Environmental analysis of hardwood sawmills : a segment of the hardwood forest products industry

Hardwood sawmills represent a primary manufacturing segment of the hardwood forest products industry. Each mill exists within and is dependent on its external business environment. The external environment is where the sawmill obtains inputs, deliver outputs and acquires information.

The purpose of this research was to explore important factors and recent changes in the hardwood sawmill external environment. The external business environment cannot be studied directly. It can, however, be viewed indirectly with the help of managerial perceptions relevant to the external environment and other pertinent information. The objectives of the study were to:

1) Identify the sectors in the operating and general sections of the external environment which are important as perceived by hardwood sawmill managers,

2) Identify which of those sectors are perceived by managers as variable, and

3) Document changes within the mills.

This paper presents the results of an exploratory study of the hardwood sawmill external environment in the language of general systems theory. The study consisted of a review of 879 journal articles and telephone interviews with 21 sawmill managers. A description of the external environment is developed and a typology is advanced.