Power Women: Organizational Sector Analysis

ROW BUSINESS/FOR-PROFIT NON-PROFIT/ CHARITY PUBLIC/ GOVERNMENT

1.Sector Environment Competition for sales,
substitute goods, short range
view, rapid pace of change,
high authority to make change
things, proactive decision-
making authority
2. Team Name and Team Flex: Nike
Org Name
3.Aspect Match Competition for sales, rapid
pace of change, high authority
to change things.
Competition for donations, Competition for budget, elected
substitute services, medium range officials, party politics, long range
view, moderate pace of change, view, slow pace of change, very low
limited authority to make change authority to change things, external
things, decentral-ized decision- reactive decision-making
making
Captain Planet: Ocean Conservancy Fervently United: Department of Child
Safety
Competition for Donations, Elected officials, Competition for
substitute of services, moderate budget, long range view, slow pace of
pace of change change, very low authority to change
things, external reactive-decision
making

4. Aspect Non-Match Short range view Medium range view Party politics

5. What is the biggest With regard to the business sector, the biggest environmental driver of strategy is competition for sales. Being
environmental driver that there are numerous other companies offering the same type of products, it is difficult to establish a
of strategy in each competitive advantage. Because Nike is a well-known brand with a strong presence in the industry, they must
sector shown above? continue to be innovative and maintain a clear vision. Using their marketing tools to appeal to their markets
Why? emotions, they produce memorable ads that stick with people and keep the Nike “Swoosh” in the back of their
mind.

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In the public sector, the biggest environmental driver of strategy is competition for budget. This is the case
because budget is what helps public sector organizations continue to grow and successfully operate. Budget
funds, usually from state and federal agencies, are the primary source of revenue flowing into public sector
organizations. As pointed out in Fervently United’s analysis of DCS, organizations in the public sector are not
only competing with each other, but they are also competing with organizations in the nonprofit sector, who
are also eligible for state and federal funds.

In the Non-profit sector, the biggest environmental driver is competition for donations. There are many non-
profit organizations that are looking for donations and of those many are environmental conservation non-
profits. A non-profit organization relies on donations in order to work so when there are 1.56 million other
non-profit organizations that are looking for donations the non-profit needs to stand out.

6. What is the biggest In the business sector, the most prominent environmental outcome strategy is the rapid pace of change
environmental because, particularly when it comes to the clothing and athletic market, there are ever-changing trends. To be
outcome strategy in successful, market research and product development need to be able to anticipate up and coming styles. When
each sector above? a business is unable to keep up with the rapid pace of change, the business, in turn suffers. Nike has many
Why? different competitors, and in turn they must constantly stay on track and ahead of the competition.
Organizations in the public sector use strategies that will gain them a long range view of their business
because in order to be successful in their sector they need to have a longer range view of their business plan
versus private sector and nonprofit organizations. This demand is as a result of public sector organizations
being government funded agencies that need to plan extensively in order to meet the guidelines set forth by the
government that funds them. Using DCS as an example, it is an organization that is intended to permanently
support child welfare.
In the nonprofit sector there must be a strategy that allows access to resources and whatever necessary
capabilities that the organization can meet its goals. Taking the Ocean Conservancy into account, they face a
threat of new entrants due to the fact that they rely on donations. Having a strategy to bring in sponsors is key
to Ocean Conservancy maintaining funding.

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7. What is the biggest

environmental threat In the business sector, the biggest threat is employing a short range view. When it comes to longevity of a
in each sector above? business, it is not wise to focus on the short term goals, but to set sights on the longer term goals. That is not to
Why? say that short term goals are not important for the success of the business, but more focus needs to be put on
larger, more difficult goals.Nike specifically states that one of their biggest threats is technological innovations
produced by new entrants, as long as they are able to continue to have an innovative and a clear vision they
will continue to thrive in the industry.

The biggest environmental threat in public sector organizations is low authority to change things. This is a
threat because it means that organizations cannot change things that may be causing them to be unsuccessful.
For example, the Fervently United DCS analysis highlights how one of the biggest weaknesses DCS has is
their high turnover rate that is as a result of their low pay. Unfortunately, DCS has little control over this as
their budget dictates the constraints they have around employee pay.
Organizations in the nonprofit sector face many threats, some of which include substitute products, bargaining
power of buyers, industry rivals, and new entrants. For the Ocean Conservancy, the threat of new entrants is
very high because of a lack of resources. Donations are given voluntarily and corporate sponsorship is heavily
relied on, thus increasing competition in this sector.
8. What is the best The best performance measure for a business sector is to maintain their drive to be innovative. With over thirty
performance years of experience, Nike is continuing to deliver on their bold innovation. The ability to deliver to a market
measurement of and bridge gaps into other markets ensures that the company will thrive and people will continue to look
strategy in each sector forward to the products being put out.
above? Why?
The best performance measure for a public sector company is their ability to deliver on their mission, which is
to provide some type of public service. In the example of the Fervently United analysis of DCS, the goal of
DCS is for families to be safe and healthy. The more families that are safe and healthy in the state, the better
DCS’s performance can be rated.

The best measurement for performance of the nonprofit sector is strategy evaluation. An evaluation Ocean
Conservancy would show that the organization has the necessary funding and is maintaining a consistent
stream of revenue. In addition to revenue an evaluation of strategy would show that Ocean Conservancy is
continuing successfully with current initiatives as well as staying alert to the rise of new threats in the
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nonprofit sector.

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