The paper "Cultural Diversified Workforce " is a perfect example of a management assignment. The working of an organization is affected in the environment where the business functions. Organizations while looking to plan their future business plan has to incorporate the manner in which the external environment will have an impact on their decisions. The external environment as the name suggests is external to the organization and affects all organizations in the industry in a similar way. Organizations that are unable to include the external environment in their planning process are not able to ensure efficiency in their operations which thereby has an effect on the business outcome.
In addition to the external environment, the general environment for the organization also comprises of a competitive environment. The competitive environment here consists of a competition that is prevalent in the market and industry. This is shown below (Dwight, Michael & Raynor, 2004) The external environment for a business consists of economic factors, political factors, legal factors, social factors, technological factors, and environmental factors. All the factors are equally important and being unable to understand the external factors will have an effect on the working.
The prime reason which has led towards increasing the importance of the external environment is that it leads towards creating difficulties for the organization to work in the economy. For example, suppose a new regulation has been passed where they look towards ensuring that all organization has to comply with the environmental requirements where they have to preserve the environment and reduce carbon emission else they will be fine. This makes it important that business looks towards including those in their planning process as otherwise it could lead towards fines and other obstacles which will make it difficult to carry out the normal operations (Schermerhorn, Davidson, Poole, Simon, Woods & Chau, 2011). In addition to the external environment, the general environment for the organization also comprises of a competitive environment.
This makes the competitive environment having a direct and immediate effect on the performance of the organization as compared to the external environment which impacts the environment indirectly.
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