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Change is required if the organisation is to stay competitive.
The Governments in certain countries can change the labour laws over night which has a massive impact ion foreign companies operating already in that country.
Society, government, employees these are all examples of external pressure for change. You have to be able to roll over and adapt to supply and demand.
External change can come from anywhere, so corporate executives need to be aware and have strategies in place to deal with them. Government, competition, and economic forces generally difficult to combat or turn around, thus being aware and having policies in place to deal with all aspects of these aspects of change can be critical to the companies bottom line,
External pressures for change determines the market share of an organisation, company, entrepreneur and and a business person since this stand as a change to determine the chances of market share in a competitive world, the above mentioned parties have to change their strategies to meet up and probably SWOT can be applied for proper analysis and evaluation. The team formed will determine the outcome of their strategies.
Due to modernization and a new age era, Technology could be a negative yet efficient and effective change to an organization! The rates of unemployment would increase almost 80% on the other hand a new technical point of view and a better computation of stratergy and ideologies are formulated and put to use! The organization can/may see growth financially and economically and the strength and stability can increase due to this change! Its all a matter of lose one to win one!
As a manager how do you handle pressure from a corrupt system of government? What values do you consider when adjusting to this type of force
Some factors are pushing to change stimutaneously
Technological advances are occurring at an exponential rate and a significant cause for concern to organisations because of their associated costs
Business Management - External pressures for change
External pressures for change
Technology changes the way tasks and processes are carried out in
organisations and therefore impact on the employees. IMAGE.
Externally, pressures for change arise from competitors in the
marketplace, the technological environment, the government, the
international sector, the society as a whole and the general economic
environment. Competitors may have introduced new products or services, or
undertaken extensive advertising campaigns and therefore the organisation
must respond or risk losing market share and customer loyalty.
Technological advances are occurring at an exponential rate and a
significant cause for concern to organisations because of their associated
costs. However, organisations cannot afford to ignore the changes as their
competitors or new players may enter the marketplace and take some of their
market share. Technology also changes the way tasks and processes are
carried out in organisations and therefore impact on the employees. This in
turn, forces management to make further changes to job practices and
designs, and specifically to job descriptions and job specifications. This
is equally true for service enterprises as it is for manufacturing
Governments may influence organisations by changes to legislation. IMAGE.
The government pressures organisations to modify or change their
operations by introducing legislation, changing their foreign policies and
altering their political platform and agendas. A change in government may
cause considerable change for businesses with significant changes taking
place, e.g. changes to taxation laws. The government may also influence the
state of employee or industrial relations, e.g. the introduction of
enterprise bargaining and force organisations to change the relationship
that exists between management, employees and unions. The international or
overseas sector may also force organisations to change. The rapid rate of
globalisation of business coupled with associated technological changes
cannot be ignored by organisations. The society as a whole may also result
in changes being made to the way organisations operate. The questions of
social responsibility, environment and quality of life are areas that can
be overlooked by organisations as their operations directly and indirectly
impact on our communities. Changes to the workforce in terms of
composition, age and qualifications may also force changes to the way
organisations employ staff and the type of staff that are able to employ.
Finally, organisations need to change depending upon the state of the
general economic environment as evidenced by interest rates, the value of
the dollar and other currencies and the stage in the economic cycle that
the country is in at that time. Changes may also be necessary if the
organisation is moving to the next level in its internal growth and
These pressures may be seen as driving forces pushing the organisation to
change or restraining forces holding the organisation back and resisting
the change. Usually there are numerous forces acting on the organisation at
any one time and the management of the organisation must assess each in
turn and carry out some sort of analysis of the continuing impact of these
forces on the organisation. An example of a process or strategy that could
be used is a SWOT analysis in which the relative Strengths, Weaknesses,
Opportunities and Threats of each pressure are evaluated and balanced
against each other.
Managers who are responsible for implementing the change process are
called change agents or facilitators. IMAGE.
Many organisations also outsource this function to external specialists.
The change agents are seen as the catalysts of the change process and
depending upon the management style adopted by the manager, the task may
also be delegated to an employee or team of employees on the shop floor.
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