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Internal environment is the events and trends inside an organization that affects management, employees, and organizational culture. For example, where I work the internal environment is all about the production and numbers. Even though we as a team get the production done on time the employees don’t feel appreciated. Better said, there are no employee incentives to keep us motivated. Therefore, it is really important to focus on organizational culture because it affects the way individuals work, feel, and think about an organization. There are three components that make up organizational cultures, which are creation, success, and change.
Fist, creating an of organizational culture is basically what the cofounder of an organization values and beliefs are for the business. For example, IBM company’s beliefs are the pursuit of excellence, customer service and employee satisfaction. The cofounder creates the company’s beliefs or in other words,
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Home Depot needs to change what people see. For example, they need to advertise that there are employees to answer questions and help them in what they need. That way people want to go, once their there they could see employees standing in-between aisle willing to help. Home Depot doesn’t necessarily need one employee per aisle, maybe one employee for every other aisle. Nest, Home Depot needs to change what people hear. For example, the values and belief of Home Depot need to be restore. Customers need to hear that Home Depot has changed. That their main focus is clean warehouses, stocked shelves, and top customer service. Lastly, Home Depot needs to change what people believe about Home Depot. Customers need to believe that Home Depot is the Home Depot that everyone grew up with. Where there was always employees in every aisle willing to help with any questions and even able to explain how to do the
Home Depot is the fastest growing retailer in the U.S. by some accounts. It has a fascinating history of innovation and entrepreneurship. The company had some difficulties in the mid-2000s that some attribute to cultural clashes. However, during this period the company was able to take full advantage of the housing boom. Yet when the bubble burst, Home Depot was forced to claim substantial losses. Despite these loses Home Depot has weathered the storm fairly well and is in prime position to take advantage of an economic recovery; if it ever comes.
These factors create certain expectations and requirements for organizations, which in turns determine the organization's direction and strategy. Whereas internal environment is made-up of several internal subsystems. Internal subsystems work together systematically and drive the organization in the direction which is in conformity to external environment demands; thereby making the organization effective and a good fit with external environment. (McShane & Steen, 2012, p.6)
Home Depot’s corporate-level strategy is one of internal growth. This conclusion was reached based on the increased focus that Home Depot has placed on growing its existing online and traditional retail operations. Between 2016 and 2018, Home Depot is expected to invest approximately four billion dollars into improvements in its online and physical retail locations in order to make both work more synergistically and grow sales (Petro, 2016). Home Depot hopes that these investments will continue to increase sales at both its physical and digital retail locations, thereby growing the company without adding significant numbers of physical locations.
“Culture consists of the symbols, rituals, language, and social dramas that highlight organizational life, including myths, stories, and jargon. It includes the shared meanings associated with the symbols, rituals, and language. Culture combines the philosophy of the firm with beliefs, expectations, and values shared by members. It contains the stories and myths about the company's founder and its current leading figures. Organizational culture consists of a set of shared meanings and values held by a set of members in an organization that distinguish the organization from other organizations. An organization's culture determines how it perceives and reacts to the larger environment (Becker, 1982; Schein, 1996). Culture determines the nature
Changing Home Depot culture to restore its reputation by provides the best customer service. First, I would make sure the team members have a retail background and then we will plan together ideas how to implement the change. We will look at a few complaints from the customers to see what we are lacking and then begin reshaping the vision. Initially we will start out with having the store clean, the aisles are fully stocked, stock room are organized, salesperson for each aisles and a monthly training for employees on customer service relationship followed by a quiz. Finally, a monthly meeting with the team members to review any comments from customers to see if there are improvement and how the changes are being developed. As customer
Bernard Marcus, the founders’ of Home Depot, developed a very informal and store- oriented culture at Home Depot.
Organizational or corporate culture is the widely shared values within an organization that foster unity and cooperation to achieve common goals. The key to a productive culture is mutual trust. Organizations receive trust by giving it. Top companies stress high moral and ethical values such as honesty, reliability, fairness, environmental protection and social involvement.
Organization culture is the matter that holds a company intact. This is what makes each
The internal environment is important to all businesses as it directly makes impacts on the business. These factors can include resources, management values, stakeholder goals, strategy, corporate culture, employees, and capabilities. Fiat and Chrysler respectively have strengths and weaknesses which can improve, or hurt, what they bring to the global auto industry.
A project environment consists of both the internal environment and external environment. The internal environment is the organizational environment such as organizational setup, organizational culture, organizational guidelines, rules and regulations. The external environment is made up of, physical environment, cultural and social environment, political and international environment. It is important to understand the environment both internal and external as well as stakeholders and the ways they can affect the project completion, and influence team motivation. The organizational culture can affect team motivation either positive or negative, so can the physical environment.
Internal environment deals with activities that occur directly within the organization. It critical analyses the internal activities that shape the organization. It also helps make sure these rules are followed within the organization for the workers is why an organization have rules and policies to follow in order for everybody to be on the same page.
Internal environment - includes conditions, events, and factors within the company that affect the organizational culture, activities, and employees’ behavior and choices. The internal environmental factors can be management changes, employee morale, financial changes, etc. The internal environment affects employees’ motivation, efficiency, and performance (Fraser & Simkins, 2010, p. 518).
The environment is a mix between the internal and external forces which has a major of influences positively or negatively on the organizations, especially on their ability to build and maintain successfully.
As the name suggests, “internal” business environment refers to internal factors and resources that affect the running of the business. This primarily includes the workforce where the employees play a vital role in affecting company’s performance. If a company has well trained or motivated employees, that company is likely to get good output from them. However, if the same company recruits unmotivated employees who do not perform well or dig in their heels when a new plan arrived, this will affect that company’s production levels and ultimately hinder its profitability. Another factor to consider is all the capabilities that a company possesses. The tool used to monitor them is the resource based
Internal Environment is the review that looks at the company operations, internal guidance as well as mission. Internal environment does consist of the value – chain analysis as well as the research based view tool.