Contemporary Management Issues

Contemporary
Management Issues

Table of Contents
INTRODUCTION ..........................................................................................................................3
TASK ..............................................................................................................................................3
Honda Case Study ......................................................................................................................3
Key dynamic forces impacting on business and society. ..........................................................4
How the organisation responded to these changing drivers........................................................6
Recommendations.....................................................................................................................11
CONCLUSION .............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Every business need a effective management practices which are helpful to balance entire
business operational activities. Management makes a critical task very easier by ignoring
wastage of resources and aid in improve the profit rate that is good for business and society.
Through effective opportunities of employment help to get more output at a low cost.
Contemporary management includes planing, leading, conducting, controlling all the business
operations to accomplish business goals. Managers of the organisation are responsible to for
utilising useful resources effectively. Sometimes, Companies are facing lots of issues related to
the management sue sue to various forces that impact on business performance. All the forces
can affect the business directly through internal and external forces that mainly affect the
strategic decision making of the business. For this report, Honda company chosen that is a public
sector company founded in 1946 and the headquarter of this company in Minato, Japan. This is
considered as world's biggest motorcycle manufacturing company that operating their business
all around the world. In this time, company experiences many external issues that give adverse
impact on the environment and also affect the government policies. The main purpose of this
report is to determine the strategic issues that Honda company are facing when it adopting any
changes. This report analyse the two major changing drivers that affect the company decision
making and also identifying the key dynamic forces that influence the business and society.
Lastly, this report analyse that how company respond to these changing drivers.
TASK
Honda Case Study
Honda is a Japanese multinational corporation that is a largest manufacturer of auto
mobiles, cars, motorcycles and other power equipments. Honda considered the 1st Japanese auto-
mobile company that release a luxury brand “Acura” in the year 1986. This company founded by
Soichiro Honda & Takeo Fujisawa and the total number of employees in company are 215, 638.
Honda are experiencing many problems related to the external environment that has not even
completed in the last years that mainly affect on greenhouse gases (Çora, 2020). It main motive
to decrease these affect so that energy sources will not be suffer. This case study depicts the
requirement to determine the external factors of business environment factors through PESTLE
analysis and Porters model. Honda company has used two key drivers including Climate

protection change and changes in technologies. These changes are consider the most prominent
function that Honda has undertake as per to spread changes in company. Moreover, it necessary
to recognise the strength and weakness of the Honda so that it make easily to evaluate and
analyse where change is needed. SWOT analysis can be use to analyse the strength and
weaknesses of the company (Cranford, et. al., 2016).
Key dynamic forces impacting on business and society.
Forces of Internal Factors
SWOT Analysis
It is the strategic tool that analyse the strength, weaknesses, opportunities and threat for
an organisation so that they can develop the awareness of all the factors that will be effecting the
functionality and decision-making of an organisation. The factors which may effect the
operations of Honda are as follows:
Strengths Weaknesses
 Honda is world's largest engine
manufacturer who has produced 27
million units of engine. It is the core
product for the company.
 Honda has the strong positioning in
Asia's motorcycle market (Esteki and
et. Al., 2017).
 Honda is investing low funds in their
research and development that is
leading to weak innovation in their
products.
 Company is majorly dependent on
North America that gives high revenue
and profit.
Opportunities Threats
 Honda can capture the large market by
operating their business in to new
market.
 Company can introduce the low fuel
vehicles that will increase the product
demand.
 Honda is facing high competition with
their rivals such as Toyota, ford,
General Motors.
 Increasing price of Yen exchange will
leads face problem in exchanging
foreign money Opportunities Honda is
world's largest engine manufacturer
who has produced 27 million units of
engine. It is the core product for the