SASOL: Global Business Environment, Expansion, and Strategic Analysis

This report provides an analysis of the global business environment with a focus on SASOL, an integrated energy and chemical company based in South Africa. It applies McKinsey’s 7S model to evaluate SASOL's organizational structure, strategy, shared values, systems, skills, style, and staff, highlighting how these elements contribute to competitive advantage. The report also examines Hofstede's dimensions of culture, including power distance, individualism vs. collectivism, uncertainty avoidance, masculinity vs. femininity, and long-term vs. short-term orientation, to understand cultural influences on SASOL's operations. Furthermore, it evaluates various strategic global expansion routes, such as licensing and exporting, used by SASOL to extend its managerial practicality and presence in the international market. The conclusion emphasizes the importance of the global business environment in the progression and growth of management, highlighting the role of both intrinsic and extrinsic factors in ensuring profitability, market goodwill, and a strong consumer base. This analysis offers insights into how SASOL manages its business in a global context, addressing risks and conflicts through strategic decision-making.

Global Business
Environment

Table of Contents
PART 2............................................................................................................................................3
MAIN BODY...................................................................................................................................3
The application of McKinsey’s 7s model in context of a company(SASOL)............................3
The application of Hofstede's dimensions of culture theory........................................................5
Evaluation of the range of strategic global expansion routes......................................................6
CONCLUSION ...............................................................................................................................8

PART 2
INTRODUCTION
In the technology of stiff opposition among exclusive groups it's miles important for a
enterprise to keep in mind international enterprise surroundings in a prime sense. The
international enterprise surroundings includes many exclusive precious elements that influences
a enterprise corporation in a prime sense. It is likewise vital for an inner enterprise to carry out
short evaluation of world enterprise surroundings for improvement of enterprise entity. n this
record instance of SASOL agency is considered that is an integrated electricity and chemical
agency this is primarily based totally in Sandton, South Africa. In the functioning of an
worldwide enterprise there are kinds of enterprise surroundings which are inner and outside
enterprise organisations. In this record the software of Mckinsey’s 7Ps version in a agency this is
functioning within the international surroundings. In this task hofstede dimensions of subculture
is defined together with its all dimensions.
MAIN BODY
The application of McKinsey’s 7s model in context of a company(SASOL)
Mc Kinsey 7s version is stated to be a device that analyses the organizational shape of a
employer through its seven precept intrinsic factors. This 7s version places emphasis on
workforces of the employer as opposed to following conventional mass manufacturing method
for higher performance. These seven precept factors facilitate managers of SASOL Limited in
gaining aggressive benefit over competition in following ways:
 Structure: Sasol Limited, flatter organisational shape is accompanied through managers
of employer for innovating and supervising their commercial enterprise sports. In this
organisational shape, there are fewer degrees which inspires communique among the
supervisors and their subordinates of the reputable employer.
 Strategy: Supervisors of SASOL Limited follows suitable techniques that enables them
in making powerful advertising and marketing activities through gaining knowledge of
and figuring out information for making nicely knowledgeable decisions.
 Shared values: Well-described organisational shape of SASOL Limited facilitates in
motivating the human sources of the employer toward attainment of targets in an green
manner.

 Systems: It is a technique wherein the every day sports of a commercial enterprise are
run for growing a workflow inside an organization. This machine facilitates directors of
SASOL Limited in tracking commercial enterprise sports and strategic making plans for
accomplishing the objectives of employer.
 Skills: Skills like communique capabilities, developmental capabilities and lots of greater
facilitates the team of workers of SASOL Limited in gaining aggressive benefit over its
competition within the marketplace. The employer offers education and improvement
classes to their workforces for reinforcing their capabilities so they whole their venture in
an powerful manner.
 Style: It is described because the mindset of senior degree control for controlling and
directing their subordinates to make nicely knowledgeable commercial enterprise
decisions. SASOL Limited, democratic management fashion is accompanied through
supervisors of employer to direct and educate their subordinates in order that all of them
could make powerful commercial enterprise decisions.
 Staff: It includes the employees gift within the employer action and retaining the
operations of every day commercial enterprise sports. Sasol Limited, there are 30,one
hundred manpower’s running within the employer for making commercial enterprise
decisions.
The application of Hofstede's dimensions of culture theory
Hofstede's Cultural Dimensions of cultural
The shape of a business enterprise majorly defines subculture in a prime feel and it's far
vital for a business enterprise to use hofstede dimensions of subculture so that organization can
supply first-class practices. This version enables in handing over first-class enterprise practices
in a business enterprise for enterprise expansion. It is vital for the business enterprise to take help
of strategic control for implementation of this version.
 Power distance index: The energy index is decided because the standards wherein
inequality in addition to energy elements are tolerated. Organisations on the market ought
to often comply with the fundamental plan that is powerful in growing a want for energy
distance index.

