Analysing Globalisation's Effects on SASOL Limited's Business Strategy

This report assesses the impact of globalisation on SASOL Limited, focusing on organisational governance, leadership, structure, culture, and functions. It evaluates the influences of ethical and sustainable globalisation on organisational functions, utilising the McKinsey 7S model and Hofstede's Cultural Dimensions to analyse SASOL's approach. The report also examines various decision-making processes in a global context, highlighting arenas, differentiators, and economic logic. Furthermore, it identifies different routes to internationalisation and key barriers that SASOL may encounter. The analysis underscores the importance of effective decision-making and strategic planning to navigate the challenges and opportunities presented by globalisation, enabling SASOL to enhance its global market presence and achieve sustainable growth. Desklib offers a platform for students to access similar solved assignments and past papers.

Global Business
Environment

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY..................................................................................................................................3
P3: Evaluate the influences of globalisation on organisational governance and leadership,
structure, culture and functions....................................................................................................3
P4: Evaluate the influences of ethical and sustainable globalisation on organisational
functions......................................................................................................................................4
P5 Evaluate the different ways decision making can work effectively in a global context........7
P6 Determine and articulate the various routes to internationalisation an organisation may
adopt, including key barriers.......................................................................................................8
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................12

INTRODUCTION
The global business environment can be defined as the environment within the different
countries, the business is greatly get affected by the global environment, that refers to the
uncontrollable local as well as international interaction that assist to influence how the company
is operating. As well as the general environment is wider, broader environment in which the
company is operating, this also includes the political, social and technological factor, this is
related from the unfamiliar factor from the domestic environment that affects firms’ decisions on
the use of resources as well as capabilities (Costa, 2020) Also, the discussion is about the driver
and challenges for globalization, this is the terms refers to the lead of challenges in relation to
welfare of workers, economies as well as environment as business helps to globalize the staffs
and their operations between two countries and helps to take several advantages of being lower
cost of doing business in several regions. Now, in the respect of the report, as a new appointed
junior operations executive at London office SASOL limited a fast-growing energy and chemical
company having head office in cape town, south Africa, that have given a Task present concept
of globalisation of challenges that helps to create company new market development.
MAIN BODY
P3: Evaluate the influences of globalisation on organisational governance and leadership,
structure, culture and functions.
Globalisation will provide several manner of probable key manner with the basic motive
of development that should have the key factor on the diverse value unit of the organisation.
They also have orientated targets of various organisation that might be varied. It involves several
manner of the aspects that are connected with the arrangement, philosophy, management and
authority that will depends on role of an organisation (Anshari, and et.al., 2021). As the
arrangement will aid the organisation in determining of interpretation, that have an impact of
dedicated and exactness of the delivery of preparation of organisation. It includes thoughts,
standards and resolutions by various organisation connections that have the manner of the
portion of the values. Managerial supremacy includes various practices, rules and approaches
that might be adjustable to the organisation. The basic term of the organisation that has been the
hierarchal planning. The planning includes the customer request, professional of organisation
and various elements. As identifying the basic nature with different conservational discussions

that would be engaged into deliberation. As the basic section of the arrangement of the
organisation that might be related to it. So, it will relates to the funding of the customer
difficulties and overall organisation. As in context to the, SASOL LIMITED the organisation is
enthusiastic to maximise the global market condition.
P4: Evaluate the influences of ethical and sustainable globalisation on organisational functions.
SASOL LIMITED is the rapid growing business in South Africa. It might create the way
of the approaches for the including the global way of the duty and encouraging actions of the
business of the McKinsey 7S concept that might be evaluated to consider the outcome of the
basic orientation of manner with the globalisation of the SASOL LIMITED authority,
management, construction, actions and culture (Saruchera, and Asante‐Darko, 2021). McKinsey
7S model involves the basic set of manner that are as follows –

 System - SASOL LIMITED is the organisation that are intense and positive process that
will aid in completely dealing all the alterations and influences that should increase with
orientated period.
 Structure - It is refers to be growth of flexibility that will directly related with various
commercial units and tools. SASOL LIMITED will arrange the following structure to
create the part for motivating the overall organisational target and determination.
 Skills - SASOL LIMITED will have the basic orientation of the work that are require for
the skills and abilities (Tan, and Cha, 2021). SASOL LIMITED organisation should be
engaging accurate person for a suitable manner of works for the accomplishment of
various objectives.
 Shared values – By having an important and expected units that are recognised in the
management as per to an expected units that should aid in the process of the management.
 Style – Executive’s units that are measured as in the way through which it will led to the
team. As it will specifies the several manner of the leadership that would affect the self-
confidence, demonstration and employee presentation.
 Staff - It is termed as one of an essential function that creatively manage the organisation
with key thoughts of skills and facilities. Persons who might to be agreed that are created
on significance.
 Strategy – The plan of actions that are designed to help the organisation for development
of the practical advantages in order to sustain their presence at market. In SASOL
LIMITED, there are requirement to communicative strategies in terms of functional plan
and CSR authority arrangements.
Hofstede's Cultural Dimensions -
The theory who might a progressive arrangement that should be operated for the manner
of determining different general variances and determining the way of management that might be
demonstrates as pre to the diverse standards (McIvor, and Bals, 2021). Various Hofstede's
cultural parts of the SASOL LIMITED are discussed below –
 Power distance - It is termed as a guide that will practically mentions as in the way that
will distinguish in the philosophy in respect to inacceptable distribution of authority.

