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internal and external factors affecting business
external factors affecting businesses
understanding the role of manager
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Explain why managers are important to organizations. Managers are important to organizations for their managerial skills and abilities. Managers are needed to identify critical issues and quick responses. Another reason for their importance is their ability to get things done. They overlook other employees to ensure everyone is doing their job. Managers do matter for organizations. Managers matter with the way they interact with direct supervisors, also the way the organization is run has a major effect by the managers that are involved. Managers can affect the loyalty of the employees, along with performance levels. They have a major influence of success or failure in an organization.
Tell who managers are and where they work. Managers
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University of management, the reality of work, and the rewards and challenges are why we study management to understand what it entails. University of management is when managers are needed in all types of organizations and companies. All of these areas, managers must plan, organize, lead and control. Managers are needed in every type of work since they are managing the employees. The reality of work is explaining that either we will work for a manager or be the managers. Everywhere we go management is involved in the work place. There are rewards of being a manager. Their rewards involved creating a work environment so employees can work with the best efficiency. Management helps find meaning for the employees to do their jobs. There are challenges to any job, for management this job may be thankless. Along with spending hours in meetings or having constant interruptions. Mangers also have to deal with limited resources such as money, time, and other things determined by the company they work …show more content…
Some of these external factors are economic, demographic, and environmental. The economic environment includes interest rates, income, stock markets. Recessions really affect this external factor changing the way people spend and what companies need to do to stay running. Demographics have to do with the trends in the population. These trends could be studying the characteristics of the ages such as the baby boomers, the post-millennials, and gen-y. These populations have a major influence with how to manage companies to stay up to date with their company goals. There are political challenges that could change laws and the way certain thing need to be run. It is important for managers to stay on top of the new regulations that are coming in and could change the way that they work. There is a sociocultural component that has to do with values, beliefs, and traditions. Seeing the differences in what the customers believe can change the way managers manage their people. There is also technology which has affected every company. Staying up to date with the latest technologies can help stay in contact with all employees. Finally there is a global component which has to do with the world
External factors are those that are beyond the control of management. There exist several external factors in a business environment. These are competition, fiscal policies, and macro-environment, and industry analysis factors amongst others. Macro environment and industrial analysis factors will be considered.
Management writes the rules and sets the goals for the organization. Management is often critical of failures and expects only success" (Kumle & Kelly, 2006, p. 11). Management handles the day-to-day complexities of organizations. Budgets, planning, meeting with investors, organizing, and maintaining company traditions all fall under management responsibility. As an organization grows managers tend to lose touch with employees. Managers think in terms of profit, goals, and company growth. Management operates on a need-to-know basis and can easily incite fear in their subordinate employees. Rumors of downsizing or a change in an organizations direction can often be eliminated by managers being more open with employees. Management has a tendency to protect itself at the expense of others. According to Kumle and Kelly (2006), " many managers are overly concerned with fitting in and not rocking the boat, those who emerge as leaders are more concerned with making important decisions that may break with tradition but are humane, moral and right" (p. 11). Good managers are also good leaders and tend to hire good leaders to represent them.
To better understand the role of a manager you need to look at things like, why do companies do what they do? What is happening in this business that requires a manager to implement changes? Which business trends influence how managers function in their job role? A few examples would be Globalization. In the last 20 years the world has begun to expand globally with the implementation of several different trade treaties such as NAFTA or the North American Free Trade Agreement, which supports international trading. Many companies have
They must facilitate the evolutionary process with in an organization. Managers must play the role of leader, negotiator, figurehead and communicator. In each of these roles, the manager’s goal is to help employees through the change with the least possible number of conflicts and issues.
External factors are usually beyond the control of the business. The best way for a business to deal with these external changes is to be pro-active. A successful business would be ahead of these changes rather than hurriedly making knee-jerk reactions. There are six main external factors which would possibly affect the performance of a small business :Political, Economic, Social, Technological , Legal and Environmental (PESTLE Analysis)
Managers are responsible for setting goal and objectives for their staff .And the setting objectives managers must work with team .Managers ensure that the team objectives are met when the objective individual and specific to team .They can easily focus their target, improving and increasing customer satisfaction.
At the very drawn of the society, management has been emerging under changing situations. And still now it has been redefining its implications throughout every sphere of our society. Management is now widely spread out mostly in business organization. In the paradigm of business, management is getting things done through and with the other people.1 (Institute in Omaha, Nebraska,)
It is necessary for these managers to assure that their employees know what is expected of them. They also need to effectively communicate the company goals and strategies in addition to frequently giving feedback to their employees. Managers also need to have the confidence in their employees to allow them autonomy in their work roles.
A role of manager is to work with his team and take his organization to the new heights. The very first role for a manager is to accomplish the goals for which he or she is responsible by planning the operation. He or she should provide the training and guidelines to the employees and ensure that his team his able to achieve the goal. On every step the manager should review the working of his employees and if there is any deviation than he or she should make sure to correct it for the desired
Management is a task of organising people and work .It is an interdisciplinary and international field that has evolved in bits and pieces over the year. Organisations are required to complete a given task according to schedule and pre-determined programme. The work and the labour has to be divided to complete the task effectively and efficiently. The people are made to
After we discuss the Manager’s Functions and Roles in the modern organization, the next topic we discuss is the important managerial activities of an effective manager.
The world of business has undergone radical and dramatic changes in the last decade changes that present extraordinary challenges for the contemporary manager. A manager is an organizational member who is responsible for planning, organizing, leading, and controlling the activities of the organization so that the goals can be achieved. According to a widely referenced study by Henry Mintzberg, managers serve three primary roles: interpersonal, informational, and decision-making. Management is process of administrating and coordinating resources effectively and efficiently in an effort to achieve the goals of the organization.
Consequently, the most important object to learn is that external factors, coupled with the internal environment factors have a decisive impact on the functioning of the organization. All factors are closely twisted and affect each other. The manager should be able to analyze all these factors together and without losing any of the mind and make the right
function, managers need to analyse how activities and resources are to be grouped and carry out plans successfully (Bartol 2007). A manager have to understand their ability to manage the lower level employee which is the most valuable of the company as they are the key of output and implement in the planning. Then manager will coordinate the jobs between authority and responsibility that is to define the role position of them (MSG 2012).
Management is vital for any organisations regardless of the size and the types of the organisations. In general, management is defined as “the application of planning, organizing, staffing, directing, and controlling functions in the most efficient manner possible to accomplish meaningful organizational objectives.” (John M. Ivancevish and Thomas N. Duening, 2007)