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Prepared By: Sheule Begum

BUSINESS ENVIRONMENT:
OXFAM

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Table of Contents
Introduction ............................................................................................................................................ 3
Various types of organisations ................................................................................................................. 3
“Size and scope of a range of different types of organisations”................................................................ 4
“Discussion on how the scope, structure and size of organisations link to the business objectives and
product and services offered by the organisation”................................................................................... 5
“Relationship between different functions of organisation and its link with structure and objective of
organisation”........................................................................................................................................... 7
“Analysis of the advantages and disadvantages of interrelationships between organisational functions
and the impact that can have upon organisational structure”.................................................................. 7
“Critical analysis on the complexities of various business structures along with the relationship between
the organisational functions” .................................................................................................................. 9
Task 2 .................................................................................................................................................... 10
“PESTLE analysis of OXFAM” .................................................................................................................. 10
SWOT Analysis of OXFAM ...................................................................................................................... 11
Application of SWOT analysis in decision-making................................................................................... 12
“Strengths and weaknesses interrelationship with the macro factor” .................................................... 13
“Critical analysis of impacts of both micro and macro factors on decision-making and business
objectives” ............................................................................................................................................ 13
Conclusion............................................................................................................................................. 14
Reference List........................................................................................................................................ 15

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Introduction
OXFAM’s name is included as an international confederation. The organisation focuses on global
poverty alleviation. OXFAM was founded in the year of 1942 in England. The headquarters is in
Oxford, UK. Many social activists such as Quakers and Oxford academics are included in Oxford
Committee Famine Relief group. The organisation focuses on disaster relief, pro-migration, policy
research, poverty eradication and advocacy. First overseas branch of Oxfam was founded in1963
in Canada. Aim of the organisation is work hard and together to decrease injustice and poverty
in international level. Oxfam also enlist their name as non-profitable organisation in Netherlands.
Programs of the foundation address reason of poverty and their related injustice. At first, they
work through local organisation. Oxfam set the goal to helping people when there is no local
capacity. Then they assist in development of the structure that is beneficial for the people who
are facing the poverty. The mission is to work with the local partners and tries to give proper help
to people. They fight for human right for people and return their control of life. Actually, the
organisation always supports the people of poverty level and stand for them. Commented [S1]: Introduction focuses on the operations of
OXFAM, the chosen company.
Various types of organisations
Public
The public sector provides different services and goods. Society as well as individuals uses these
services. This sector is part of the country’s economy that is directed by the government. It’s
contents varies by state, country, city. Sometimes, private sector is hired by the government to
provide services to this sector such as military, aircraft, computers etc. AWE (Atomic Weapons
establishment) is a government run organisation, which mainly works for the security of the
people of UK. With the use of nuclear expertise, the company helps the UK government to protect
and detect against high potential threats to the country. This organisation works for the safety
and security of the people along with their making profit for the company.
Private
This sector runs by groups as well as individuals. Haufler (2013, p.45) commented that the private
sector organisations is not controlled by the government. Most of the country's workforce
provide by the sector. Any organisation and business are part of the private sector, which try to
make profit for their owners. In private organisation, the type of the work environment chooses