 Uncertainty avoidance – It is related with the way that the person are conserved when
they are selling with an efficient unit of the situation SASOL LIMITED, that might have
varied progression that are disturbed and have official procedure.
 Individualism vs. Collectivism – In individualism every person responsible for their own
activities which they are performing in collectivism individual has to depend on other for
their activities. In SASOL LIMITED the manner of work that will demonstrate the total
arrangements that will highly attentive attitude and immediate household in ignoring the
value and formation of the values.
 Masculinity - It is termed as the capacity that are stated as the masculine capacities like
materialism, ferocity and shortage of maintenance (Kundu, Sarkar, and Bhattacharya,
2021). Femininity is linked with overall advantage of period and inclusive way for
performance of task in an organisation.
 Long term vs. short term orientation - It is termed as the way of the measure of duration
that are selected for the management that are prearranged. SASOL LIMITED will
focuses on the small term of duration of the achievement by creation and exploration as
effectively.
 Human resource function - It will refers to the way of human resource management that
might create as enormously difficult. Contenders and specific individuals who might have
the necessitating manner of several sections of the tasks as the significance of swapping
with various variations that are approved by the globalisation. The orientation of the
Human Resource Management have various problems that have being parted to high
engaging of the individuals in the business as efficiently. It helps in providing the proper
training to the employees so that employees can perform effectively in the business and
earn more profit.
 Finance function - It is defined as one of the most important aspect of the management
of organisation with higher duration of the period as sustainability and integrities units
that are specific as per to the undeviating impact on the financial actions of an
organisation. It helps in managing the transactions of the business so that profit of the
business can be increased and more revenue can be generated in the economy. In the
organisation there are various transaction which takes place on the basis of which

organisation has to improve plan there activities. Managing the finance in the business is
very important so that profitability of the business can be increased.
Influence of ethical and sustainable globalisation
As an organisation surveys the particular reliabilities, then it would be achieve their way of
organisation operations and activities in an effective way (Khuntia, J., and et.a., 2021). By the
manner of such manner, virtuous values that will not get measured suitably, it should have
unwanted influence on organisational operations and activities of the management and on the
employees too.
P5 Evaluate the different ways decision making can work effectively in a global context.
In order to effectively manage responsibilities in the global market, it is significant that the
management business adopt an efficient action plan. Management businesses can operate
effectively in the global market and be more effective. A global analysis was conducted focusing
on active situations in which management can face constant changes such as consumer needs and
desires. Decision making helps in providing the right direction to the employees so that more
profit can be earned in the business. if the strategies of the business will be planned properly then
it will help developing the services of the business in the marketplace. Therefore, if a company
wants to achieve the satisfaction of advanced consumers, it is easy to operate its business in the
global market (Szalavetz, 2020). The company employs the best decision-making methods and
represents an efficient action plan that helps to effectively perform management functions in the
global market.
Decision Making: It is the process of developing the best choices by making decisions
efficiently. Gather the data which is needed and measure quirky decisions. Effective decision
making helps in increasing the performance of the business in the marketplace which helps in
increasing the productivity of the company. It helps in providing the proper guidance to the
employees so that they can work more effectively in the business. company should involve their
employees in the decision making so that better services can take place. Efficiently investigate
all stages of business-friendly decision-making for management to make the best choices to help
organization to develop and grow. Management was analyzed that there are several decision-
making methods that can help them run their operations efficiently in the global arena. In
connection with SASOL LIMITED, we are an integrated energy and chemical company already

commercially active in more than 35 countries. It is leading management functions that
efficiently apply several decision-making methods, including:
 Arenas: It is an action plan that includes multiple questions associated with the Arenas
discipline, representing management and candidates. There are central opinions and
correlations that can make business management dynamic. According to this action plan, it
is necessary to consider market and commodity market promotion in outside regions
together with selected management. SASOL LIMITED Company can create efficient high
quality related to the area of value chain in the action plan. In decision making, enabling
these action plans will help businesses achieve efficiency in the global market arena.
 Differentiator: management is limited to business as it acts to obtain feasible profits in
current and future areas. Fluctuations are hampered by a variety of factors, including value
corrections, product reliability, and speed of entry into the market (Leonidou, 2020). In
connection with SASOL LIMITED, the organization raises such issues in a decision-making
manner that helps companies achieve higher growth in the multinational market sector by
gaining competitive interests in the market. Needs to be strengthened.
 Economic logic: these elements refer to how management displays revenue and monetizes
monetary prices as described above. These issues are associated with ecological and social
benefits, which represent the benefits that society has secured. In connection with SASOL
LIMITED, they are to benefit from efforts in the global arena of the market when they can
apply economic logic to make choices. It should help managers' businesses in achieving
higher profit periods compared to the operating price of wealth and generate lasting longer-
term shareholder returns.
All such action plans have been analyzed in the period of making decisions of SASOL LIMITED
to achieve higher efficiency in their work functioning in the global section in the discussion
above. These action plans help managers to make effective decisions and help effectively in the
advancement of the business in the global arena.
P6 Determine and articulate the various routes to internationalisation an organisation may adopt,
including key barriers.
In the current viable situation of management, its purpose is to create a situation of global
functions to improve the inadequacy and efficiency of current consumers. In the business of
passionate management to improve measures such as limits that need to define the processes

