Level 2 Diploma in Business Administration

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Presentation transcript:

Level 2 Diploma in Business Administration Unit 2 – Understand employer organisations 2.1 Internal and External Influences on an organisation 2.2 the use of different models of analysis in understanding the organisational environment 2.3 why change in a business environment is important

Understand employer organisations This presentation will improve your knowledge about your own and other employer organisations This presentation should be used alongside the activities listed throughout Ask your assessor if you are unsure about anything.

Understand employer organisations Organisations use different kinds of analysis to understand how they can improve, make more profit, deliver better services and grow as an organisation. Analysis means: ‘’A detailed examination of the elements or structure of something’’ http://www.oxforddictionaries.com/definition/english/analysis

Understand employer organisations To do this organisations use models or theories to help them organise and analyse the information. Including: SWOT Analysis PESTLE Analysis

Understand employer organisations SWOT Analysis SWOT stands for Strengths Weaknesses Opportunities Threats This is used to analyse an organisation’s good points and also to identify what can be improved. It also shows what new opportunities can be available and also what factors may be a threat to success.

Understand employer organisations

Understand employer organisations SWOT Analysis SWOT analysis can help with business planning, understanding a complex situation and decision making. Before a plan is put in place a SWOT analysis should be carried out to take all factors into account. It can help the organisation to see an overall picture of it’s current position.

Understand employer organisations Pestle Analysis Pestle stands for Political Economic Social Technological Legal Environmental This analysis is used to assess the impact of something. All the categories are covered to see what the affect of a change will be on the organisation from all these different elements.

Understand employer organisations Pestle Analysis Government changes Policy changes Political Inflation Interest rates Economic Education and media Lifestyle and culture Social New technology Access to information Technological Regulation and standards Law Legal Ethical issues Pollution, waste and recycling Environmental

Understand employer organisations Pestle Analysis Pestle is useful when an organisation has a change or a plan in mind. PESTLE helps to assess the impact of this. It can also help to gain knowledge of the wider environments involved in the running of the organisation. It shows how other factors can affect the organisation.

Understand employer organisations SWOT and PESTLE Analysis factsheets can be found here: http://www.cipd.co.uk/hr-resources/factsheets/swot-analysis.aspx

Understand employer organisations Organisations use analysis to prepare for change. Change is vital for organisations to ensure they: Keep up with competitors Continue to grow and expand Adapt to changes in the wider market Keep up with technology Keep up with with legislation and regulation Without this an organisation will not survive in a changing market, they will not keep up with competitors and will ultimately not be financially viable.