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Creating an ethical organisation


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Strategy is based on the unique relationship between an organisation's distinctive resources and capabilities and its environment. This relationship is defined as ‘strategic fit’ and is seen as a dynamic relationship where the organisation does not merely respond to its environment but seeks to shape it.

Organisations do not exist in a vacuum: they rely on and reflect the political, economic and social contexts within which they operate. These will include:

  • a regulatory environment which constrains their activities

  • an economic environment which determines how business is conducted

  • a political environment which underpins the regulatory and economic environments

  • a social environment which values certain types of behaviour and condemns other types.

This material is from our archive and is an adapted extract from Managing Human Resources (B824), which is no longer taught by The Open University. If you want to study formally with us, you may wish to explore other courses we offer in this subject area [Tip: hold Ctrl and click a link to open it in a new tab. (Hide tip)] .

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