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Modern Organizations: Internal and External Environments

Workable Definition of Modern Organizations

I need some help using library resources, the Internet, develop a workable definition of modern organizations that takes into account internal and external environments, i.e. open vs. closed systems.

Then, based on your definition, discuss the differences in analyzing the organizational environment, both internally and externally, utilizing the classical and neoclassical theories of organizational development.

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Modern organizations have departed from traditional methods of running the company by use of authoritative, hierarchical methods and also through the use of rules. Modern organizations have shifted towards effective management of organizations that is decentralized and can easily adapt to changing internal and external factors. Internal determinants of company performance such as knowledge, information, processes, capital and human resources are effectively managed to ensure that the organization derives maximum returns (Sanders & Emmerik, 2004). The first and foremost change that occurs from traditional to modern organizations is the change in organizational structure. Modern organizations have fewer layers in the organizational structure thus the hierarchy can be easily understood and its not rigidly defined.

Modern organizations prefer lean processes that will minimize costs incurred and maximize profits. This is reflected by the fact that organizations are developing systems that will ensure they have structural advantage over their competitors through working efficiently.

Sanders & Emmerik (2004) provide that modern organizations have a characteristic where employees bear a much larger responsibility for attaining production goals as compared to traditional organizations. Workers in today's organizations are working in teams or groups and the teams are responsible to manage themselves thus there is autonomy in functions and each team is provided a challenge task that it should fulfill. Thus modern organizations promote an internal culture that fosters team work, willingness to participate and sharing of information.

External factors that affect modern organizations include the economic condition, political climate, technology, social factors and ...

Solution Summary

This solution provides a workable definition of modern organizations.