007 - internal/external environment Flashcards
(23 cards)
What are the five dimensions of the organisation’s General Environment?
- Economic conditions
- Socio-cultural conditions
- Political-legal conditions
- Technological conditions
- Natural Environment conditions
Each dimension reflects different aspects influencing the organization, such as economic health, social values, legal regulations, technology advancements, and environmental conditions.
What do economic conditions include in the General Environment?
General state of the economy, including inflation, interest rates, income levels, gross domestic product, and unemployment
These indicators help assess the overall economic health affecting organizations.
What are socio-cultural conditions in the General Environment?
Prevailing social values on human rights, trends in education, related social institutions, and demographic patterns
These conditions impact organizational practices and customer expectations.
Define political-legal conditions in the General Environment.
Laws, government regulations, and the prevailing philosophy of the political parties in power
These factors dictate the legal framework within which organizations operate.
What are technological conditions in the General Environment?
The development and availability of technology, including scientific advancements
These conditions influence operational efficiency and innovation.
What do natural environment conditions refer to?
The state of nature and the conditions of the natural environment, including levels of public concern expressed through environmentalism
Organizations must consider environmental impacts and sustainability practices.
What are the four dimensions of the organisation’s Task Environment?
- Competitors
- Suppliers
- Customers
- Labour market
Each dimension plays a critical role in the organization’s operations and strategic planning.
Define competitors in the Task Environment.
Organizations in the same industry providing similar goods or services to the same customers
Different industries face unique competitive challenges affecting their market dynamics.
What role do suppliers play in the Task Environment?
Provide raw materials needed for production
The effectiveness of the supply chain directly impacts organizational success.
Who are customers in the Task Environment?
Individuals or organizations that purchase goods or services
Customer demand is crucial for organizational performance.
What does the labour market refer to?
Individuals available for hire to work within an organization
The availability of skilled workers influences organizational capabilities.
What is one strategy for adapting to environmental uncertainty?
Boundary-Spanning Roles
Employees act as intermediaries, gathering information and representing the organization externally.
What does forecasting involve as a strategy for environmental uncertainty?
Using statistical analysis or expert opinions to predict future trends
This helps managers prepare for potential changes or crises.
What is an example of an inter-organizational partnership?
Ford and General Motors collaborating on a six-speed transmission
Such partnerships help organizations manage uncertainty together.
What is influencing the external environment?
Actively working to change or shape external factors affecting the organization
Strategies include advertising, public relations, political activity, and trade associations.
What does corporate culture consist of?
Shared values, beliefs, understandings, and norms that guide member behavior
A strong culture aligns with external environments and strategic goals.
What is the difference between visible and invisible culture?
- Visible culture: Stories, rituals, heroes, symbols
- Invisible culture: Expressed values, underlying assumptions, deep beliefs
Visible culture is easily seen, while invisible culture impacts deeper organizational dynamics.
How does corporate culture relate to the external environment?
It must align with external changes and strategic goals for organizational success
The culture type influences adaptability to market demands.
What are the four culture types based on flexibility and strategic focus?
- Adaptability Culture
- Achievement Culture
- Involvement Culture
- Consistency Culture
Each culture type fits different environments and strategies.
What characterizes an Adaptability Culture?
External focus and flexibility, encouraging creativity and quick decision-making
It is suited for fast-paced, dynamic environments.
What defines an Achievement Culture?
External focus and stability, prioritizing performance and results
It thrives in competitive environments focused on goal attainment.
What is an Involvement Culture?
Internal focus and flexibility, emphasizing employee participation and satisfaction
It promotes a supportive atmosphere and employee empowerment.
What does a Consistency Culture value?
Internal focus and stability, emphasizing order and predictability
It works well in stable environments with standardized processes.
