James Thompson, who made contributions to the field, highlights that organizations are not completely closed structures. He divided organizations into three levels: institutional level, managerial level, and technical level. System approach treats organizations as open systems and assumes that it is impossible for a closed system to survive. Institutional level should be open because its task is to relate the organization to its broader context. However, technical level should be closed and organized rationally. Managerial level should act as a mediator between the other two levels according to Thompson. Technical system refers to the units, departments or parts in organizations where the main operations are carried on such as assembly line in a factory, software development units in an IT company and clinical units in a hospital -consultation rooms, operation theatres, radiology, and laboratories. Technical systems must be isolated from possible external effects to work properly. Therefore, closeness of the technical system is essential for efficiency in an organization. The given example represents the technical level of an organization. Therefore, choice (a) is the correct answer.