How does changing environments affect organisations

Advertisement In Brief Decades of research by organizational scientists, psychologists, sociologists, economists and demographers show that socially diverse groups that is, those with a diversity of race, ethnicity, gender and sexual orientation are more innovative than homogeneous groups. It seems obvious that a group of people with diverse individual expertise would be better than a homogeneous group at solving complex, nonroutine problems.

How does changing environments affect organisations

Tax policy; environmental regulations; trade restrictions and reform; tariffs; political stability Economic: Cultural norms and expectations; health consciousness; population growth rates; age distribution; career attitudes; health and safety Technological: New technologies are continually emerging for example, in the fields of robotics and artificial intelligenceand the rate of change itself is increasing.

Global warming and the increased need to switch to sustainable resources; ethical sourcing both locally and nationally. By analysing those factors, organisations can gain insight into the external influences which may impact their strategy and business decisions.

It allows HR and senior managers to assess any risks specific to their industry and organisation, and use that knowledge to inform their decisions. It can also help to highlight the potential for additional costs, and prompt further research to be built into future plans.

This means following these steps: Identify the scope of the research. It should cover present and possible future scenarios, and apply to areas of the world in which the business operates. Decide how the information will be collected and by whom. Data gathered is often more rich in content when more than one person contributes to collecting it.

How does changing environments affect organisations

Identify appropriate sources of information. These could be stakeholders looking for HR to address specific issues or current policies that require updating.


Please see our practical, ready-to-use template below. Identify which of these factors listed above are most important or could cause issues. Identify the business specific options to address the issues, as demonstrated in the example template. Write a discussion document for all stakeholders.

Disseminate and discuss the findings with stakeholders and decision makers. Decide what actions need to be taken, and which trends to monitor on an ongoing basis.

Organisations that regularly and systematically conduct such analyses often spot trends before others, thus providing competitive advantage.characteristics of changing external environments • Environmental change is the rate at which a company’s general and specific environments change.

If the environment is stable, this means that the rate of change is slow; if the environment is dynamic, this means that the rate of change is fast.

How does changing environments affect organisations

Environmental change is the rate at which conditions or events that affect a business change. Environmental complexity is the number of external factors in an external environment. Resource scarcity is the scarcity or abundance of resources available in the external environment. Before I went on the trip, I wanted to know what it would cost me, in order to see if I could afford it.

IMPACT OF BUSINESS ENVIRONMENT ON ORGANIZATION PERFORMANCE IN NIGERIA- complex, multi-focus dynamic and has a far reaching effect on such organization. The environment tends, shape the outlook, and goal of the adoptions to a complex and over changing environment.

While the economy and the global environment often play roles in forcing you to make changes within your company, the results can be positive. Finally we can say that technology is changing so rapidly for organizations and the ability to adopt new technologies is becoming a vital mechanism. This is certainly true in the world of global.

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