Identify and describe your recommendations for practical ways to overcome some of the limitations of an environmental analysis.
(Review the slides from Week 5 for additional information). The overall goal of an environmental analysis is to position the organization within its environment.
Identify and analyze current important issues and changes that will affect the organization.
Detect and analyze early or weak signals of emerging issues and changes that will affect the organization · Speculate on the likely future issues and changes that will have significant impact on the organization.
Classify and order issues and changes generated by outside organizations. · Provide organized information for the development of an internal analysis (mission, vision, values).
Foster further strategic thinking across the organization Limitations of environmental analysis Environmental analysis is important for understanding external environment, but it does not provide any guarantees for success.
Limitations can often include – Environmental analysis cannot foretell the future.
Managers cannot see everything. Sometimes pertinent and timely information is difficult or impossible to obtain.
Delays between occurrence of external events and management’s ability to interpret them. Inability to pivot and adapt quickly from the organization’s standpoint.
Leadership egos and strongly held beliefs inhibit early detection of issues or rational interpretation. The greatest limiting factor in external environmental analysis is preconceived beliefs of management.
