In: Operations Management
Explain the origin or reason for these internal or external driving forces. Explain how these forces directly affect the viability of your organization. Choose one of the driving forces. Describe the specific issues this driving force creates, or will potentially create, for your organization or department.
Organization is a feed mill
External forces are the forces caused by the external factors or agent outside the organization. Examples are customers, competitiors, market, economy, technology, goverment policies, environmental factors and social factors. A person/Organization has no control over the external factors. While the internal forces are the factors caused by the agent/people inside the organization.
If i talk about extrenal driving force and issues its creates for the organization or department.
1 - Economical factors: Any changes in the government policies will create the hurdle or required changes for the operating system of the organization. Examples changes in TAX, Export/import duties, GST, Etc. It will impact the cost of the product, profit margin and many more.
2 - Competitors: Any changes in the competitors will also effect the business, For ex earlier no competitiors were there in the market and organization was earning good profit but as new company enters into the market with better quality and price then it will definetely effect the profit and future growth of the company.
3 - Customer: Any change in the taste and preference of the customers will demand to make changes in the quality and price of the product. Customers need new products in the market with change in the technology. Ex Mobile phones.
4 - Social Factors: Any kind of dispute in the economy will also effect the working of the company.
Either external or internal, change will occur, A company must be adaptable of these changes and flexible to respond to them in an appropriate way. External driving forces will bury the business if not properly dealt with.