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What are the components of task environment?

So, before looking into the components of the task environment, let’s understand the basics with regard to what it actually is.

A business environment could be affected by forces inside (within) and outside of the company which will affect how a business operates. The influences and events that come from outside of the company are called a task environment. Thus the task environment might be slightly different from the company in question. But while generalizing them all, these would be the components of task environment:

  • Customers: They are the first thing that would always come in mind when external force influence is looked into as they’re the one who have the power to create or reduce the demand for a product. For example, if a customer wants more smartphones, then there will certainly be a higher demand for the company making temper glass and other such accessories.

  • Suppliers: Most of the companies don’t produce all the items that go into a product by themselves. Take an example of Apple itself, they import screen for their mobile phones from Samsung along with other parts which they bring together to form a complete product. And, as suppliers are the one who you or your company is to buy such products from, they’re going to have an effect.

  • Competition (competing companies): They do become a major part of the task environment as other competing companies may be providing better or similar products to the same target segment.

The components above have a significant effect on day to day operation of a business. But the ones below are the ones which should be considered regardless of they not having an impact on a daily basis.

  • Labor force: A company at a certain point would need to expand its workforce and would thus need skilled manpower. Consider that there’s a limited number of people with the required skill sets to get the job done and the demand for the person is high elsewhere as well, in which case it would influence the business operation.

  • Government regulations: Without any doubt, any change in governmental regulations will impact the business operation. A sudden change in tax law would mean that the company must position and adapt accordingly.

  • Special interest groups: These are the groups which may bring attention to the company and could impact the operation in either positive or negative way.

Thus, all the external factors that affect a business can be considered to be a task environment. Each of those factors as highlighted above pose threats as well as provide opportunity so it can either help or hurt the business. A manager who is skilled is thus able to continuously able to analyze the task environment and make the best out of each situation the company is in.

This post was part of TyroCity discussion forum
Question asked by miki
Answered by angel

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