Kelompok IV:

Dita Suryadinata
Mohammad Indra
Nurul Ismah
Radhika Hartami Putri
Rezky Daniel

Strategi
Formulasi

Strategi
Implementasi

Strategi
Evaluasi

The purpose of an external audit is to develop a

finite list of opportunities that could benefit a firm
and threats that should be avoided
Key External Forces
(1) economic forces;
(2) social, cultural, demographic,
and natural environment forces;
(3) political, governmental, and
legal forces;
(4) technological forces; and
(5) competitive forces.

The Process of Performing

an External Audit
The process of performing
an external audit must
involve as many managers
and employees as possible

Key External Forces

Relationships Between Key External Forces and an Organization

Gather competitive intelligence and information about

economic,
social,
cultural,
demographic,
environmental, political, governmental, legal, and
technological trends
------------------------------------------------------------------------------------------
Individuals can be asked to monitor various sources
of
information.
Once
information is gathered, it should be assimilated and
evaluated.
------------------------------------------------------------------------------------------Make a meeting or series of meetings of managers
Identify the most important opportunities and threats
facing the firm.
Rank the factors identified, from 1 for the most important
opportunity/threat
to
20
for
the
least
important
opportunity/threat.
A final list of the most important key external factors
should be communicated and distributed widely in the

External (industry) factors are more important

than internal factors in a firm achieving
competitive advantage.
Focuses on analyzing external forces and industry variables as a basis for
getting and keeping competitive advantage
External factors in general and the industry in which a firm chooses to compete
has a stronger influence on the firms performance than do the internal functional
decisions managers make in marketing, finance, and the like
Firm performance, they contend, is primarily based more on industry properties,
such as economies of scale, barriers to market entry, product differentiation, the
economy, and level of competitiveness than on internal resources, capabilities,
structure, and operations.
Example : The global economic recessions impact on both strong and weak
firms has added credence of late to the notion that external forces are more
important than internal.

Economic factors have a direct impact on the

potential attractiveness of various strategies.

People today are more willing than ever to pay for good service if it limits
inconvenience.
Improved customer service, immediate availability, trouble-free operation
of products, and dependable maintenance and repair services are
becoming more important.
Example :
1.when interest rates rise, funds needed for capital expansion become more
costly or unavailable (economic variable)
2.An economic variable of significant importance in strategic planning is
gross domestic product (GDP), especially across countries.
3.Trends in the currencys value have significant and unequal effects on
companies in different industries and in different locations

 Social, cultural, demographic, and environmental

trends are shaping the way people live, work,
produce, and consume.
New trends are creating a different type of
consumer and, consequently, a need for different
products,
different
services,
and
different
strategies.

Federal, state, local, and foreign governments are major

regulators, deregulators, subsidizer, employers, and
customer of organization.
For Industries and firms that depend heavily on
government contracts or subsidies, political forecasts
can be the most important part of an external audit

Political, Govermental, and

Legal factors, therefore, can
represent key opportunities or
threat for both small and large
organization

The internet has changed the very nature of

opportunities and threats by altering:

Chief Information OfficerChief Technology Officer

To ensure that information needed

to formulate, implement, and
evaluate strategies is available
where and when it is needed.
These individuals are responsible
for developing, maintaining, and
updating a companys information
database.
More a manager,
managing the firms
relationship with
stakeholders

More a technician,
focusing on technical
issues such as data
acquisition, data
processing, and etc.

Technological advancements can:

Create new markets,

Result in a proliferation of new and improved products,

Change the relative competitive cost positions in an

industry,

Render existing products and services obsolete.

An important part of an external audit is

identifying rival firms and determining their
strengths, weaknesses, capabilities,
opportunities, threats, objectives, and strategies.
Characteristics of the most competitive companies:
A. Market share matters
B. Understand and remember precisely what business you
are in
C. Whether its broke or not, fix itmake it better
D. Innovate or evaporate
E. Acquisition is essential to growth
F. People make a difference
G. There is no substitute for quality

Competitive Intelligence is a systematic and ethical process for

gathering and analyzing information about the competitions activities
and general business trends to further a businesss own goal
-Society of Competitive Intelligence Professionals (SCIP)-

The three basic objectives of a CI program

are:
1.to provide a general understanding of an
industry and its competitors
2.to identify areas in which competitors are
vulnerable and to assess the impact
strategic actions would have on
competitors
3.to identify potential moves that a

Market
commonality
the number and
significance of
markets that a firm
competes in with
rivals

Resource
similarity
the extent to which
the type and
amount of a firms
internal resources
are comparable to a
rival

 Lingkungan

eksternal
diluar
perusahaan
sangat mempengaruhi terhadap pertumbuhan
perusahaan dalam menentukan arah serta
tindakan
yang
berpengaruh
terhadap
penentuan
strategi
pemasaran
bagi
perusahaan

 1. Current Environment
2. Industry Trends
3. How the Industry Operates
4. Key Industry Ratios and Statistics
5. How to Analyze a Company
6. Glossary of Industry Terms
7. Additional Industry Information
8. References
9. Comparative Company Financial Analysis

Forecasting is a complex activity because of factors such as

technological innovation, cultural changes, new products,
improved services, stronger competitors, shifts in government
priorities, changing social values, unstable economic
conditions, and unforeseen events.

Forecasting
tools
quantitative techniques qualitative techniques.
most appropriate when
Historical data are
available;
the relationships
among key
variables are
expected to remain
the same in the
future.

Planning would be impossible without assumptions.

needed only for future trends and

events that are most likely to have a
significant effect on the companys
business.

 2011, 2009, 2007 by Pearson Education, Inc., publishing as Prentice Hall, One Lake Street, Upper Saddle River, New Jersey 07458

 Quantify the factors as much as possible in

constructing an EFE Matrix.

The total weighted score is 2.58 of 4, so

this cinema business is doing pretty well,

taking advantage of the external
opportunities and avoiding the threats
facing the firm.

identifies a firms major competitors and its particular

strengths and weaknesses in relation to a sample firms
strategic position.

critical success factors in a CPM

include both internal and external
issues

 2011, 2009, 2007 by Pearson Education, Inc., publishing as Prentice Hall, One Lake Street, Upper Saddle River, New Jersey 07458

 factors often included in this analysis include breadth

of product line, effectiveness of sales distribution,

proprietary or patent advantages, location of
facilities,
production
capacity
and
efficiency,
experience,
union
relations,
technological
advantages, and e-commerce expertise.

 Numbers reveal the relative strengths of firms, but

their implied precision is an illusion.

Numbers are not magic. The aim is not to arrive at a

single number, but rather to assimilate and evaluate

information in a meaningful way that aids in decision
making.

1.

External Audit has become an explicit and vital part of strategic

management process.

2.

There are 10 major external forces that affect organizations : economic,

social, cultural, demographic, environmental, political, governmental,
legal, technological, and competitive.

3.

Using information technology to devise a competitive intelligent system

is one of our job to ensure the development of an effective external audit
system.

4.

The external audit process that we have explained can be used

effectively by any size or type of organization.

5.

The EFE Matrix and Porters Five-Forces Model can help strategist
evaluate the market and industry