Environmental uncertainty
Environmental uncertainty refers to, ‘the degree to which future states of the world cannot be anticipated and accurately predicted’ (Pfeffer & Salancik, 1978).
Environmental uncertainty is problematic to an organisation only when it impacts a critical aspect of its performance, and it increases or decreases as environments vary along five basic continuums:
| Homogeneity-heterogeneity | The number and diversity of groups that influence the organisation |
| Concentration-dispersion | The degree of interconnection among components of the environment |
| Stability-turbulence | The rate and magnitude of change in the environment |
| Resource scarcity-resource munificence | Abundance and availability of resources |
| Hostility-supportiveness | Extent of competition and level of acceptance of the organisation |
Your task
Can you think of any alternative phrases to describe these five basic continuums?If so, please share your ideas with your peers in the comments section.
References
Pfeffer, J., & Salancik, G. R. (1978). The external control of organizations: A resource dependence perspective. Harper & Row.
Managing Company Culture Whilst Responding to Environmental Challenges
Managing Company Culture Whilst Responding to Environmental Challenges
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