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Managerial Challenge as a Part of Organizations Operating Cycle

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An organisation is carried out by various complex inter-company processes taking place simultaneously. The processes too keeps on changing with time which arises lots of problems in the organisation. These inter-company processes are a driver of economic evolution and provide a critical managerial challenge for the individuals and companies involved in business. Managerial challenges are the bottlenecks the managers and the administartors of an organisation face while running the organisation.

(Abrahamsen, M., Håkansson, H., 2012) As per common knowledge managerial challenges are usually of 2 types Internal environmental and external environmental challenges. The internal environmental challenges consists of challenges like employee motivation, operating process, supply chain management whereas the external enviromental challenges consists of challenges which are faced on a macro level by all competitors like political, environmental, legal, social, economic, technological (PESTEL).

Competition Network and Security

The world is globalised resulting in increasing competition. The organisation needs to analyse their performance not only financially but even technologically to keep up with customers demand. With the advance of information technology (IT), it has been able to transform the capability of organizations and industries into competitive advantages. The issue of firms investing in IT has received increasing attention in recent years. (Tang, C.-P., Huang, T.C.-K. & Wang, S.-T., 2018) With time, the organization grows and expands and hence the efficient functioning is one of the most crucial challenge which managers face. Internet of things (IOT) is the network of various devices within an organization, which leads to safe, secure and proper functioning by keeping all parts and people of the organization connected.

Big Data Analytics

According to Tan, K.H. (2018), companies usually use data analysis to accurately figure out the changing environment, which will affect the company’s competitive position and detection of new business opportunities. As cited in Ahmed et al (2017), the three main types of analytics, namely descriptive analytics, predictive analytics and prescriptive analytics. Descriptive analytics refers to what has already occurred, predictive analytics refers to what is likely to happen next, and prescriptive analytics means what should be done to achieve more optimal solutions. Big data analysis have eventually become the core element of differentiating the organizations competencies, productivity and new business opportunities.

Corporate Social Responsibility

The organizations currently believe “customer is king”. Its important and good that organizations have started believing that they need to give back the society, customer and environment whatever they have taken from the world. Austin, 2000; Pirsch et al., 2007; Varadarajan and Menon, 1998, classified Corporate social responsibility (CSR) activities into three broad categories based on the corporation’s strategic goals: philanthropic (a charitable donor– recipient nature), promotional (enhances mutually beneficial relationship exchanges) and value-creating (integrated into firms’ mission and core business agenda).


These new types of business are possible because of an ability to reach customers through digital retail platforms, and, as importantly, because supply chain management platforms make it possible to identify producers and organize a supply chain (Lisa, 2015). These managerial challenges are a part of organizations operating cycle. Every organization in particular span of time has to go through some managerial challenges. These challenges act as stepping-stones for an organizations growth and development. If there are challenges, there are innovative, creative and easy solutions available for ensuring the smooth functioning of an organization. In my opinion managers should foster the environment keeping in mind the customers and employees needs to get rid of the problems they face.


  1. Ford, D. and Håkansson, H. (2018). managerial challenge. [ebook] Available at: [Accessed 3 Oct. 2018].
  2. CHEN, X., HUANG, R., YANG, Z. and DUBE, L., 2018. CSR types and the moderating role of corporate competence. European Journal of Marketing, 52(7-8), pp. 1358-1386.
  3. FALLAH HAGHIGHI, N., HAJIHOSEINI, H., RAMEZANPOUR NARGESI, G. and BIJANI, M., 2018. Gap analysis of current and desired states of entrepreneurship development components in the field of ICTs in Iran. Technology in Society, 54, pp. 101-110.
  4. TAN, K.H., 2018. Managerial perspectives of big data analytics capability towards product innovation. Strategic Direction, 34(8), pp. 33-35.
  5. TANG, C.-., HUANG, T.C.-. and WANG, S.-., 2018. The impact of Internet of things implementation on firm performance. Telematics and Informatics, 35(7), pp. 2038-2053.
  6. Nambisan, S., Siegel, D., & Kenney, M. (2018). On open innovation, platforms, and entrepreneurship. Strategic Entrepreneurship Journal, 12(3), 354-368.

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Managerial Challenge as a Part of Organizations Operating Cycle. (2020, March 16). GradesFixer. Retrieved September 25, 2021, from
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