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Externalenvironmentalscan Report 130323100555 Phpapp02
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Transcript of Externalenvironmentalscan Report 130323100555 Phpapp02
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Lets talk about
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Definition of environmental
scanningBackground
Defining environment
Defining scanning
Getting started
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The process of collecting, analyzing,and distributing information for
tactical and strategic purposes
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environmental scanning is "a kind of
radar to scan the world
systematically and signal the new,
the unexpected, the major and the
minor" (p. ix)
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the systematic collection of external
information in order to
(1) lessen the randomness of
information flowing into the organization
and
(2) provide early warnings for
managers of changing external conditions
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detecting scientific, technical, economic,
social, and political trends and events
important to the institution,
defining the potential threats,
opportunities, or changes for the
institution implied by those trends and
events,
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promoting a future orientation in
the thinking of management and
staff, and
alerting management and staff to
trends that are converging,
diverging, speeding up, slowingdown, or interacting
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an effective environmental scanning
program should enable decision
makers to understand current and
potential changes taking place in
their institutions' external
environments
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Environmental scanning is one of fouractivities comprising external analysis.
http://horizon.unc.edu/courses/papers/enviroscan/figure1.gif -
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organizations scanthe environment to
identify changing trends and
patterns, monitorspecific trends andpatterns, forecastthe future direction
of these changes and patterns,
and assesstheir organizationalimpact.
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Merged with internal analysis of
the organization's vision, mission,
strengths, and weaknesses, externalanalysis assists decision makers in
formulating strategic directions and
strategic plans.
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the goal of environmental
scanning is to alert decision
makers to potentially significant
external changes
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Fahey and Narayanan (1986) help by identifyingthree levels of environment for scanning.
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is the institution's set of customers
In higher education, this may include studentsand potential students, parents of students
and of potential students, political leaders, and
employers and potential employers of
students.
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comprises all enterprises associated with
an organization in society.
For higher education, factors such as public
confidence in higher education or student aid
legislation are industry factors affecting all
institutions.
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where changes in the social, technological,
economic, environmental, and
political (STEEP)sectors affect organizationsdirectly and indirectly.
a national or global recession increases the
probability of budget cuts in state government and,
consequently, budget reductions in publiclysupported colleges and universities.
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There are a number of ways to conceptualize scanning.Aguilar (1967) identified four types of scanning.
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Undirected viewing consists of
reading a variety of publications forno specific purpose other than to be
informed.
Conditioned viewing consists of
responding to this information in
terms of assessing its relevance to theorganization.
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Informal searching consists of
actively seeking specific informationbut doing it in a relativelyunstructured way.
These activities are in contrastto formal searching, a proactivemode of scanning entailing formal
methodologies for obtaininginformation for specific purposes.
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Morrison, Renfro, and Boucher
(1984) simplified Aguilar's four
scanning types as either passive oractive scanning.
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is what most of us do when we read journals
and newspapers. We tend to read the same
kinds of materials. However, the
organizational consequences of passivescanning are that we do not systematically
use the information as strategic information
for planning, and we miss many ideas thatsignal changes in the environment.
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focuses attention on information
resources that span the task and
industry environments as well as the
macroenvironment. In active scanning, it
is important to include information
resources that represent different views
of each STEEP sector.
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Another way of looking at
scanning was described by
Fahey, King, and Narayanan(1981).
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are used on an ad hoc basis and
tend to be crisis initiated. These
systems are used when an
organization needs information
for planning assumptions andconducts a scan for that purpose
only.
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are used when the planners
periodically update a scan,perhaps in preparation for a
new planning cycle.
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use the active scanning mode
of data collection tosystematically inform the
strategic planning function of
the organization.
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decide which level of scanning commitment is
best for your institution at this time: irregular,periodic, or continuous.
A quick way of getting started is to interviewmajor decisionmakers regarding their view of themost critical trends and developments that could
affect the institution.
Also examine past program reviews, the lastinstitutional self-study, and the most current
master plan.
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Establishing a continuous scanning system requires
more effort and resources. First, secure a resourcecommitment from the senior official responsible forplanning. At a minimum, a continuous scanning
system requires a professional and a support person
to devote half of their time to the enterprise.Further, a continuous scanning program requires a
number of scanners who agree to rigorously and
systematically review specific information
resources. Assuming that you secure the resources,your next step is to recruit and train volunteers to
perform active scanning.
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Demographics
SocialChange
Economic
Conditions
Political &Legal Factors
Technology
Competition
EnvironmentalScanning
Target Market
Product
DistributionPromotion
Price
External Environment
is not controllable
Ever-ChangingMarketplace
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