The result of an analysis of how it is positioned in the business with regard to one or more aspects.
Description
Made against at least two aspects to assess the need for change. The assessment aims to identify the need for a change in, for example, strategy given a certain situation that is described by driving forces. The assessment is always linked to time and a stakeholder group as the assessment is subjective based on a certain interest.
A common form of assessment is SWOT analysis where the assessment contains the following parts:
- Strengths
- Weaknesses
- Possibility
- Threat
An assessment can also be more specific and, for example, refer to how the business is affected by a change in the rules.
Example
Examples of assessments:
- The fact that we have a large proportion of satisfied customers means that we can develop and sell more services to existing customers (strength)
- The functionality of System X has poor support for meeting needs from corporate customers (weakness)
- The rapid technical development means that we can catch up and overtake competitors who today have an edge with their technically advanced systems (opportunity)
- The fierce competition threatens our position as a market leader and can result in a price war with falling margins (threats)