The Strategic Audit

1. Identify current strategy.
2. Evaluate current performance.
3. Perform external audit (positive and negative factors external to the company).
4. Perform internal audit (positive and negative factors internal to the company).
5. Summarize critical issues.
6. Formulate new or modified strategic alternatives.
7. Develop specific strategic recommendations.

Important: Step #6’s strategic alternatives should respond to Step #5’s critical issues; and the specific recommended strategies presented and argued for in Step #7 should be chosen from the broader list of alternatives developed in Step #6. Your analysis should focus on these final three steps.

Professors H. Kent Bowen and Robert S. Huckman and Global Research Group Executive Director Carin-Isabel Knoop prepared this case. HBS
cases are developed solely as the basis for class discussion. Cases are not intended to serve as endorsements, sources of primary data, or
illustrations of effective or ineffective management.