Contemporary Theories of Management

The video tutorial discusses different management perspectives, including closed and open systems. The closed systems perspective focuses on internal functioning, likening a business to a clock. In contrast, the open systems perspective emphasizes interaction with the external environment, drawing parallels to biological systems. Businesses must adapt to external changes to succeed. The contingency approach is also introduced, highlighting that the best management practices depend on specific situations, challenging the notion of a one-size-fits-all solution.

Why is it important for businesses to adapt to changes in their environment?

Explain the contingency approach to management.