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Introduction - The Business Environment

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The purpose of analysing the business environment has been exceedingly accommodating for collecting descriptive information of factors and circumstances outside the business. Consequently, the factors affect the function of the company and the way the company operates directly or indirectly. As a matter of fact, few of these significant factors have been proved to be responsible for influencing the business organisations atmosphere. Typically, this particular assignment has been prepared for providing appropriate knowledge about the business and its operation. Therefore, the primal focus of the report falls on analysing the organisational structure of three different sectors from the UK and their impact on achieving their business objectives. Also, the report assesses the internal and external factors that influence a business in different ways. Thus, through demonstrating the influencing factors the ultimate purpose of the business report will be accomplished.

Evaluation of the dissimilar Types, Size, and Scope of Organisation

Explanation of The Different Varieties and Purposes of The Organisation Along Within Evaluating Size and Scope of a Range of Different Types of Organisations

UK Sectors

NCA (National Crime Agency) - PUBLIC

GlaxoSmithKline - PRIVATE

Dementia UK - VOLUNTARY

Size

The national crime agency of the UK is looking forward to creating a hostile atmosphere for serious and organised criminality. Therefore, the most foremost part of UK law enforcement along with senior chief constables at its head and strong, two-way links with local polices forces and other regulation enforcement organisations (Sehgal, 2019). As a matter of fact, in order to encounter several crimes and terrorism, NCA has a vital role to sustain the peaceful ambiance and it has been considered as a home to significant multi-agency aptitude capacity (National Crime Agency inspection, 2018).

GSK or GlaxoSmithKline pursues an extraordinary organisational structure that facilitates the company to fulfill its objectives and to achieve better accomplishment (Njau, 2019). The implementation of the hierarchical organisational structure consists of various significant levels similar to the pyramid. The CEO of in the top performs activities to maintain every significant activity. The company history of GlaxoSmithKline demonstrates the laboratories obtain one of its chief rivals, international clinical laboratories. In fact, the headquarter of the company are situated in the UK and the company operated in Germany, the USA, France Italy, and Japan. It has been observed that the company consists of two major partitions pharmaceuticals and consumer healthcare. This pharmaceutical section has been considered responsible for generating 85% of GSK sales.

The decision-making process of dementia UK has been maintained by the board of trustees which assists the organisation to stay in the long term of race in the business (Dementia UK, 2021). In order to perform the charity programs of the organisation, there has been a creation of sub-committees that are: finance and audit committee; clinical and professional committee; fundraising and communications committee.

Scope

The primal scope of NCA is dependent on fighting organised criminality, undertaking unpredictable and complex crimes, and improvising border security along within sustaining circumstances such as cybercrime, economic crime, and child exploitation.

The criminality has the potential for considerable harm; involves professional aptitude that would be too expensive or incompetent if apprehended in every force;

In order to perform operational activities, there has been a requirement of various functions, and the activities have been considered extremely efficient.

The scope of the GSK involves various activities such as the development of the health of millions of people around the globe through manufacturing ground-breaking medicines, vaccines and focusing on customer health care services (Njau, 2019). The primal intention of this pharmaceutical company is to keep a closer look on the subject matter of transparency, accountability, improvement, and collaboration in relation to the patient. Therefore, the creation of a stronger purpose and performance culture underpinned by the expectations and values of the company and which are indeed accommodating to increase the profitability and development of the company.

The scope of the organisation is to focus on the following activities 

To facilitate the affected people of dementia and to make available superior care for the patient in order to meet their requirements. 

Impact on the national policy in order to ensure that everyone living along within the diseases has the capability to similar access to achieve admiral nursing

To provide superior dementia care among potential patients and to accomplish high-quality research.

Purpose

The purpose of NCA is to gather intelligence and analysis of various tasks and prioritisation

Protection of child exploitation is considered as an ultimate function of this sector and it will prolong to offer dedicated support and intelligence on the subject of child exploitation through the terms of local policing and economic crime command will definitely have its own professional abilities.

This particular pharmaceutical business possesses an expansive assortment of established and innovative medicines in oncology, HIV, and many others. The company is constantly trying to improvise its company profile by creating a focal point on human genetics and advanced technologies. 

This company has been considered as the largest vaccine-producing industry and the ultimate intention of the company is to protect peoples’ lives through transporting vaccines.

Therefore, the exceptional consumer healthcare strategy of GSK focuses essentially on merging the core insights of the customer and technology in order to form innovative regular healthcare brands.

The ultimate purpose of dementia UK is various activities that are indeed accommodating to achieve the organisational success of the company and also to facilitate the customer (Dementia UK, 2021).

Legal Structure

The legal structure of NCA evaluates ensuring resilience and rapid awareness in order to transfer in the national threat picture (Sehgal, 2019). The legal structure of NCA consists of mainly economic crime, child exploitation, and organised crime.

