Business Integrated

I have started this assignment but I am struggling with it can anyone help please

Company I am writing on is Patterson-UTI Energy, Inc.

Conduct an internal and external environmental analysis, and a supply chain analysis for your proposed new division and its business model. (new division proposed product is “automated walking rig”

Create a SWOT table summarizing your findings. Your environmental analysis should consider, at a minimum, the following factors. For each factor, identify the one primary strength, weakness, opportunity, threat, and trend, and include it in your table.

External forces and trends considerations:

· Legal and regulatory

· Global

· Economic

· Technological

· Innovation

· Social

· Environmental

· Competitive analysis

Internal forces and trends considerations:

· Strategy

· Structures

· Processes and systems

· Resources

· Goals

· Strategic capabilities

· Culture

· Technologies

· Innovations

· Intellectual property

· Leadership

Write a synopsis of no more than 1,050 words in which you analyze relevant forces and trends from the list above. Your analysis must include the following:

· Identify economic, legal, and regulatory forces and trends.

· Critique how well the organization adapts to change.

· Analyze and explain the supply chain of the new division of the existing business. Share your plans to develop and leverage core competencies and resources within the supply chain in an effort to make a positive impact on the business model and the various stakeholders.

Identify issues and/or opportunities:

· Identify the major issues and/or opportunities that the company faces based on your analysis.

· Generate a hypothesis surrounding each issue and research questions to use for conducting analysis.

· Identify the circumstances surrounding each issue; classify the circumstances; attribute the importance of each classification; and test the accuracy of the importance for each classification.

Environmental Analysis

When starting a new business or new division it is important to have an accurate evaluation of environmental factors as it could be the difference between being successful or failure. Having an effective environmental analysis can have a great impact on the strategic plan for the Patterson-UTI Energy, Inc. proposed division. By identifying the threats and opportunities will help us to place emphasis where efforts need to be focused. It is important to look at the outside environmental factors as they can affect the organization. After an environmental analysis has been conducted there are times when tough decisions may have to be made for example if the analysis shows signs of positive factors then this could be an indication of success however if the environmental analysis is overwhelmingly negative then you may have to reconsider you proposal.

External Forces

An external environmental analysis consists of information about the organization industry, looks at the political and social environment and the organization competitors. This analysis will look at the opportunities that PTEN can take advantage of and threats that could impact on the organization. Usually this type of analysis will focus on how the organization can take advantage of opportunities whether to overcome them or find ways to minimize the threats. Patterson-UTI Energy, Inc does not have control over changes in the external environment. It is therefore important for the organization to perform an external environmental analysis frequently as this can help the organization to maintain a competitive advantage.

The legal and regulatory environment plays a vital role in determining how successful a company will be. The government will impose taxes, enforce federal laws that will protect employees and customers and other regulatory measures that will enhance the growth of the economy. Taxes can place restriction on the operations of Patterson-UTI Energy new division. The possibility exists whereby changes in the environmental regulations may reduce opportunities for the new division. This may include laws that are related to offshore drilling operations.

Competitors

The competitors of Patterson-UTI Energy, Inc play a crucial role as their behavior can affect the organization’s strategy. Patterson-UTI Energy Inc. has to take in consideration new entrants into the market and acquisition between companies. There are many oil and gas companies however the entry to this industry is high and will deter new entrants. In addition this industry requires large capital hence it is consider a barrier for entry. It is important to note that when changes are made to the organization our competitors will react to our adjusting strategy and make changes. Therefore it is important that Patterson-UTI be ahead of the competition at all times.

Economic Conditions

The demand for our service is closely associated with general economic growth rates. Therefore if there is an occurrence of negative economic growth it can impact negatively on our division. The fluctuations in currency exchange can also affect the demand for oil or energy. The inability to access debt or political unrest can pose risks to our division.

Innovation

Innovation is now being transformed by technology as a result companies are able to test new ideas at speeds. Patterson-UTI Energy, Inc is now able to have a better understanding of their customers’ needs. The automated walking oil rig is equipped with the latest technology and has numerous innovative features which will improve efficiency and more important improve value for their customers.

