By:

Mercado, Manuel Jose V.

Ferrer, Jude
Delos Santos, Acer
 Table of Contents
Stage 1 (Mercado)
External Factors Evaluation Matrix………………………………………………………..…10
EFE Matrix Definition………………………………………………………………...11
EFE Matrix Methodology Summary…………………………………………...12
EFE Matrix Methodology Steps (1-2)……………………………………….…13
Steps (3-4)………………………………………….14
Steps (5-6)………………………………………....15
EFE Matrix Example NESTLE……………………………………………………….16
EFE Matrix Insights…………………………………………………………………….17
EFE Matrix Video………………………………………………………………………………………18
Internal Factors Evaluation Matrix………………………………………………….…….…19
IFE Matrix Definition………………………………………………………………...20
IFE Matrix Methodology Summary…………………………………………...21
IFE Matrix Methodology Steps (1-2)……………………………………….…22
Steps (3-4)………………….………………………23
Steps (5-6)………………….……………………...24
IFE Matrix Example NESTLE……………………………………………………….25
IFE Matrix Insights…………………………………………………………………….26
IFE Matrix Video………………………………………………………………………………………27
 Company Profile Matrix…………………….…………………………..…………………………...…28
CPM Matrix Definition………………………………………………………………..…29
CPM Matrix Methodology…………..………………………………………………..30
CPM Matrix Example NESTLE……………………………………………………..…33
CPM Matrix Insights………………………………………………………………….….34
CPM Video.................................................................................................................35
ADDITIONAL TOOL
GE 9 Cell Matrix...................................................................................................36
GE 9 Cell Matrix Definition……………………………………………..…………….37
GE 9 Cell Matrix Methodology……………………………………………………...38
Step 1………………………………………………..…….39
Step 2………………………………………………..…….40
Step 3…………………………………………………..….41
Step 4…………………………………………………..….42
Step 5…………………………………………………..….43
Step 6……………………………………………………...44
GE 9 Cell Matrix PEPSICO example…………………………………………….....47
GE 9 Cell Matrix Insights..……………………………………………………………..51
GE 9 Cell Matrix Video..............................................................................................52
Balance Scorecard………………………………………………………………………………………
Balance Scorecard Definition…………………………………………………...
Balance Scorecard Methodology………………………………………………
Balance Scorecard Example UNILEVER………………………………………
Balance Scorecard Insights………………………………………………………..

Stage 2 (Ferrer)
SWOT Matrix……………………………..………………………………………………………..……
SWOT Matrix Definition……………………………………………………………….
SWOT Matrix Methodology Steps…………………………………………………
SWOT Matrix example of UNILEVER.…………………………………………...
SWOT Matrix Insights…………………….……………………………………………..
SPACE Matrix……………………………..……………………………………………………………...
SPACE Matrix Definition………………………………………………………………
SPACE Matrix Methodology Steps………………………………………………..
SPACE Matrix example of UNILEVER.……………………………………………
SPACE Matrix example of UNILEVER.…………………………….
SPACE Matrix example of UNILEVER.…………………………….
SPACE Matrix Insights………………………………………………………………….
BCG Matrix…….…………………………..………………………………………………………..…
BCG Matrix Definition…………………………………………………………………
BCG Matrix Methodology Steps…………………………………………………
BCG Matrix example of UNILEVER.…………………………………………….
BCG Matrix Insights…………………….……………………………………………..

IE Matrix……………………………..………………………………………………………..……..…
IE Matrix Definition……………………………………………………………………
IE Matrix Methodology Steps…………………………………………………….
IE Matrix Methodology Steps……………………………………….
IE Matrix example of UNILEVER.……………………………………………….
IE Matrix Insights…………………………..…………….……………………………
GSM Matrix…….…………………………..………………………………………………………..…
GSM Matrix Definition……………………………………………………………..…
GSM Matrix Methodology Steps…………………………………………………
GSM Matrix Methodology Steps……………………………………
GSM Matrix example of UNILEVER.…………………………………………….
GSM Matrix Insights…………………….…………………………………………....
 Stage 3 (Delos Santos)
Decision stage………………………………………………………..………………………………..
Importance of Decision Stage in UNILEVER……………….
Percentage in Decision Stage …………………………………….
Decision Strategy of UNILEVER.…………………………….....................................
Decision Strategy of UNILEVER.…………………………….......
Decision Strategy of UNILEVER.…………………………….......
Decision Strategy of UNILEVER.………………………………….
Quantitative Strategic Planning Matrix of Unilever…………….......................
Results of Strategic Planning Matrix  of Unilever……………………………………………………..
Results of Strategic Planning Matrix  of Unilever …………………….....
Results of Strategic Planning Matrix  of Unilever ………………………..
Results of Strategic Planning Matrix  of Unilever …………………...…..
Recommendation………………………………………………………………..........................................
Additional tool
Strategy map of Unilever…………………………………………………………………………………………..
Balance Score Card……………………………………………………………………………...........................
BSC………………………………………………………………………………………………
External Factors
Evaluation Matrix
External Factors External Factor Evaluation (EFE) Matrix is a
strategy tool used to examine company’s

