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Organizations are created to pursue a goal or objective. This may be
to design, manufacture and sell automobiles, or medicines, or
communications devices. The organization is created when two things
occur. First, a decision is made about what business or objective to
pursue. Among all the opportunities one is selected as having the
potential for greater reward than the others. Secondly, the task
exceeds the capabilities of a few people requiring groups to work
together in some unified way. A strategy, stated or inferred, is
imposed on those doing the work.
The concept of organization or enterprise describes multiple groups
working together in an integrated way to productively, and
competitively achieve the chosen purpose. The complexity is that
each individual has a different level of inclusion in the work of
the enterprise. Some have a great passion for the organization's
work. This is not restricted to missionary organizations with a
social cause as their purpose. Many people are very dedicated to the
goals of their organization. Others may have less dedication but
are still valued members. The varying involvement, or more
specifically the varying importance of one's work in one's life,
creates conflict among individuals when they come together to
achieve a common goal. The concept of partial inclusion requires
that the enterprise productively achieve its objectives with people
of varying passion for the work.
The enterprise concept includes many dimensions, the chosen
objectives or purpose, the nature of the people's involvement and
their skills and motivation, the work forms of tasks and
individuals, groups, teams, functions and the stakeholders of
customers, investors, suppliers and the community. Enterprises may
have clear identities such as a corporation, a government, or a
charity, or they may be groups formed to bring about social change
or fiscal reform. At some stage in their evolution, the enterprise
will face opportunities that compete for their attention. In
addition, the required tasks will exceed the capabilities of single
individuals. These dilemmas create the need for an integrated
perspective of the work. This perspective is the concept of an
enterprise.
Individuals must have an appreciation for the environment in which
the enterprise operates. For example, what issues are involved in
doing business in a foreign country? What impact will the host
country's laws and culture have on the organization? How do you
negotiate a new labor contract in light of a significant decline in
sales? Are the organization's actions deemed environmentally
responsible by the local communities? What impact will the trade
agreements have on the enterprise? Are the needs of the stakeholders
(employees, owners, financial institutions, etc.) being addressed?
An individual must be able to identify the pros and cons of various
alternatives and make choices that best meet the needs of each
segment of its environment.
An organization is a dynamic entity that changes, grows and develops
over time. As an organization evolves through its development
process, plans must be put in place that will not only suit the
organization of today but will anticipate the future organization
and position it for success in the world of tomorrow. Individuals
working in organizations must be able to anticipate future problems
and position their organizations for success during different
stages of their growth. This is not an easy task. Anticipating the
future requires a considerable amount of introspection and analysis.
As the organization develops, it faces many changes. Organizations
create new products, abandon old ones, change key management
personnel, relocate
facilities, acquire new technologies, develop strategic alliances
with outside organizations, increase market share, lose major
customers, acquire new ones, implement new systems, etc. Each of
these changes requires careful
analysis to determine its long-term impact on the enterprise.
To be Continued
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