Unit 7 - Strategy, Review, Evaluation and Control
Strategy Evaluation Process
Purpose:
Ensure strategy is working, aligned with goals, and adjusted if needed
Helps firms stay competitive and responsive to change
Key Steps:
1. Review Strategic Foundations
o Reassess internal (IFE) & external (EFE) factors
o Check if strategy still fits current conditions
2. Compare Results vs. Expectations
o Analyze actual performance (e.g., revenue, market share)
o Identify gaps or deviations
3. Take Corrective Action
o Adjust strategy, reallocate resources, or restructure if needed
o Aim to realign outcomes with objectives
Ongoing Process:
Requires timely, accurate data
Builds organizational learning and agility
Three Activities of Strategy Evaluation
1. Examine the Bases of Strategies
o Reassess internal (IFE) & external (EFE) factors
o Check if strategies still match strengths, weaknesses, opportunities, threats
o Tools: IFE & EFE Matrices
2. Measure Performance
o Compare actual vs. expected results (e.g., revenue, market share, efficiency)
o Use relevant, timely metrics
o Identify gaps or deviations
3. Take Corrective Actions
o Adjust strategies to fix issues or exploit new opportunities
o Actions may include: restructuring, changing plans, shifting resources, etc.
o Goal: Realign with objectives & stay competitive
Strategy Evaluation Process
Purpose:
Ensure strategy is working, aligned with goals, and adjusted if needed
Helps firms stay competitive and responsive to change
Key Steps:
1. Review Strategic Foundations
o Reassess internal (IFE) & external (EFE) factors
o Check if strategy still fits current conditions
2. Compare Results vs. Expectations
o Analyze actual performance (e.g., revenue, market share)
o Identify gaps or deviations
3. Take Corrective Action
o Adjust strategy, reallocate resources, or restructure if needed
o Aim to realign outcomes with objectives
Ongoing Process:
Requires timely, accurate data
Builds organizational learning and agility
Three Activities of Strategy Evaluation
1. Examine the Bases of Strategies
o Reassess internal (IFE) & external (EFE) factors
o Check if strategies still match strengths, weaknesses, opportunities, threats
o Tools: IFE & EFE Matrices
2. Measure Performance
o Compare actual vs. expected results (e.g., revenue, market share, efficiency)
o Use relevant, timely metrics
o Identify gaps or deviations
3. Take Corrective Actions
o Adjust strategies to fix issues or exploit new opportunities
o Actions may include: restructuring, changing plans, shifting resources, etc.
o Goal: Realign with objectives & stay competitive
