Textbook Notes (362,734)
Canada (158,032)
York University (12,350)
ADMS 1000 (298)
Chapter 1

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York University
Administrative Studies
ADMS 1000
Len Karakowsky

Chapter 1 – Organizations as Open Systems What is an organization? Social entities Goal oriented Interact with the environment Specific environment General environment ECONOMIC CONTEXT • An economic slump can mean downsizing, cuts in training and staff development, end of traditional work practices etc • An economic boom can mean expansion, extra training, R & D etc • Gross Domestic Product (total value of a country’s annual output of goods and services) • Money from the production goes to employees, business owners and the government (through taxes). • We want GDP to grow annually! COMPETITIVE CONTEXT • Business must think about who their competitors will be • Competition may be at a local, national or global level. It may be open or restricted • What are the advantages and disadvantages of competition? • What competitors are doing in your industry obviously will influence your success or failure. TECHNOLOGICAL CONTEXT • Technology has an important influence on organizations - accessibility influences market entry and operating costs • Consider how technology has influenced the role of work and how work is done, e.g. teleworkers, flexible work practices • Resource based economy (farming, mining, forestry etc) now moving to manufacturing, technology and service sector – e.g. telecommunications, energy etc LABOUR CONTEXT • The changing nature of the workforce • The increasingly diverse nature of the workforce • As a “voice” for the labour force, consider how unions have impact work and society • Canada has a demographically diverse population and it is important that we maximize the value of this diversity GLOBAL CONTEXT • Global forces have an international dimension • Organizations must now think globally • Global forces have resulted in business outsourcing in order to gain a competitive advantage • Canada exports over 40% of its GDP – a major trading nation through agreements such as NAFTA • Foreign ownership of Canadian companies is becoming increasingly common. POLITICAL CONTEXT • Political change can be very influential e.g. deregulation of Canadian Telecoms, banking industry, reduction of trade barriers, changing political leaders • In Canada there is a move towards less government intervention •
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