The legal structure of GSK has been devoted to operating at the uppermost standards of commercial governance (Shanmuganathan, 2019). As a matter of fact, the governance structure underpins the ability to deliver an exceptional strategy in order to build a long-term value that might facilitate the company to accomplish in the global market.

The legal structure of this particular organisation is quite complicated. A lasting power of attorney (LPA) of Dementia UK has been considered as a legal document appointing 

One, or in case of more trusted people to be a person’s attorney.

Products and Services

The definitive focal point of the NCA has been on fighting organised criminality, on an escalation of border security, and on engaging in other sober and multifaceted crimes, including economic crime (Allsopp et al., 2019).

The company produces an elevated range of products which are: Pentosam, a drug against visceral leishmaniasis; Tuberculosis (TB) drugs Antiretroviral for the treatment of HIV; Albendazole is contributed by GSK as part of the lymphatic filariasis abolition movement.

Dementia UK offers professional dementia support to the deprived families through management level admiral nurses and seniors.

Interrelationship of The Several Roles and Their Impact on The Organisational Culture 

The Relationship Between Different Organisational Functions and Their Co-Relation Within the Organisational Objectives and Structure 

The annual report of NCA’s performance and its comprehensive information illustrates that the over a couple of years against the national priorities in case of serious and organised crime which are indeed set out in the national premeditated assessment (Allsopp et al., 2019). In terms of every priority, the annual report sets out the context along within the potential regions of focus which are indeed approved for the year, and thereafter the foremost activities and accomplishment. As a matter of fact, every year, the agency generates a single picture of the threat related to sober and organised crime. 

The exceptional organisational structure of GSK has made it possible for the company to boost its productivity and to obtain enormous organisational success. Providing accurate motivation to the employees and the effect of an enthusiastic atmosphere proved to be extremely accommodating in enhancing the performance of the firm (Shanmuganathan, 2019). It has been observed extensively that the employees of GSK can allocate their opinions liberally in case of the decision-making process on productivity, security, and development of the organisation. As a matter of fact, the training program and employee involvement in the decision-making progress of GlaxoSmithKline have been responsible for improvising the performance of the organisation.

The Dementia UK organisation always took swift, influential action. In fact, the employing of the latest board along with appropriate expertise on focusing the undertaking of the charity has been proved to be exceedingly beneficial for providing specific care to the Admiral nurses. Therefore, the exploitation of this extremely focused approach paid off (Dementia UK, 2021). As a matter of fact, a huge number of nurses approximately doubled between 2013 and 2016 and its significant impact has been observed in the growth of income and the elimination of working scarcity. The consequence of decisive actions causes a remarkable turnaround which reflected in expansion in service provision along with improvising finances and a boost in case of staff morale.

Demonstration of The Positive and Negative Influence and How It Impacts the Macro Environment of Business Organisation

Internal Strengths and Weaknesses of Specific Businesses and Their Interrelationship with External Macro Factors

The macro-environment defines the external factors which have a heavy impact upon the decision-making process of an organisation and also these factors are not controllable (Baron and Baron, 2003). GlaxoSmithKline Plc. is a healthcare company headquartered in Brentford, UK. The company is famous for offering a wide array of innovative medicines, health care products and vaccines. Basically, GSK has three main businesses, consumer healthcare products, vaccines and pharmaceutical medicines. The pharmaceutical company is renowned to many people across the globe. 

PESTLE Analysis of GlaxoSmithKline

Political Factors

Economic Factors

Due to having a presence in multiple countries, global political instabilities and changes are affecting the organisational overall performance. Various political implications are also impacting the strategic moves of GSK. International trade regulation and competitive regulation are likely to introduce in the countries like, China and India that will harm the smooth operation of the company (Vallati and Grassi, 2019). 

The Covid 19 pandemic has created an economy that has created a period of uncertainty all over the world. Along with this Brexit is also causing various issues for GSK. Due to the British exit from the EU exchange rate has dramatically increased and this has caused to stop the expansion plan to cancel in Cumbria. But there are certain advantages too that GSK is facing. In the midst of this economic instability, the constant growth of the Indian market has benefitted GSK to make 30% profit (The Economic Times, 2017). 

Social Factors

Technological Factors

Social factors, like lifestyle, consumer attitude, opinions impact the GSK Company. With the growing number of the ageing population, GSK has decided to go forward with a new treatment technology for HIV (Vallati and Grassi, 2019). In regard to this, understanding the social need, GSK has decided to replace the traditional pill system and invested a huge amount for coming out with a new treatment in order to meet the market demand. Moreover, GSK has also invested in training health workers of underdeveloped countries to build a strong medical infrastructure. 

