Describe the factors impacting on the organisation?

[Lucid]

Describe the factors impacting on the organisation and how these factors have influenced the business.

In your response you should include the internal or external environment impacting the business as well as any relevant definitions to demonstrate your understanding.

The 2008/2009 global financial crisis has led to a decrease in automobile sales in Australia and hence a reduction in demand for parts of all types. At Johnson Automotive, a manufacturer of brake parts, the workforce has been reduced from 500 to 300. The remaining staff have had their hours of work and pay reduced by 30%. These changes have upset many of the stakeholders of the organisation and the plant manager who made these changes has since resigned and has been replaced by a new plant manager.


I'm not exactly sure what I'm supposed to write here Can someone please help me out?

[observer7]

So to break it down the external environment in this case is the macro environment as it is a global financial crisis (economic). I would define the macro environment. The influence on the business is that due to a loss of sales and therefore profit, it has been forced to downsize. Define downsizing. So many employees have lost their jobs. an internal factor might be management making decisions about price cuts or enforcing employee lay offs. The GFC has also caused conflict between stakeholders clearly. We can assume that this would be between management and employees and also shareholders. Employees want to keep their job but shareholders want to maximise profits.