Sources Of Change

Question 0

Internal - Policies

Answer 0

Policies that are outdated, inappropriate or non-existent are a pressure for change; for example, it is expected that organisations will have an environmental policy

Question 1

Internal - Corporate Culture

Answer 1

A poor/inappropriate or negative corporate culture can have an adverse effect on productivity and/or competitiveness

Question 2

Internal - Management Styles

Answer 2

Management styles that do not allow for maximum productivity (efficiency) and effectiveness are a pressure for change; for example, a move to a more participative style will help maximise motivation and enhance productivity

Question 3

Internal - Employees

Answer 3

Employees are an integral part of any organisation and will often demand change; for example, initiatives that achieve a work-life balance, such as flexible and responsive workplace that enables the staff to balance their work and family/personal responsibilities

Question 4

Eternal Operating - Customers

Answer 4

The needs and wants of customers change over time, causing them to change their consumer preferences or expectations about an organisation, which pressures an organisation to change accordingly

Question 5

External Operation - Suppliers

Answer 5

Factors that affect a supplier’s ability to provide inputs can be a pressure for change for an organisation; for example, industrial action, a price rise of the shortage of a product

Question 6

External Operating - Competitors

Answer 6

Large organisations must keep up with their competitors and change as required in order to remain competitive

Question 7

External Operating - Trade Unions

Answer 7

Trade unions represent employees in the workplace and may exert pressure for change in a workplace on areas such as OH&S, pay rates and working conditions

Question 8

External Macro - Political Pressure

Answer 8

These include current and potential influences such as: policy changes by political parties prior to an election that can affect a business: and pressure on financial institutions by the government to lower bank account fees

Question 9

External Macro - Social and Demographic

Answer 9

Changed in community attitudes, values and lifestyles will be an impetus for change in large-scale organisation; for example, the Big Switch campaign, a larger consumer network, has led to pressure on companies to lower the cost of bills including health insurance costs and electircity

Question 10

External Macro - Technological Development

Answer 10

Organisations must keep up-to-date with technological developments in order to remain competitive; for example, most organisations use social media to promote their products and services

Question 11

External Macro - Environmental Pressure

Answer 11

Increasing community awareness and concerns about environmental issues such as climate change has been an impetus for business to introduce changes such as environmental policies and practices, such as waste management and recycling policies