How to turn external factors into internal resources - A case on how to gain knowledge and make use of the remote external environment
Purpose: Due to the increase of the volatility and uncertainty of the external environment in the last years, there has been a need for more research on global shipping companies and how they manage resources and develop strategies in relation to these rapid changes in the environment. This considered, this paper seeks to evaluate how the analysis of the remote external environment can benefit a global shipping company in order to gain knowledge and make use of remote external factors. Methodology/Design: By utilising a qualitative approach on a single case study, with semistructured interviews as the primary data collection method, the authors have been able to deeply investigate the case company and the processes within external environment analysis. Theory: The theoretical framework has been built on research on external environment analysis, the three different layers of the external environment, and how companies can create internal processes to make use of the remote external factors. Empirical Findings: The company has created a new group to analyse the remote external environment and this group uses a three-stage process in the analysis. The remote external factors are also investigated and how the case company explores these factors. Analysis/Conclusion: There are four remote external factors that are connected, however, the analysis of them is done in two different ways. The addition of resources to external environment analysis can add value to the core business activities. How idea-testing through different tools can ensure a company has analysed the remote external environment correctly.
MSc in International Business and Trade