The Task Environment

The dimensions of the general environment are broad and non-specific whereas the dimensions of the, task environment are composed of specific organization. The task', environment provides useful information more readily than does the general environment because the manager can identify environmental factors of specific interest rather than having to deal with more abstract dimension of the general environment. The different elements of task environment may be discussed as under:

(i) Competitors : Most of the policies of the organization are influenced by the competitors. In a competitive environment, the market place is characterized by moves and counter moves. Nevertheless. in the world economy,  the competition in all respects has increased tremendously and thereby, many firms are forced to wake up from their slumber. In this situation, many organizations arc now redefining business, rediscovering the markets and showing concern about customer service, human resource development, and the society.

(ii) Customers : The primary goal of every organization should be customer satisfaction. A customer is the person who pays money to acquire an organization’s product or services. In many cases the chain of transaction is more complex. A product passes through a number of channels before it is bought by the customer for consumption. In each stage of transaction, the ultimate objective of consumer satisfaction plays the vital role. Hence managers should pay close attention to the customers' dimension of the task environment.

(iii) Suppliers : Suppliers provide inputs (like raw materials,

equipment, energy, capital and labor) for the organization which is ultimately transformed into outputs. So the relationship between the organization and the suppliers of these inputs presents the forces in the environment that directly influence the operations of a firm. If an organization is unable to obtain these essential inputs of right quality and quantity at the right price, it cannot possibly achieve the objectives. Hence dealing with suppliers is an important task of management. It is wise to maintain good relationship with a network of suppliers.

(iv) Regulators: Regulators arc units in the task environment that have the potential to actively control, regulate or influence an organization’s policies and practices. There arc two important kinds of regulators : (a) government agency and (b) interest groups. The form of organization. the management and the way how a firm conducts itself in the society are very much influenced by the various provisions of the laws which is enacted by the various regulatory agencies of the government. On the other hand, an interest group is created by its members to attempt to influence organizations as well as government.

(v) Strategic allies : They are important elements in task environment for many organizations. They try to influence the organizations as well as the activities of government in various ways.