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Chapter 3 Organizational Environments and Cultures

MGMT Chuck Williams. Chapter 3 Organizational Environments and Cultures. Designed & Prepared by B-books, Ltd. Changing Environments. Characteristics of Changing External Environments. Environmental Change Environmental Complexity Resource Scarcity Uncertainty. 1.

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Chapter 3 Organizational Environments and Cultures

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  1. MGMT Chuck Williams Chapter 3Organizational Environments and Cultures Designed & Prepared byB-books, Ltd.

  2. Changing Environments Characteristics ofChanging External Environments Environmental Change Environmental Complexity Resource ScarcityUncertainty 1

  3. Components of the General Environment • Economy • Technological trends • Sociocultural trends • Political / Legal trends 2

  4. Customer Competitor Supplier Industry Regulation Advocacy Group Specific Environment 3

  5. Making Sense of Changing Environments Environmental Scanning Evaluating External Environments Interpreting Environmental Factors Acting on Threats and Opportunities 4

  6. Internal Environments Internal Environment The trends and events within an organization that affect the management, employees, and organizational culture • important because it affects what people think, feel, and do at work • organizational culture is the set of key values, beliefs, and attitudes shared by organizational members 5

  7. Successful Organizational Cultures Adaptability Consistency Involvement Clear Vision Sales Growth Employee Satisfaction Profits Return on Assets Quality 5.2 Source: D.R. Denison and A.K. Mishra, Organization Science 6 (1995): 204-223

  8. Changing Organizational Cultures • Behavioral addition • is the process of having managers and employees perform a new behavior. • Behavioral substitution • is having managers and employees perform a new behavior in place of another behavior. • Change visible artifacts • such as the office design and layout, company dress codes, etc. 5.3

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