Evaluation Criteria

EVALUATION CRITERIA FOR STRATEGIES

INTRODUCTION Organizations prepare strategies to accomplish its objectives. It is necessary to revise the existing business to adjust to a new environment and take advantage of it. Therefore, it is necessary that the strategy to be evaluated.

MEANING OF STRATEGIC EVALUATION Strategic evaluation is the process of determining the effectiveness of a given strategy. It consists of the following issues: Whether organizational objectives are attainable with given organizational resources? Whether the policies and strategies are matching corporate objectives? Whether the actual performance is in accordance with the expected results?

IMPORTANCE OF STRATEGIC EVALUATION FEEDBACK FUTURE PLANNING MOTIVATION TO EMPLOYEES ASSISTS MANAGERS IN DECISION

MAKING

CRITERIA FOR EVALUATION STRATEGY ØINTERNAL CONSISTENCY ØCONSISTENCY WITH ENVIRONMENT ØAPPROPRIATE USE OF ORGANIZATION’S RESOURCES ØTIME HORIZON ØDEGREE OF RISK ØWORKABILITY

BARRIERS IN ØLIMITS OF CONTROL ØDIFFICULTIES IN MEASUREMENT ØRESISTANCE TO EVALUATION ØSHORT TERM ØRELYING ON EFFICIENCY VERSUS EFFECTIVENESS

EVALUATION AND CONTROL PROCESS

PARTICIPANTS

1. INTERNAL AND EXTERNAL STAKEHOLDERS 2. GOVERNMENT 3. BOARD OF DIRECTORS 4. CHIEF EXECUTIVES 5. STRATEGIC BUSINESS UNITS 6. FINANCIAL CONTROLLERS 7. AUDIT AND EXECUTIVE COMMITTEES 8. CORPORATE PLANNING STAFF 9. MIDDLE-LEVEL MANAGERS

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