necessary to evaluate successful solutions to applicable conclusions. Making decisions is
called modest and depends on the entire executive. The management action plan has a kind
of blueprint that is generated based on resource allocation. The action plan plans to allow
management to allocate capital to reserve allocations and mission prior obligations. Various
multinational methods, such as SASOLLIMITED (Kiloh, 2020).
 License Management: It is a process that allows commercial management to grant licenses
to other fields of management when a business is connected and to expand their
management functions. eager to do SASOL LIMITED may charge payment for the use of
knowledge and improvement of current product sections or characteristics of any kind. It has
the central advantage of helping the group's process of expanding SASOLLIMITED income
and new development sites for being able to cope with the changes taking place in the
context in which it is actively functioning.
 Export- It is referred to as the stage in which an executive's business refers or allocates
products and equipment to target-oriented sectors of the market. SASOL LIMITED follows
the decision to adapt such an action plan because it has to put into practice sections with
other countries. SASOL LIMITED Company needs to focus on occurrences and demands in
the current market. This is because there are certain related tasks related to trade guidelines
related to establishing strategies and procedures according to business operations.
 Strategic Alliance- To have a joint advantage strategy observed along with some of the
planned coalitions, the role of capital merging is called the basic placement between both
events. SASOL LIMITED's business uses procedures to effectively manage self-sufficiency.
 International Distributors and agents-The multinational division of managers is the first
individual to enter the global arena of the market Because there are some management and
personalities employed in the management business (Gunawan, 2020).
Key barriers of Internalisation -
 Financial barriers: Economic and physical capital, insufficient management financial
problems that can lead to multinational functions, approvals or currency-related
expenditures, and experience in expanding operations across the country. Finance is
required in every organization if they will not have sufficient amount of funds then they
will not be able to perform its activities. To perform any task in the business funds are

required so that innovation can be done effectively and competitive advantage can be
gained properly. Organization has to keep a proper record of the inflow and outflow of
the cash so that more profit can be funds can be managed properly. Funds helps in
developing the product and services of the company which further helps in providing the
best services to the customers due to which demand of the business also get increased. To
operate business globally it is important to have sufficient because different places have
different needs and requirement on the basis of which company has to manufacture its
products and services (Tien, 2020).
 Management barriers: It relate to management's services and ability to affect
management's work. SASOL LIMITED has problems with different kinds of supervision
that can affect management, including lack of skills, arrogance of externally engaged
executives, problems of time management, corporate problems, problems of will The
cause has to do with depositors' insight risks and their lack of understanding of foreign
markets. In a situation dealing with multinational knowledge, the current stage of
development can affect the spread of issues related to higher-level organizations and
complex issues can arise that can be difficult. These barriers in the business can affect the
services of the company in the marketplace because if management will be there in the
business then it can affect the services of the company in the business due to which
company will not be able to achieve its objectives more effectively.
 Industry-specific barrier: Business management needs to handle a clear business
problem, which is a specific problem. Competition is referred to as the administrative
difficulties that can occur when management is referred to as part of a comparative
business that they challenge together. Due to the multinational and internal advertising
growth that can be developed, market interaction is also influential in competition and is
effectively heading to the unissued section. In the economy there is a huge competition
on the basis of which company has to plan its objectives so that there services cannot get
affected (Ferramosca, 2020).
CONCLUSION
From, the above report the conclusion of the topic is as follows- this report includes the global
business environment that includes the opportunities as well as threats of Sasol limited company
that is related from the several challenges that will be faced by the organisation and what are the

steps will take by the organisation in order to resolve the issues of the Sasol limited company as
well as critically explained the key factors of the organisation that will drive the global edge inn
relation to the commerce and trade. Apart, from this report also includes the various strategies
will adopted by Sasol limited for upgrading decision making process into the organisation. As
globalization has a direct impact on the full operating culture of business entities, it is imperative
that management focus on all global functions to ensure thorough and accurate implementation
of actions and operations. It was also analyzed that mergers, acquisitions and joint projects have
several multinational growth plans being utilized in businesses such as licensing. Finally, it was
identified that there are some important barriers facing management to enable
internationalization, such as lack of appropriate subsidies.

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