The activities of any business entity are influenced by the internal and external environment of the organization, with the help of which the determination of actions is carried out, as well as the ways of their functioning for the long term. All this directly depends on the ability of the subject to adapt to some expectations and the specific requirements of the environment.
So, today two subspecies of this concept are known: the internal and external environment of the organization. Internal factors may include the main elements, as well as the subsystems of the structure of the enterprise itself, capable of ensuring the flow of processes in it. The concept of the external environment of an organization is represented by a combination of subjects, conditions and factors, which, even when located outside it, can influence its general behavior.
What is the enterprise environment? This is a set of various uncontrolled forces, taking into account which companies must carry out their activities. This term consists of macro- and microenvironment (the external and internal environment of the organization). Moreover, the internal structure is represented by objects that are directly related to both the business entity in general and its various structural elements. It is represented by a combination of technological, labor and economic factors, controlled and regulated to a greater extent than the external environment. The internal environment at the enterprise determines the organizational and technical working conditions , which can be attributed to the results of decisions taken in management.
The internal and external environment of the organization should be constantly analyzed in order to identify the strong and weak properties of all aspects of its activities. This is necessary for the timely use of additional opportunities and the acquisition of some internal potential by the enterprise. Identification of weaknesses also helps prevent aggravation of the threat and danger.
The internal and external environment of the organization are closely interconnected. Their indicators are significantly affected by the economic condition of the company, which reflects the level of accessibility of cash and labor resources, as well as the value of the interest rate on invested capital. We should not forget about the prices of raw materials, materials and services.
There are political factors that are somewhat dependent on the ruling party in the state. The President’s policy and the presence (or absence) of military operations also play an important role in this matter.
A variety of external environment is the
cultural environment, the main elements of which include the actual culture, education, religious traditions and moral standards.
The internal and external environment of the organization combines various factors that manifest themselves independently of the activities of a business entity with a significant impact on it. Thus, elements of direct impact that can have a direct impact on the activities of an organization can be attributed to external factors.