Commercial Real Estate Encyclopedia

Business Planning >> IV. Evaluate Resources, Capabilities, and Environment

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Organizational Environment

  • Understanding how your firm's environment nurtures your business is a critical part of your success.
The Organizational Environment

An analysis of the organizational environment provides an assessment of your company's ability to effect your business plan. Whether you are a professional working with a firm, or an executive responsible for a division within a firm, the success of the business plan will also depend on the firm's capabilities and resources. Success will also depend on your ability to fit within the company's corporate culture and organizational environment.

There must be an alignment of each aspect of your business with your organization. This includes your value proposition, your brand, and your operational capabilities. Your firm may also offer capabilities you aren't already taking advantage of, as well as not have the resources to do everything you'd like to do.

In conjunction with an analysis of your market and competition, addressing your organizational environment provides us with the major external factors that influence your environment. With this understanding in hand, you have a context within which you can establish specific goals and performance objectives.

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