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Reply 3.1 | Business & Finance homework help

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April 30th, 2020

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Consider your Strategic Plan Part II: External and Internal Assessment assignment. Describe a few key sources of information used for locating vital internal information. What is the value internal assessment tools have on formulating strategies?

An organization’s internal business structure consist of finance, accounting, marketing, research and development, production, operations, etc. (David & David, 2017). Internal assessment is the evaluation, collection, consolidating, and organizing of data within this business structure that can reveal a company’s stability and fragility (William, 2019). Skilled upper and lower management, as well as, employees are vital intercessors that provide reliable insight, knowledge, and recommendations when internal audits are being conducted. Other key sources important to an organizations internal assessment include, but is not limited to, a SWOT analysis (clearer understanding of strengths/weaknesses), management group meetings, budget reports, production and operation information, company dashboards (provide past trends), surveys, questionnaires, audit books, etc. (William, 2019). These internal assessment factors aid in painting a clearer picture of a company’s overall operations condition, while supporting employees understanding in the company’s purpose and how their jobs matter and fit into the internal structure of the company.

The value of internal assessment tools in formulating strategies is important as it helps prioritize the strategic planning process, pinpoints strengths, weakness, possibility, and ultimatum, brings vision, understanding and purpose to a company’s position within the market, and heightens employee morale while analyzing employees and employee performance (Olsen, n.d.).

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References:

David, F. R. (2016). Strategic management: A competitive advantage approach, concepts & cases (16th ed.). Upper Saddle River, NJ: Pearson.

Olsen, E. (n.d.). Internal and external analysis. On Strategy. Retrieved from https://onstrategyhq.com/resources/internal-and-external-analysis/

Williams, R. (2019). Why is an internal analysis important? Chron. Retrieved from https://smallbusiness.chron.com/internal-analysis-important-80513.html

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