Thursday, May 16, 2019
External and Internal Environmental Analysis Paper Essay
The purpose of the paper is to scan, the indwelling and external purlieual computes of AT&T internet accession technologies for the consumer market. It further identifies and discusses the AT&Ts core competencies and sources of war-ridden advantage. Lastly, AT&Ts logical argument model and its impact on the organizational performance (UOP, 2013). AT&T uses the most common peckerwood (i.e. SWOT summary) to analyze its progress in the market and identify the strengths, weaknesses, opportunity and, threat. outside(a) environs analysis is important in determining the strategy that should be adopted by a business and inside surroundings analysis is critical to identify the core competencies of the business.External environmentAT&T rattling well understands their competitors and external factors and hence, to better meet its customer needs, it formed the Broadband & Internet subsidiary. The external environment consisting of all the conditions and forces that appropriate its strategic options and define its matched situation (Pearce & Robinson, 2013, p. 12). External environment can be broadly classified into three types Remote, sedulousness and, Operating. 1. Remote environment consists of the forces like economic, social, political, technological and ecological factors that become beyond, and usually irrespective of, any single crockeds operating situation (Pearce & Robinson, 2013, pg. 87).2. Industry environment The general conditions for competition that model all businesses that release similar products and operate (Pearce, 2013, pg. 97). Operating environment to a fault called the competitive or task environment comprises factors in the competitive situation that affect a planetary houses success in acquiring needed resources or in profitably marketing its redeeming(prenominal)s and function (Pearce, 2013). They also control a major fragment of the Tier 1 backbone of the internet.Remote milieu (RE)See more how to write an analysis of a research paperWith each environmental factor exerting its effect individually, the analysis in these three different kinds can be done separately. Some of the principal(prenominal) remote environmental factor that affects AT&T are economic, political and technological factors. Economic factors affect because more and more consumers can afford excellent internet service in a good economy and, the number declines as the economy slows down. Political factors do affect the day to day surgery of the service and, regulation in the internet/ cable industry is very stringent. Any changes in the brass policies/ regulations entrust directly or indirectly impact AT&Ts business and, consumers inflow. proficient factors also affect the company because there is of all time a need to adapt the latest engineering in the industry. The ever changing technologies, apps, products and, services will alter consumers emplacement and buying behavior.Industry Environment (IE)The IE factors that impac t AT&T are buyer power, substitute availability and competitive rivalry. The internet users have increased dramatically in the recent years. Providing great service and technology requires a large investment, but when customer switches their internet carrier, it result in high loss (bad debt expense from this trend). composition Time Warner and AT&T have attempted to combat, these losses by charging one month tiptop in advance. Though a huge amount was recovered before the customers were gone but didnt guarantee, customer loyalty. New entries are always a threat, mainly if they provide services in arcadian areas, where AT&T is still trying to make a mark.Operating Environment (OE)The OE factors affecting AT&T are customers and creditors. With the slowed economy in the country, the assessment of suppliers and creditors is critical to an accurate evaluation of a firms operating environment. Question like Does the creditors fairly value and willingly accept the firms pricing strate gy for the service AT&T provides? Do the creditors perceive the firm as having an welcome record of past payment? (Pearce, 2013, pg. 114). Operational indicators, which measure performance in planning and implementing organizational strategies, are internal, andexternal customer satisfaction, quality metrics, internal processes, internal innovation, and continuous improvement efforts tend to drive rising financial performance (Curtright, 2000).Internal analysisTo analyze the internal environmental (IE) factors for AT&T, one will have to first identify the strength and weakness of the organization. AT&T is amongst the largest cable companies, serving any Fortune 1000 company, as well as neighborhood businesses around the country. AT&T serves 17.8 million broadband customers, including wireline (DSL, U-verse High-Speed Internet and, Satellite) and wireless mobile broadband LaptopConnect subscribers (att.com, 2015). AT&Ts services and competencies are well matched with their streng th to meet the market needs.The major internal environmental changes, or areas for change, that could be expected to impact