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locations and suppliers. The business has to apply deals of high standards with the environment,
customer and worker. For this method, they get the better outcome. Virgin Atlantic is a private
organisation, which works mainly for making profit by trying to provide excellent service to its
customers.
Voluntary
Voluntary sector is the non -profitable sector, which is engaged in social activities. This sector
also non-government sector. Huang et al. (2014, p.1532) argued that these organisations work
for needy people. The sector purpose is not to earn money, but to help the people who are
trapped in hard situation. The workers of the voluntary sector also engage to collect donation in
any possible way. The sector also completes responsibility to create small groups in every area.
However, they can reach any part of UK to help the people. The voluntary sector work on enrich
and benefit society without earn any profit. Oxfam is a voluntary organisation, which works for
the welfare of the society by trying to reducing the poverty level of the country.
Legal structure of different organisation:
In case of the sole trader, the sole trader starts trading in a straight way. Organisations have to
be enlisted as self-employed. If the owner fails to earn the profit, then the owner gives the taxes
only. In case, if the business does not work out, then the responsibility of businesses debt goes
to the owner. The owner takes the final decision. Profit earned by the organisation belongs solely
to the owner of the company. Scott et al. (2015, p.47) commented that in partnership, the work
of business is divided into parts as well as profit. If any party of business resigns from the business.
It would lead towards bankrupt of the organisation. If the organisation is enlisted as the company,
then capital is collected from the sale of capital. Profit is divided into shareholder. Commented [S2]: Explanation on voluntary, public and
private organisations. P1 is achieved
“Size and scope of a range of different types of organisations” Commented [S3]: Sole trader and partnership explained
briefly.
Public
The scope and size of the public sector depends on their work. Government growth focuses on
scholarly interest that has been increased within few years in UK. Zingg et al. (2015, p.213)
mentioned that the various explanation responsible for the size of the public sector. Union of
public employee represent worker. As a public sector, AWE aware about its mission and vision.

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Mission: The AWE aims to provide support to the UK government through development of
innovative solutions towards combating nuclear threat, nuclear proliferation and terrorism.
Vision: To be a well recognised centre of engineering, scientific and technological excellence and
be well equipped with advanced design, research and production facilities across the world.
Private sector
Private sector is responsible for increase poverty and development process of country. However,
their strategies of promote the economic growth help to increase their scope and size. They are
able to involve many people in their strategies. For this participation, people find the way to earn
money. However, people get the effective position for the private sectors.
Mission: Virgin Atlantic always tries to increase the effectiveness of their strategy for them as
well as the staff and customers.
Vision: Become an excellent private sector, which is not only able to think about organisation
also for the people. They aim to increase their vacancy.
Voluntary sector
Oxfam works as a charitable organisation. It work on reduce the poverty level of people. Grant
(2016, p.47) commented that this organisation play a vital role create a strong society in UK.
There scope and size depends on the organisation’s activity and aim. With strong aim, they can
get scope to serve wide help to the needy people.
Mission: Oxfam works on rule of international trade. It helps to gain chance to economic
development of UK.
Vision: The organisation tries to find effective way to return the human right of the people. They
work together with the small partners of the many areas to cover maximum part of UK. They
want to return the control of their life. Commented [S4]: Size and scope of range of organisations
is discussed using the examples of organisations like Virgin
Atlantic, OXFAM and AWE
“Discussion on how the scope, structure and size of organisations link to the P2 is achieved

business objectives and product and services offered by the organisation”


Private: Virgin Atlantic resources the scope to increase the profit level from airlines sector by
retaining existing customers. Dahlander and Piezunka (2014, p.813) argued that the conditions
of the environment become competitive, fluctuation of the price in the economical ground. This
airline can improve their margin to increase the frequency of flight, open some new route, and

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improve the configuration of aircraft. Additionally, airlines provide some special services and
decrease the cost of operating. The company also calculated the ratio of seal miles and passenger
miles for provide facility of premium seats. Marketers take the step about remove and liberalize Commented [S5]: Grammar error

the barrier. On another hand, the government is always supportive towards the environmental
efforts of the airline industry. Just do not provide incentive for bio fuels research. For the
advanced technology, the business of industry expands globally.
Public: Size and scope of Atomic Weapons Establishment (AWE) become diverse by using
technology. Using network of longitudinal data on this industry identifies the complex and effects
of two attribute interplay. The relation between the system competition and firm's role are
evaluated diversification level of the size and structure of the industry. Its gets support from the Commented [S6]: Grammar error

