Question

The outline, ideas and explain these ideas of topic: I agree that specific plans do not contribute to improve organizational performance in an uncertain business environment

Answer 1

Performing in a business gives the decision makers both for the management and stakeholders , the responsibility of holding up the responsibility of a growing and progressing business. A growing business can have both a stable trajectory or an upward trajectory . The focus of any business plan is always to extract maximum profit in the given situations.

A business works in an environment of uncertainty , as to how the market would respond to conditions , how the work space manages to face competition , how the business ensures continuous relevance in the competition market etc. As these arguments carry , one thing which is the most uncertain is the environment the business is growing in. Uncertainty in business environment inclues uncertainty from the side of consumers regarding accepting of the product, uncertainty regarding what we call the market shares , uncertainty with the competitors moves etc. Eg. A share market depends upon the present time demand and supply of shares, any policy or speculations made are based in trial and error basis along with data of past . But decisions made by company may or may not bring in profits.

This must be stressed upon market uncertainty leads to possibility and speculations designed by the individuals on the policy making stand, to be less successful , as the target is not fixed and response for the business is not very comprehendible. This rises the possibility of risk and hence chances of defaulting to rise. If the plans default , it is not good for the organisation's performance and causes major drawbacks for any organisation's growth.