An organisation works within the framework provided by the various elements of the society 1. External Environment: All elements which lie outside the organisation constitute its external environment. 2. Internal Environment: All elements that lie inside the organisation constitute its internal environment. The events that have greatest impact on organisation originate in the external environment.
The general environment represents the outer layer of the environment. broad environmental forces that influence the working of the organisations over time. but often are not involved in day-to-day transactions with it. The task environment represents the inner layer of the environment. specific factors that are directly relevant to the day-to-day decision-making and transformation process of the organisation. G eneral environment is the same for all organisations in a given society. Task environment is different for each organisation.