government in any possible situation. However, as result absolute net size, raise the growth of
sales by relative size. On another hand, the get the positive scope from the effect. The scope is
followed by the industry in all area with improving their safety service from Trident nuclear. They
learn the capacity to design different types of weapons. They have to develop their skills in using
technology also include in future arms.
Voluntary: As a voluntary sector, Oxfam works on social activity. They have to improve their
scope to help people and develop their organisational structure. However, they have to spread
awareness all over the area regarding the company to protect the people from any critical
situation. They create a strong path. Starborg et al.(2013, p.1433) mentioned thatWith the help
of this path Women or marginalised people and poor, people able to fight for their political and
civil rights. Oxfam influence these people of their decision-making process towards their action
and power. Women are oppressed and underrepresented by the society. They expand their hand
towards these women who claim their human rights. Also, take action to decrease the violence
over the women. In any natural disaster, Oxfam provides food, water, sanitation and other needs.
Except that, at first, they try to save lives. The organisation always maintains the food supplies.
However, the rural people also get the food security, prosperity, income by the global system of
food. The organization always target to collect money, which helps to development of education
and growth. With maintain, these service organisations fulfil its objectives. Commented [S7]: The explanation does not discuss how
structure, size and scope links with the objectives, products
and services. There is no clear explanation offered. Hence M1
cannot be achieved

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“Relationship between different functions of organisation and its link with


structure and objective of organisation”
Most of the business has their functional structure. Functions are distributed into a different
department of different organisations. Strange et al.(2014, p.656) mentioned that with help of
the function, report should be delivered to a higher authority. It gives the clear line towards the
job, and employee focuses on their particular job. The divisional function helps to create service
or product line for these three types of sectors. Each service has its own terms. The advantage of
the function is that every department busy with fulfilling own tasks in the proper manner. On
other hands, using matrix functions any business can get flexibility towards completion of its job.
Employees of the every department can allocate a project under a high authority. This strategy
helps to adopt changing the function as per industry needs. Armstrong and Taylor (2014, p.35)
argued that its help to an organisation can get a proper outcome, which is profitable. For the
voluntary sector, it helps to reach services or action in right time to the right person.For staffs of Commented [S8]: Advantages and disadvantages of matrix
and divisional structure is explained.
the private-public as well as voluntary sector creates an organisational chart. The chart helps to
reduce the trouble of visualizing of the employees. The chart refers to a difference between
control of the management and departments. It gives the advice at the time of decision-making. Commented [S9]: Functions of Oxfam and its relationship is
not explained. Its link with structure and objective is not
demonstrated. Hence P3 cannot be achieved.
“Analysis of the advantages and disadvantages of interrelationships between
organisational functions and the impact that can have upon organisational
structure”
There are common four types of the organisational structure include the matrix, functional,
horizontal and divisional. Schniederjans et al. (2015, p.21) mentioned that most of the large
organisations use more than one structure. For example, the development division uses the
matrix structure; Company changes the strategy about organisational structure as per
requirement of scope and size of the organisation.
The function structure provides clear strategy for all junior position to top-level position. The
function allows to the organisation take advantage of economy. For Oxfam, the structure help to
make a strategy that able execute by every one of the organisation.

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On another hand, the structure leads an indigent communication between different


departments. The departments are unable to work together. For this reason, conflict occurs
between departments. The customer becomes confused and frustrated by the cooperation.
Functional structure assigns efficiency and stability for the large organisation. This structure uses
to handle decision-making for high-level management and ensure that the control of the
organisation always in management's hand.
The division structure has to an organised product line, marketing idea. The structure works with
people who are from different department from the business
Using a structure the organisation make corrects frequency to respond to customer's demand.
This structure has to teach the employees how they improve the skill of management.
The structure may be difficult to handle when employees moving to complete the projects.
The structure gives stability, how they inform the needy people about them. However, people
can ready to communicate with Oxfam. Anderson et al. (2013, p.414) commented that every
team have to report about any task’s progress to the structure so it can create the suitable
strategy to solve the problem.
The matrix structure does not follow command chain. They organise and develop a team as per
which tasks they have to execute.
The structure is suitable for small company. In addition, any business, where specialist employee
and resource are short, so everyone busy to move around every area for need. Its help to develop
involvement and skill of all employee.
The structure cannot clear the confusion of employee and frustration. However, reporting line
remains unclear. The structure is unable to set priority for employees towards the projects.
For Oxfam, this structure is suitable for use. However, they can develop a team for their current
requirement. The team effective perform the tasks as their following rule as per organisation
concern. Commented [S10]: Most of the explanation pertains to the
advantages and disadvantages of the various organisational
structure. This does not explain how interrelationship of
functions can be beneficial. M2 cannot be achieved.

