factors effecting organizational culture

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Most organizations are considered open systems. That means that organizations exist and operate within an environment that influences how it conducts business. For instance, a business in the United States would function in a completely different business environment than a business in China. As a manager, it is important to be able to recognize which environmental factors affect your organization and how they can help explain some of its internal behaviors.

  • Select a familiar company, either one you work for or one you know well.
    • Identify 1-2 internal and 1-2 external HR factors that may affect this organization’s culture.
  • Select a second company that is in a very different product market and/or physical location than the first company.
    • Compare/contrast at least one internal and one external HR factor that affects this company’s culture differently than your first company.
  • Discuss how the HR department can assist in helping companies address environmental factors.


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