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Strategic Management

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Strategic Management
2. What is culture? Explain the internal and external impact of culture on organizations.
Organizational culture can be difficult to define and even harder to change. It is essentially the sum total of the attitudes, behaviors, beliefs, and traditions of an organization. It encompasses the collective goals of a company and the standards of expected behavior in achieving those goals. And it describes the environment and manner in which employees interact with each other and the market. “Every company has its own complex and unique culture, based on the nature of its work, its history, its leadership, the composition of its workforce, and even its geographical location,” says Athena Kaviris, who leads human resources for GE Capital Americas. “And these cultures are critical for helping employees define success, guide behavior, and set common expectations.
External driving forces (factors) are those things, situations, events, that occur outside of the organization and effect it in either a positive or negative way. Example, the overall economy. This occurs outside the organization and by-and-large out of the control of the organization. In other words, are people spending money, or stashing it away because of financial concerns. This effects the organization. Another example could be changing demographics. Another, even weather. Weather can effect organizations such as farmers, ski resorts, catastrophes such as flooding, earthquakes etc. can effect all organizations. This occurs outside of the organization, and beyond the control of the organization. Still, it could effect it in either a negative or positive way. Another important external driving force would be competition. What is the competition doing, to gain more of the market share. It's occurring outside of the organization, out f the control of the organization, can effect it in either a positive or negative way. This is why informational resources are critical to the success, stability, and survivability

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