 Individualism vs. collectivism: It is the important duty of enterprise to attention on man
or woman employees. Along with this it's also important duty of an worker to attention
on certain aspects.
 Uncertainty avoidance index: It is decided because the expand wherein uncertainty in
addition to ambiguity is tolerated. It describes that how unknown scenario or sudden
activities are deal in business enterprise successfully so that can obtain goals. SASOL
Limited business enterprise has decrease uncertainty avoidance index that shows because
the low tolerance for organisational uncertainty and risk-taking and uncertainty is
minimised with the aid of using making use of strict legal guidelines and regulations.
 Masculinity vs. femininity: The respective measurement is described because the desire
of society for achievement, attitude, equality and behaviour. As masculinity is measured
because the potentiality like fierceness and deficiency. On the opposite hand, femininity
is associated with fluid gender roles, nurturing in addition to it's far involved with the
pleasant of life.
 Long time period vs. brief time period orientation: It is associated with time horizon
that is utilized by the business enterprise to put into effect the making plans and strategy.
SASOL Limited business enterprise attention on the quick in addition to long-time period
goals to obtain all organisational desires and goals properly. Short time period
orientations offer brief outcomes and long-time period orientation attention on
perseverance in addition to long time increase and development.
Stakeholders concept: as stakeholders are the only who're related with the enterprise
internally or externally. There are numerous stakeholders like customer’s personnel, board of
director, mangers, authorities and providers etc. as those stakeholders are related with every
different at once or indirectly. For example- if the climate adjustments then this will have an
effect on the enterprise. If there may be a adjustments in customer’s rights and some other fitness
and protection rights then this will be outcomes in converting rules of enterprise via way of
means of mangers.
 Sustainable globalisation: globalisation is associated with enlargement of the beguines
and technology in all around the global. Sustainable globalisation is associated with
essential transformation of the way humans paintings in international global this is in 21st

century. For example enterprise is spanning in 30 nations so it desires to undertake up to
date technology for being sustainable within the international market.
Evaluation of the range of strategic global expansion routes
Multinational development strategies are refers because the formal strategic plan so one
can gives numerous centers to the control to go into in worldwide subject of marketplace and
manipulate green presence. As there are numerous route of course which are extending control at
global segment which are carried out with the aid of using the SASOL confined to behavior
managerial operations as globally. As there are a few course which are as follows -
 Licensing- Licensing is called because the system that any other country to utilise
managerial route. The control of SASOL confined utilise licensing for extending
managerial practicality that want low financing and gives excessive go back to control. In
the system of licensing, licensee manages the manufacturing and advertising and
marketing price in overseas marketplace.
 Exporting- Exporting is called as an powerful route to are available worldwide
organisation. As it'll linked to direct advertising and marketing of products and their
centers to different country that includes low threat to increase control in global subject
of marketplace. As in context to the SASOL Limited, the control produce items of their
home country and dispatched them to the worldwide countries with the reason of sale.

CONCLUSION
From the above mentioned report it has been concluded that, global business environment
will plays an essential role in progression and growth of the business of management. As there
are several intrinsic and as well as extrinsic factors that involves in the management of business.
The management offers several goods and facilities to consumers as across the country and make
sure the higher amount of profit and market goodwill and strong base of consumers. As there are
McKinsey’s 7S model that are applied by the business to develop managerial tactics to conduct
managerial operations and functions as effectively and efficiently. As there are several mediums
in which the management extend company in other nations. The strategic process of decision
making will support the management to manage all risks and conflict and try to overcome it in a
positive way.

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