Causation and Effectuation in Contemporary Business Management Issues

Contemporary
Management issues in
the 21st Century

Table of Contents
INTRODUCTION : ........................................................................................................................3
TASK ..............................................................................................................................................3
Drawing on the concept of causation and effectuation, critically discuss the statement and its
relevance to understanding the dynamic of business management issues in the contemporary
global business environment............................................................................................................3
CONCLUSION ...............................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION :
Business management is synchronising the activities of different departments to achieve
the goal of the organisation. Management of the organisation works towards planning,
organising, directing and controlling the business to attain the objectives of the businesses. They
have the responsibility to look over the businesses and make decisions accordingly. The size of
management is different in various organisation. Management size can be anything from a single
person to thousands of person. Business managers helps the employees to reach the top
productivity level(Bhat and Bharel, 2018). They also train and supervise new employees. The
term management is easy to understand but it is very difficult to define in universally acceptable
ways. This report focuses on the concept of causation and effectuation, explanation on artefacts
that assumed to required novel approach in the venture creation and importance of understanding
management issues in the contemporary world.
TASK
Drawing on the concept of causation and effectuation, critically discuss the
statement and its relevance to understanding the dynamic of business
management issues in the contemporary global business environment.
Business start ups focuses on providing network resources and encourage the sharing of
ideas. But the previous researches shows that restricted knowledge takes place between the start
up firms. This shows that entrepreneur rely upon two aspects which are causation and
effectuation. Causation refers that entrepreneurs focus on the predetermined goals and then aims
to find the means to reach the goal(Corbau and et. al., 2019). Effectuation refers to the approach
for taking decisions in order to carry out necessary actions. It gives the organisation a completely
different approach.
In the traditional ways, the entrepreneurial creation was mainly depended on the traits
and efforts which tends to show the result of success. It is necessary to understand the
entrepreneurship in a better way. Many theorist have created novel methods for this journey
which is effective for analysing facts and data for the business activities. In references to
dynamic global business environment the presented theories, models and plans are become
necessary for every business in order to avoid failures. As the environment is becoming complex