Understanding Contemporary Organizations

Running head: UNDERSTANDING CONTEMPORARY ORGANIZATIONS
Understanding Contemporary organizations
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1UNDERSTANDING CONTEMPORARY ORGANIZATIONS
Table of contents
Introduction......................................................................................................................................3
Discussion........................................................................................................................................3
Organizational value creating process.............................................................................................3
Key aspects and their interaction for creating value proposition....................................................4
Contribution of internal and external stakeholders on value proposition........................................7
Theoretical aspects of management.................................................................................................8
Conclusion.......................................................................................................................................9
Reference list and bibliography.....................................................................................................10

2UNDERSTANDING CONTEMPORARY ORGANIZATIONS
Introduction
In the globalized business environment, sustainability has become one of the important
concerns for the companies (Payne, Frow and Eggert 2017). In order to understand the needs as
well as improving the customer satisfaction, value proposition brings the significant impact on
business growth. The purpose of this study is to shed light on the value creation process of
Knitwear, which is an Australia based fine woolen wear selling company. Highlighting the key
aspects of value proposition process the involvement of internal and external stakeholders in
terms of involving the value proposition process have been highlighted. In the end of this study,
different theoretical aspects related to the management practices have been highlighted which
can bring significant impact in terms of improving the business practices in the particular
organization.
Discussion
Organizational value creating process
Value creation is being considered as the primary aim of every organization. By creating
the values to for the customers the organizations get the chance for selling its products and
services in right way (Manninen et al. 2018). It is also true that based on the value creating
process, future availability of investment capital can be ensured. Examining the situation of
Knitwear, it has been identified that the company aims to satisfy both the logical and emotional
appeal of the customers. Knitwear was established in the year 1962 in South Australia. Within
few years of establishment, the family owned business has gained large customer segment with
business expansion in UK, Europe and North American markets. Analyzing the value creation
process in the company, it has been identified that introducing the environmental sustainability

3UNDERSTANDING CONTEMPORARY ORGANIZATIONS
initiatives by reducing the carbon emission and chemical uses in its manufacturing process, it
aims to reduce the impact of historical damages.
The garments which are being produced by the company ensures the right quality so that
satisfying the needs of the customers, loyalty can be maintained. It has been identified that the
primary aim of value creation process of the company to ensure the community improvement by
introducing different environmental sustainability initiatives. Analyzing the operational process
of the company, it has been identified that proper utilization of resources can be considered as
one of the important characteristics of the company that has contributed in the value creation
process. In order to reach to its potential customers both the online and offline business
initiatives have brought the drastic impact on its sales rate. Including diversified ranges of
products and developing the distribution channel through independent retail stores have brought
significant impact in terms of ensuring its effective team work.
Analyzing the fundamental principles of the company, it has been identified that
Knitwear creates its value by involving the regenerative farmers who maintain the sustainable
practices by contributing in the animal welfare. Producing the standard quality of wools and
without compromising with the economical benefits, the company aims to set the great example
for the community. Therefore, analyzing the current value creation process of Knitwear, it can be
said that ensuring the societal as well as economic benefits, the company has ensured the
customer satisfaction. By continuing this, it can also be said that by delivering long lasting
standard quality of products without harming the animals, the company has successfully
developed its image in the market.