Organisational Theory
You are a consultant to a large telecommunications company that markets many products to
many customers. The company has many competitors. Describe the level of uncertainty and
recommend strategies for managing the organizational environment.
Answer
With more people communicating via services like Facebook Messenger and Viber,
revenue from voice calls is falling, even as customers expect more from the network.
This one-two punch is pushing today’s our operators to think more about customer
experience, and to expand the range of services they provide.
Back in the days of plain old telephone service, customers who made a clear,
uninterrupted phone call weren’t necessarily motivated to go make more calls as a
result. But video is different. A good experience leads customers to spend more time
on the network. Experience drives demand, which in turn drives revenue.
Level of uncertainty
Business operate in an ever dynamic environment. They adjust and adapt to
environmental dynamic through a variety of strategic orientation. As Miles and
Snow indicated, companies that match their situation to environment can improve
their performance.
Macro – environment uncertainty: This currently in the organization general
environment, including political regulatory, statutory and economic condition.
Competitive Uncertainty: This is inability to establish the intensity of competition
in the industry in the future the relative powers of competitors, their future courses
of action and strategies.
Market and demand uncertainty: This uncertainty stems from lack of clarify in
the dynamics of the market and their effects on the organizations operations and
demand and supply condition in the industry.
Technology uncertainty: This is uncertainty pertaining to change in the
organizational technological resources and capabilities. Technological uncertainty
has the potential to undermine an organization competitive base.