Management Chapter 3

Organizational Environment
Both General & Task Environments. Includes all elements existing outside the organization that have the potential to affect the organization
General Environment
indirectly influences all organizations within an industry and includes five dimensions.
Task Environment
includes the sectors that conduct day-to-day transactions with the organization and directly influence its basic operations and performance.
International Dimension
events originating in foreign countries as well as opportunities for U.S. companies in other countries.
Technological Dimension
includes Scientific and technological advancements in the industry and society at large.
Sociocultural Dimension
represents the demographic characteristics, norms, customs, and values of the population within which the organization operates.
Economic Dimension
represents the overall economic health of the country or region in which the organization operates.
Legal-Political Dimension
includes federal, state, and local government regulations, and political activities designed to influence company behavior.
Natural Dimension
includes all elements that occur naturally on earth, including plants, animals, rocks, and natural resources such as air, water, and climate.
Customers Dimension
People and organizations in the environment that acquire goods or services from the organization.
Competitors
other organizations in the same industry or type of business that provide goods or services to the same set of customers.
Suppliers
people and organizations that provide the raw materials the organization uses to produce its output
Labor Market
the people available for hire by the organization
Uncertainty
When managers do not have sufficient information about environmental factors to understand and predict environmental needs and changes
Characteristics that influence Uncertainty
The number of factors that affect the organization and the extent to which those factors change.
Boundary-Spanning Roles
Roles assumed by people and/or departments that link and coordinate the organization with key elements in the external environment
Inter-organizational Partnerships
Popular strategy for adapting to an environment. Reduce boundaries and increase collaboration with other organizations.
Merger
The combining of two or more organizations into one
Joint Ventures
A strategic alliance or program by two or more organizations
The Internal Environment Includes
-Corporate Culture
-Production Technology
-Organization Structure
-Physical Facilities
symbol
is an object, act, or event that conveys meaning to others
story
is a narrative based on true events and is repeated frequently and shared among organizational employees
hero
is a figure who exemplifies the deeds, character, and attributes, of a strong culture
slogan
is a phrase or sentence that succinctly expresses a key corporate value
ceremony
is a planned activity at a special event that is conducted for the benefit of an audience
adaptability culture
emerges in an environment that requires fast response and high risk decision making
achievement culture
is suited to organizations concerned with serving specific customers in the external environment
involvement culture
emphasizes an internal focus on the involvement and participation of employees to adapt rapidly to changing needs from the environment
consistency culture
uses an internal focus and a consistency orientation for a stable environment
high performance culture
Inspiration and bottom line results
cultural leader
defines and uses signals and symbols to influence corporate culture
Task Environment
Customers, Competitors, Suppliers, Labor Market
Internal Environment
Employees, Culture, Management
General Environment
Tech, Natural, SocioCult, Econ, Legal/Poltcl, Intl