Internal and external environment Essay Example for Free

Internal and external environment Essay Introduction Internal and external environment of each company is a concept of poles apart. The knowledge of human is influenced by various factors that are surrounding the environment in which that an individual is placed. A continuous and steady improvement is the order of the day for increasing the human efficiency in working environment. â€Å"THE modern business man is the true heir of the old magicians. Every thing he touches seems to increase ten or a hundredfold in value and usefulness. All the old methods, old tools, old instruments have yielded to his transforming spell or else been discarded for new and more effective substitutes. In a thousand industries the profits of to-day are wrung from the wastes or unconsidered trifles of yesterday†(Scott, Walter Dill, 1998 Increasing Human Efficiency in Business, Chap. I. pg. 1) The era of computerization is system based approach at every level of working, whether it is in business, management, information technology or any industrial and social sector. The adherence to system has been fruitful in all aspects and also in locating the risk areas that can be monitored to avoid such risks with appropriate standards of management techniques and tools. Definition of system and Manager’s adoption of principles of system A system is defined as an organized, unitary whole composed of two or more interdependent parts (subsystems) where the whole contains identifiable boundaries from its environment (suprasystem). The practice of system is based on system principles and methods which are to be understood by a manager are : (1) Define company as a system (2) Establish system objectives (performance criteria) (3) Identify wider systems (environment). (4) Create formal subsystems (including a humanistic, psychosocial subsystem (5) Integrate the subsystems with the whole system (if not the subsystems themselves, whatever interrelates them with other subsystems. There are various aspects that are co-related with systems approach in terms of management of external and internal environment and how management theory is applicable in legal matters and what is the status of manager in communication in solving complex issues that arise from time to time in both external and internal environment. This is another way of stating that a manager has to be dynamically competitive and work advantageously in both environments with the prop of system theory. Systems theory as prescribed above, requires a complete in-depth understanding about working of a company apart from day to day analysis of performance within and outside environment of a company. The tools that are effective in measuring and managing the affairs of a company are viz., time management, risk management, supply chain management, team management, customer relation management, operation management, management of information systems, decision supportive systems and organizational behavior. A continuous persisting efforts of a manager produces emergence of new ideas and strategies apart from assisting in identifying key areas of a problem. It can also be stated that problems produce some of the best systematic ideas that are recognized as best strategies in the long term for the benefit and growth of a company. †And while the body is confined to one planet, along which it creeps with pain and difficulty; the thought can in an instant transport us into the most distant regions of the universe; or even beyond the universe, into the unbounded chaos, where nature is supposed to lie in total confusion. What never was seen, or heard of, may yet be conceived; nor is any thing beyond the power of thought, except what implies an absolute contradiction†. â€Å"But though our thought seems to possess this unbounded liberty, we shall find, upon a nearer examination, that it is really confined within very narrow limits, and that all this creative power of the mind amounts to no more than the faculty of compounding, transposing, augmenting, or diminishing the materials afforded us by the senses and experience†(Raleigh, N. C Alex Catalogue, An Enquiry concerning Human understanding, Sec. II. The origin of ideas, pg. 11) Ideas are the final output of thinking process, which has to undergo a brain storming session, group discussion and after several workshops, a company launches a new product.