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    NS Mng-1

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    Tolip Khan
    The document discusses the external and internal environments of an organization. The external environment includes the general environment of economic, legal, political, social and technological forces outside the organization. It also includes the task environment of specific groups and organizations that directly affect the firm. The internal environment includes conditions and forces within the organization like owners, employees and physical work environment. The environments affect organizations through factors like environmental change, uncertainty, and competitive forces described in Porter's Five Forces model.

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    NS Mng-1

    Uploaded by

    Tolip Khan
    5 views9 pages
    The document discusses the external and internal environments of an organization. The external environment includes the general environment of economic, legal, political, social and technological forces outside the organization. It also includes the task environment of specific groups and organizations that directly affect the firm. The internal environment includes conditions and forces within the organization like owners, employees and physical work environment. The environments affect organizations through factors like environmental change, uncertainty, and competitive forces described in Porter's Five Forces model.

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    NS.Mng-1

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    The document discusses the external and internal environments of an organization. The external environment includes the general environment of economic, legal, political, social and technological forces outside the organization. It also includes the task environment of specific groups and organizations that directly affect the firm. The internal environment includes conditions and forces within the organization like owners, employees and physical work environment. The environments affect organizations through factors like environmental change, uncertainty, and competitive forces described in Porter's Five Forces model.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as PPT, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    5 views9 pages

    NS Mng-1

    Uploaded by

    Tolip Khan
    The document discusses the external and internal environments of an organization. The external environment includes the general environment of economic, legal, political, social and technological forces outside the organization. It also includes the task environment of specific groups and organizations that directly affect the firm. The internal environment includes conditions and forces within the organization like owners, employees and physical work environment. The environments affect organizations through factors like environmental change, uncertainty, and competitive forces described in Porter's Five Forces model.

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    Attribution Non-Commercial (BY-NC)
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    of 9

    The Organizations Environment

    External Environment
    General environment: everything outside an organizations boundarieseconomic, legal, political, socio-cultural, international, and technical forces. Task environment: specific groups and organizations that affect the firm.

    Internal Environment
    Conditions and forces present and at work within an organization

    31

    Figure 3.1: The Organization and Its Environments

    32

    The External Environment


    The General Environment
    The set of broad dimensions and forces in an organizations surroundings that create its overall context.
    Economic dimension Technological dimension Sociocultural dimension Political-legal dimension International dimension

    33

    The Internal Environment


    Conditions and stakeholder forces within an organization
    Owners. Board of directors Employees Physical work environment

    34

    How Environments Affect Organizations


    Change and Complexity
    Environmental change occurs in two ways:
    Degree to which change in environment is occurring Degree of homogeneity or complexity of the environment

    Uncertainty
    A driving force that influences organizational decisions.

    35

    How Environments Affect Organizations (contd)


    Competitive Forces
    Porters Five Competitive Forces
    Threat of new entrants into the market Competitive rivalry among present competitors Threat of substitute products Power of buyers Power of suppliers

    Environmental Turbulence
    Unexpected changes and upheavals in the environment of an organization.

    36

    Porters Five Competitive Forces


    Threat of new entrants
    Extent to and ease with which competitors can enter market.

    Competitive rivalry
    Competitive rivalry between firms in an industry.

    Threat of substitute products


    Extent to which alternative products/services may replace the need for existing products/services.

    Power of buyers
    Extent to which buyers influence market rivals.

    Power of suppliers
    Extent to which suppliers influence market rivals.
    37

    Figure 3.5: How Organizations Adapt to Their Environments

    38

    Figure 3.6: A Model of Organizational Effectiveness

    39

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