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“Critical analysis on the complexities of various business structures along with the
relationship between the organisational functions”
In this changeable business environment, each organisation is facing major complexities at all
level. Due to updated business environment, a clear strategic decisions many times appeared as
complexes situations. Deloitte, Nike and Oxfam many times facing major challenges in order to
improve communication principles within business environment. Complexion, in business
structure, leads to productivity loss and conflict interpretation.
In all organisations, departmental loyalty is executed as major complex conflicts. Within the
group performances, such critics are visualised. Many times customers are not getting approval Commented [S11]: Wrong grammar

on credit terms, on that cases service structure may be hampered. Communication factors can
be broken, due to productivity effect. In order to logistics maintenance, organisation structure is
dismantled.
Due to existing business principles, business operations hampered in case of settlement of new
principles. In order to proceed comfortable principles within existing management system, Commented [S12]: Difficult to understand

Oxfam is facing problems due to unfamiliar business status and technical up gradation module.
Many times managers have the lack of knowledge on present situation; therefore they cannot
decide what to incorporate for business sustainability (Allsop and Brennan, 2016, p.505).
Organisational structure is also dependent on the variables of target goal and achievements.
Structure can be acceptable within all sole trader, voluntary companies of the culture capability
is possible within all business performances. When upper management of Oxfam, is structuring
new modified goals, they are discussing with the managers. Managers many times are not aware
about the business risks and assessment. When they give their valuable feedback, somehow risk
assessment factors are underestimated. Goal making process, can be structured with two way
altitudes, many times morale cannot be accomplished. In case of NHS, which is performing
corporate governance business based on franchisee activities, many times experiencing
challenges due to such principles. They are facing problems due to structure appropriate
methodology on customer satisfaction (Wirtz and Daiser 2017, p.112). Technological conception
also regarded as major conflict within the business module. In this era, rival companies are
constantly trying to reach every people via updated technological progress. NHS organisation

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structure is also affected due to those situational constraints. In addition, due to job related
issues and legal impact on business environment organisational struvite is too much sterilised in
a negative way. The socio factors have strengthened the brand by helping them to establish their
business across the globe in over one hundred fifty nations. The technological factors such as
cyber security programs, cognitive technologies like machine learning tools have also supported
them in doing business and catering the clients with reliable outcomes. Oxfam is facing challenges
in likes of legal or judiciary system where they have to pay a lot in recent times and it has affected
the brand value. Commented [S13]: The explanation is not clear enough to
highlight the complexities of structures
The explanation has grammatical errors
In 2016, become separated from overall European Union. On those cases, every private, public
and sole traders companies have faced challenges in order to perform cross cultural business.
Economic structure is too much hampered due to such activity. Therefore, overall management
structure is also dismantled due to activity of that major legal parameter. In this present
environment, they needs to asses call internal and external business ethics to overcome all the
loopholes in organisational structure. Commented [S14]: D1 cannot be achieved owing to the
amount of grammatical error. Explanation is not clear enough
to demonstrate critical evaluation of complexities of
organisational structures
Commented [S15]: Grammar is incorrect
Task 2
“PESTLE analysis of OXFAM”
Political factors: UK, as country parliamentary system influence and governed is a great
advantage for Oxfam. Siqueira et al. (2016, p.178) argued that the government is proactive Commented [S16]: Wrong sentence

