Strategic Profile of a Firm
A strategic profile is a portrayal of firm�s history, its current products and services and its plans for the future. To develop the strategic profile of company a SWOT (strengths, weaknesses, opportunities and threats) analysis a useful tool for understanding the direction that a company needs to take with its planning, establishing goal and strategy development. Many firm grow gradually, meaning that they expand and acquire new resources and customers over time through a natural process.
An organizational strategy is a visualization for the wants and needs of the business over time combined with set of goals that the company wants to attain in its short and long-term future. Stating an organizational strategy is the first step in developing a strategic profile as it lays the basis for the company's mission and vision for development. Once an organizational strategy statement has been delineated, the business can work on developing its formal strategic profile. Every business has its benefits and drawbacks and the strategic profile is about laying these things out in a clear and succinct manner.
Strategic Profile Framework
Steps in developing strategic profile: For developing strategic profile, following steps must be followed:
1. Mangers who develop strategic profile of company must collect information about company background which include a brief overview of company history, its origin, past sales figures and growth. Then create an outline of internal and external factors that have added to or taken away from the triumph of the business.
2. In second step, executives compose the mission and vision statement. The mission statement signifies the purpose of the business and how it fulfils the need of the customer.
3. After composing mission statement, professionals write the situation analysis. Situation analyses that describe the general, industry and competitive environments. The general portion of the situation analysis reveals the market the business serves. The industry section notes industry development and existing conditions. Finally, the competitive segment recognises the business's competitors in addition to services and/or products they offer.
4. Then the most important step is to conduct a SWOT Analysis. The abbreviation "SWOT" stands for strengths, weaknesses, opportunities and threats. A company's strengths and weaknesses, or internal issues, may be the dearth of qualified workers or lack of financing. Opportunities and threats, or external factors, pose as difficulties to business development. Examples of opportunities include new markets, new customers and advancements in technology. However, threats present themselves as competitors or anything external that can hinder the flow of profits.
The SWOT analysis is a beneficial device in developing a strategic profile because it helps to qualify the faults identified in the strategic profile as well as the company's strengths, opportunities and threats. Strengths are the things the company has in its favour: advantages over the competition, its unique marketing and sales positions and its share of the market.
It is well established in studies that Strategic profiles offer detailed information about an organization's history, product and service offerings. Consumers can use strategic profiles to learn about the mission and vision of a company. Organizations develop strategic profiles to evaluate past performance and recognize internal weaknesses. Strategic profiles also give an overview of external factors that may affect business progress. Strategic profiles and strategic objectives offer direction to help organizations accomplish their objectives.