3.1
The forces inside the organization that affect how managers set expectations, how employees perform their roles, and how the company interacts with stakeholders and responds to the external environment.
internal environment
includes the external factors that affect the organization’s operations and performance—including customers, talent, suppliers, competitors, advocacy, and regulation
specific environment
encompasses external forces that affect all organizations participating in an economy, where managers have little or no power to effect change. These forces include political and legal, resource availability, economic, technological, and sociocultural.
general environment
is a collection of beliefs that individuals and groups share to help their organization respond to environmental forces and changes.
Organizational culture
is the set of core values shared by the bulk of organizational employees
dominant culture
The specific and general factors outside an organization that can change how it operates.
External environments
are people who pay for goods and services produced by organizations.
Customers
are the behaviors and beliefs associated with demographic groups that comprise an organization’s available talent and customers.
Sociocultural forces
refers to the components of culture that we can see in an organization.
Observable culture
may spring up, which are groups in an organization that share different values from those held by the majority
subcultures
this will help managers decide how to focus their attention to maximize long-term organizational performance.
An entrepreneurial mindset
is when management monitors positive and negative customer feedback through surveys and customer communications and improves its products and services accordingly.
Reactive engagement
is an orchestrated system of talent, resources, and money with the purpose to create and distribute products and services.
economy
consists of the components that lie beneath the surface of an organization, such as company values and assumptions.60 For instance, technology giant Google believes that “great just isn’t good enough,” which illustrates the value it places on striving for excellence
Unobservable culture
An extreme type of subculture whose values strongly differ from those of the larger organization
counterculture
the two types of environments that managers must deal with when operating an organization
internal and external
is creating a product or service as an alternative to enhance the customer’s experience
Proactive engagement
is the value of what a country produces on an annual basis, representing the size of its economy.
Gross domestic product (GDP)
is the set of core values shared by the bulk of organizational employees
dominant culture
an organizational culture where the majority of employees are aligned with the values of an organization
strong culture
what is the oldest company in the world
Finnish paper and pulp company
The potential for businesses to cost-effectively build relationships with customers to develop future products and services for example, Salesforce has created the IdeaExchange, a collaboration platform that allows customers to give their feedback on ideas shared by the company.
Interactive engagement
the resource people are expected to cosume roughly 30% more of by 2040
energy
may spring up, which are groups in an organization that share different values from those held by the majority
subcultures
repetitive phrase intended to support an organization’s culture, mission, vision, or values. Subway’s “Eat Fresh” slogan indicates its commitment to freshly prepared, healthier fast food while Nike’s “Just Do It” represents its focus on proactivity.
slogan