Here are three forces that lead to changes in business; businesses must adapt to change. An organization interacts with its internal and external global environments, and these factors require adaptive change in an organization, and the environment is becoming increasingly global, dynamic, complex, and competitive. Sometimes change is required from within, and other times it is mandated by the external environment.

An important external factor includes keeping up with competitors’ innovations. A technology cycle begins with the birth of a new technology and ends when it is replaced by a newer, substantially better technology. Change requires conceptual skills to understand the problems associated with changing environments and to make decisions to adapt, effectively implementing the management functions to make the changes.

Most plans that managers develop require changes. When managers organize and delegate tasks, they often require employees to make some changes in their regular routines. Leadership calls for influencing employees, and control may require the use of new methods.