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Part 2

Changes in business

Changes are constant in businesses, and they keep on occurring from time to time due to various factors in the field of business. A change can occur within a week, a month, or after a long period. Change can occur within weeks due to a problem that requires to be worked on immediately. For example, the method of management can change due to mismanagement of the organization's fund by the people responsible for finance. This can cause a great risk to the company because money is supposed to be utilized well for the wellbeing of the company’s financial systems. Mismanagement of funds in the company can lead to bankruptcy, and the company will end up being closed. These are some of the reasons why changes in the company can be done in a very short period to save the company (Blackwell, 2011).

A change can occur within a month due to environmental factors or technical factors. Change can be done in case a machine which was being used for production spoils. This is an emergency, and shipping another machine would take a longer period. The company, therefore, cannot stop working due to the breaking down of the machine because there is a need to ensure a continued flow of production activities. The company might decide to use human labor for production as they wait for the machine to be bought or repaired. There are environmental factors that could occur, which could lead to changes in the production capacity of the company. These are cases such as the recently reported Coronavirus, which have affected so many businesses in the world. The virus had lowered markets for very many companies because people are not able to purchase as many goods as they used to when they were working. Most people have been relieved of their duties at work because the work is less in manufacturing industries, and some companies are not in a position to pay their workers (Abrams, 2003).

Technology can lead to changes in production, whereby the company adopts a recently introduced technology to the company. The new technology has increased the speed of production, and the quality of goods produced is high. This, therefore, has led to the production of many goods which are of good quality to the customers. Technology has also ensured the continued flow of goods and services to the customers because the machines can produce a larger number of goods than what the labor force used to produce. This has greatly impacted organizations as there has been greater profitability in the business. Improved education has also played a part in changing manufacturing organizations. This is because students can now specialize in fields where they can perform better, which has made them learn a lot about their field and become specialists in various fields. This, therefore, will enable the production process to be a bit easier as people will be able to specialize in what they can do better (Finch, 2006).

References

Abrams, R. (2003). The successful business plan: Secrets & strategies. The Planning Shop.

Blackwell, E. (2008). How to prepare a business plan. Kogan Page Publishers.

Blackwell, E. (2011). How to prepare a business plan: Create your strategy, forecast your finances,