"Understanding organizational behavior has never been more important for managers. Because of the dramatic changes now taking place in organizations—the competitive environment, the ageing...

"Understanding organizational behavior has never been more important for managers. Because of the dramatic changes now taking place in organizations—the competitive environment, the ageing process, the influence of technology, the mobility of labor (diverse workforce), corporate restructuring, and cost-cutting strategies—managers have to adapt to rapid change and innovation to improve the performance of employees and organizations." Is this true?

Expert Answers
kmuhovic eNotes educator| Certified Educator

With rapid technological advancements and globalization, it is evident that the business landscape of the 21st century is defined by innovation. As the statement suggests, we now live in an interconnected world, where business leaders must take into account a multitude of external factors and trends. Combined with the rapid diffusion of information thanks to the Internet and social media, managers must also take into consideration the transparency of their decisions.  

As a result of all these phenomena, it is important for managers to implement a flexible management style that examines these external forces. A very practical tool that many managers use to obtain a snapshot of the external environment is the PESTEL analysis (check it out on Google). Combined with the tradition SWOT analysis, managers that implement both tools have a great chance at innovating and remaining competitive in the global marketplace.

In this day and age, rigidity can been viewed as suicide for most organizations. In fact, Darwin's theory of survival of the fittest has never been more relevant than it is today.