towards betterment of the country. Organisation is able to collect donations from the
government to develop the education as well as the health of a rural area. Public of the country
engage in inner working, however, an organisation can get a huge opportunity for the activity of
public. Public increase their interest to step forward with the Oxfam to sharing their work for the
needy people. The Brexit affects Oxfam from certain level. In addition, the government have
some hidden corruption that is a reason for disadvantage for the Oxfam.
Economic factors: The UK has strong economy compared to the other country. In current years,
a growth of FDI increase but diminished the GDP growth of 0.4% (bbc.com, 2017). It helps to
Oxfam to do their social work. In addition, the rate of unemployment stands 0.7% (bbc.com,

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2017). Government spend money to give financial aid and free service to the migrant people. It
is the huge loss for Oxfam.
Social factors: The social factors of the country help Oxfam In many ways. However, the country
is influenced by the social class concept. Provide the free service towards health become a
solution for Oxfam. However, they have to concentrate on other needs except for health.
On another hand, increase the education cost becomes a hurdle for them.
Technical factors: Being a technically developed country, UK provides updated technology. For
this reason, Oxfam goes on high to their work. Lehmann and Joseph (2015, p.22) mentioned that
using the technical support, they frequently execute the job of the helping people. On the
contrast, development of technology is going slow compare another country.
Environmental factors: The environmental factors including natural calamities and
environmental conditions affect the working of OXFAM largely. Due to these factors, a large
number of people might be affected and become homeless. In such conditions, the company is
required to provide shelter, help to the needy people, and provide them support. In this process,
the organisation is sometimes unable to provide sufficient amount of support to all the people,
which largely affects the working and reputation of the organisation.
Legal factors: The policy of the government is implemented strongly in the UK. This makes a great
help towards the Oxfam. They try to solve the problem of human rights, so follow the policy to
solving the problems. On another hand, some policy works on against the Oxfam. However, it
may be the hurdle towards their promises towards the needy people definitely. Commented [S17]: P4 is achieved. PESTLE analysis of
OXFAM has grammatical errors. More examples should have
been quoted to explain the impact of external factors

SWOT Analysis of OXFAM

Strengths Weaknesses

● Goodwill and volunteer staff ● To cover the expense through revenue


● Help the needy people in free of cost ● Centre point is job satisfaction Commented [S18]: Grammar

● Try to take step to development ● Try to meet the salaries with a


process of health as well as education profitable organisation.

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● Volunteers are assets for the voluntary ● There is no scope for return back the
organisation investment
● Have a strong strategy to execute tasks ● Expect a salary of minimal
as well as financial development. ● Have to face the deficits for budget

Opportunities Threats

● Grant, that’s an opportunity for ● Threats from the economic crisis


organisation ● To give first cash flow
● Apply the grant referred as tasks ● Public charity belongs to high standard
● Enjoy with the alliances than the profits
● Alliances is reason for marketing ● Have to avoid the impropriety
● Benefits for buyers as well as perception
organisation ● Damage the small scandal
● Facility is given by charitable trust

Figure 1: SWOT analysis


(Source: Swift et al. 2013, p.21)
Analysis: Oxfam as a voluntary sector have the volunteer's support and goodwill. However,
volunteers are one of the reasons to reach the goal. Swift et al. (2013, p.21) argued that they
save the people from any natural disaster, serve food, clear water, fundamental demands and
sanitation for women. Steiner et al. (2014, p.841) mentioned that they have served their strategy
about human rights via agents. If they fail to complete the tasks then there is no other way of
refund. They have to work in risk of money. They always face the problem with budgets. Commented [S19]: Good analysis of OXFAM’s strengths,
weaknesses, threats and opportunities.
P5 is achieved
Application of SWOT analysis in decision-making
The analysis is referred as a strong tool that includes few subjective elements. It helps the Oxfam
as the guide. Swot analysis used as the information source for strategic decision-making. It helps
to build to help the strengths of organisations. Rauch et al. (2015, p.88) mentioned that also,
reverse the weakness into the strength. The analysis has to respond to the opportunities. It helps
to overcome the threats, which are not healthy for the organisation. The SWOT of the Oxfam

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identifies the core competencies. It helps to set elements for planning. The analysis helps to
selection and formulation of the strategies. Commented [S20]: Importance of SWOT analysis in
decision making is explained.

