Environmental Scanning: Internal
of a corporation consists of variables (strengths andweaknesses) that are within the organization itself and not usually within theshort-run control of top management. These variables form the context in whichwork is done. They include the corporation's structure, culture, and resources. The
is the way a corporation is organized in terms of communication, authority, and workflow. It is often referred to as the chain of command and is graphically described in an organization chart. The
is that pattern of beliefs, expectations, and values shared by thecorporation's members. In a firm norms typically emerge that define theacceptable behavior of people from top management down to the operativeemployees.
are assets that form the raw material for theproduction of an organization's products or services. These assets include peopleand managerial talent as well as financial assets, plant facilities, and skills andabilities within functional areas.
is the development of long-range plans for the effectivemanagement of environmental opportunities and threats, in light of corporatestrengths and weaknesses. It includes defining the corporate mission, specifyingachievable objectives, developing strategies, and setting policy guidelines.
is the purpose or reason for the corporation's existence.For example, the mission of a savings and loan (S&L) association might be toprovide mortgage money to people of the community. By fulfilling this missionthe S&L would hope to provide a reasonable rate of return to its depositors. Amission may be narrow or broad in scope. A
clearly limits thescope of the corporation's activities in terms of product or service offered, thetechnology used, and the market served. The above-mentioned S&L has thenarrow mission of providing mortgage money to the people of the community.The problem with such a narrow statement of mission is that it might restrict theuse of future opportunities for growth. A broad mission widens the scope of thecorporation's activities to include many types of products or services, markets,and technologies. A
of the same S&L might be to offer financialservices to anyone, regardless of location. The problem with such a broadstatement of mission is that it does not clearly identify which area the corporationwishes to emphasize and might confuse employees and customers.