There are four main characteristics of changing external environment. These include changes in the environment, complexities related to the environment, scarcity of resources, and the uncertainties of the environment. These environmental uncertainties are created by the rest of the three environmental characteristics. The changes in the external environment cause difficulties for the managers as they are sometimes not able to handle these changes which leads to losses. When the level of changes and complexities in the environment is low and there is the availability of enough resources, then the managers feel assured that they can predict and react to the factors that can affect their business. In the case of a high level of complexity and scarcity of resources, there is more uncertainty and the managers are not able to handle the external influence on their business (Williams 2014).
According to Brauns (2015), in today's competitive environment, businesses need to consistently modify and update their on-going processes and strategies for better performance and to understand the requirement of changes to be made. The external environment in which the organizations are working today is uncertain and there is a need to manage the change to sustain in the market.
There are certain factors such as growth in population, changes in climate, and increased pollution levels which are causing increased pressure on the resources of the planet. Therefore, Kmart which is a nationwide retailer of different products realized that the company must opt for energy-efficient resources for its operations to ensure sustainability. The company has taken certain steps to reduce its environmental footprint by managing energy, water, chemical waste, and wastewater in a better way. The company is focused to reduce the waste and decrease the use of packaging by forming partnerships with customers for reusing the products and recycling them after using them once (Kmart 2020).
According to Osezua and Nkogbu (2016), human resource managers play an important role in managing the changes in the external environment of an organization. The author examined different research papers and reports in which human resources helped in change management. There are many complex changes taking place in the external environment of organizations today. Therefore, to survive through these changes in the external environment, the organization must depend on its talented pool, Human resources who help to drive and implement the changes in an organization. Due to rapid changes in the external environment, the author suggests that human resources must keep pace with these changes to succeed and remain competitive.
In a study, the response strategies adopted and used by SoneySugar Company Limited were examined to handle the changes happening in the external environment. The study concluded that in any business environment, the external changes are unavoidable and these changes usually affect the organization's abilities to compete in the market. Therefore, the companies must look for the changes that need to be made in their operations to ensure the effective working of the organization. An organization must respond strategically as the external environment around the businesses is constantly changing (Akech 2014).
Akech, L.O., 2014. Response strategies to changes in the external environment by Sony-sugar company limited (Doctoral dissertation, University of Nairobi).
Brauns, M., 2013. The Management of change in a changing environment–to change or not to change?. International Foundation for Research and Development (IFRD), p.110.
Kmart 2020. Better together. Copyright Kmart 2020. Retrieved from https://www.kmart.com.au/webapp/wcs/stores/servlet/ContentDisplay?pageDisplay=Better%20together&c=bettertogetherplanet&t=footerContent&catalogId=10102&linkURL=helpFaq&urlLangId=-1&langId=-1&pageName=staticPages&storeId=10701
OSEZUA, E.M., and Nkogbu, G., 2016. MANAGING CHANGES IN ORGANIZATIONAL EXTERNAL ENVIRONMENT: THE ROLE OF HUMAN RESOURCE MANAGERS. Ilorin Journal of Administration and Development, 2(1), pp.45-61.
Williams, C. 2014. Principles of Management. US: Cengage learning.
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