Describe the the internal and external environment and the impact of internal and external factors on the entity.
Action as a leader to deal with the organizational policies
The proper leadership style can lead the organization towards the successful direction that would make more profits and gain the competitive advantage. Each of the organization maintains certain rules and norms to deal with the external and internal influences (Schuh et al. 2014). The study focuses on the specifics of Rental Car Company in New Zealand in regards to the maintenance of the policies and procedures. The scenario describes that the company has been maintaining the policies and procedures for treating the workforce regardless of their culture or ethnicity. The structured roaster for their working hours is also specified in the case scenario. The study would discuss the external and internal influences on the company. It would provide the brief idea about the organizational procedures and policies and the internal dynamics that have the significant impact on the scenario of Rentals New Zealand.
As a leader, it is the primary responsibility to treat each of the stakeholders, customers, or clients with proper respect regardless of their culture and ethnicity. The improvement of the communication should be the major focus of the leaders. It is to be mentioned that the development of the transparent communication is necessary for a leader to understand the basic needs and demands of the potential stakeholders (Bark et al. 2016). As per the policies and procedures of the company, the leader should maintain the advanced technologies for the online bookings of the cars. Moreover, it is important to pay attention towards the queries of the customers and provide them the commendable customer services. The customers usually opt for the high standard and high quality technicalities of the vehicles. The leaders need to establish the proper communicational transparency with the customers to understand their requirements (Conradie, Roberts-Lombard and Klopper 2014). On the other hand, it is also necessary for the leaders to arrange the face-to-face conversation with the associated workers to schedule their working hours and prepare the roaster. The union representatives are consulted to ensure the pay rise of no less than 1% of the full year of service. It is the responsibility of the leader to pay attention towards the delivery of the car rental services as per the convenience of the clients.
In order to develop the effective relationships with the stakeholders, it is important for the leaders to provide the special attention to the worker group and the customer group individually. When the leader communicates with the customers directly, the requirements become clearer. It is important to identify the rush hours in which the customers would more likely availing the car rental services (Narsing, Sanders and Ford 2014). The roaster of the workers’ working hours is prepared accordingly. An efficient leader provides the proper motivation and supports to the workers to ensure the high standard of the performance. If the leaders do not pay the proper attention towards the needs and the requirements of the clients, it might lead towards the customer dissatisfaction due to which the company might face the considerable challenges in making profits. Accordingly, it is even necessary to convey the messages to the workers to provide the service as per the convenience of the clients. Moreover, it is even necessary to comply with the policies and procedures that indicate the proper treatment of the clients and stakeholders from every cultural background.
Impact of External Factors on the company
The influence of the external and internal factors makes the difference on the organizational functionalities. The six major external influences would be discussed below:
- The external stakeholders demand for the effective services for booking the rental cars, whether through online sites or face-to-face dealings (Chan et al. 2016). The company requires treating each of the clients equally and providing the best customer services. It is also expected that the company would provide the high standard and mechanically cleaned vehicles for their use.
- The rental industry is mostly comprised of the general market, which include the primary sites, such as local sites for the larger cities, airports for the leisure travelers, and insurance replacement vehicles. It is important to develop the secure services for this general market and improve the individual experiences (Szczepa?ska-Woszczyna 2015).
- The rental travelers sometimes ask for the discounts while placing the order via internet sites. In such cases, the company needs to handle the costs for the organization while providing the discounts to the premium clients.
- Leisure travelers usually opt for the rental car service for a shorter period time by availing the best of the cheaper mid-week deals. If the vehicle is returned to the original sites, it would save the rental car money (Friedman, Beckwith and Conroy 2016). The company usually hires people to deliver vehicles from one site to another. This implication would help the company to save this money and provide the discounts to the target clients.
- The influence of the insurance company is also one of the considerable factors for the rental company that is discounted as the long-term contract.
- The influence of the external competitors is also one of the significant aspects for the Rental Car Company in New Zealand. The major competitors are Hertz, Avis, and Budget. It is anticipated that the competitors would create the impact on the overall revenue take for any of the organization.
The company has to deal with the internal environment as well. The associated staffs require improving their performance standards to provide the better car rental services to the premium clients. The influence of the internal environment is discussed further:
- The associated workers expect to receive the monetary benefits for the long-term retention and high standard performance (Lichtenthaler 2017). The company needs to consider that the workers receive the considerable hike on their wages after the full year of service. If the company provides less than at least 1% of hike in their wages, it would affect their performance parameter.
