Internal Environment

Published by MBA Skool Team, Last Updated: January 22, 2018

What is Internal Environment?

The internal environment of an organization deals with the management of resources like human resources, physical resources, technology, monetary resources and others that constitute the organization in order to implement or execute a strategy.


When competing with other firms, the strategy needs to be in place which essentially deals with the internal environment. The estimation for the right amount of internal resources in the internal environment is needed to go ahead and take up a project or else the project may result in undesired consequences.


Internal environment also includes culture and other intangible aspects like teamwork, coordination, efficiency level of employees, employee’s salaries and monitoring costs. The strategy for competition should also be in sync with the internal resources especially the internal environment.


This article has been researched & authored by the Business Concepts Team. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.

Browse the definition and meaning of more similar terms. The Management Dictionary covers over 2000 business concepts from 6 categories.

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