Today's Organization Essay

1425 words - 6 pages

Today’s Organization
The business environment of organizations today is different from the business environment of 25 years ago. Every business era has its unique challenges. One challenge that continues throughout all environments is the organization’s planning strategy to be successful. Communication is an important facet of organization planning. Plus, organization planning should encompass the different types of environments. Different business environments include task, general, and international (Daft, 2013, p. 148). The 1990’s business environment did not have the advance social media and video conferencing technology that is available today. Author, T. Toperczer (2011) ...view middle of the document...

150).
I believe planning is more important in today’s environment. This environment has quick changes and fast moving crises as a regular part of organizational life. In addition, a large number of components must be considered in the business environment. The components to be considered are suppliers, customers, government regulations, industry changes, union and economic issues (Daft, 2013, p. 148). However, these elements are similar to the 1990’s. In contrast, the pace in which knowledge and information is transmitted has increased in today’s business environment, while the time to make an important planning decision has decreased. So, planning is more important today because once the decision is made, the information pertaining to the planning is transmitted for anyone to see within minutes of the decision.
Domain Changes
Domain is defined as the “chosen environmental field of action” (Daft, 2013, p. 148). Changing the domain of an organization is a feasible strategy for coping with a threatening environment. The organization’s domain defines the niche and external sectors that the organization will interact to achieve goals (Daft, 2013, p. 148). Knowledge creation and sharing are important to compete in today’s economy. One article discusses changing the domain improves a company’s competitive advantage and ability to succeed. In addition, if the company can exploit and combine a company’s available resources and capabilities it can increase the companies niche (Hall-Anderson & Broberg, 2014). One successful example of a company changing its domain and succeeding is Netflix (Daft, 2013). Based author Richard Daft, Netflix, p. 148 began distributing home entertainment via the mail. It competed with Blockbuster, a retail video store. Netflix changed the concept of physically going to a rental video store and renting a video. Now, individuals who wanted to rent movies do not have to leave their home. Instead, the movie is delivered to their homes. Then, using a preaddressed prepaid envelope, the individual would mail the movies back without ever visiting a rental store. Netflix changed the domain and drove Blockbuster into bankruptcy (Daft, 2013, p. 148).
Management Fads
Based on the article by L. Scanlan, in the 1990’s healthcare leaders were facing President Clinton and his healthcare reform legislation. At the time, this fad or trend was not seen as a positive to the American public. Thus, the healthcare reform legislation did not pass and become law. In addition, for profit hospitals were combating compliance issues with the government and public reaction to health maintenance organizations was still positive. These compliance issues threaten to diminish the for profit organizations market share to nonprofit hospitals (Scanlan, 2011). The trend that emerged was integration of hospitals and healthcare facilities and the creation of managed care plans.
I think organization leaders adopt fads based on the perceived...

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