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ENVIRONMENTAL FACTORS

AFFECTING HUMAN
RESOURCE MANAGEMENT
The External Environment
Components
 Labor Force  Competition
 Legal  Customers
Considerations  Technology
 Society  Economy
 Unions  Sons of soil
 Shareholders  Government
The External Environment:
Proactive Versus Reactive
 Reactive Response: Action taken in
response to change
 Proactive Response: Action taken in
anticipation of change
 Organizations Exhibit Varying Degrees
of Proactive & Reactive Behavior
The Internal
Environment
• Mission • Employees
• Policies • Organization
• Corporate Structure
Culture • Labor-
• Management Management
Style of Upper Agreement
Managers

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