Systems theory and its application to educational administration are discussed in this paper. An extensive literature review concludes that systems analyses are based on the concept of interdependence and on the assumption that the whole may be greater than the sum of its parts. Applications to educational administration include model building, hypothesis testing, practical everyday decision making, effective evaluation, and improved communication. The view of educational administration as a social process within a social system and schools as open social systems facilitates the development of a framework to understand organizational roles and relationships. The conclusion is that thinking in a systems mode is an effective method for everyday, practical administrative decision making. (15 references) (LMI)