MANA 341 Lecture Notes - Lecture 1: Business Intelligence, High Tech, Competitive Intelligence
25 Jan 2017
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These dimensions boil down to two essential ways the environment influences organizations: uncertainty stems from a lack of information and difficulty predicting changes. The environmental conditions of complexity and change create a greater need to gather information and to respond based on that information. The organization is also concerned with scarce material and financial resources, and with the need to ensure availability of resources. Environmental uncertainty applies primarily to those sectors that organizations deals with on a regular, day-to-day basis. To assess uncertainty, each sector of the organization"s task environment can be analyzed along dimensions such as stability or instability and degree of complexity. The total amount of uncertainty felt by an organization is the uncertainty accumulated across environmental sectors: two factors contribute to uncertainty. Are they similar or diverse: the number and dissimilarity of external elements relevant to an organization"s operations.
