Question

The purchasing department at a printing business begins buying higher quality and more expensive paper. This leads to higher costs and cash flow problems identified by the finance department. Marketing notes that prices must be increased slightly, but that customer satisfaction improves, leading to more sales. According to the systems perspective, this scenario is an illustration of a subsystem with _____.

a.independence
b.interdependence
c.entropy
d.synergy

Answer 1

The scenario is an illustration of a subsystem with interdependence because the different departments in the printing business are interconnected and rely on each other. Option B is correct.

Step-by-step explanation:

The scenario described is an illustration of a subsystem with interdependence. This means that the different departments within the printing business rely on each other and are interconnected. The purchasing department's decision to buy higher quality paper affects the finance department's cash flow and the marketing department's pricing strategy, showing the interdependent relationships between these subsystems.

For example, the purchasing department's decision to buy more expensive paper increases costs for the finance department, leading to cash flow problems. However, this decision also improves customer satisfaction according to the marketing department, resulting in increased sales. This shows how the decisions made by one subsystem (purchasing) can have a ripple effect on other subsystems (finance and marketing), highlighting their interdependence.

Overall, interdependence is a key characteristic in systems thinking, where different parts of a system are interconnected and influence each other. In this scenario, the subsystems of purchasing, finance, and marketing are interdependent and their actions have a direct impact on each other.

The purchasing department's decision to buy higher quality paper affects the finance department's cash flow and the marketing department's pricing strategy.