Steps in Environmental Analysis
Environmental analysis is a continuous process that helps organizations understand outside factors that can affect their business. The following are the steps in environmental analysis:
Scanning: This step involves collecting information about the environment to see what is happening. It helps identify early signs of changes and recognizes changes that are already taking place. Many organizations use special software and the internet to help with this.
Monitoring: Monitoring means keeping track of changes in the environment over time. It helps businesses see trends and understand how these changes can create opportunities or pose threats. This step also helps gather information about markets and other important factors.
Forecasting: Forecasting is about making educated guesses about what might happen in the future based on current trends. It looks at changes to predict future events. This can be a challenging task, but it is important for planning.
Assessing: Assessing involves evaluating outside factors that could impact a business. It helps companies understand what is happening in the world around them and how it might affect their operations. By doing this, businesses can make better decisions and stay ahead of their competitors.
Overall, environmental analysis helps organizations adapt to changes in their surroundings, allowing them to succeed in a constantly changing world.