A strategy evaluation model for management

Abstract

Proposes a new model called the strategy evaluation model. The need for this model is based on the ongoing criticism aimed at capital budgeting models which employ purely quantitative methods such as discounted cash flow techniques and financial ratio analysis. It has been suggested that these models ignore key issues in the strategy‐making process. These key issues are difficult to evaluate as they are typically qualitative and intangible aspects of strategy. The strategy evaluation model provides a method for ranking strategy on quantitative, qualitative and intangible criteria based on their prioritized relationship with the mission of the firm. Aims to provide an evaluation model which can harness the expertise of a firm’s strategic thinkers and combine it with quantitative information.

Citation

Hastings, S. (1996), "A strategy evaluation model for management", Management Decision, Vol. 34 No. 1, pp. 25-34. https://doi.org/10.1108/00251749610106945