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ADMS 1000 (315)
Chapter 1

ADMS 1000 Chapter 1 Notes

3 Pages

Administrative Studies
Course Code
ADMS 1000
Peter Khaiter

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Chapter 1: Notes & Definitions What is an organization There are three broad categories of organizations 1. Public/governmental organizations that provide goods ad services without necessarily generating a profit 2. Private/non-governmental organizations, including voluntary organizations, that offer goods and services without necessarily generating a profit 3. Private organizations that produce goods or services with the intent of making a profit for the benefit of their owners or shareholders What makes all these things organizations? 1. Organizations are social entities: They are all made of people whom generate and maintain the organization which involve some level of human interaction. 2. Organizations are created to achieve goals: they are good orientated. There is some objective they want to achieve 3. Organizations interact with the environment: Obtains inputs form its environment whether in the form of people, raw materials technology or financial capital. Inputs are transformed by the organization and become outputs: the goods and services or knowledge that the organization generates Organization as Open Systems System: interdependent elements working together to achieve a goal or goals. Open system: system that regularly exchanges feedback with its external environment Closed System: fully self-sufficient entities requiring no interaction with the environment (hard to find in practice  Organizations are dependent on the environment for their survival and success  Created in response to societal or environmental needs, it is the environment that will determine the organizations faith The external context of Business Specific or task environment  Have direct influence on the organizations ability to obtain resources and generate output  Stake holders have stakes or interest in the organizations and include: customers, suppliers, the labour pool from within which the organization obtains employees, competitors, unions, distributors, creditors, the local and public government  Not all of the stakeholders exist or exert influence on every organization General Environment  forces that make up general environment shape the specific environment of the organizations  includes, Economic, competitive, technological, labour, political, global and societal forces Economic forces o acts a strong influence on the present and future prospects of any organization o Organizations are continually forced to adapt to changing economic conditions o Life time employment seems to be a thing of the past Competitive Forces o Can be domestic or foreign o Globalization opens the gate for competition/also much higher levels of competition o To compete effectively,
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