Influence of Globalization on Organizational Governance and Functions - Desklib

GLOBAL BUSINESS
ENVIRONMENT

PART 2
INTRODUCTION
Globalization is the term and approach which places the use of international network
of global business and operations. The term globalization defines the interdependence of
economy, culture and population which is brought together due to cross border trade in goods
and services, technology, people and information (1). In other words, globalization can also
be termed as international trade which can bring various benefits to the overall society.
SASOL is a global chemical and energy company which produce and market a range of
products of high quality to around 27 countries. The primary objective of SASOL limited is
to bring innovation for better place. The company was established in the year 1950 which
develops commercialize technologies which includes synthetic fuel technology and
manufactures different fuels, chemicals and electricity (2). This report will analyze the factors
which drive global commerce and trade and will outline the complexities of strategic
challenges which are faced by business while operating in global markets. The project will
discuss the impact of globalization on organizational governance, ethical and sustainable
globalization on culture and function of business. The project will also define how decision
making can effectively work in global markets and highlight the routes of internalization.
TASK
Define influence of globalization on organizational governance and leadership, structure,
culture and functions
Globalization is one of the factors which defines the trade between the global markets
through which maximum economic benefits can be availed. Globalization is responsible to
create an impact on internal as well as external business environment. In relation to SASOL,
the influence of globalization in accordance to organizational governance, leadership,
structure, culture and functions is discussed below:
Organizational governance- Globalization is responsible to create an impact on
corporate governance and this has been affected by manipulating peace and stability which
creates a direct impact on the governance which influences the knowledge economy. The
influence of globalization on governance can be positive as well as negative. In case of