BY Lt Col P S Dasauni

A system is commonly defined as a group of interacting units/elements that have a common purpose. The units/elements of a system can be wires, people, computers and so on.

Systems are mainly of two types:-

  1. Open system b) Closed system

Open system refers to systems that interact with other systems or the outside environment. A closed system is defined as a system which is self-contained. It does not exchange material, information or energy with its environment e.g. system in manufacturing are often designed to minimise unwanted exchanges with the environment outside the system, so that the manufacturing process can operate without disturbance from supplier, customer etc.

Open system exchanges information, material and energy with the environment e.g. biological system and organizational system.

In a closed system, the user may have some choice about what to report on but they are limited to pre-defined output formats. These are often easy to use. They mainly use graphical formats. These are often easy to use and aimed at management.

In an open system there is often greater flexibility on what to report on and the format in which the information is output. This means that significant training is needed before the systems can be effectively used. They typically use both graphical and textual formats.

The Implications of Systems approach are:-

  • Systems approach of management provides an integrated approach of managing. This considers management in its totality.
  • System approach of management possess the conceptual level of managerial analysis much higher than any other approach (Management science approach, decision approach etc).
  • It provides a framework through which organization – environment interaction can be analyzed and facilitates decision making, since the system within the managers make decisions can be provided as a more explicit framework decision-making is easier to handle.


  • It is often suggested that system approach is too absurd to be of much use of practicing managers. It merely indicates the various parts of the organization are interrelated.
  • It lacks universality and its precepts cannot be applied to all organizations.
  • It is rigid; if there is any change in the environment, it will react quite slow and this approach is good for manufacturing industry but not service industry which require to adapt to the external environment.


Hospital can be classified into many categories based on ownership, size, functions, speciality wise, system wise etc. But every hospital involves unification of skilled professionals and non-professionals from medical and Para-medical background to provide best possible patient care. Therefore it is necessary for all the staff to work in tandem together as a system. A system involves hierarchy of interrelated members of the same organization in an orderly manner. It also involves linkage with external environment therefore is an open system in terms of socio-technical terms. There are various methods, processes and procedures followed in the above.

It involves interaction and coordination with patient to give them quality care. The input as well as output are interrelated. The whole team of professionals and non-professionals have the same objective i.e. patient welfare and healing.This is the reason also that it is an open system.

Hospital System can be divided into two types i.e. Administrative system and Clinical System.

  1. Administrative level involves the following sub-categories like:-
  • Marketing management
  • Human Resource management
  • Maintenance management
  • Hospitality
  • Planning and decision making
  • Medical record room
  • Fire and safety department
  • Public relation
  • Finance/accounting and budgeting
  • Management Information system
  1. Clinical level involves the following sub-categories like:-
  • Inpatient care
  • Outpatient services
  • C.U services
  • Emergency services
  • T services (including CSSD)
  • Nursing services
  • Pharmacy services

The above may vary according to modern or Super-speciality or multi- speciality hospitals or public sector hospitals.

The system of the hospital involves patient registration, diagnosis, treatment, cure, various tests if necessary and admission of the patient if required followed by discharge summary and then the feedback followed by routine check up. In mediocre hospitals if treatment is not available then a patient can also be referred to other Super speciality hospitals if treatment needed in case of critical patients.