- Internal factors relate to aspects within an organization that are generally controllable, such as its value system, mission/objectives, management structure, human resources, image/brand equity, physical assets/facilities, R&D capabilities, marketing resources, and financial resources. - Key internal factors include the organization's value system, human resource skills/quality/morale, management structure (centralized vs decentralized), relationships between board members and CEO, and HR policies around employee retention, training, and disputes. - Internal factors have a direct impact on the organization and its performance.

1. -Internal Factors

2. ⦿Divya Dalwani 07
⦿Maitri Devi 10
⦿Bhumita Sarabhai 46
⦿Harshil Shah 49
⦿V
atsal Shah 55

3. Business
Environment
External
Factors
Micro
Factors
Macro
Factors
Internal
Factors

4. ⦿It relates to all aspects within the boundaries of
the organization and generally are within the
control of top management team.
⦿Direct impact
⦿Controllable by the company
⦿Alter or modify

5. ⦿Value system
⦿Mission & objectives
⦿Management structure and nature
⦿Human resources
⦿Company image and brand equity
⦿Other factors:
• Physical assets and facilities
• R & D and technological capabilities
• Marketing resources
• Financial resources

6. • Value System of founders and those at the helm of affairs has
important bearing on
• Choice of business:
• Mission
• Objectives of the organization
• Business policies and practices

7. Factors
⦿ Organizational structure
⦿ Composition of the Board of Directors
⦿ Extent of professionalization of
management

8. Centralized Decentralized

10. ⦿Support to Top Management from other
Stakeholders
⦿Relationship between Members of BOD
⦿Relationship between CEOs
⦿Relationship between BOD and CEO

11. The characteristics of the human resources
like skill, quality, morale, commitment,
attitudes etc. could contribute to the strength
and weakness of the organization.
The involvement, initiative etc. of the people
at different levels may vary from organization
to organization.

12. ⦿V
arious HR policies
⦿Employee retention techniques
⦿Selection criteria
⦿Training and development
⦿Disputes
⦿Public relations
⦿Issues: selecting right people, offering
competitive compensation packages and
payroll taxes

13. ⦿Describes the purpose
⦿Serve the needs of customers
⦿ Identifies various intents of the company
⦿Answers various questions

14. ⦿Reputation of the company
⦿Important dimension
⦿Value premium
⦿ Memorable, recognizable and reliable

15. 1) PHYSICALASSETS AND FACILITIES :
• Inventories
• Cash
• Equipment
• Properties owned by the business
JUST IN TIME
POWER PLANT

16. 2) R/D AND TECHNOLOGICAL CAPABILITIES :
Advantage : Disadvantage :
High cost involvement
Long time scale
Uncertain outcome
• Competitive edge
• Enhance brand and reputation
• Overseas market
• Increase profitability

17. 3) MARKETING RESOURCES :
• Marketing Research
• Channel Management (Intermediaries)
• Marketing Strategies.

18. • Procurement Of Finance.
• Meeting working capital needs.
• Allocation of finance.