Environmental analysis

from Wikipedia, the free encyclopedia

The environmental analysis (Engl. Environmental analysis ), the environment of a unit or organization analyzed according to various criteria. In strategic management , marketing , financial management, etc., various focuses are set for environmental analysis.

background

The environmental analysis takes up information that is structured , i.e. H. was searched methodically and intentionally, as well as unstructured recorded information (i.e. information that one of the analyzers, for example, has picked out). But because complete information is practically impossible, the analysis becomes subjectivized . This subjectivization also that the methods as leading environmental scanning ( scanning the environment to be), since this term is less precise.

Subjectivation is generally counteracted by having teams do the analysis. When selecting the teams , the usual rules of broad base and open-ended tasks apply. The team members then collect - mostly schematically - factors that affect the object to be examined (person, company, organization, country, etc.). So-called, a distinction. Strong signals (engl. Strong signal ), which are readily apparent from the weak signals (engl. Weak signals ), which are not so obvious. The strongest and most clearly recognizable influence on future developments naturally have the strong signals. But since these are so easy to recognize, competing analysts can recognize these signals just as easily and position themselves accordingly. Advantages for a side in a competitive situation can only be achieved if you are able to recognize weak signals and to be able to implement them later in action. Some authors, e.g. BJ F. Aguilar or Michael E. Porter therefore propose detailed observation systems for companies that are intended to be used for competitive analysis. Whether such systems work or whether the maintenance costs outweigh the benefits has not yet been investigated.

In Business Administration several are analytical tools usual. This does not mean, however, an exact measurement as with physical measuring instruments , but a method - usually suggested by individual authors or groups, which is used by a group within the branch of knowledge. Typical representatives are:

3-environment model

The 3-environments model (engl. Three environments ; Stapleton et al.) Separates the environment of an organization in

Internal environment

The internal environment (Engl. Internal environment ) are assigned not only the individual factors, but also the processes and skills that produce from the individual factors only the ability to function. The internal environment is under the (ostensible) control of management.

Close environment

The near environment / specific environment , also known as the micro- environment , includes customers, suppliers and direct competitors. These cannot be controlled, but influenced . Most of an organization's marketing activities are concentrated in this environment. A typical method for analyzing this “near environment” is the stakeholder analysis.

Distant environment

The far environment / general environment or macro environment summarizes all the factors that cannot be controlled or influenced by an organization. These factors are often referred to as STEP or STEEP (see STEP analysis ). Some industries try to lobby the distant environment, particularly political factors, but for most the best hope is to understand and foresee those factors.

Kotler's four levels

From the point of view of marketing, P. Kotler identified four environmental levels around an organization.

Task environment

The task environment is characterized by the most important stakeholders in the performance of an organization, i.e. suppliers, sales channels and end customers.

Competition environment

The competitors of an organization, both direct and those who compete for required resources and thus limit availability.

Publicity

The supervisory and reporting organizations that monitor and report on the sector of the organization.

Macro environment

In the macro environment, Kotler sees the STEP environment in the broadest sense, i. H. also with extensions.

The task and competitive environment can be described in detail by Porter's industry structure analysis. The public is only partially covered by the STEP analysis or extensions of the like, while the macro-environment is largely covered by the STEP analysis. This division is particularly suitable for marketing tasks.

Stakeholder Analysis

A stakeholder analysis is a determination of the stakeholders of a matter, as well as the nature of the relationship. In projects, it is also called project environment analysis . Amitai Etzioni names three reasons why a stakeholder is interested in an organization. These are:

  1. Coercion: Those influenced in this way are forced to contribute resources to the organization; Examples are the working groups in prisons or conscripts, but also most of the taxpayers of a state.
  2. Mutual use transaction: the participants in the transaction receive a physical reward for the transaction, for example employees, management, customers, suppliers, etc.
  3. Identification: The stakeholder identifies with what he / she thinks of the values, norms or beliefs of the organization, examples are Wikipedia, religions, aid organizations, states, etc.
Graphic stakeholder analysis

Stakeholders are often grouped according to the stakeholder diagram, where the list of stakeholders is graphically grouped around the organization at the center. Typical stakeholders of a company are:

  • Suppliers
  • Customers
  • Employee
  • management
  • owner
  • Government (urban, state, federal)
  • Authorities (tax office, supervisory authorities)
  • Competitors
  • and much more.

In the analysis, these are listed as necessary along with the type of relationship (if this is not already clear). Other forms of representation and instruments of stakeholder analysis are, for example, tables, bubble charts, the Stakeholder Identity Matrix Card, influencing factors as network graphics or layer models.

STEP analysis

STEP analysis, based on the English acronym Sociological, Technological, Economical and Political Change (also known less flatteringly as PEST ) is an environmental analysis model. B. can be incorporated into a SWOT analysis. The STEP analysis lists the factors of the individual categories that can have an influence on the examined unit:

  • Sociological factors; z. B. Values, lifestyle, demographic influences
  • Technological factors; z. B. Research, new products and processes
  • Economic factors; z. B. Economic growth, inflation, interest rates
  • Political factors; z. B. Competition control, legislation, political parties

Fahey & Narayanan emphasize the interdependence of factors where a change in one area (often) leads to changes in other areas. It is also essential not just to list the factors, but to identify the driving forces that bring about the change. It is less important in which category an influence appears, but the presence of the factor is more important.

