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This document outlines a 3-phase framework for conducting robust Strategic Analysis, based on a paper published by A. E. Boardman and A. R. Vining. The framework describes the major elements of a strategic analysis, and consists of a logically-sequenced, coherent skeleton of a comprehensive strategic analysis. The phases are:
1. Current Situational Analysis
2. Analysis Assessment
3. Solution Analysis
Concepts and supporting frameworks discussed include Impact Matrix, Political Strategy, Solution Analysis, Life Cycle Portfolio Matrix, GE Matrix, Portfolio Matrix, Performance Assessment Tool, and PEST Analysis.
International Business Environments and Operations 16th Global Edition test b...
Strategic Analysis Framework
1. Crowdsourced Business
Presentation Design Service
Strategic Analysis Framework
Current Situation Analysis, Analysis
Assessment, Solution Analysis
February 25, 2014
This document outlines a 3-phase framework for conducting robust Strategic
Analysis. Concepts and supporting frameworks discussed include Impact Matrix,
Political Strategy, Solution Analysis, Life Cycle Portfolio Matrix, GE Matrix, Portfolio
Matrix, Performance Assessment Tool, and PEST Analysis.
ORIGINAL PROJECT DETAILS
http://pptlab.com/ppt/Strategic-Analysis-Framework-25
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Contents
Analysis Assessment
Solution Analysis
Current Situation Analysis
Overview
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The diagram below outlines the key areas to analyze under each phase, as
well as the logical sequence of analysis
Approach (2 of 2)
Analysis of
Current Situation
Assessment of
Current Situational
Analysis
Solution
Analysis
Basic
Descriptors
Financial
Performance
Analysis
Summarize
Expected
Performance
Current
Strategy
Description
Summarize
Current
Performance
Propose
Strategic
Direction
Generate
Strategic
Alternatives
Choose
Strategic
Alternatives
Recommend-
ations
Internal
Characteristics
Goals and
Evaluation
Criteria
Macro-
Environment
Scanning
Analysis
External
Analysis
Select
Scenarios
KEY SECTIONS
Source: A Framework for Written Comprehensive Strategic Analysis, Boardman, Vining
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Usually, Basic Descriptors contains 2 sections:
Introduction (Framing the Problem)
This section offers an opportunity to provide a brief historical overview and to
describe the problem as perceived by the firm. This is useful because most
strategy is path-dependent: the firm’s strategic alternatives in the short run are
constrained by its resources, industry position, and strategy. This is particularly
useful in corporate level analysis.
Description of Basic Firm Facts
Provide some context about each business of the firm—e.g., its ownership,
where the firm is located in the flow of goods from basic inputs to final
consumers, the products or services, customers, and the products/services of
other firms in the same business.
– Ownership and control
– Flow of Goods Analysis (Supply Chain)
– Construct a Product-Customer Matrix for Each Business
– Industry Product-Customer Matrices
– Strategic Group Maps
We begin by laying out the basic descriptors of the company, such as
ownership and control, products, customers, and its supply chain
Current Situation Analysis – Basic
Descriptors
Analysis of
Current Situation
Assessment of
Current Situational
Analysis
Solution
Analysis
Basic Descriptors
Firm ownership and control, flow of goods, firm
product-customer matrix, strategic groups
Source: A Framework for Written Comprehensive Strategic Analysis, Boardman, Vining
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The first section concerning the internal characteristics always appears
in a strategic analysis
The purpose of internal analysis is to identify the existing and potential
sources of rents and impediments to rents
That is…
– What are the company’s competitive advantages (core competencies) and
disadvantages?
– How sustainable are they (durability)?
– How firm-specific are they?
– Can they be imitated by others?
– Can they be replicated by the company?
– Are they complementary?
– For multiple business or multiple “product-customer” segments firms, is
there synergy among the segments or businesses?
– If so, what is the source of the synergy?
Evaluated the company’s resources, skills, attributes
Conduct organizational analysis
The purpose of internal analysis is to identify existing and uncover
potential sources of rents
Current Situation Analysis – Internal
Characteristics
Analysis of
Current Situation
Assessment of
Current Situational
Analysis
Solution
Analysis
Internal Characteristics
Resources, skills, attributes
Source: A Framework for Written Comprehensive Strategic Analysis, Boardman, Vining
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Contents
Analysis Assessment
Solution Analysis
Current Situation Analysis
Overview
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This framework can also be extended to a portfolio of products
Analysis Assessment – Basic Portfolio
Matrix
Analysis of
Current Situation
Assessment of
Current Situational
Analysis
Solution
Analysis
FIRM’S COMPETITIVE POSITION
INDUSTRY
ATTRACTIVENESS
High
Medium
Low
Strong Medium Weak
t
t+1Et+1D
E = Expected outcome if no
change in strategy
D = Desired outcome
t
t+1E
t+1D
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Contents
Analysis Assessment
Solution Analysis
Current Situation Analysis
Overview
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The framework below delineates key elements of political strategy
Solution Analysis – Elements of a Political
Strategy
Analysis of
Current Situation
Assessment of
Current Situational
Analysis
Solution
Analysis
POLITICAL STRATEGY
“Triggered” by firm assessment of cost
and benefits on specific issue
LEVEL & TYPE OF
INCLUSIVITY ALTERNATIVES
• Firm-specific
• Segment/Strategic group
• Industry-wide
• Vertical chain
• Inter-industry
• Advocacy coalition
TYPE OF ARGUMENT
ALTERNATIVES:
• Fact/Science (real or “junk”)
• Efficiency (real or “ersatz”)
• Equity
• Combination Parliamentary
Systems:
• Executive (Cabinet)
• Bureaucracy
• Regulatory agency
• Judiciary
Presidential/
Congressional Systems:
• Legislature
• Executive
• Bureaucracy
• Regulatory agency
• Judiciary
TARGET ALTERNATIVES
FINANCIAL CONTRIBUTIONS
ALTERNATIVES
• Free ride (none)
• Firm-specific contribution
• Industry-wide
• Advocacy coalitionVENUE ALTERNATIVES
• Supranational
• National/capital
• Subnational
• Local
DELIVERY ALTERNATIVES
• Direct provision
• Contract-out
Source: A Framework for Written Comprehensive Strategic Analysis, Boardman, Vining
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