GSK has been considered among the lowest in terms of investing in the research and development segment in comparison to its competitors. In consideration of this, GSK has decided to contribute $43 million in the field of artificial intelligence. The company is using Artificial intelligence for predicting drug behaviour in order to save time and money in unnecessary tests. 

Legal Factors

Environmental factors

It is necessary for GSK to follow rules and regulations to sell products in various countries. The company is investing £100 million in their legal charges to make certain that the company maintain the guideline perimeters. 

GSK has shown various initiatives towards maintaining its environmental responsibilities. From the year 2015, the company has shifted towards ‘continuous manufacturing’ which permits the company to offer medicines at a lower price and faster delivery which also benefit in providing less impact upon the environment (GSK, 2018).

PESTLE Analysis of Dementia UK

Political Factors

Economic Factors

The political environment is very important for every business as it helps to develop further planning of the business ((Mudany, Letting and Gituro, 2020). The Brexit has impacted the Dementia UK as various policies have been aroused which have led the institution to spend additional expenditures (McKee et al., 2020). For instance, medicine and medical equipment originated in the EU bringing those items in the UK will be a little difficult in present conditions.

The two essential variables are supply and demand which impact business in a given economic climate. The rise and fall of a business are directly related to the business demand (Dixit, Clouse and Turken, 2019). Due to the economic instability, the institution requires some changes in order to come to the challenge of Brexit and Covid-19. Dementia UK needs qualified workers, labour costs have skyrocketed, finding it challenging for the Dementia UK to pay more. Dementia UK’s procurement and service delivery need to be enhanced in order to increase efficiency. For procurement and service delivery, a proper procedure must be established.

Social Factors

Technological Factors

The proportion of persons and personnel involved with Dementia UK might increase or reduce depending on the social context. The population of older persons in the United Kingdom must be taken into account by Dementia UK. Ageing individuals require extensive medical services, thus the hospital’s capacities should be increased.

Continuous up-gradation of the technology enables a business to maintain its position in a highly competitive marketplace (Visconti, Do? and Gurgun, 2017). Dementia UK can use technology to deal with patients with more efficiency and information is recorded with the Dementia UK for years to come. Technology is rapidly developing, and the Dementia UK should take advantage of it to stay competitive. Changes in technology, such as the patients who will be attending the clinic, should be recorded in the system so that the information may be accessed as needed.

Legal Factors

Environmental factors

Obediently pursuing the laws and regulations imposed by a governing body facilitate an organisation to function seamlessly stated by Worthington and Britton, 2006 (Kapi?ák and chlebovský N.D.). This help to create a loyal brand image in the mind of the consumers; yet, it is a lengthy process and creates additional expenditures. Legal issues, such as government-implied rules and regulations, have a good and negative impact on the business climate.

Every business has a legal and ethical responsibility to serve the environment in where it operates (Palme. and Hartley, 2011). Dementia UK not only helps individuals with their health complications relating to dementia, but they also look after the surroundings to prevent infections from spreading. In terms of environmental responsibility, Dementia UK plants trees on its grounds and in the nearby region so that sufferers are hospitalised and locals can live in a healthy environment.

Strengths and Weaknesses of Business Organisation and Its Interrelation Within External Macro Factors

Conduction of Internal and External Analysis of The Two Specific Organisation

SWOT analysis of GSK

Strength

Weakness

GSK has made significant strides in a variety of fields, including respiratory, HIV, and cardiovascular health, to mention a few (Mahin, 2018). GSK’s dedication to technically oriented R&D innovation aids in the firm’s position in the market strengthening.

GSK has a well-established strong network of distributors in India and around the world.

Several GSK medications and vaccines are now facing hard competition, and even some of the company’s bestselling items are approaching maturation. This may have an impact on GSK’s earnings.

In multiple regions, GSK has been charged for unlawfully prescribing medications, charging deceptive prices, and failing to submit safety information.

Opportunities

Threat

GSK has lately released a range of products, particularly in the metabolic and respiratory fields. For example, Nucala was in recent times permitted as a treatment for individuals with refractory eosinophilic asthma.

The rising demand for high-quality healthcare items in India and other growing markets offers opportunities for pharma organisations, for instance, GSK to enhance both their bottom and top lines.

In many nations, the cost of pharmaceuticals is regulated by law. In India, for example, a new pricing control regime has been suggested that could result in lower medical costs.



2.1.2 SWOT Analysis of Dementia UK

Strength

Weakness

Although it does not have a monopoly position, Dementia UK has no real competitors.

Ever since its inception, Dementia UK has experienced significant growth in its offerings.

It continues to follow positive relationships with community health service providers.

Because of the growing population, Dementia UK is somewhat failing to meet the requirement.

Patients have to wait a long period.

Some employees’ poor behaviour and attitudes.

Opportunities

Threat

Marketing methods are used to raise awareness of Dementia UK.