AT&T include Marketing new product offerings, new technology and, market trends. Financial ability to acquire other firms and, corporate resources, capital expenditure. Operations network prudence and partner relationships.Personnel key executive management positions. Quality integration of controls on projects, monitoring of quality, trunk modernization and, operational support governances. General wariness performance and strategic planning (Delahunty.com, n.d.)The external environment factors that are being discussed cover most of the strengths of AT&T versus weaknesses. But addressing the ethical obligations and exceptions of the consumers will always care (Teams feedback).Core Competencies and ResourcesCore competence is a capability or skill that a firm emphasizes and excels in doing while in pursuit of its overall mission. Core competencies that dif fer from those found in competing firms would be considered distinctive competencies (Pearce & Robinson, 2011).The basic resources include tangible assets, intangible assets and,organizational capabilities. Some of the tangible assets of AT&T are inventory, cash reserves. The financial resources and physical resources property, plant and, equipment net. The assessed intangible assets at AT&T are its brand name, (Goodwill) reputation, trademarks, licenses, trade secrets and, copyright.All the resources available at AT&T are valuables, and they provide the customer needs better than other alternatives. The resources are scarce and drive a key portion of overall profit. This makes the service provided by AT&T sustainable over a long period, which help in making better strategic plan for the organization.Competitive position and possibilitiesDistinctive competencies that are identify and nurtured throughout the firm, allowing it to execute effectively so as to provide products or servic es to customers that are hypernym to competitors offerings, become the basis for a lasting competitive advantage (Pearce, 2013, pg. 164). AT&T stands strong and gives very tough competition in its current competitive position. AT&T disposal Solutions provides professional services so agencies can better serve their customers and meet mission object (Pragmatics, 2007).AT&Ts pending acquisition of DIRECTV will give more customers more opportunities to enjoy their preferent movies, TV shows, music and, sports. Final regulatory approval of the merger will enable the combined companies to deliver more content to customers crossways multiple screens mobile devices, TVs, laptops, and the backseat displays of connected cars. Its commitment to expand and levy its deployment of high-speed Internet service to cover at least 15 million customer locations across 48 states most of them in underserved rural areas (att.com, 2015). Structure of the organization and how it affects organization al performanceAT&T has departmentalization structure as seen in the division of labor as well as the decentralized decision-making charge to teams, it shows that the existing policies, rules and regulations are directory in nature.Apparently, the chain of command in the business unit is rather hold to the team leaders and the Chief Operations Officer. Since the organizational structure is rather flat, the business faces the adverse attitude of the employees with reference to the change in the organization. This indicates that the informal structures of the organization tend to have a great influence on the actual behavior of the employees (Management Paradise, 2011).ConclusionBy focusing on the SWOT analysis (external and internal environmental factors), AT&T can identify its strengths, weaknesses, threats and, opportunities. This can help the company to improve its competitive position in the internet market that will in turn generate additional revenues.ReferencesAT&T. (2015). A T&T Company Information. Retrieved from http//www.att.com/gen/investor-relations?pid=5711 Coppola, J., Delahunty, S., & Keune, G. (n.d.). The Internet Connection War-AT&T Internet Services for Consumers, a Strategic Evaluation. Retrieved from http//www.delahunty.com/cv/paper_att.doc Curtright, J. W., Stolp-Smith, Steven. C., & Edell, E.S. (2000, January). Strategic performance management Development of a performance measurement system at the Mayo Clinic. Journal of Healthcare Management, 45(1), 58. Management Paradise. (2011, February 2). Organizational Structure of AT&T. Retrieved from http//www.managementparadise.com/forums/human-resources-management-h-r/214644-organisational-structure-t.html Pearce, J.A. & Robinson, R. B. (2013). Strategic Management Planning for Domestic and Global Competition (13th ed.). New York, NY McGraw Hill. Pragmatics, Inc. (2007). AT&T Government Solutions. Retrieved from https//ites-2s.pragmatics.com/metadot/index.pl?op=show&iid=2231 UOP. (2013). Extern al and Internal Environmental Analysis Instructions. Retrieved from https//newclassroom3.phoenix.edu/Classroom//contextid/OSIRIS48364100/context/co/view/activityDetails/activity/df4da69c-3472-494d-952c-e99cc3619b2d/expanded/ anomalous/tab/Instructions
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