Embrace of networking – Organizations are networked for intense, real-time communication and
coordination, internally among parts and externally with partners, suppliers, and customers
New workforce expectations – A new generation of workers brings less tolerance for hierarchy
and more attention to status rather then seniority
Concern for work-life balance – As society increases in complexity, workers are forcing
organizations to pay more attention to balance in the often-conflicting demand of work and
Focus on speed – Everything moves fast – those who get products to markets first have an
advantage. Work is expected to be done well and in a fast manner.
General environment – Composed of economic, legal-political, technological, socio-cultural, and
natural environment conditions.
o Economic Conditions – Conditions that influence customer spending, resource supplies,
and investment capital. The overall health of the markets (inflation, income). Examples:
economic growth, unemployment rate, disposable income.
o Legal-political conditions – Represented by existing laws and regulations, government
policies, and the philosophy and objective s of political parties. Corporate executives listen
to debates to closely monitor trends that can affect their business
Health care and sales taxes (Topic of debate)
Business forms/ Political trends
Internet censorship – Deliberate blockage and denial of public access to information
posted on the internet
o Technological conditions – Prospering as a tech-savvy employee/employer
o Socio-cultural conditions – Meaning and norms, customs, and social values on such matters
as ethics, human rights, gender roles, and lifestyles. Includes environmental trends in
education and related social institutions (education systems)
o Natural Environment Conditions - The recycling infrastructure; As public concerns for
global warming grow in strength, their impact on government and business grows as well.
We expect business to supply us with environmentally friendly products.
Sustainable business – both meets the needs of customers and protects the well
being of our natural environment
Sustainable innovation – creates new products and production methods that have
reduced environmental impact
Stakeholders and specific environment:
The specific environment (task environment) includes the people and groups with whom an
organization interacts. Members are called:
o Stakeholders – the persons, groups, and institutions directly affected by an organization
For each stakeholder element there are many possible interests and considerations for managers:
o Top level decisions are often made with the assistance of stakeholder analysis focusing on
The creation or value for and satisfying needs of stakeholders.
o Businesses create value for customers through product pricing and quality.
Allows an organization to deal with market and environmental forces better than its competitors
o Refers to something that an organization does extremely well. A core competency that sets
it apart from its competitors.