STEEP is the extension of the STEP factors by the environment factor , i. H. Environment. These are values ​​such as the ozone hole, global warming or, at company level, waste disposal or the removal of contaminated sites . If you add the legal factor, which focuses particularly on legal aspects, you get another extension called PESTLE .

Industry structure analysis

Five forces model according to Michael Porter

The industry structure analysis ( Porter's five forces ) according to Michael E. Porter is described in a separate article and is therefore kept brief here. The industry structure analysis examines the strategic environment of a company according to 5 competitive forces:

  • The competitive behavior within an industry
  • The threat of new competitors entering the competition
  • The bargaining power of the customers
  • The bargaining power of the suppliers
  • The threat that the industry product will be substituted

Strategic Environment according to Boston Consulting Group

The Boston Consulting Group (BCG) has developed a matrix for analyzing the strategic environment of industries. Unlike Michael Porter (see industry structure analysis), the market structures are not dealt with, but the markets are divided into four categories in a two-dimensional model according to the criteria of size of a strategic advantage (large or small) and number of strategic advantages (few / many) assigned.

BCG model of the strategic environment Extent of strategic advantage
small big
Number
of
strategic
advantages
lots Fragmented
clothing industry, construction (private), jewelry sales, sawmills
Specialization in pharmaceuticals, luxury vehicles, chocolate specialties
few Standoff
bulk papers, shipping companies, wholesale banking
Mass
jet engines, grocery supermarkets, motorcycles, simple microprocessors

Dimensions

Bulk deals are those areas where there are few sources of benefit, but by a considerable margin, often with economies of scale.

Stalemate

Stalemate environments are characterized by few advantages and small distance. The environment is therefore very competitive, with many companies competing with similar strategies without anyone being able to gain a significant lead. This is the result of the widespread resources and skills in implementing these strategies. Most of them are producers of bulk goods . It is said to be essential to identify stalemates and exit the industry early. Once in the industry, this requires cost-conscious corporate cultures , low overheads, and efficient operations.

Fragmented

Fragmented environments have a myriad of advantages, but only by a small margin. With low brand loyalty , diffuse technology and low economies of scale , strongly differentiated goods are usually offered. Advantages can be achieved through low costs through efficient production, selection of attractive market niches, quick reaction to changes and new forms of differentiation . Successful companies are often start-ups, franchising the method of choice when economies of scale are to be combined with flexibility and decentralization . Alternatively, one can try to change fragmented industries into a specialization or volume environment, as McDonald’s achieved with the fast food industry. Today Starbucks (coffee) is trying a similar strategy in a different market.

specialization

Specialized environments offer many possibilities of great advantages. Customers have a multitude of different needs, where early strategic adaptation results in high brand loyalty, economies of scale and high specific costs are linked to the fulfillment of niche needs, whereby broad offerings cannot gain an advantage. In principle, every company does something different, so the competition is only indirect. Competition is directed towards product development , design and brand promotion, not price.

literature

  • Porter Michael (1980) Competitive Strategy: Techniques for analyzing industries and competitors: with a new introduction / Michael E. Porter; New York: Free Press, c1980 .; ISBN 0-684-84148-7

swell

  1. Segal-Horn et al. 2002 (David Asch, Harold Carter and Susan Segal-Horn for the B820 Course Team): Analyzing External Relationships . The Open University, Walton Hall, Milton Keynes. ISBN 0-7492-3902-6
  2. ^ A b F. J. Aguilar (1967) Scanning the Business Environment . New York: McMillan.
  3. ^ JL Morrison (1992) Environmental scanning ; In MA Whitely, JD Porter, and RH Fenske (Eds.), A primer for new institutional researchers (pp. 86-99). Tallahassee, Florida: The Association for Institutional Research; On-line
  4. a b Porter Michael (1980) Competitive Strategy: Techniques for analyzing industries and competitors: with a new introduction / Michael E. Porter; New York: Free Press, c1980 .; ISBN 0-684-84148-7
  5. a b Stapleton Tony et al. (2000) Complexity and the External Environment The Open University, Milton Keynes 2000. ISBN 0749298324
  6. ^ A b c Fahey, L. & Narayanan, UK 1986: Macroenvironmental Analysis for Strategic Management , St. Paul, MN, West Publishing
  7. ^ Kotler P. (1980) Marketing Management: analysis planning and control , Englewood Cliffs, NJ, Prentice-Hall. ISBN 9780135579756
  8. ^ A. Etzioni (1971) A Comparative Analysis of Complex Organizations , The Free Press, New York - quoted in Eric Cassells (2002) Organizational Purposes and Objectives , Open University, Milton Keynes; ISBN 0-749-23902-6 (p. 23)
  9. openPM stakeholder analysis ; On-line
  10. ^ Robert M. Grant (2000) Contemporary Strategy Analysis Blackwell Publishers Ltd., Oxford; ISBN 0-631-20780-5