RUNNING HEAD: Forces and Trends
Forces and Trends Paper
University of Phoenix
Introduction
Strategic adaptability is an organization’s capacity to identify major changes in its external environments, quickly commit resources to new courses of action in response to such changes (Brown, 2007). Being adaptable means leaders must not become complacent in the way they look at the world. The organization must view change as an inevitable and essential part of an organization's growth, in order to achieve this adaptability (2007). However, strategic adaptability also includes planning for change and using research to identify trends in the firm’s remote, industry and operating environment.
Part of the strategic planning process involves monitoring specific trends, which are of interest to a firm (Morrison, 1987). A firm uses forecasting to predict the future of those trends and then sets organizational objectives in response to their forecasts (1987). Next, the firm implements operational plans based upon their objectives, while monitoring the effects of their plans on those selected trends and issues. However, the must recognize the need to continuously monitor the external environment and adapt their strategy as necessary.
Described in this paper, are three companies challenged with understanding and forecasting the trends in their respective external environments. The first company, Solar Integrators (SI), is a new company operating in the solar electric industry. In their particular industry, SI is concerned about the influence of politics on government regulation from the remote environment. In addition, the company faces industry environment issues in barriers to entry and alternative sources of electricity production.
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