External and Internal Factors Affecting the Four functions of Management
Management is an essential tool for the success of any organization. All the function of management are affected by external and internal factors that will influence the decision the managers make and how they delegate the work throughout the organization. Some essential factor that managers must take into consideration that will help the organization move forward and guarantee its success. Diversity and ethics play a big role on an organization as it takes the multi-culture of the organization and display the values used for decision-making. There are several factors that affects all management function but when use appropriately by an organization it will help stay ahead of its competitors.
As Wal-Mart grew rapidly becoming one of the world largest corporations, witness were concern about the effect of its super centers on neighborhood in which it operates, especially in the undersize stores highly protect by the governments. This can affect all four functions of management planning externally. By dissecting the problems down to the basics Wal-Mart staff and its executives can begin over-seeing projects of any changes needed.
Taking the four management sections brings a viewpoint of questions that need answering. This can be related to a number of issues outside the business, for example, location, the public, the surrounding community, and of course, environmental issues to name a few. These issues have to be considered in order to have a good Market Value. According to Patel R (2006), a study made in analyzed two different Wal-Mats, the first that was open for a short period was taking control of the local market by dropping the price to a very low profit margin In the second store, they completely took control of the local economy, making an economic low spot having Wal-Mart in the middle and the rest of the stores with prices 17% higher. Situations like this one need to be taken under consideration because if nothing gets done soon to fix it will give the business a bad reputation and the view of mistrust. This affects the business resources and finances that can cause to drop the profits margin.
The external factors complete evaluation study the exterior boundaries that Wal-Mart cannot control, and have an important impact in the planning process of the corporation. These study most be done locally and internationally, and should include economic trends, social trends, government regulations, technology advancements, global market, and the Internet business, which is constantly growing. With the local elements as examples above Wal-Mart will have to analyze and expose issues, limiting factor and hypothesis that may have some weight on the integrated planning function to get a foot hold on making solutions of problems when they arise.
Today the world's most largest retailer, Wal-Mart, four functions of management are essential to the organizations successfulness. To secure the organizations success, managers must learn ho to plan, organize, lead, and control. Along with the four functions of management, there are also internal factors that can either make or break the company. Internal factors arise in Wal- Mart's management, marketing, finance, accounting, production, operations, research, development, and computer information systems of the business.
Within Wal- Mart's availability of supplies to associates in which managers are in charge of is an example of the organizations internal factors. Lack of supplies affects the planning and organization function because without proper supplies it makes it difficult for staff to prepare for an event. Training is another example of an internal factor, this affects the leadership function of management at Wal- Mart. Management must use their skills and certifications to train associates how to do a particular job. Without the proper training associates may not complete jobs or assignments accurately. When associates do not complete jobs properly like stocking, signage, pricing, and displaying, this can cause the store to lose sales and losing sales can affect the company. At Wal- Mart, the manager's particular style of managing has an impact on the control function. For example, if the manager does not display enough control, associates will lose respect for the manager, on the other hand, if the manager is too insensitive, this will result in associates choosing to leave the business. It is the responsibility of the manager to take those factors into consideration, in order for the business to be successful and remain a success.