Collaborations and collaborative ventures with the business and non-profit sectors.

Contractors’ activity has an impact on Dementia UK’s reputation.

The employee turnover rate is high.

Services are being shifted to general practice.

The Interrelation of Strengths and Weaknesses with External Macro Factors and Justification of The Influence Upon Decision Making 

The organisational operation should be conducted inside a setting where both weaknesses and strengths reside as both of the factors are intertwined with external macro factors. Because it is often tricky to recognise the complexities in the outer setting that impact the firm’s decision-making, the institution is far more impacted by this (Gutsul et al., 2019). Strengths and weaknesses are diametrically opposed, and a thorough understanding of strengths and weaknesses can help companies ensure great success.

In terms of acquiring success understanding strength and weaknesses are important where diametrically, strength and weaknesses are opposite. The best method to evaluate the institution’s strengths, weaknesses, prospects, and threats is to do a SWOT analysis. SWOT analysing tools enable an organisation to understand its weaknesses and threats. Other elements, such as political difficulties, have an influence on the organisation and exacerbate the danger. The socio-cultural component has both positive and negative impacts on the organization. Positive is that enterprise is unable to exist without community; negative is that the organisation bears duty for society, which is known as CSR or corporate social responsibility.

Conclusion and Recommendation

The discussion of this report has been divided into two parts. The first part has focused on the evaluation of various aspects like type, size and scope of the organization and explained multiple diversity and organisational purposes. Further, an interrelationship has been drawn out between organizational functions, structure and objectives. The second part of this report has thrown a light upon the positive and negative influence and their impact upon the microenvironment of business organisations. In this regard, a PESTLE and SWOT has been drawn out. Lastly, the report has also established an interrelationship of strengths and weaknesses within external macro factors.

GSK can conduct preventative and awareness initiatives to increase rural and poor person’s understanding of health in less developed cultures, as well as a fund in impoverished kid’s education, not just in science but in all aspects of life, in order to ensure their long-term viability. To reduce waiting times, a partnership with a commercial healthcare service can be formed by Dementia UK. The institution should retain a positive partnership with the private healthcare sector and should increase the number of people working for it and the resources it has.

References

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Baron, D.P. and Baron, D.P., 2003. Business and its environment (p. 2). Upper Saddle River, NJ: Prentice Hall.

Dementia UK. (2021). Our people. [Online] Available at: https://www.dementiauk.org/about-us/our-people/ [Accessed 20 Sep. 2021]. 

Dixit, A., Clouse, C. and Turken, N., 2019. Strategic business location decisions: Importance of economic factors and place image. Rutgers Business Review, 4(1).

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Mahin, M.R.A., 2018. The gap between consumer and retailer for GSK’s one of the growing oral healthcare brands “Sensodyne” in Bangladesh.

Mudany, J.O., Letting, N. and Gituro, W., 2020. Moderating Effects of Macro Environment on Strategy Implementation and Performance in Energy Sector Institutions in Kenya. Journal of Human Resource & Leadership, 4(5), pp.35-59.

National Crime Agency inspection. (2018). [Online] Available at: https://www.justiceinspectorates.gov.uk/hmicfrs/wp-content/uploads/an-inspection-of-the-national-crime-agency-criminal-intelligence-function.pdf. [Accessed 20 Sep. 2021]. 

Njau, C.W., 2019. Employee Percieved Influence Of Leadership Styles On Directing Organisation Culture At Glaxosmithkline Limited, Nairobi, Kenya (Doctoral dissertation, University of Nairobi).

Palmer, A. and Hartley, B., 2011. The Business Environment 7e. McGraw Hill.

Sehgal, I., 2019. UK’s National Crime Agency and ‘Proud Pakistanis’. Defence Journal, 23(5), p.88.

Shanmuganathan, M., 2019, September. CSR and Sustainability Reporting: Longitudinal Case Study from GlaxoSmithKline. In CSR COMMUNICATION CONFERENCE (p. 43).

The Economic Times. 2017. GSK Pharma to invest Rs 1,000 crore in Karnataka plant. [online] Available at: https://economictimes.indiatimes.com/industry/healthcare/biotech/pharmaceuticals/gsk-pharma-to-invest-rs-1000-crore-in-karnataka-plant/articleshow/59513334.cms?from=mdr [Accessed 20 Sep. 2021]. 

Vallati, M. and Grassi, A., 2019, July. AI to Facilitate Legal Analysis in the PESTLE Context. In Emerging Technology Conference (pp. 66-68). The Emerging Technology (EMiT) Conference.

van Schalkwyk, M.C., Hervey, T.K., McCarey, M., Dayan, M., Barlow, P. and McKee, M., 2020. How will Brexit affect the healthcare workforce?. bmj, 371.

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