Strategic analysis is a critical component of the strategic planning process. An integral part of a company’s evaluation and control program, it provides managers with a comprehensive assessment of the organization’s capabilities and market factors; revealing growth opportunities and vulnerabilities. Armed with this information, managers can more effectively choose from among today’s strategic alternatives to create the greatest future reward potential.
Strategic analysis combines in-depth information from a number of internal and external sources to create a picture of the subject company’s current health and future viability. A multi-phased approach to data acquisition and analysis includes:
- Strategic Posture and Performance Analysis
- Internal Capabilities Assessment
- External Environment Assessment
- Analysis of Strategic Factors
- Strategic Alternatives and Recommended Actions
Execution of these iterative processes takes place throughout the year with a frequency dictated by the pace of both internal and external environmental change.
The StrategyDriven Strategic Analysis Forum focuses on the leading practices of companies that successfully execute strategic analysis processes to support the ongoing strategic planning process. Subscribing to this forum provides access to its principles, best practices, and warning flags articles and associated documents.