A PRESENTATION ON ORGANISATIONAL & NATURAL ENVIRONMENT IV YEAR MBA MANAGEMENT CONCEPTS & CONTEMPORARY PRACTICES BY 4154 RAJVI BHATT 4157 HARDIK CHAMPANERI 4159 YASHPAL CHAVDA 4198 SWAMAN PATEL 4211 PRITI SHARMA 4213 NISHITA SODAGAR K.S.SCHOOL OF BUSINESS MANAGEMENT

ORGANISATIONAL ENVIRONMENT DIRECT ACTION ELEMENTS  INTERNAL STAKE HOLDERS  EXTERNAL STAKE HOLDERS INDIRECT ACTION ELEMENTS  POLITICAL  SOCIAL  ECONOMICAL  TECHNOLOGICAL

 Organisations take inputs such as raw materials, labours and resources from environment and then send them back as outputs in the environments.  It has both direct & indirect action elements.

Direct Action Elements  Direct action elements are those which directly influences organisational activities.  Internal stake holders:  Employees  Shareholders  Board of directors  External stake holders:  Customers  Suppliers  Governments  Special interest groups  The media  Labour unions  Competitors  Financial institutions  Political action committees

STAKE HOLDERS FRAMEWORK THE ORGANISATION EMPLOYEES SOCIAL VARIABLES FINA.INSTI. COMPETITORS TECHNOLOGICAL VARIABLES CUSTOMERS SUPPLIERS SHAREHOLDERS & BOD ECONOMIC VARIABLES LABOUR UNIONS THE MEDIA POLITICAL VARIABLES SPE.INTEREST GROUPS GOVERNMENT

MANAGING MULTIPLE STAKEHOLDERS RELATIONS  The stakeholders framework raises issues that affect many organisations such as:  Networks & Coalitions  Multiple roles  The special role of management

INDIRECT ACTION ELEMENTS  Elements of the external environment that affect the climate in which an organisation`s activities take place but do not affect the organisation directly.  PEST:  Political variables  Economical variables  Social variables  Demographic  Life-styles  Social values  Technological variables

NATURAL ENVIRONMENT CONCERNS  Pollution  Pollution arises in many forms: AIR POLLUTION

WATER POLLUTION

LIGHT POLLUTION

 NOT IN MY BACKYARD  It means not to dispose the hazardous and solid waste in our own country and dispose them in other countries` environment.  For the past few decades, most cities, states and countries seem to have adopted the slogan “NIMBY” i.e. not in my backyard.

OZONE LAYER DEPLETION

GLOBAL WARMING Global warming is the increase in the average measured temperature of the Earth's near-surface air and oceans since the mid-20th century, and its projected continuation. Global surface temperature increased 0.74 ± 0.18 °C (1.33 ± 0.32 °F) during the 100 years ending in 2005.

FRAMEWORK FOR THINKING ABOUT NATURAL ENVIRONMENT  The cost benefit framework  The sustainable development framework

THE COST-BENEFIT FRAMEWORK  Benefit>Cost- accept  Benefit<Cost- reject  PROBLEMS WITH COST-BENEFIT:  Quantifiable  Little understanding of the real, long-term costs and benefit of environmental action and inaction

TATA MUNDRA LENOVO

THE SUSTAINABLE DEVELOPMENT FRAMEWORK  One step beyond the cost-benefit thinking  Engage in those activities,  Sustain for a long period of time  Renew activities themselves  To coordinate our actions across companies, geographical, and political entities  PROBLEMS WITH SUSTAINABLE:  Difficult to apply for individual firms  It must be left up to government

THE GREENING OF ORGANISATIONS  Environment awareness- At an all time high  There are four postures that organisations can adopt to become more sensitive to the environment 1.The Legal Posture 2.The Market Postures 3.The Stakeholder Posture 4.The Dark Green Posture

 LEGAL POSTURE:  Organisation should obey rules and regulations about the environment willingly  These firms are more competitive on a global basis

 MARKET POSTURE:  Organisations should respond according to the environmental preferences of their customers

 THE STAKE HOLDER POSTURE:  Organisations should respond according to the environmental preferences of their stakeholders  Stakeholders includes customers, investors, employees, government etc. INTEL

 THE DARKGREEN POSTURE:  Adopt environmental values  Do not exploit the earth’s resources for our own gain