Evaluation of Information Entropy in Organizational System
Evaluation of Information Entropy in Organizational System
Author(s): Minodora URSACESCU, Mihai CiocSubject(s): Economy
Published by: EDITURA ASE
Keywords: entropy; event; information entropy; organizational system; probability;
Summary/Abstract: Entropy, as a thermodynamic concept, indicates the degree of system disorganization. The concept of entropy is associated with a measure of disorder and uncertainty in a physical system that leads to progressive loss of the relationships that integrate a system. The study of entropy becomes relevant for organization systems, which are described as interconnected elements, having a defined goal, and interacting with a dynamic environment. These systems are essentially based on the acquisition and application of information to ensure their self-determination and future development. In such a context, the approach of entropy is related to the Information Theory, referring to a measure of the amount of information that exists in an organizational system.This paper discusses the concept of information entropy and proposes a manner to evaluate its level under the influence of certain events that reveals particular organizational aspects. A case study for testing the relationship between information and entropy in the case of a company has been elaborated. The findings reveal that the increasing of order within a company system, through highly structured states leads to low level of information entropy.
Journal: Management and Economics Review
- Issue Year: 1/2016
- Issue No: 2
- Page Range: 82-91
- Page Count: 10
- Language: English