The open theory refers to the idea of governing organizations while holding the belief that organizational performances are strongly linked to the environment (Tompkins, 2005). The environment or the climate, as others would describe it, constitute of the economic, political and social nature of that society. Open theory is a reaction to the pre Second World War organizational theories of human relations postulated by Elton Mayo and the administrative theory of Henri Fayol both of these theories argued that the organization is a self-contained entity (p.249).
It is important to recognize that virtually all organizations have some degree of open theory embedded on how they are managed. However, the application of open theory has been mutated to meet the needs of the circumstances. Perhaps a clear contrast of the original open theory is the contingency theory that holds that organizations, while dependant on the environment, adapt to meet the needs of the setting. Other theories such as optimal fit and strategic planning are often branches of the open theory. So, nail on the head, open theory has been pretty much successful although in mutated forms in the management of contemporary organizations. The key argument here is that the success of the organization must depend on the environment that it finds itself.
Illustrations of open theory are the desire for accountability, professionalism, instructional leadership that is key ingredients on the success of organizations. Similarly, the requirements that organizations adapt to the environment that they find themselves in the form of government legislations, taxations, product tastes and preferences proof of the dominance of open theory in management. In conclusion, the prime of the argument is simple, as the global economy grows; managers of firms have to learn to function effectively in other contexts and cultures just as they do in the United States. This requires that managers must be culturally aware of impeccable ability to adapt to different situations and environments.
References
Tompkins, J. (2005). Organization theory and public management. Australia: Wadsworth, Cengage Learning.