Evaluation Matrix
external environment and to identify the
available opportunities and threats.
 Step 1. Identify a list of KEY external factors (critical success factors).

Assign a weight to each factor, ranging from 0 (not important) to 1.0 (very
Step 2. important).

Summary of Step 3.
Assign a 1-4 rating to each critical success factor to indicate how effectively the
firm’s current strategies respond to the factor. (1 = response is poor, 4 = response is
extremely good)

EFE Matrix
Steps Step 4. Multiply each factor’s weight by its rating to determine a weighted score.

Step 5. Sum the weighted scores.

Step 6. Average total weighted score is 2.5.

 Identify a list of KEY
Identify external factors (critical
success factors).

Assign a weight to each

EFE Matrix Steps Assign

factor, ranging from 0 (not
important) to 1.0 (very
important).
 Assign a 1-4 rating to each critical
success factor to indicate how
effectively the firm’s current
Assign strategies respond to the factor.
(1 = response is poor, 4 =
response is extremely good)

Multiply each factor’s weight by

EFE Matrix Steps Multiply its rating to determine a

weighted score.
 Sum Sum the weighted scores

Average total weighted score is

2.5. If total < 2.5, company’s

EFE Matrix Steps Average strategies aren’t well designed

to meet the opportunities and
defend against threats
Insights • EFE Matrix indicates whether the firm is able
to effectively take advantage of existing
opportunities along with minimizing the
external threats.
• Based on the example, Nestle’s total
weighted score is > 2.5. Nestle’s strategies
are well designed to meet the opportunities
and defend against threats.
Internal Factors
Evaluation Matrix
 Internal factors are the outcome of detailed
Internal Factors internal audit of a firm Obviously, every
company have some weak and strong points,

Evaluation Matrix
therefor the internal factors are divided into
two categories namely strengths and
weakness.
 Step 1. List key internal factors as identified in the internal audit process.

Assign a weight that ranges from 0.0 (not important) to 1.0 (all important) to each
Step 2. factor. The weight assigned to a given factor indicates the relative importance of
the factor to being successful in the firm’s industry.

Summary of Step 3.
Assign a 1 to 4 rating to each factor to indicate whether that factor represents a
major weakness (rating = 1), a minor weakness (rating = 2), a minor strength (rating
= 3), or a major strength (rating = 4).

IFE Matrix
Steps
Multiply each factor’s weight by its rating to determine a weighted score for each
Step 4. variable.

Step 5. Sum the weighted scores.

Step 6. Average total weighted score is 2.5.

 List key internal factors as
List identified in the internal audit
process

Assign a weight that ranges

IFE Matrix Steps

from 0.0 (not important) to 1.0
Assign (all important) to each factor.
The sum of all weights must
equal 1.0.
 Assign a 1 to 4 rating to each factor
to indicate whether that factor
represents a major weakness (rating
Assign = 1), a minor weakness (rating = 2), a
minor strength (rating = 3), or a
major strength (rating = 4).

IFE Matrix Steps

Multiply each factor’s weight by its
Multiply rating to determine a weighted score
for each variable..
 Sum Sum the weighted scores

IFE Matrix Steps Analyze

Average total weighted
score is 2.5
Insights
• The IFE of Nestle shows that their strategies
are well designed to meet the opportunities
and defend against threats.

• IFE Matrix is important for conducting

internal strategic management Audit. The
strengths & weaknesses of the organization
in its different functional areas are
highlighted through the IFE matrix.
Moreover the relationship between
different strengths & weaknesses of
functional areas of the organization are also
identified & evaluated by IFE matrix.
Competitive Profile
Matrix
 The Competitive Profile Matrix (CPM) is a
Competitive Profile method that contrasts the company and its
competitors and shows its relative strengths

Matrix
and weakness. Companies also use CPM to
better understand the external environment
and competition within a given industry.
 1st step is to define your competitors.
2nd step is finalized the competitors you are
going to focus on.
3rd step is to decide the most important
factors which are needed to be successful in
the respective industry.

