As it was mentioned earlier, the center concept is environment uncertainty when explaining the relationship between any organizations and their environment. The key to the general environment is to recognize how the trends are likely to impact the organization. While every organization experiences the same general environment, the specific impact will vary from company to company. Good examples of explaining how the maritime organization may deal with the external environment, in which they operate, are port authority and shipping company.
It is quite easy to understand that with development of the whole society, recent trend of social conditions that have had a significant impact on the management of maritime organizations include the changing career expectations of women and the aging of the work force. Nowadays, we can see more women than ever before working in the work force. Without exception, the labour structure on port and on board tends to be the similar situation as other work force. Economic element is always a key factor influence the management of port.
In macroeconomic sense, the managers of the port and shipping company have little, even no power to control the broad situation if inflation rates or interest rates changes. They can only accept the facts. Another influential factor of economic is derived demand. It is only because demand of ships depends on how many goods in trade. ‘ So no goods, no ship, and no port’. In contrast, more goods, more ships, more ports, port can receive more vessels, and eventually make more surplus.
Legal-policy as one of the external environments plays a significant role on maritime organization. Port authority and shipping company must operate within a variety of specific law, from the international level, UN Conventions, or IMO policy, to EU Policies, even local government law. However, various political processes also influence the legal system, after policy maker solve the problem, finally they pass the law to port authority and ship owner.
The degree of technology employed in the port’s operation and ship’s operation.This includes all areas of the business, such as berth planning; operation and allocation; the processing of cargo documentation; billing; the cargo-handling operation; and communications. A good example of advanced technology is found in the port of Singapore. Nowadays, most ports in the world have the facility of computerized port operation, which is also benefit the safety of port. Many of these facilities are called traffic management schemes which enable ships to enter and leave the seaport under a computerized radar network.This substantially improves ship safety and enables continuous access to and from the port in all weathers including dense fog. A modern traffic scheme exists in the port of Rotterdam. Port Authority and shipping company, like any other organization, have their on code of ethics to ensure all members in the organization to follow the conducts.
It helps to outline for employees exactly what is considered acceptable behavior.These codes are becoming an integral part of the organization’s culture as they are communicated throughout the organization and ingrained in the employees. Conclusion On the whole, the external environment has significant impacts on organizations. However due to the facts the key concept between organizations and their external environments are environment uncertainty, the managers of organizations should take external environment into account, and bear in mind when they do strategy planning. (Word Count: 1,465)