis, we as a company can understand the prevailing political factors. Because of this, we ventured into using recycled materials for our products because of the government's incentives (Hobfoll et al., 2018). Similarly, we have been able to understand technological chances industry, economic trends, identify areas for expansion, understand the legal parameters we are working under, and social issues that may impact our business operations. Because of this, we have always ventured into social corporate responsibility program to interact with the community and understand social and economic issues that impact them.
References
Greenwood, R., & Hinings, C. R. (2009). Understanding radical organizational change: Bringing together the old and the new institutionalism. Academy of management review, 21(4), 1022-1054.
Hobfoll, S. E., Halbesleben, J., Neveu, J. P., & Westman, M. (2018). Conservation of resources in the organizational context: The reality of resources and their consequences. Annual Review of Organizational Psychology and Organizational Behavior, 5, 103-128.
vom Lehn, D. (2019). Phenomenology‐based ethnography for management studies and organizational analysis. British Journal of Management, 30(1), 188-202.