“Strengths and weaknesses interrelationship with the macro factor”


The strength of the voluntary organisation is the volunteer's support. If the volunteers do not
step forward to help the needy people. Then any voluntary organisation cannot reach its goal.
However, the population is large, so that Oxfam gets many volunteers from them. The
government of UK also support for the betterment of the needy and migrant people. Then they
get also financial help from the government for education and health development. Borio et al.
(2014, p.4) commented that the population matter, however, it is also profitable for any
organisation. The economic conditions of the country help to create a strategy to development
of finance. Finance is the help to give the needs of people in free of cost. Commented [S21]: Grammar

Some policy of the government is a hurdle for Oxfam's job. However, there is no other way to
solve the problem, which attaches to the particular policy. Hollensen (2015, p.32) argued that
the volunteers focus on job satisfaction because sometimes organisation does not pay for their
work. In spite of that, volunteers continue their jobs in the proper way. The organisation has to
do their work in risk. If they are not able to do any project. Then there is no further way to refund
the amount. They cover the expense through revenue. On another hand, in spite the high Commented [S22]: Sentence is grammatically incorrect

standard social background of the country. The organisation faces the budget problem. Commented [S23]: There is no clear explanation on how
strengths and weaknesses are interrelated with macro factors.
P6 is not achieved

“Critical analysis of impacts of both micro and macro factors on decision-making


and business objectives”
The suppliers control the business success because they hold the power. However, the suppliers
deliver the services or products to the customers. Oxfam has to convince their agent about their
strategies. The poor, migrant people inform that. Commented [S24]: The explanation is not clear.

Oxfam has to appoint some people in various areas, which cannot reach them. The people, get
the information about any crisis. Yang et al. (2014, p.4566) commented that then the
organisation reaches them the place with the help. Commented [S25]: Grammar

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Oxfam has to create a convincing strategy, which is understood by the poor needy people.
Organisation also won the trust of these people with these strategies.
On another hand, at the time they go to public or government to collect donation for basic
development of education and health. Then the plan or plot helps to satisfy them. Also they are
able to pay the donation freely. Commented [S26]: Grammar is incorrect

Oxfam‘s duty is not over with convincing people about their strategy. They have to take the step
about their promises and try to fulfil the people needs also. Oxfam has to keep the promises of
the women and migrant people. They able to return human rights of the people .Forces of
common demographic, including, ethnicity, country or region, age, education level, lifestyle
movements and cultures, impact different segments.
The environment of an economy can affect the both people's decision and the Oxfam's strategies.
The organisation should always take the decision as per the legal developments and political
condition.
De Villa et al. (2015, p.420) mentioned that the knowledge and skill applied towards the create
the strategies. The technology used for execution of the strategies. Using technology is the huge
advantage for any organisation as well as Oxfam. The cultural forces can affect the any Commented [S27]: Grammar is incorrect

organisation success. However, always consider as the term for any business. The both of two
environments have a special impact on reach the goal. Commented [S28]: Grammar
Commented [S29]: The explanation is not clear and does
not critically evaluate the micro and macro factors on decision
making and business objectives. D2 cannot be achieved
Conclusion
As a voluntary company, Oxfam always works for poor and migrant people in any situation and
fought for the human rights of the people. They also protest against the violence over women.
From the pestle analysis, know about the external factors of Oxfam. In addition, the strengths,
weaknesses, opportunities and threats have great impact on the Oxfam.

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