More handpicked essays just for you.
Why does the structure of an organization matter
Why does the structure of an organization matter
Internal and external factors examples
Don’t take our word for it - see why 10 million students trust us with their essay needs.
Organisation is the most important element in management. Any organization is located and operated in the environment. Every action of all organizations is possible only if it allows its realization. The internal environment is the source of its vitality. It involves the capacity needed for the functioning of the organization, but at the same time can be a source of problems and even her death of the organisation. The external environment is the source that supply organization resources. The organization is in constant exchange with the external environment consequently it provides itself with survival. The main objective of this work is to consider elements of the internal and external environment of the organization which are in a constant …show more content…
The manager should be able to select and know these factors. As organization is created systems by people, the internal factors are mainly the result of management decisions. Not all of the internal factors are completely controlled by the management. Organization is influenced by many environmental factors. In the new millennium we have to learn how to live in a market economy. And the most important condition for this is a highly skilled managers. Ability to identify and analyze the internal elements of the organization and external factors is the key to the success of the business. The main factors in the organization that require management attention are objectives, structure, tasks, technology and people. An organization can be seen as a means to achieve the objectives that allows people to perform collectively what they could not carry out individually. Goals are desired outcome, which aims to achieve a group working together. The main objective of most organizations is profit. Income is a key indicator of the organization. People are the basis of any organization. Without people there is no organization. They shape the culture of the organization and its internal climate. They determine what the organization is. Manager generates frames, establishes a system of relations between people and include them in the process of …show more content…
The main factors are: objectives, structure, tasks, technology and people. Changing one of them to a certain extent affect the others. The success of the organization also depends on the external environment of the organization, which is not possible without the life cycle of any organization. Analysis of the external environment is very important for the development strategy of the organization and a very complex process requiring a process tracking and assessment factors and also the establishment of links between those factors and the strengths and weaknesses as well as opportunities and threats. External environment has its complexity and uncertainty. It is obvious that without knowing the environment the organization can not exist. The organization studies the environment in order to secure a successful progress towards its goals. Consequently, the most important object to learn is that external factors, coupled with the internal environment factors have a decisive impact on the functioning of the organization. All factors are closely twisted and affect each other. The manager should be able to analyze all these factors together and without losing any of the mind and make the right
Supermarkets provide an ideal environment for affecting consumer purchasing behaviors cater to the healthy lifestyles of younger consumers while addressing the health concerns of older ones. The behavior of the consumer gives an image of our company.
This part of the book shows how the business or organization, and the individual managing it can be involved and can contribute to the external environment. Peter Drucker named this compilation The Essential Drucker because he chose and incorporated the most vital concepts from his works which would add value to the reader when it comes to managing the business or organization, managing one’s self, managing other managers, and managing subordinates.
The relationship between management, mission, resources, the system process and structure is that they all make up the Internal Environment of an organization and they "affect its [the organizations] performance from within its boundaries". They are all internal factors because they are all things that the organization can control, opposed to external factors, such as economic conditions and population. The factors which are ends are mission, management, and structure, where as the means are system's process and resources.
In controlling, organization has lots of risk factors .Manager take some employee who is able to control and handling risk factors.
First of all, organizational structure determines the hierarchy, the levels of communication, and how job tasks are formally divided, grouped and coordinated within an organization (Langton, Robbins, & Judge, 2013). There are six key elements that managers need to address when they design their organization’s structure: work specialization, departmentalization, chain of command, span of control, centralization and decentralization, and formalization (Langton et al., 2013). The way in which an organizational structure is constructed and implemented can affect company productivity.
The internal environment is one in which the organisation has control over making it very important to understand as to remain viable in the external environment. Included in the internal environment analysis are strengths and weaknesses within the organisation.
The next step in environmental analysis is moves the focus towards an explicit consideration of the immediate environment of the organization-for example, the competitive arena in which the organization operates.
Besides that, OB can serve managers, leaders and customers’ purposes. To begin with managers who have to expand their information about the attitude and group’s behavior to improve the organization work environment and to create a business plan to have a successful organization. First of all, managers can build a better workplace by recognizing the challenges that face any organizations because of some strategies that used in business environment. For example, one of the challenges are that having a cultural diversity in organization, so managers can build the organization with different cultures which help to encourage employee to do their job well and communicate with others in appropriate way. Secondly, managers can measure the effectiveness and efficiency; also, they can identify the strength and weakness of the organization. According to national institutes of health, Organizational effectiveness is about each individual doing everything they know how to do and doing it well (NIH, 2004). Moreover, OB offers ways that provide ways in how managers can trust their employees’ potential and using a reward system to enhance employees’ performance. OB is helping the managers on providing some strategies such as indentifying problems by searching and gathering information to have an accurate decision.
Pitts and Koufopoulos (2012) argue that resources and capability are highly important internal factors that should be taken into account by the organization in order to obtain the successful performance in the long run.
For a company to be successful it is important that it has very good organization. Organization can be defined in many different ways. Bateman and Snell define organizing as assembling and coordinating the human, financial, physical, informational,
Due to the complex global business environment, managers and leaders are under higher pressure to ensure effective management of organization. Taking the recent trends into consideration, it is observed that several organizations across the globe have failed, but some companies have clearly enjoyed the success and growth. It is deduced from the research study that the primary reason behind the success and/or failure of any organization purely depends on the management and leadership. Similarly, it is also observed from the past conducted research studies and case studies that since the volume and intensity of issues and threats are increasing, it is becoming more and more difficult for managers to ensure the
It is important to identify some of the problems an organization may have and go in and analyze them. There are many techniques that can be approached to help gain businesses people side of management like improving rapid response to customer service needs, low employee output, and costs. Change is not easy for some people, so making sure employees understand why change is needed helps people to become more aware and have the time to adjust or process those changes.
A firm’s business environments include both internal environment defined as a set of conditions such as strengths, resources, capabilities, etc., within the firm that affect the choices and use of strategies, and external environment that is defined as conditions outside the firm that affect the firm’s performance.
Organizing: Manager must organized the human resources to get the corporate jobs done through delegation, empowerment, training, team work, leadership, system creation and other crucial business aspects.
Environmental analysis is a strategic tool. It is a process to identify all the external and internal elements, which can affect the organization’s performance. The analysis entails assessing the level of threat or opportunity the factors might present. These evaluations are later translated into the decision-making process. The analysis helps align strategies with the firm’s environment. The importance of Environmental Analysis lies in its usefulness for evaluating the present strategy, setting strategic objectives and formulating strategies.