Impact of Principal of Management on Internal and External Business Environment

Added on -2020-02-19

| 9 pages| 2110 words| 134 views

Trusted by 2+ million users,
1000+ happy students everyday

Showing pages 1 to 3 of 9 pages

Running Head: Principle of ManagementImpact on Internal andExternal Factors onBusiness Environment
Principle of Management 1IntroductionNow a day with the changing era the organizations management process has also been modifiedand developed according to choice and preference of the customers and prospective clients of thecompany. To incorporate sound management system within an organization, initially a companyneeds to strategically plan the management of the company with the use of efficient tools andtechniques. Further the internal and external environments of the company are also beingconsidered to view the activities conducted by the business. Along with fulfillment organizationobjective by using efficient management techniques the company not ignore the code of ethicsdefined and the legal obligation of the company (Steiner, 2010). “The following essay providesan overview of role of strategic planning in a modern business environment. Further the internaland external factor affecting the business and with the legal ethics are also discussed.”Strategic Planning aspects in modern businessStrategic planning is considered as a critical aspect of business success. Differentiating from thetraditional planning process, the strategies help the company in thinking innovative and actmalleably in flexible market environment. The planning process helps the company to create aroadmap which shall lead them in fulfillment of their organization objective. Further in this casestrategic planning helps the company in deciding which target market to attract and with meansthe company can gain competitive edge. With a proper sense of direction and outline, it becomeseasy for the company to lead the market. Also this process helps the company in executing day today business activities of the company (Moser, 2012). Summing up the above statements it shallbe concluded that strategic planning assist the company in carefully analyzing the marketconditions and work accordingly to fulfill the objective optimizing the resource provide to them.
Principle of Management 2From the initial stage the planning helps the company in setting mission for the management forthe organization. Many companies have lost their value in the market even after using effectivetechniques of management also; the reason is due to incorrect mission statement defined for thecompany. A qualified mission statement provides between links between idea and practicesimplemented by the organization. Also a mission statement defines the code of ethics which acompany shall follow in order to curb the penalties. After analyzing the mission of the companythe role of strategic planning is to set goals to apply procedures in the management. Substantiallygoals lead to program and program leads to quantitative change in profits of the company. Theeffects of a strategic planning are identified by evaluating the progress of the company andcomparing them with the planned objectives. So it is the role of strategic planning process toinitiate missions in the organization and implement them to achieve competence in the market(Allison, & Kaye, 2011).By conducting the strategic planning process in an organization, the company gains severalbenefits in qualitative as well as quantitative terms, thus this planning has become important forthe organization to survive in the competitive market. The process of strategic planning helps inefficient and optimum use of resource in the organization. Harassing the resources will lead todepletion of natural resource and also this practice is unethical whereas optimizing minimumresources will incur loss for the company. Thus strategic planning helps the company ingeneration of product and services by using resources optimally. Further planning helps thecompany in establishing definite goal which is achievable by the company. Setting standardwhose completion is next to impossible for a company will lead to demotivation withinorganization. Apart from that this process also reduces the risk of uncertainty in a company byevaluating the outcomes and market conditions on a prior basis (Rothwell, 2010). The process of

Found this document preview useful?

You are reading a preview
Upload your documents to download
Become a Desklib member to get accesss



Q&A Library Access

Chat support


Document Unlocks


Answer Unlocks

Students who viewed this