The document discusses various macroenvironmental factors that could impact Savannah Engineering, Inspection and Insurance Company's (SEIIC) operations. These include economic and financial trends like unemployment and exchange rates, legal and political trends such as government regulations and political stability, social and cultural trends like education levels and lifestyles, and global and technological trends including competition, new technologies, and operating globally. Properly analyzing these macroenvironmental forces is important for SEIIC to understand the forces affecting its business and make strategic decisions accordingly.

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Running head: SAVANNAH ENGINEERING
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SAVANAH ENGINEERING
Savannah Engineering, Inspection and Insurance Company's
(SEIIC's)
Shekima Jacob
Strategic Human Resource Management | MBA6501 UA
Instructor: Joseph Keller
Engineering has a significant contribution on the economic
performance level of every country. The application of
engineering is vital in the various sectors which are of great
importance in the implementation and maintenance of the
economic development activities. It is necessary for areas such

2. as energy production and supply, health, transport, and
communication (Donovan, 2011). Moreover, it plays critical
roles in the transformation of the public health, banking, and
public services, in particular through innovations which
contribute to service delivery. However, there is a concern of
the shortage of the technical personnel’s due to the growing
technological capacity.
The highly skilled talents comprise of the functional skills, its
supply and demand continue to worsen due to technological
advancement, this consequently affects the development of
enterprises which majorly rely on these personnel’s for efficient
service delivery. The issues in the current environment which
affect the demand and supply of these technical personnel are;
The insufficiency of numbers, the proportion of the highly
skilled staff is way less than the demand by the industries.
There is a technological advancement of industries with each
passing day. Thus, the growth and expansion of these industries
require workforce with the necessary qualifications and skills to
ensure effective service delivery of these sectors (Donovan,
2011). Therefore, the major industrial transformations face a
challenge due to the insufficiency of the skilled personnel’s
who are to fill the various resulting job positions.
Secondly, there is poor professional building capacity. The
educational institutions are mandated to develop and produce
persons who will meet the job market and efficient delivery.
However, in the learning institutions, few individuals are
motivated to venture into engineering. The resulting effect is,
therefore, the growth of the industries but fewer entrants of the
qualified personnel's who will fill the job market. Therefore, the
high demand for the workers faces a challenge due to less
supply from colleges. These colleges thus fail to carry out
professional building capacity consequently resulting in the
failure of the institutions to develop their employee skills
(Donovan, 2011).
The irrational distribution of technical personnel does
contribute to the supply shortage at various industrial sectors;

3. where the highly skilled are concentrated at the offices. The job
inputs at the field which requires more labor will therefore not
have an adequate allocation of manpower. As a result, job,
performance will be affected due to the labor shortage.
Moreover, the existence of a small percentage of the highly
skilled also affects the market demand (Donovan, 2011). The
contribution to this may be as a result of these personnel’s
having done the course but lack the capacity to transfer theory
learned into practice.
The industries demand for the technical workforce may be
further affected by industries trend of outsourcing. The
methodology of outsourcing has little reliability to the future of
engineering workforce. However, the shortage of engineers has
made it an alternative option. Moreover, the weak education
system of a country may affect the qualifications of the skills of
the graduates once they are in the job market (Donovan, 2011).
These vocational colleges may be the determinants regarding
the enrollment rate and thus the supply of the highly skilled
talents.
These institutions experience a challenge due to high-cost
requirements for investing in training highly qualified
personnel. Therefore, in a relatively short period, it's hard to
train large numbers thus affecting the market demand due to
faster industrial growth. Finally, the supply and demand during
the hiring can be affected by economic downturn, and this is an
effect resulting from economic recession resulting to job
scarcity. The preference of other options is fast taken into
consideration, therefore, affecting the industry’s workforce. The
retirement and migrations also contribute to the shortage of the
labor force (Donovan, 2011).
The SEIIC should employ various initiatives to ensure
sustainability of its workforce in the market. First of all, the
organizations should establish a mechanism which shall focus
on meeting the talents demands. The companies should focus
skills retention, and this is achievable through satisfying their
basic requirements such as the staff salaries as well as access to

