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Summary Running Head: STRATEGIC PLAN, PART 1: ENVIRONMENTAL SCAN

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Strategic Plan, Part 1: Environmental Scan Krista Brown STR/581 March 3, 2017 Melany Felton Introduction Environmental scanning is done to accomplish two broad sets of goals: first, to understand external forces on the organization; and second, to see threats and opportunities ...

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  • February 20, 2022
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Running Head: STRATEGIC PLAN, PART 1: ENVIRONMENTAL SCAN




Strategic Plan, Part 1: Environmental Scan

Krista Brown

STR/581

March 3, 2017

Melany Felton

, Running Head: STRATEGIC PLAN, PART 1: ENVIRONMENTAL SCAN




Introduction


Environmental scanning is done to accomplish two broad sets of goals: first, to

understand external forces on the organization; and second, to see threats and opportunities

and avoid surprises [Pen17]. There are typically three frequencies in which environmental

scans are done; ad hoc, scheduled, and continuous. There are important difference between

the three frequencies; ad hoc is typically in response to failure while scheduled and

continuous are a proactive effort [Pen17]. The goal of Pacific Gas and Electric Company’s

(PG&E) scanning is to identify early signals of potential changes and detect any changes that

are already under way. PG&E is aware that there is a significant relationship between

strategic environmental scanning and organization performance, therefore, they complete

environmental scans on a continuous basis.


How to create value and sustain competitive advantage using the environmental

scanning strategy


Paying strong attention to potential threats is the key to maintaining a sustainable

competitive advantage, which cannot be achieved through operational effectiveness alone.

Sustainable competitive advantage is possible only through performing similar activities in

different ways [Bab12]. Scanning and being aware of potentially new CCA’s and third party gas

providers will be crucial for PG&E to maintain their current customers for both

procurement/delivery of gas and generation/transmission of electricity. Finding to innovative

ways to deliver the current products is key to creating value and sustaining our competitive

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