5. Limitations and Conclusions
Limitations of Taking an Open Systems Theory
Perspective
In terms of empirical research on organizations, the open systems
theory has had negligible impact. Though the open systems model
has been widely used to label and legitimize organizational
studies, it has seen little use as a research guide. The
organizational researchers have not been able to exploit the
potential contributions of this theory in empirical research
(Ashmos & Huber, 1987: 610). Few researchers have the tools
or the ability to take into account all the various components
that must be included in even a relatively simple open systems
model(Hall, 1977:59).
To appraise the effectiveness of an
organization with the aid of systems theory one must measure its
performance with respect to the four systemic processes - inputs,
transformations, outputs and feedback effects - as well as their
interrelationships. Measurement of the various forms of
organizational inputs and outputs is pretty much undeveloped.
Moreover, unlike the preoccupation with achieving equilibrium
condition, the organizational system is seeking to maximize or
minimize one or more values, whether they be profit, cost,
influence (Evan, 1993). The more commonly accepted approach for
organizational research is the goal approach which considers goal
achievement or the degree to which an organization attains its
goals. As an exception, Evan (1993) has demonstrated the
operationalization of the four systemic processes in a study of
interorganizational relations among hospitals using the systems
theory approach. He suggests the possibility of developing
organizational effectiveness measures without directly and
explicitly identifying their goals but indirectly by measuring
dimensions of inputs, transformations, and outputs of an
organization. The problems encountered in defining an
organization's goals can be avoided by indirectly deriving the
goals by using Evan's approach. In sum, open systems theory
presents a "wholisitc" approach to the research of organizational
problems, but the researchers will need to be more creative with
the operationalization of the goals. Further, they would need to
conduct a more systematic inquiry of the various properties of
open systems enumerated by Miller (1965: 193-237) and Katz and
Kahn (1966).
