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'''Strategic trajectory evaluation''' is a method used to evaluate the performance of an organization over time in relation to its strategic goals and objectives. It involves analyzing the organization's historical performance and comparing it to its projected performance in order to identify trends and assess the effectiveness of its strategic initiatives. | '''Strategic trajectory [[evaluation]]''' is a [[method]] used to evaluate the performance of an [[organization]] over time in relation to its [[strategic goals]] and objectives. It involves analyzing the organization's historical performance and comparing it to its projected performance in order to identify trends and assess the effectiveness of its strategic initiatives. | ||
==Steps of strategic trajectory evaluation== | ==Steps of strategic trajectory evaluation== | ||
The following are some of the key steps involved in a strategic trajectory evaluation: | The following are some of the key steps involved in a strategic trajectory evaluation: | ||
# Define the strategic goals and objectives of the organization: These should be specific, measurable, achievable, relevant and time-bound (SMART). | # Define the strategic goals and [[objectives of the organization]]: These should be specific, measurable, achievable, relevant and time-bound (SMART). | ||
# Collect historical performance data: This includes financial, operational, and market data, as well as data on key performance indicators (KPIs) that are relevant to the organization's strategic goals and objectives. | # Collect historical performance data: This includes financial, operational, and market data, as well as data on key [[performance indicators]] (KPIs) that are relevant to the organization's strategic goals and objectives. | ||
# Develop projections for future performance: This includes forecasting future financial performance and estimating the impact of proposed strategic initiatives on key performance indicators. | # Develop projections for future performance: This includes [[forecasting]] future [[financial performance]] and estimating the impact of proposed strategic initiatives on key performance indicators. | ||
# Compare historical performance to projected performance: This allows the organization to identify trends and assess the effectiveness of its strategic initiatives. | # Compare historical performance to projected performance: This allows the organization to identify trends and assess the effectiveness of its strategic initiatives. | ||
# Evaluate the alignment of the organization's resources with its goals and objectives: This includes evaluating the alignment of the organization's budget, workforce, and technology with its strategic goals and objectives. | # Evaluate the alignment of the organization's resources with its goals and objectives: This includes evaluating the alignment of the organization's budget, [[workforce]], and [[technology]] with its strategic goals and objectives. | ||
# Identify areas for improvement: Based on the analysis, areas for improvement are identified and recommendations are made to address them. | # Identify areas for improvement: Based on the analysis, areas for improvement are identified and recommendations are made to address them. | ||
# Implement and track actions: Based on the recommendations, actions are implemented and tracked to ensure that the desired results are achieved. | # Implement and track actions: Based on the recommendations, actions are implemented and tracked to ensure that the desired results are achieved. | ||
Revision as of 02:36, 21 January 2023
| Strategic trajectory evaluation |
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| See also |
Strategic trajectory evaluation is a method used to evaluate the performance of an organization over time in relation to its strategic goals and objectives. It involves analyzing the organization's historical performance and comparing it to its projected performance in order to identify trends and assess the effectiveness of its strategic initiatives.
Steps of strategic trajectory evaluation
The following are some of the key steps involved in a strategic trajectory evaluation:
- Define the strategic goals and objectives of the organization: These should be specific, measurable, achievable, relevant and time-bound (SMART).
- Collect historical performance data: This includes financial, operational, and market data, as well as data on key performance indicators (KPIs) that are relevant to the organization's strategic goals and objectives.
- Develop projections for future performance: This includes forecasting future financial performance and estimating the impact of proposed strategic initiatives on key performance indicators.
- Compare historical performance to projected performance: This allows the organization to identify trends and assess the effectiveness of its strategic initiatives.
- Evaluate the alignment of the organization's resources with its goals and objectives: This includes evaluating the alignment of the organization's budget, workforce, and technology with its strategic goals and objectives.
- Identify areas for improvement: Based on the analysis, areas for improvement are identified and recommendations are made to address them.
- Implement and track actions: Based on the recommendations, actions are implemented and tracked to ensure that the desired results are achieved.
In summary, strategic trajectory evaluation is a method of evaluating an organization's performance over time in relation to its strategic goals and objectives. It helps organizations to identify trends and assess the effectiveness of their strategic initiatives, and to identify areas for improvement and make necessary adjustments to ensure success.
Applications
Strategic trajectory depicts the position of the company at the time in future. This position is expressed by the quantitative and qualitative parameters of the basic functions of the company taking into account the impact of the external environment.
In the case of quantitative assessment of strategic position we compare the actual values of what is achieved by the company with reference values.
Quantitative parameters are e.g.:
Qualitative parameters are:
- Company position within the economy
- Capacity of management
- General development opportunities
The position of the company can be determined on the basis of the following table. Universal scales of reference values is used. The company is assessed according to specific categories, which allow to determine its position.
An example of a universal scale could be, for example.
| The strategic position of the company | Scoring |
| P1-very good | 81-100 |
| P2-good position | 66-80 |
| P3-average position | 50-65 |
| P4-poor position | 30-49 |
| P5-very poor position | less than 30 |
References
- Mintzberg, H. (1994). The fall and rise of strategic planning. Harvard business review, 72(1), 107-114.
