The next external factors that affect the functions of management is economic and political. These factors are driven directly by the economy and political environment. The management of Wells Fargo must examine how to best operate within the ever-changing climate of politics and the waffling economy to maintain a successful business. Studying competitors, customers as well as suppliers is a necessity to make effective decisions. The last but not least external factor to affect management is technology. This area has perhaps the most effect on businesses. The constant changing market of technology is one area that an organization can feel the effects virtually overnight. It is imperative that companies approach technology with flexibility and the understanding that the organization must be able to adapt to frequent change.
External factors can have a large effect on any organization. However, internal factors can have just as large of an effect on a company. Internal factors can be considered the available resource that an organization possesses to accomplish a goal. These can be such things as human resources, physical resources, financial resources, and even technological resources. Management has the responsibility to use these resources efficiently and effectively. The overall success of a company can depend upon how these resources are acquired and utilized. Wells Fargo has concentrated on internal factors for much of its existence. The company as a whole has grown considerably over the last 20 years, starting with a few banks in the Midwest to a bank with national recognition. Wells Fargo has achieved greatness simply by capitalizing on internal factors of adequately managing their internal factors.
Wells Fargo (2010). Our vision: Where were going. Retrieved from https://www.wellsfargo.com/invest_relations/vision_values/3