The Importance Of Change In The Business Environment

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Today’s business world is evolving faster than ever before (Achrol, 1991). Nowadays business are forced to accept, receptive, efficient, innovative and adapt these new challenges to the business environment. Business environment is comprised a set of relationship between the stakeholders in the environment whichever the relationship that are changed by individual decisions taken (Wheatley, 1996). The change in the environment has been rapid and unpredictable where competitive advantages have been demonstrated in the most dramatically changes. Competitors have been applying the business strategy adapt to the dynamic and unpredictable nature of the business environment. Business challenges faced by the managers are becoming dynamic rather than…show more content…
Environment is combination of many factors both tangible and non-tangible that provides the lifeblood for the success in the organization. Organization failed to predictable the factors that characterize its environment arises environmental uncertainty (Milliken, 1987). An organization’s internal environment factors include owners, board of directors, employees and culture that managers might encounter the challenges within the organization. Owners are the people who are invested in an organization that have a right to change the company’s policy at any time. Board of directors are elected by stockholder is responsible of overseeing a business’s top managers such as general manager to ensure that business is being run in a way that best serves the stockholders’ interest. Employees are the most important element of organization internal environment that perform the tasks of administration. The composition of the organization’s employees is changing, therefore managers required to learn how to deal effectively with these changes. Organization culture is the collective behavior of organization members and the values, belief and habits are attached to their actions. Manager must first understand current culture in order to manage corporate culture. Organization’s culture plays important role in shaping business successful. If the culture…show more content…
The biggest manager’s challenge in 21st century is that the world has become globalization. Increasingly globalizations have multi-cultural teams. Team members might work in one location or various locations around the world. It is important for managers to understand the diversity and meet difference cultures’ needs and requirement. Next, being a manager in the 21st century required to learn computer and any other information technology. Managers must be a computer-savvy in order to communicate and able to do business with other people from different country. Therefore, managers need to have a reasonable amount of information technology in managing business in the 21st century. The modern challenges faced by the manager are managing people who are very different to each other. A workforce diversity simply means organization are now becoming a mixture of different age groups, genders, cultures, races and ethnicities. Managers cannot expect the same rule followed by everyone. Managing a workforce has becoming challenges for managers to cater the entire workforce

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