Social Factors

It is important that Patterson-UTI Energy, Inc utilize and adapt to its external social environment or it will be difficult to be successful. PTEN needs to be aware of the society’s social preference regarding its needs and wants. Therefore the organization pla

Internal Forces

Leadership

The internal factors includes factors within the organization that impact the approach and success of an organization. PTEN takes the role of leadership in their company seriously. It is committed in fostering an environment where everyone feel valued and respected. It embraces diversity of people

Culture

Technologies

Resources

SWOT ANALYSIS

Factor	Strengths	Weaknesses	Opportunities	Threats	Trends
Technology
Legal/Regulatory
Economic
Culture
Leadership
Resources

Organizational Direction

The role of company leadership is an important internal business factor. Your leadership style and the styles of other company management impact organizational culture. The positive or negative nature, level of family-friendliness, effectiveness of communication and value of employees are cultural implications that result from leadership approaches. Companies often provide formal structure or direction with mission and vision statements. These are forward-looking statements that provide the business for company decisions and activities.

We are committed to fostering a work environment where all people feel valued and respected. We are proud of our workforce, where all employees can contribute to the success of the Company, drawing upon their unique backgrounds, perspectives and life experiences. In return, the Company embraces its diversity of people, thoughts and talents, and combines these strengths to pursue extraordinary results for the Company, its employees, and its shareholders.

Strengths

SeaDrill Group has a strong backlog of $15.4 billion. In comparison, the company has generated $4.7 billion in revenue in the past year. Thus, the company still has a solid backlog despite the recent weakness in oil prices, and if the recent recovery continues, the company will be able to convert more of this backlog into sales.

Additionally, SeaDrill has been able to reduce costs at a decent pace, which has allowed the company to improve its gross margin impressively over the past year. This is shown in the following chart:

The behavior of your competitors is a major factor affecting your strategy. In addition to evaluating the actions of your existing competitors, you have to check for new entrants into your market. At the same time you are adjusting your strategy, your competitors are reacting to your actions. To get the most advantage from your strategy changes, you have to think ahead to how each competitor is likely to react to your adjustments. You can then proceed with those elements that result in an overall more favorable competitive environment.

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The exploration and production on U.S. shale deposits has been a strong source of job growth. The hydraulically fractured wells tend to have a shorter production life, so there is always new drilling activity to find the next deposit. All this activity requires labor including drilling crews, loader operators, truck drivers, diesel mechanics, and so on. The people working in these areas then support surrounding businesses like hotels, restaurants, and car dealerships. Lower oil prices mean less drilling and exploration activity because most of the new oil driving the economic activity is unconventional and has a higher cost per barrel than conventional source of oil Read more: How Oil Prices Impact the U.S. Economy | Investopedia http://www.investopedia.com/articles/investing/032515/how-oil-prices-impact-us-economy.asp#ixzz4JL6aAyMh Follow us: Investopedia on Facebook

The economy tends to follow a business cycle of economic booms followed by periods of stagnation or decline. During boom periods, jobs tend to be plentiful, since companies need workers to keep up with demand. When unemployment is low, consumer spending tends to be high because most people have income to spend, which is good for businesses and helps drive growth. When unemployment is high, consumer spending tends to be low because unemployed people don't have excess income to spend..

The government can also increase or reduce taxes to promote or control economic growth. Increase in tax can affect a business negatively because it reduces consumer spending

The legal and regulatory environment plays a very crucial role in determining the success of any businesses. The government imposes taxes among other regulatory measures to promote economic growth and to cushion consumers from exploitation. Therefore, before establishing or when running a business, it is imperative to understand the role of regional tax measures and regulatory measures to determine how they affect your business.

Economic conditions. The demand for energy and petrochemicals correlates closely with general economic growth rates. The occurrence of recessions or other periods of low or negative economic growth will typically have a direct adverse impact on our results. Other factors that affect general economic conditions in the world or in a major region, such as changes in population growth rates, periods of civil unrest, government austerity programs, or currency exchange rate fluctuations, can also impact the demand for energy and petrochemicals. Sovereign debt downgrades, defaults, inability to access debt markets due to credit or legal constraints, liquidity crises, the breakup or restructuring of fiscal, monetary, or political systems such as the European Union, and other events or conditions that impair the functioning of financial markets and institutions also pose risks to ExxonMobil, including risks to the safety of our financial assets and to the ability of our partners and customers to fulfill their commitments to ExxonMobil.

Regularly performing an external environmental analysis can help businesses create or maintain a competitive advantage.

Changes in the external environment are caused by factors outside of a company's control.

http://www.wisegeek.com/what-is-an-external-environmental-analysis.htm

http://www.wisegeek.com/what-is-an-internal-environmental-analysis.htm

. An internal environmental analysis consists of all aspects of the operations of the organization, mission and internal guidance. The management of the organization usually initiates this analysis in order to identify the areas of risk and opportunity. The strengths and weaknesses are also assessed to identify the internal factors may restrict the growth of the organization.