Salazar, Darren Ace G.

BSBA MM 3-2

Research Work #3

1. The Internal Environment

The internal environment of a corporation is made up of factors found within, such as present
staff, management, and particularly corporate culture, which establishes employee behaviour. Although
some factors simply have an impact on the manager, others have an impact on the entire business.
Employees are directly impacted by the leadership philosophy or style of a manager. Progressive
managers allow employees more freedom to make decisions than traditional bosses who give them
clear instructions. The manager is in charge of changing one's leadership style and/or ideology. Some of
the components that make up the internal environment are discussed in the sections that follow.

a. The Chief Executive

The chief executive officer (CEO) is a company's most senior official. Although every business is
different, CEOs are frequently in charge of growing the business, boosting profitability, and, in the case
of publicly traded corporations, raising share prices. CEOs oversee a company's entire operations.

b. The Board of Directors

A board of directors is an executive body that jointly oversees the operations of an organization.
This organization can be for-profit or non-profit, such as a business, non-profit organization, or
government agency. The board is also referred to simply as the "board." Governmental rules, including
the corporate law of the applicable jurisdiction, as well as the organization's own constitution and by-
laws, set down the rights, obligations, and responsibilities of a board of directors. These authorities may
stipulate the number of board members, the process for selecting them, and the frequency of their
meetings.

c. Employee's Culture
Workplace culture is the overall character of the business. Often unique to the organization,
workplace culture can include elements such as the business’s values, beliefs, behaviours, goals,
attitudes and work practices. Ideally, businesses want to create a culture that is viewed as positive. A
company could accomplish this by focusing on innovation, flexibility or empowerment. On the flip side, a
company’s culture could be seen as negative when it is hierarchical, bureaucratic or power-driven.

d. Financial Resources
Financial resources are the money and other possessions that support the operations and
investments of a company. A firm can raise and use its financial resources in a variety of ways. To put it
simply, financial resources are the funds that keep a business running. In order to accomplish the
objectives of the business, every organization will have a framework or procedure in place for
organizing, directing, regulating, and monitoring its financial resources and activities. Financial resource
management (FRM) or financial management is the term used to describe this.

e. Physical Resources
Functional businesses must have the necessary resources that ultimately contribute to
profitability and expansion. This includes physical resources. The flow of a business is affected by the
collection of all its resources. They involve tangible inputs or goods that ensure the proper functioning of
the business in operation and production. Customers follow the value they receive from the business in
offering them products or services, which comes from how well a firm utilizes its resources to generate
value for clients. While money is a significant resource in a business, the significance of physical
resources should be noticed by management.

f. Human Resources
An HR department is an essential component of any business, regardless of an organization's
size. It is tasked with maximizing employee productivity and protecting the company from any issues
that may arise within the workforce.
HR responsibilities include compensation and benefits, recruitment, firing, and keeping up to date with
any laws that may affect the company and its employees.

g. Organizational Resources
Organizational resources consist of the concrete materials and tangible assets that support
programs, practice improvements, and service delivery. They encompass adequate and stable funding,
staffing, facilities and equipment, technology, informational resources, and program materials.

2. SWOT Analysis

What Is SWOT Analysis?

-SWOT (strengths, weaknesses, opportunities, and threats) analysis is a framework used to evaluate a
company's competitive position and to develop strategic planning. SWOT analysis assesses internal and
external factors, as well as current and future potential.

Components of SWOT Analysis

-Every SWOT analysis will include the following four categories. Though the elements and discoveries
within these categories will vary from company to company, a SWOT analysis is not complete without
each of these elements:

Strengths

-Strengths describe what an organization excels at and what separates it from the competition: a strong
brand, loyal customer base, a strong balance sheet, unique technology, and so on. For example, a hedge
fund may have developed a proprietary trading strategy that returns market-beating results. It must
then decide how to use those results to attract new investors.

Weaknesses

-Weaknesses stop an organization from performing at its optimum level. They are areas where the
business needs to improve to remain competitive: a weak brand, higher-than-average turnover, high
levels of debt, an inadequate supply chain, or lack of capital.

Opportunities
-Opportunities refer to favourable external factors that could give an organization a competitive
advantage. For example, if a country cuts tariffs, a car manufacturer can export its cars into a new
market, increasing sales and market share.

Threats

-Threats refer to factors that have the potential to harm an organization. For example, a drought is a
threat to a wheat-producing company, as it may destroy or reduce the crop yield. Other common
threats include things like rising costs for materials, increasing competition, tight labor supply. and so
on.