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Strategic Management Involvement - Essay Example

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We are told by writers on strategy that we should keep the environment under constant review. Form the point of view of strategic management, what is the practical use of knowing what is going on in the environment Can environmental scanning tools be distinguished in terms of ( a ) the information they provide and ( b ) the use that can be made of that information, and which tools would you use in what circumstances
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Download file "Strategic Management Involvement" to see previous pages... This pattern in decisions as well as actions clearly defines what Mintzberg called "realized" strategy. The examples given below clearly describe the situations in which this realized strategy will completely fail:
External analysis is clearly described by Fahey and Narayanan (1986), they imply that organizations always in order scan the environment to recognize the ever changing trends and new patterns,
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keep an eye on all the specific trends as well as patterns, estimate the future course of the monitored changes and patterns, and then in the analysis the organizational impact these changes and patterns will have on the organization (Dolence etal 1997). Merged long with internal analysis of the organization's, well defined vision , mission statement , strengths, and weaknesses, external analysis greatly helps decision makers in creating strategic directions as well as strategic plans.
The first and foremost goal of environmental scanning is to make the decision makers aware of the potentially important external changes long before they take shape so that decision makers have enough lead time to act in response to predicted the change. Therefore, environmental scanning plays a very important role for the organizations to manage change (Capon 1987).
Environment Domains is a very board area, External environment refers to those people, resources, leadership and communication structures existing outside the organizational structure which may involve the following sector
Industry sector
Raw material sector
Financial sector
Market sector
Technology sector
Government sector
International sector
Internal and External Analysis
Internal analysis of the organization is a practice that to help us to identifying the Strengths and weakness of the company, which point out some key factors that able the organization to get a better advantage of the market. And the most common tools are
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