Methodology
 Once these factors are identified

4th step identify the factors in which your competitors are

strong or weak.
Once you have decided a factor for making the matrix

5th step assign a value for each factor, weight and rank
*The weight can range from 0.0(low importance) to 1.0 (high
importance) and indicates how important the factor is for
succeeding in the industry. The ratings present how well are

Methodology
companies doing in each area and it ranges from 4 to 1, from the
highest strength to the highest weakness.
 6th step multiply the weight by the rank resulting the
score
*The company with the highest score proves to be stronger than
its competitors.

Methodology
Insights
• Competitive profile matrix show the clear
picture to the firm about their strong points and
weak points relative to their competitors.
• Having it will help you identify opportunities for
new or better products , services and marketing
strategies to innovate. A competitive matrix is
used to profile your business critically and
compare it to your known competitors.
• Based on our given example, Nestle shows a
clear lead in position among its competitors in
Pakistan. The company with the highest total
score is the strongest company among the list.
GE 9 cell matrix
GE 9 cell matrix
• Also known as Directional Policy Matrix
• It is a strategy tool that offers a systematic approach for the multi
business enterprises to prioritize their investments among the
various business units. It is a framework that evaluates business
portfolio and provides further strategic implications.
• First developed by McKinsey & Co. for GE in 1971
Methodology
Building Blocks
• X – axis = Competitive Strength
• Y – axis = Attractiveness of
Market
• Grow = Green
• Hold = Orange
• Harvest = Red
 Step 1. Decide which factors you need to make your
analysis.

Example factors for your “Attractiveness of the Market” axis:

• Size of the market
• Matter of competition
• Opportunities or threats
Methodology

• Entry Barriers

Example factors for your “Competitive Strength” axis:

• Relative Market share
• Mission/Vision
• Strengths and weaknesses
 HOW TO CALCULATE COORDINATES
Step 2. assign importance per criteria
*total weights = 1
Methodology
 HOW TO CALCULATE COORDINATES
Step 3. assign a score per factor in each market
*score from 0 – 100
Methodology
 HOW TO CALCULATE COORDINATES
Step 4. Compute for total score by multiplying the
scores by the weight in each factors. Then add the
scores
Methodology
 HOW TO CALCULATE COORDINATES
Methodology Step 5. Repeat same steps for Competitive Strength
 HOW TO CALCULATE COORDINATES
Step 6. Plot the computed values

Methodology
 HOW TO CALCULATE COORDINATES
Step 6. Plot the computed values

Methodology
 HOW TO CALCULATE COORDINATES
Step 7. Draw Market Share

Methodology
PEPSI Co. 9-Cell
Matrix
 • Model for use in your internal analysis
• Make investment decisions
• Helps to prioritize the limited resources in
order to achieve the best returns.

Insights • It’s more sophisticated business portfolio

framework than the BCG matrix.
• Determines the strategic steps the company
needs to adopt to improve the performance
of its business portfolio.
BALANCE
SCORECARD
 •  A balanced scorecard is a performance
Balance metric used to identify, improve, and control
Scorecard a business's various functions and resulting
outcomes.
 *THINGS TO REMEMBER:
• Consider financial and non-financial aspects as
equally important
• Focus on the Key Performance Indicators (KPIs) and
look at them from 4 perspectives :
Methodology

1. Financial
2. Customer Value
3. Internal
4. Learning and Growth

HOW TO DRAW A BALANCE SCORECARD

Step 1. Determine the Vision
Step 2. Add Perspectives
Step 3. Add Objectives and Measures
 HOW TO DRAW A BALANCE SCORECARD
Step 1. Determine the Vision
*The company's main vision belongs in the center of a balanced scorecard.
Step 2. Add Perspectives
*Place the four perspectives in a ring around the central vision.
Step 3. Add Objectives and Measures
Methodology

*Within each perspective define specific objectives, measures, targets, and initiatives.
Step 4. Connect each piece
*Link each perspective to the others using arrows to indicate that they're all
interconnected.

Step 5. Share and Communicate

*Use the balanced scorecard to demonstrate how different initiatives and short-term
actions are contributing to the long-term strategic objectives of the company.
Methodology
Balance Scorecard
of Unilever
 STRENGTH OF BSC:
• Clear and detailed view of business results
• Favors long-term plans

Insights
Importance:
It is very important for a company to have a
balanced scorecard to assess its performance
and build on its weaknesses.