Types of System

Open System/Close System
A system with exogenous activities is considered as open system and a system with strict endogenous activities is called a closed system.

System Environment
The external components which interact with the system and produce necessary changes are said to constitute the system environment. In modeling systems, it is necessary to decide on the boundary between the system and its environment. This decision may depend on the purpose of the study.
Example: In a factory system, the factors controlling arrival of orders may be considered to be outside the factory but yet a part of the system environment. When, we consider the demand and supply of goods, there is certainly a relationship between the factory output and arrival of orders. This relationship is considered as an activity of the system.

Endogenous System
The term endogenous is used to describe activities and events occurring within a system.
Example: Drawing cash in a bank.

Exogenous System
The term exogenous is used to describe activities and events in the environment that affect the system. Example: Arrival of customers.

Discrete System
Discrete system is one in which the state variables changes only at a discrete set of time. For example: banking system in which no of customers (state variable) changes only when a customer arrives or service provided to customer i.e customer depart form system.

Continuous System
Continuous system is one in which the state variables change continuously over time. For example, during winter seasons level of which water decreases gradually and during rainy season level of water increase gradually. The change in water level is continuous. The figure below shows the change of water level over time.



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