Question

Review how organizations interact with their external environment (as open systems and complex adaptive systems).

How effective was Wells Fargo as an open system and as a complex adaptive system before the scandal became public?

Answer 1

For an organization to survive, it must exchange information with it's external environment. An organization has no control over it's external environment, hence, it as to use the information of it's external environment for planning.

Step-by-step explanation:

Wells Fargo, was one of the most valued bank, that operated a successful open system, before the scandal became public. However, it could not survive it's complex external environment, as the scandal had damaged the reputation of the bank, which largely affected the bank's market share.