Environmental Scanning
Environmental scanning is "the process of gathering information about activities, trends, relationships, competitors, potential dangers, and any other factors in the environment that can impact the organization" (Evans & Alire, 2013, Ch. 2, Environmental Scanning, para. 2). When information organizations begin the complex process of strategic planning, they must carefully gather data from the internal and external environments that surround the organization. This gathered information is then structured and used to inform the organization's plans for the future.
Environmental scanning might take place rather regularly in an information organization or it might occur because of a particular set of circumstances, such as the hiring of a new library dean, new accreditation requirements, or an unexpected economic crisis (Stephan, 2010). It can be thought of as a structured way of consolidating "internal communication of external information about issues that may potentially influence an organization's decision-making process" (Albright, 2004, p. 40). Internal operation processes must also be incorporated and evaluated while scanning to assist with understanding the complexities of the organization's environment. Not to be focused entirely on historical data, environmental scanning should also take into account "potential influences" from the contextual environment in order to estimate "future impacts" on the health of the organization (Albright, 2004).
Albright (2004) sums up the ultimate purpose of environmental scanning and strategic planning quite nicely:
"The process of understanding the match between external influences and internal
responses assists in adjusting organizational structure and strategic plans that are
designed to be more effective and flexible to changing market forces. Thus, the
successful organization is focused on learning as well as on flexibility and responsiveness" (p. 40).
Some common focus areas or factors for environmental scans include:
Sociocultural factors
Political trends
Market competition
Legal issues
Labor concerns
Technological factors
Economic trends
User needs (customer behavior)
Suppliers
Funding sources
(from Evans & Alire, 2013, Ch. 2, Environmental Scanning, para. 3; Albright, 2004, p. 41-42)
These areas are often helpful to focus on because they encompass most of the elements that impact an organization's functional operations and are most likely to supply relevant data that supports strategic planning. Evans and Alire are careful to note that this process "is a function of what you look for/at and how you interpret what you see" (2013, Ch. 2, Forecasting the Environment, para. 3). Information organizations must actively monitor trends in these variables - repeatedly and on an ongoing basis - in order to adequately survey and learn from them for the strategic planning process.
Albright suggests five basic steps of the environmental scanning process, which include:
"1) Identify the environmental scanning needs of the organization
2) Gather the information
3) Analyze the information
4) Communicate the results
5) Make informed decisions" (p. 42-43).
These steps or similar variations are mirrored in much of the environmental scanning and strategic planning literature. Ultimately, through whatever chosen formal or informal processes, planning leaders must decide what data to gather, analyze, share and use to inform their planning and decision making regarding the future of the organization.
Environmental scanning might take place rather regularly in an information organization or it might occur because of a particular set of circumstances, such as the hiring of a new library dean, new accreditation requirements, or an unexpected economic crisis (Stephan, 2010). It can be thought of as a structured way of consolidating "internal communication of external information about issues that may potentially influence an organization's decision-making process" (Albright, 2004, p. 40). Internal operation processes must also be incorporated and evaluated while scanning to assist with understanding the complexities of the organization's environment. Not to be focused entirely on historical data, environmental scanning should also take into account "potential influences" from the contextual environment in order to estimate "future impacts" on the health of the organization (Albright, 2004).
Albright (2004) sums up the ultimate purpose of environmental scanning and strategic planning quite nicely:
"The process of understanding the match between external influences and internal
responses assists in adjusting organizational structure and strategic plans that are
designed to be more effective and flexible to changing market forces. Thus, the
successful organization is focused on learning as well as on flexibility and responsiveness" (p. 40).
Some common focus areas or factors for environmental scans include:
Sociocultural factors
Political trends
Market competition
Legal issues
Labor concerns
Technological factors
Economic trends
User needs (customer behavior)
Suppliers
Funding sources
(from Evans & Alire, 2013, Ch. 2, Environmental Scanning, para. 3; Albright, 2004, p. 41-42)
These areas are often helpful to focus on because they encompass most of the elements that impact an organization's functional operations and are most likely to supply relevant data that supports strategic planning. Evans and Alire are careful to note that this process "is a function of what you look for/at and how you interpret what you see" (2013, Ch. 2, Forecasting the Environment, para. 3). Information organizations must actively monitor trends in these variables - repeatedly and on an ongoing basis - in order to adequately survey and learn from them for the strategic planning process.
Albright suggests five basic steps of the environmental scanning process, which include:
"1) Identify the environmental scanning needs of the organization
2) Gather the information
3) Analyze the information
4) Communicate the results
5) Make informed decisions" (p. 42-43).
These steps or similar variations are mirrored in much of the environmental scanning and strategic planning literature. Ultimately, through whatever chosen formal or informal processes, planning leaders must decide what data to gather, analyze, share and use to inform their planning and decision making regarding the future of the organization.