Pest Analysis

Impact of Environmental Dynamics to the structure of an organization One of the principal sum unsolved problems in organization theory is the determination of inertia, change, and adaptation. The nation ecologists (Hannan and Freeman, 1977, 1984, 1 989) have successfiilly challenged the once-dominant view that organizations continually adapt themselves to their environment (Lawrence and Lorsch, 1967; Thompson, 1967) and have accomplished the concept of organisational inertia as a habitual characteristic of organizations. According to the population ecologists, (Harman and Freeman, 1984, 1989), organizations are relatively inert: organizational changes in its core features occur at a a great deal lower rate than the corresponding changes in the environment. In the theory, morphological inertia is a consequence of selection pressures, rather than a precondition (Harman and Freeman, 1984). Environmental conditions are assumed to favor accountability and dependableness of performance in organizations. Hannan and Freeman argue that these characteristics require mellow reproducibility of structures and that high reproducibility leads to structural inertia.

How organizations respond to environmental dynamics A theory of organizational stability and change is a theory of the reproduction and transformation of organizational structures, both clod and informal. Understanding the process of inertia and adaptation entails chthonianstanding: (1) the conditions under which organizations spew or transform their structures in response to changes in the envirorunent and, (2) the conditions under which the reproduction or transformation of structures has adaptive consequences. For most businesses, the total or background environment formed by the macro-environmental factors, such as economic, political, legal, social and other. Immediate or operating environment, including suppliers, competitors, labor market, monetary institutions and others. Enterprise is the... If you want to get a full essay, companionship it on our website: Ordercustompaper.com

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