System Environment
The external component which interacts with the system and produces 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 factory controlling arrival of order may be considered to be outside the factory but yet a part of the system environment when we consider the demand and supply of good there is any relationship between the factory output and arrived off orders. The relationship is considered as an activity of the system.
Endogenous System
The term ingenious is used to describe events and activities which are occurring within the system.
Ex. Drawing cash in a bank
Exogenous System
The term exogenius is used in the field of modeling and simulation to describe the activities and events in the environment that affect the system.
Ex. Arrived of customers
Closed system
A system for which there is no exogenous activities and event this type of system is said to be a closed system.
Ex. Water is an insulated flask
Open system
A system for which there is exogenous activity and event exists that type of system is called an Open System.
Ex. Bank system