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Notion 96

Identify the enterprise enviroment and cultural factors

Target skills

Raise awareness on the communication both between different hierarchical roles and between peers. Observe the social/natural/cultural factors that are at the base of workind roles.

Enviroment

The issue of sustainability has an increasing impact on companies. In particular, within the organisational perimeter of the company, this issue induces new practices, potentially capable of combining growth and economic performance, social and environmental sustainability. In this perspective, economic and financial aspects are included in a broader framework, which considers the dimension of sustainability in measurable business behaviours and practices.
Various aspects can be taken into account to understand the impact on the environment:

  • energy and renewable energy consumption
  • quantity of greenhouse gas emissions
  • water consumption and the amount of waste recycled and reused.

These aspects may concern the production system, the design of products, packaging and their disposal, but also energy consumption or recycling within the shops.
A good example of a business model that aims at sustainability and safeguarding the planet is that of Ikea. In fact, as reported on the company's website, the Ikea group "is committed to producing, by 2020, a quantity of renewable energy equal to that consumed in the course of its activities".
In the technological sphere, we can talk about Apple: almost half of Apple's carbon footprint concerns the electricity used in its production processes and therefore, as the company states, it is necessary for the entire supply chain to switch to renewable sources. That's why Apple's suppliers "are committed to producing more than 4 gigawatts of clean energy by 2020: nearly one-third of the electricity" used to make the company's products in 2018. In addition, all of Apple's offices, Apple Retail Stores are powered by renewable energy.
Another important change for the environment is the decrease in the use of plastic. Many companies have decided to replace single-use plastic bottles and cups with dispensers of natural and mineral water. In addition, thermal stainless steel bottles are often distributed to employees.

Culture

Even when two countries share the same language, significant differences are often found.
If you want to direct your business towards a global market, putting cultural training at the forefront and ensuring that your team is aware of the variety of different cultural approaches would be a winning strategy.
This means not only learning about different cultural styles, but also questioning one's own conceptions of what is the 'right' way to do things and adapting in order to bind teams together better.
A poor understanding of other cultures can hinder effective communication and result in failed negotiations, lost contracts and delayed access to international markets. Providing the right cultural training to help teams master foreign exchanges ensures that business strategy is in line with a variety of cultural habits and not just different approaches to doing business.
Perhaps the greatest source of misunderstanding in intercultural exchanges is intention. The meaning of a term may be clear, but it is the meaning behind that word that may become more blurred: for example, when an English manager will say that work is "going well", someone native to that culture will probably understand that the meaning is "going well, but could be better". However, for countries with a more direct communication style, such as the United States, that statement would be taken for what it is: fine means fine.