External Macro Environment Essay Example | Topics and Well Written Essays - 2500 words

External Macro Environment - Essay ExampleThese factors influences a profession through causing some major influences on it like competition, changing the interest place payable by a business on loans and some other debts that it, owes, changes in the cultural tastes and preferences of the society, as comfortably as a change in the government regulations, regarding the conduct of such businesses (Porter, 1998 p33). Thus, the external macro environs of a business refers to all the political, social, economic and the technological events, occurrences and trends, which impacts on a business or its market. These factors chance upon the business indirectly, but the business poop only respond to these factors through adopting changes and strategies that will be hearty for its operation, amidst these factors. on that pointfore, the decision making of a business has to rely on such factors, since they highly determine the advantage or failure of a business. However, the macro envi ronment creates both favorable and unfavorable environment for the business to operate on, thus a business has to take advantage of the favorable ones, while strategizing on how to shell out the negative influences of this environment. There atomic number 18 various ways in which these external environment factors affect a business and consequently its HR function. Owing to the changes in the business environment that requires that the business cost essential be reduced to the lowest possible level, so that the profits earned by the business can reach the expected targets, the HR function of any business has to strategies appropriately towards lowering such costs (Kendon, 190 p13). Notable of these factors that endure a great impact on the HR function of a business are the technological and the social factors. Under the social factors, there are such elements as the educational levels, the diversity of the work place employees as good as religion influences. On the technologica l front, there are elements such as technological changes, improved knowledge and communication channels, and the moral factors (Adams, 1990 p28). There are major changes that have occurred in the HR function, within organizations in the recent past years. These changes are geared towards the decentralization of the HR function within organizations to create a less centralized HR department (Porter, 1998 p45). As a result, the HR functions have been overlap within the organization to include other segments and departments of the organization, and thus change the concentration of all the HR activities from the HR department to the other functional department within an organization. This sharing of the HR functions have gone a long way in diminution the costs associated with the depart within organizations, in that the manpower required in this department as well as other tools and equipment has been reduced, by having such functions being undertaken in other segments of the organi zation (Kendon, 190 p22). The patterned advance in technology has made this transfer of HR functions to other departments and organizational segments possible. Recent social changes have also created several challenges to the HR functions, forcing it to be integrated into the business strategies, to overcome such challenges. The changes that have occurred in the HR function within the last 10 years include, shared services, where, those working under the shared services segment of the organizati