Wednesday, November 20, 2019

Future management Essay Example | Topics and Well Written Essays - 3000 words

Future management - Essay Example The sole intention of a business is to satisfy the needs of the customers and generate profit for itself. However, one can question the apparent theoretical simplicity of the process. The answer is obvious ‘no’ in terms of simplicity because the simple process of providing goods and services to the customers for generating revenue passes through various complex stages to achieve the goals and fulfil its objectives. There are several business risks, but simultaneously, there are opportunities as well. Hence, to mitigate the risks and capitalize on the opportunities, a company need to have predefined strategies or plans (Gibson and Barsade, 2003). The notion of strategy has been borrowed from the military and adapted for the use in business. In business, as in the military activities, a strategy bridges the gap between objectives of the company and tactics. Hence, it can be stated that tactics and strategy together, closes the gap between the objectives of the firm and the means of achieving it. However, the question which arises in this context is: why does a business require a strategy to operate in the market place? There are several reasons, but one of them is the changing dynamics of the marketplace. The changes in market place occur due to shifts in the external business environment such as, consumer trends, political landscape, new government regulation or a technological change. According to eminent scholars and practitioners, the business environment is always dynamic in nature and undergoes radical shifts with time (Iivari, 2005). With the great global redistribution of social and economic power, it is expected to continue over the next few decades. Moreover, due to the changes in other business factors such as, the environmental factors, political factors, economical factors, legal factors, social factors and technological factors, companies are compelled to bring changes into their system of operation in order to comply with the external environment (Janicijevic, 2012). Despite several attempts to manage the business environment by devising strategies, the attempts have been futile and it also practically seems impossible for a company to manage the business environment (Jones, 2004). This is because a certain amount of change in one of the factors leads to a drastic amount of change in other factors, due to high interconnectivity. Figure 1 (Source: Newagepublishers, 2010) According to eminent scholars such as Schawalby (2005), companies will face a hard time in the future because of the involved uncertainties. The author had also mentioned that due to the increasing intensity of competition within the industries, a company is bound to face complexities. However, the level of complexities faced by the companies will depend upon their ability to adjust themselves in the changing marketplace. An organization has to deal with changes on a daily basis as people usually do with their lives. Change is therefore regarded a s inherent in the contemporary organizations and its management is not only critical, but also at the crux of organizational development (OD). A business always has two sets of objectives namely, short term objective and long term objective. The short term objectives generally deal with the achievement of short term goals. When it comes to the formulation and achievement of long term goals, the dependence on the external envi

No comments:

Post a Comment

Note: Only a member of this blog may post a comment.