8/10/2019 Techniques of Strategic Evaluation
1/3
Techniques of strategic evaluation
Strategy evaluation is the final step of strategy management
process.
The key strategy evaluation activities are:
Appraising internal and external factors that are the root of
present strategies,
Measuring performance, and taking remedial / corrective
actions.
Evaluation makes sure that the organizational strategy as well
as its implementation meets the
organizational objectives.
Nature of the strategic evaluation
During the control process is to test the effectiveness of
strategy.
Strategic management process, the strategists formulate the
strategy to achieve a set of objectives
and then implement the strategy.
To be a way of finding out whether the strategy being
implemented will guide the organisation
towards its intended objectives
Importance of Strategic Evaluation
Strategic evaluation can help to assess whether the decisions
match the intended strategy
requirements.
Strategic evaluation, through its process of control, feedback,
rewards, and review, helps in a
successful culmination of the strategic management
The process of strategic evaluation provides a process a
considerable amount of information and
experience to strategists that can be useful in new strategic
planning.
8/10/2019 Techniques of Strategic Evaluation
2/3
Techniques of Strategic Evaluation
1) Gap Analysis one strategic evaluation technique used to
measure the gap between the
organizationscurrent position and its desired position. Analysis
is used to evaluate a variety of
aspects of business, from profit and production to marketing,
research and development and
Typically, a variety of financial data management information
systems is analyzed and compared
to other businesses within the same industry to evaluate the gap
between the organization and its
strongest competitors.
2) The SWOT analysis is another common strategic
SWOT Analysis evaluation technique used as a part of the
strategic management process. The
SWOT analysis evaluates the organizations strengths, Strengths
and weaknesses are
weaknesses, opportunities and threats. Internal factors, while
opportunities and threats are
external factors. This identification is essential in
determining how best to focus resources to
take advantage of strengths and opportunities and combat
weaknesses and threats.
3) PEST Analysis common strategic evaluation technique is the
PEST analysis, which
identifies the political, economic, social and technological
factors that may impact the
organizations ability to achieve its objectives. Political
factors might include such aspects as
impending legislation regarding wages and benefits, financial
regulations; etc Economic factors
include all shifts in the economy, while social factors may
include demographics and changing
attitudes. These are also inevitable as technology becomes more
advanced each day. Are all
external factors, which are outside of the organizations control
but which must be considered
throughout the decision making process.
4) Benchmarking thats often used to evaluate how close the
organization has come to its
Organizations final objectives, as well as how far it has left
to go. May benchmark themselves
against other organizations within the same industry, or they
may benchmark themselves against
their own prior. A variety of performance measures, as well as
policies situation. And