- It is essential for the company to structure the work schedule for the both the full time and the part time workers. The roaster should include 40 hours of workdays per week over any five days (Czerny, Shi and Zhang 2016). On the other hand, the part time workers would work up to five days in a row between the 9am to 6pm. This schedule depends on the vehicle numbers that are to be groomed.
- The company needs to ensure the success factor including the economic and financial fundamentals of the business. The main motif of developing such fundamentals is to meet the global norms and ensure success in the upcoming times.
- The improvement of the employees’ performance is necessary for the company to provide commendable car rental services to the clients. The high quality technical parts would be used for the betterment of the rental car services that would help the company to develop the competitive edge.
The Treaty of Waitangi is the founding document of New Zealand that was first signed on 1840 (Wilson 2017). It was an agreement made in Maori and English and it was made between the tribal groups and British Crown. It defines the influence of the culture and heritage that is helpful enough in resolving the conflicts and establishing the negotiation process. The settlement of Treaty generally includes the following aspects:
- It is an agreed statement of the summarizing the key facts about the claim history (Moon 2015). It is instructed that the claimant group would compensate the wages if the rules of the Treaty are breached.
- The cultural redress is intended to meet mostly the cultural interests rather than the economic interests (Stevens 2016). Accordingly, the Rental Car service has been treating the service users and the workers equally regardless of their race and ethnicity.
These specifications are included in the norms and policies of the company. The company requires following these specifications in order to meet the standards of the legislations.
The study highlights the scenario of Rental Car Service in New Zealand. It is noticed that the leaders need to establish the effective communicational transparency to understand the basic requirements of the external stakeholders. The improvement of the communication should be the major focus of the leaders. As per the policies and procedures of the company, the leader should maintain the advanced technologies for the online bookings of the cars. Accordingly, they are even concerned about the internal influences received from the workers associated with the company. The impacts of the external and internal market have the significance for the long term survival of the company in a competitive scenario. It is thus essential to communicate properly for fulfilling the expectation level of the associated stakeholders. In addition to this, the company requires considering the impacts of the Treaty of Waitangi that based on the cultural norms and legislation purposes.
Bark, A.S.H., Escartín, J., Schuh, S.C. and van Dick, R., 2016. Who leads more and why? A mediation model from gender to leadership role occupancy. Journal of Business Ethics, 139(3), pp.473-483.
Chan, H.F., Frey, B.S., Gallus, J., Schaffner, M., Torgler, B. and Whyte, S., 2016. External influence as an indicator of scholarly importance. CESifo Economic Studies, 62(1), pp.170-195.
Conradie, E.S., Roberts-Lombard, M. and Klopper, H.B., 2014. The influence of eleven Ps: An internal marketing and brand awareness perspective in a service environment. Southern African Business Review, 18(1), pp.100-121.
Czerny, A.I., Shi, Z. and Zhang, A., 2016. Can market power be controlled by regulation of core prices alone? An empirical analysis of airport demand and car rental price. Transportation Research Part A: Policy and Practice, 91, pp.260-272.
Friedman, M.G., Beckwith, R.M. and Conroy, J.W., 2016. Effective strategies for supporting individuals with complex needs in leadership roles. Inclusion, 4(3), pp.170-182.
Lichtenthaler, U., 2017. Shared Value Innovation: Linking Competitiveness and Societal Goals in the Context of Digital Transformation. International Journal of Innovation and Technology Management, p.1750018.
Moon, P., 2015. The Influence of ‘Benthamite’Philosophies on British Colonial Policy on New Zealand in the Era of the Treaty of Waitangi. The Journal of Imperial and Commonwealth History, 43(3), pp.367-386.
Narsing, A., Sanders, T. and Ford, M., 2014. A Model for Managing Rental Fleets in the New Competitive Landscape-Maintenance, Productivity, Corporate Branding and Legal Implications. Journal of Management Information and Decision Sciences, 17(1), p.33.
Schuh, S.C., Bark, A.S.H., Van Quaquebeke, N., Hossiep, R., Frieg, P. and Van Dick, R., 2014. Gender differences in leadership role occupancy: The mediating role of power motivation. Journal of Business Ethics, 120(3), pp.363-379.
Stevens, D., 2016. New Zealand’s Te Tiriti o Waitangi-Treaty of Waitangi: The past, contemplated in the present, is a guide to the future. Asia-Pacific between Conflict and Reconciliation, 3, p.43.
Szczepa?ska-Woszczyna, K., 2015. Leadership and organizational culture as the normative influence of top management on employee's behaviour in the innovation process. Procedia Economics and Finance, 34, pp.396-402.
Wilson, K., 2017. The Treaty of Waitangi: Preparing beginning teachers to meet the expectations of the new professional standards. Waikato Journal of Education, 8(1).
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