2. Understand the context in which the company operates

Understanding the organization's context is a process. This process determines the factors influencing the company's purpose, objectives and sustainability. It takes into account internal factors such as the organization's values, culture, knowledge and performance. It also takes into account external factors such as the legal, technological, competitive, commercial, cultural, social and economic environments.

An organization's purpose can be expressed, for example, in its vision, missions, objectives and policies.