4. bonuses. The staffs will thus have personal incentives and will
be in a position to deliver to the company efficiently (Donovan,
2011). Moreover, the staff retainment at these institutions will
be high.
The company should further provide the employees with career
development plans as well as promotions methodology, and the
mechanism will provide the individual employees with
incentives which shall motivate them towards productivity at
the company, resulting in greater satisfaction at the workplace.
The company should coordinate with vocational institutions,
whereby those in the process of acquiring the technical
education should be given an opportunity to have an internship
at the enterprise. The strategy will offer them guidance and
support. In the process, they will have the experience which
shall enable them to be resourceful once they complete their
education (Donovan, 2011). The company should also play a
role in social training through the establishment of the
individuals with the skills, mentor them and eventually in
cooperating them into the company and hiring them after their
completion of education.
The SEIIC Company should seek to employ personnel’s whose
input to the organization will ensure its stability and contributes
to the growth of the company through the performance.
Therefore, during their selection process, they should put into
consideration the technical expertise of the employees. The new
staff can be competent if they have done internships which
provide them with the experiences and skills necessary for
greater performance at the industrial (Donovan, 2011).
The company can also provide the new employees with a period
of retraining at the institutions before they are fully employed.
The process will enable the company to judge the performance
of the individual employees before in-cooperating them to the
system. Moreover, the process can make it possible to determine
the best employee from a group who may possess equal
theoretical capability. Therefore, ensuring the company remains
with the best through the various stages of testing them.

5. Reference
Donovan, C. (2011). Meeting the Challenge: Demand and
Supply of engineers. Improving the World through Engneering ,
3-26.
Running head: WEEK 1 COURSE PROJECT
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WEEK 1 COURSE PROJECT
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Week 1 course project
Shekima Jacob
South University
Savannah Engineering, Inspection and Insurance Company

6. Environmental analysis is basic to all organizations that conduct
their businesses internationally. The analysis is also known as
the macro-environmental analysis of factors that majorly affect
business operations in one way or the other. Therefore, an
organization should properly be equipped with knowledge
concerning the forces that affect it either internally or
externally. Considering Savannah Engineering, inspection and
Insurance Company in its state, it can be analysed which forces
are likely to affect its operations given the scenario in the
market. These forces mostly are resulted by changes in the
market, competition, legal issues, economic issues, political
issues, technological issues and much more.
Economic and financial trends
Economic and financial trends involve all the effects that are
brought about by these forces which might affect economic and
financial trends of the company. Unemployment and foreign
exchange rates are some of the elements of a trend that might
have an impact on the economic condition of the company.
Thus, the cost of labour that is available will always be cheaper
in an environment where the level of unemployment is very
high. Besides, the currency of a given country tends to be low
when such high unemployment rate dominates which
consequently causes the economy to go down. When the
currency of a given country is low or weaker, that will imply
that the wages for workers should be raised in order to make
them cater to the basic needs which demand more on disposable
income.
Legal and political trends.
The government is mostly considered as an integral part of a
business that facilitates and regulates the conduct of business in
different industries. Therefore, SEIIC should make sure that all
its operations that it conducts are in line with what was agreed
upon in the memorandum of association and licenced for.
Political stability is the main political factor that can dictate the
performance of a business, since it is what will attract the

7. potential investors or shy them off. Therefore, if the state of
political condition is stable in terms of security and other
aspects that are associated with the government, then the
potentiality of the company to grow will be high. Legal
formalities for starting up a business or subsequent verification
of documents for the company can be so bureaucratic and
sometimes costly which can cause the company some fortune of
money if not well planned and catered for.
Social and cultural trends
Different countries have a different kind of people with
different kind of attitudes, behaviours and mindset. The
organization will therefore be controlled by the attitudes the
customers and the workforce have in a given country. Some of
the trends that influence social and culture trends include the
social lifestyle and education level. Countries with higher
education level tend to have product and services that are of a
higher quality due higher expectation by the customer on the
quality of the products, and advance knowledge on product
production which suits customer needs and specifications the
company. The lifestyle of people in a given country also affects
organizations, since people tend to upgrade to what they
consider fashionable with their taste and current trend in a
specific geographical area or globally.
Global and technological trends
Global and technological trends may affect SIIEC in different
ways. The rate of new inventions and development changes the
information and mobile technology that are involved in
conducting the operations the company. The integration of high
enabled ways of conducting business such as e-commerce and
the internet makes an organization to do business beyond given
geographical boundaries. Competition is another trend which
might affect the organization in terms globalization due to the
advanced state of the market. Therefore, SEIIC has to make sure
that it operates at the pace which its competitors avail in the

8. market.References
Jurevicius, O. (2013). PEST & PESTEL Analysis. Strategic
Management Insight., 49(3), 1-11.