Question

Questions 1. What is an organization and what characteristics do organizations share? Write up a description and explain your example? 2. Discuss how the external environment affects managers? Find an example in current business periodicals that illustrate how external environment affects organizations? 3. How does the concept of global village affect organizations and managers? Find an example of an organization that illustrate how globalization impact on that organization? The End INSTRUCTIONS 1. You have 60 minutes to complete the exam. 2. The exam is worth a total of 100 points.

Answer 1

1) Organization :- An organization is bringing people together based on their skills to accomplish some purpose and embrace their talents so that they can provide benefits to self and to the real world.

All organizations share a common type of characteristics and they are :-

A) Goals

B) People

C) Structure

This can be further divided as per the type and can be considered as an example of any big organization currently running.

a) Effective sharing of goals :- An organization's first step is to be crystal clear with the employees and should share its ideas its purpose and what they are expecting from their employees , the management select employees and share their vision and mission of the organization, there must be a good relation between an employee and an employer so as to achieve these goals.

b) Teamwork :- Another main characteristic needed in an organization is teamwork , the organization should develop this culture and train the employees how to build teamwork to achieve specific purpose.

c) Training opportunity :- Employees should be provided with on-the-job training so as to learn the work quickly and give output.

d) Leadership :- Maintaining a strong organization is only possible when it has a good leader and good leadership, employer knows how to get the work done from employees and not by forcing them to do so but by teamwork and motivation.

and so this continues ,

e) Risk analysis

f) Adapt to changes

g) Handling of poor performances and decision , etc.

2) External Environment :- Factors outside are the key elements of the external environment and the organization has no control over the external environment and what changes can it make.

a) Managers must be ready and should have a fail safe decision when there is a immediate threat and risk or opportunities from the external environment.it gives various opportunities to growth leadership and it also gives threat when it comes to a product or service.

b) Organization goes through both opportunities and threat by the external environment because of the difference in resources and abilities.

Example :- The automobile market provides enormous opportunities for different type of organizations from manufacturing of the parts to assembling the body of an automobile , at the same time it poses a threat of shortage in the petroleum and diesel resources currently.

The external environment can be divided into two :-

A) General Environment

B) Industry Environment

The general environment usually includes political , technological , legal , environmental , economical factors.

whereas , Industry environment includes , suppliers , buyers , customers etc.

basically this is how the external environment affects the organization.

3) Global village :- It describes as the world getting more connected with each other with the help of media and technology.

The affects of global village on organization and managers are as follows :-

a) It is to go international and it involves exporting of the products owned by organization which includes risk and the product is manufactured or exported only when they get the orders.

b) The commitment made by the managers to sell the products outside before any of their employee is not working outside the company's home country.

c) To manufacture a product the managers consulting the foreign firm and the contract with the firm.

d) A strong commitment to overtake the international market, as in the license to use , brand name and many more.

e) Joint ventures which has a larger commitment and these are called strategic alliances.

f) The greatest commitment is when the organization sets up a foreign subsidiary and also a greatest risk.

Example :- Mercedes Benz is a top manufacturer and distributor of cars , trucks worldwide.

The global environment is changing , business has new competitions to conquer and the managers are open to new challenges worldwide

countries have different values , work flow , morals , political and economical systems so introducing the brand in foreign is a challenge to the managers , opinions about the global environment in one perspective is a problem.