Strategic Analysis: Internal vs. External Framework PPT
This PPT slide, part of the 30-slide Porter's Diamond Model PowerPoint presentation, presents a structured overview of strategic analysis, dividing it into 2 primary categories: Internal Analysis and External Analysis. This framework is essential for organizations aiming to formulate informed strategies that align with their operational context and market dynamics.
Internal Analysis focuses on evaluating the organization’s internal environment. It emphasizes the assessment of resources, capabilities, and operational efficiency. Key elements highlighted include Value Chain Analysis, Strengths and Weaknesses Analysis, Resource Audit, Core Competencies, and Performance Evaluations. These components serve to identify both strengths and weaknesses that impact the organization's competitive positioning. Insights gained from this analysis provide a clear understanding of what the organization can do effectively. Control factors are also discussed, indicating aspects that can be modified or improved to enhance performance. The outcomes of this analysis lead to a comprehensive understanding of where improvements are necessary.
On the other hand, External Analysis examines the broader environment in which the organization operates. This includes factors that are beyond the organization's control, but significantly influence its performance and strategic direction. Key methodologies mentioned are PESTEL Analysis, Industry Analysis (including Porter’s Five Forces), and assessments of market trends, opportunities, and threats. Insights from this analysis guide organizations on actions to take in order to succeed in the market. The external factors necessitate adaptive strategies to manage or mitigate their impacts, providing a better understanding of market opportunities and threats.
Balancing both analyses is crucial for developing a strategic plan that aligns internal strengths with external opportunities, thereby enhancing overall organizational effectiveness.
This slide is part of the Porter's Diamond Model PowerPoint presentation.
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Industry Analysis Globalization Market Entry Strategic Analysis Core Competencies Organizational Effectiveness Value Chain Analysis Value Chain PEST External Analysis Positioning
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