An Analysis of the Organisation's Internal Business Environment

Analysis of the Organization’s Internal Business Environment
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Analysis of the organization’s internal business environment
The internal business of an organization comprises the various elements or factors in the organization which impact the approach as well as success of the organization’s operations. Managing the strengths of the organization’s internal operations and identifying the possible threats and opportunities of the operations are of major importance to business success. For this organization, the internal environment mainly comprises the existing members of staff, the management of the organization, as well as the organization’s corporate culture which defines the conduct and behaviour of staff members. Even though some factors affect the entire company as a whole, some of them only affect the organization’s managers. It is of note that the leadership or philosophical style of the organization’s manager directly impacts staff members. Changes in the style of leadership or philosophy are under the manager’s control.
Some of the main elements which make up the organization’s internal environment are as follows: the mission statement – this specifies why the company exists and what it stands for. The mission statement describes the organization’s overall purpose and encompasses the qualities which distinguish the organization from others of its type. The organization’s mission statement is effective since it precisely identifies the company’s customers, location, services/products, and philosophy. Company policies: these are guidelines which help in governing the way particular situations that occur in the organization are addressed. The organization established policies for the purpose of giving guidance to its managers who have to make decisions regarding circumstances which crop up frequently in the organization. The policies of the organization are actually an indication of the company’s personality and it coincides with the organization’s mission statement. The formal structure: the organization’s formal structure is essentially the hierarchical arrangement of people and functions. This structure is vital since it specifies where the powers of decision-making rests, the activities that each department has to perform, and the way information will flow within the company.
Resources: these include finances, personnel, facilities, supplies, information, equipment, and infrastructure which are at the company’s disposal. It is worth mentioning that people, or human resources, are the overriding resource of the business organization. Finances, machinery, equipment, as well as facilities are non-human and supporting resources which complement staff members in their pursuit to attain the mission statement of the organization. The organization’s environment is impacted by the availability of resources as well as how the managers in the company value both the nonhuman and human resources. The strength of staff members in this organization is a critical internal business aspect. This is primarily because staffs that are proficient, hardworking and motivated tend to p...