Strategic Audit

Strategic AuditOrder Description
STRATEGIC AUDIT PART II (i will attach description too. )

I. Current Strategic Posture: What are the company’s current mission, vision, objectives, strategies, and policies?

1. Mission: What business (es) is the company in? Why?
2. Objectives: What are the corporate, business, and functional objectives?
3. Strategies: What strategy or mix of strategies is the company following?
4. Do the current mission, objectives, strategies, and policies reflect the company’s national –
international operations, whether global or multidomestic?
II. Internal Environment SW (Strength and Weaknesses)

a. Corporate Structure

1. How is the company structured at present?

i. ls the decision making authority centralized around one group or decentralized to
many units?
ii. Is the company organized on the basis of functions, projects, geography, or some
combination of these?
2. In what ways does this structure compare with those of similar company’s?

b. Corporate Culture

1. What are the main values of the company? ls the culture consistent with the current
objectives, strategies, policies, and programs?
2. What is the cultures position on important issues facing the company (that is, on
productivity, quality of performance, adaptability to changing conditions, and

c. Corporate Resources

1. Marketing

a. What are the company’s current marketing objectives, strategies, policies

b. How well is the company performing in terms of analysis of market position and
marketing mix (that is, product, price, place, and promotion) in both domestic
and international markets? What percentage of sales comes from foreign
operations? Where are current products in the product life cycle?

c. How well does the company’s marketing performance compare with that of
similar companies?

2. Finance

a. How well is the company performing in terms of financial analysis? (Consider
ratio analysis) How balanced, in terms of cash flow, is the company’s portfolio of
products and businesses?

c. How well does the company’s financial performance compare with that of similar

3. Research and Development (R&D)

a. What are the company’s current R&D objectives, strategies, policies, and

b. Is the company competent in technology transfer?

c. How well does the company’s investment in R&D compare with the investments
of similar companies?

4. Operations and Logistics

a. What are the company’s current manufacturing/service objectives, strategies,
policies, and programs?

5. Human Resources Management (HRM)

a. What are the company’s current HRM objectives, strategies, policies, and

i. Are they clearly stated or merely implied from performance and/or
ii. Are they consistent with the company’s mission, objectives, strategies,
and policies and with internal and external environments?
i. What impact have these trends had on past performance and how might
these trends affect future performance?
ii. Does HRM provide the company with a competitive advantage?

6. Information Systems (IS)
a. What are the company’s current IS objectives, strategies, policies, and programs?

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