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Management: Chapter 3: Managerial Environment

The document outlines key topics in chapter 3 on the managerial environment including the internal environment of an organization comprised of elements like culture and resources, as well as the micro external forces of suppliers, customers and competitors and macro external forces in the political, economic, social and legal spheres. Managers must study both the internal and external environments to identify strengths and weaknesses as well as opportunities and threats in order to gain competitive advantages and make informed decisions.
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0% found this document useful (0 votes)
271 views21 pages

Management: Chapter 3: Managerial Environment

The document outlines key topics in chapter 3 on the managerial environment including the internal environment of an organization comprised of elements like culture and resources, as well as the micro external forces of suppliers, customers and competitors and macro external forces in the political, economic, social and legal spheres. Managers must study both the internal and external environments to identify strengths and weaknesses as well as opportunities and threats in order to gain competitive advantages and make informed decisions.
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
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MANAGEMENT

Chapter 3: Managerial Environment


Learning objectives of chapter 3

After studying this chapter, you should be able to:


Explain why managers must study the managerial
environment
Explain the main forces in the managerial environment.
Content

Topic 1 Internal environment

Topic 2 External Environment


Topic 1: Internal environment
:
After studying this topic, you should be able to:
Topic 3: Levels and skills of managers.

Explain the role of a manager in the managerial environment

Identify the elements in the internal environment.


Content

 What is managerial environment?

The role of a manager in the managerial environment.

 The internal Environment of an organization


1. What is managerial environment?

The managerial environment is made up of forces


and conditions both external and internal that affect
the operation of the organization.
2. The role of a manager in the managerial environment.

The role of a manager is to monitor and shape the


internal and external environments and to
anticipate changes and react quickly to them.
3. The internal Environment of an organization

An organization's internal environment is composed


of the elements within the organization.

Forces or conditions within the boundary of an


organization.
Internal Environment

(1) Value System

(2) Vision, Mission and


Objectives

(3) Organization Structure


Internal
Environment (4) Corporate Culture

(5) Human Resources

(6) Physical Resources and


Technological Capabilities.
Internal Environment

What do managers study the internal environment for?

Identify Find out What for?


Internal Achieve competitive
Organizational Strengths
Environment advantages of
Forces organization
Weaknesses
Topic 2: External Environment

After studying this topic, you should be able to:


Topic 3: Levels and skills of managers.

Identify the forces of Micro environment

Identify the forces of Macro environment


Content

 Micro Environment

 Macro Environment
External

Micro

External
Macro
1. Micro

Suppliers

Customers

Micro
Distributors

Competitors
2. Macro

Political

Economic

Sociocultural
Macro
Technical

Legal

Natural environment
External Environment

What do managers study the external environment for?

Identify Find out What for?


external Seize the
external Opportunities
Environment opportunity
Forces
threats avoid the threats
Building Management Skills

Pick an organization with which you are familiar,


and then identify the internal and external factors
that affected its performance and a manager’s
decision-making.
• List internal forces in an organization.
• List micro forces in an organization.
• List macro forces in an organization.

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