Internal and External Factors Affecting Organizational Performance

Report

Table of Contents
Identify the internal and external environment, which might affect the organisation’s key
performance requirements and key success factors.....................................................................3
Address key issues within the organisation relating to motivation (e.g. financial and non-
financial incentives) and equity...................................................................................................4
Provide an assessment of other possible problems the organisation might face in the
management of remuneration......................................................................................................5
Suggest options for addressing these issues, identifying each option’s strengths and
weaknesses...................................................................................................................................5
Discuss the implementation details of your preferred option, including what type of
remuneration plan you would recommend..................................................................................6
REFERENCES................................................................................................................................8

Identify the internal and external environment, which might affect the organisation’s key
performance requirements and key success factors.
There are several internal factors which affects the human resource development of this
company. Some internal factors are defined as the resources within company which are under
control of the organization and they can be tangible or intangible (Chelladurai, and Kerwin,
2017). Some of the factors are involved in strengthening and analysing weakness of company.
Human resource: in context of global economy there's development of digital and virtual
skills. There's no need of physical resources and therefore economic value is Evaluated. When
employers are not carefully trained and are having negative attitude towards their work and task,
then it is not easy to achieve the human management ineffective manual.
Capital resources: the financial capital is defined as funds which are important for
growing and sustaining of a business. CEO of an organization has to take financial capital for
investing in different tangible goods like machines, tools, factories (Huselid and Becker, 2011).
There is no company which can survive without having good capital resources . There are
several ways by which an enterprise can maintain stable budgets such as investment
opportunities, funding, annual income, etcetera .
Operational efficiency call on the main concept of operational efficiency provides
information about practice of enhancing the tasks and processes in proper manner for managing
activities and tasks of companies and lead to final service or product. Operational efficiency is
directly affected by success of company within marketplace. In context of present company,
there is need to discover the way in which they are performing the business activities so that
condition of business can be improved and human resources that is employees working in the
company are more productive and efficient.
Organizational structure: for having a suitable organizational structure, there is need for
owners to have a proper system in order to work in smooth manner. When there are centralised
or decentralised systems, an important aspect is to manage how effective the structure is and how
it can be applied within the company.
External factors which can affect this company are known as the outside factors on which
company has no control. This provides help to the businessmen in managing suitable adjustment
for marketing plan and conducting the external environment analysis in proper manner. Some of
the external factors are mentioned below