THE INFLUENCE OF THE EXTERNAL ENVIRONMENT ON ORGANIZATIONS

Abstract

The dynamics and complexity of external environment causes changes in organizations’ overall activity. These can lead to disruptions in their work, with multiple implications, both internally and within the areas in which they act. Since the elements that are related to organizations ‘external environment do not evolve simultaneously in the same direction and with the same intensity, the effects triggered on these entities are different. The influences between organizations and their external environment are reciprocal: the former influence the environment through their products, services, whereas their outer environment influence organizations. Consequently, to increase the efficiency and competitiveness of organizations, the decisions of managers must take into account the aforementioned interdependence.

Keywords

• organization
• external environment
• products
• services
• effi ciency