The following diagram shows the elements of a system −

Outputs and Inputs
- The main aim of a system is to produce an output which is useful for its user.
- Inputs are the information that enters into the system for processing.
- Output is the outcome of processing.
Processor(s)
- The processor is the element of a system that involves the actual transformation of input into output.
- It is the operational component of a system. Processors may modify the input either totally or partially, depending on the output specification.
- As the output specifications change, so does the processing. In some cases, input is also modified to enable the processor for handling the transformation.
Control
- The control element guides the system.
- It is the decision–making subsystem that controls the pattern of activities governing input, processing, and output.
- The behaviour of a computer System is controlled by the Operating System and software. In order to keep the system in balance, what and how much input is needed is determined by Output Specifications.
Feedback
- Feedback provides the control in a dynamic system.
- Positive feedback is routine in nature that encourages the performance of the system.
- Negative feedback is informational in nature that provides the controller with information for action.
Environment
- The environment is the “supersystem” within which an organisation operates.
- It is the source of external elements that strike on the system.
- It determines how a system must function. For example, vendors and competitors of an organisation environment may provide constraints that affect the actual performance of the business.
Boundaries and Interface
- A system should be defined by its boundaries. Boundaries are the limits that identify its components, processes, and interrelationship when it interfaces with another system.
- Each system has boundaries that determine its sphere of influence and control.
- The knowledge of the boundaries of a given system is crucial in determining the nature of its interface with other systems for successful design.