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    The Outside Environment and Globalization: Society has changed, how that has changed management?

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    You are a manager in a large, global manufacturing and services organization. You're trying to explain to your grandfather how different your job is from his before he retired ten years ago. You both know how society has changed and you want to explain how that has changed management. Using the two topics below, discuss how management has changed. Use of real world examples would be appropriate.

    1. The outside environment
    2. Globalization

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    Solution Preview

    Let's take a closer look at these two factors, which can help you formulate your final responses.


    1. The outside environment

    The term environment is important when considering change in the management over the past 10 years. Environment means "surrounding". In this sense we have the internal environments and the outside environment that impact change. The external environment has changed tremendously, such as the customers, suppliers and society (norms, values, customers, social and inflation); and, competitors, government agencies and an economy (growth rate and interest rate). The organization gets the resources from outside the environment, converts them into products and services and gives these products and services back to the surroundings. This environment is where the change takes place, so management needs to consider each of these "environments" to mange change effectively. For example, if the environment changes (e.g. inflation in the economy), the organization changes, so the management needs to consider how inflation impacts the organization and adapt to these changes, such as downsizing, outsourcing, human management, etc..

    Another example has to do with the customers, who have changed in terms of their buying behavior, who demand more customer centered attention and that companies meet their needs or they will go to the competition that will. The global market has work to increase completion, as does the Internet and eCommerce i.e. Internet businesses, ...

    Solution Summary

    This solution discusses how management has changed with respect to two topics: the outside environment and globalization in 813 words. Examples and references are provided.