The effect of the external environment on work in AustraliaThis essay considers how changes in the external environment of organizations have altered the world of work. Australia is currently experiencing a period of economic growth. But some new challenges have appeared. Australian organizations are facing skills shortages and an aging workforce. This shortage has been addressed with the introduction of new technologies into the workplace and the influx of immigrant workers. Organizations in Australia, similar to those in other developed economies, are also grappling with changing workforce demographics, the changing nature of work, the incorporation and utilization of rapid technological advances and managing challenges related to globalization such as increased competitive pressures, outsourcing and off-sourcing. shoring and a global workforce that places greater importance on intercultural issues and skills. Human resource management involves the productive use of people in an organization to collectively achieve the organization's strategic business objectives. Human resource management also involves the employer-employee relationship and the satisfaction of the needs of the individual employer (Stone 2006, p. 4). It is an essential function of an organization. It has become more important in recent years as organizations need to improve their productivity and international competitiveness. In modern times, no organization can afford to rest on its laurels; To be competitive in the global market, organizations must rethink their human resources strategies. An HR manager must consider the nature of external and internal environmental influences before choosing a particular course of action. Internal environmental influences involve...... half of paper ......anizations: Identifying trends and changes", Australian Journal of Management & Organizational Behavior, vol. 2, no. 2, pp. 19-29 .Murray, P. & Syed, J 2005, 'Critical issues in managing age diversity in Australia', Asia Pacific Journal of Human Resources, vol. 'Smarter Faster Better', HR Monthly, July, pp. 24-29Patrickson, M & Ranzijn, R 2005, 'Workforce Aging: The Challenges for 21 Century Management', International Journal of Organizational Behavior, vol. pp. 729-739Pocock, B 2005, 'Work-life balance in Australia: limited progress, poor prospects', Asia Pacific Journal of Human Resources, vol , C 2005, 'Lost in Translation', HR Monthly, March, pp. 22-28.Stone, RJ 2006, Managing Human Resources, John Wiley & Sons Australia Ltd, Queensland.