GAP Analysis

Presented By:
Raghavendra Vishwas K
Hemavathi
 Agenda
• What is GAP Analysis?
• How to conduct GAP Analysis?
• Elements of GAP Analysis.
• Advantages and Disadvantages
• Applications.

What is GAP Analysis?

• It is a technique of determining the steps
taken to move from the current state to
desired future state.
• GAP analysis in a formal study of what a
business is doing currently and where it wants
to go in the future?
How to conduct GAP analysis?
 • 1st Step: Establish specific target objectives by
looking at the company’s mission statement,
strategic goals and objectives.
• 2nd Step: Analyse the current business process by
collecting the relevant data, this includes the
basic performance at all levels.
• 3rd Step: . Describe the existing business process.
This includes all process of the organisation.
4th Step: Define the desired future performance
position.
5th Step: Measure current performance.
6th Step: Recognise the GAP between current state
and desired future state.
7th Step: Design the strategies and methods that are
required to attain the desired future state by keeping
company’s objectives and mission in mind.
8th Step: Execute the strategies and methods
mentioned in the 7th step.
9th Step: Accept the feedback of the GAP analysis
process. As, this helps in proper reviewing of
additional GAP’s if any.
10th Step: Monitor and report the progress
achieved.
 What is GAP analysis template?

• GAP analysis can be either concrete or

conceptual, GAP analysis templates often
have in common the following
fundamentals.
Fundamentals of GAP
analysis?
 1. Identifying the Current and Future States
• Current State: The current or present state of an
organisation be it the total production of
organisation, resources of the organisation etc.
• Desired future State: The expected state where the
organisation as reached optimum output and has
maximum resources.
2.Describing the GAP:
•First analyse whether there is a GAP between the
current state and desired future state.
•If there is any GAP found identify the constituents
of GAP and the factors contributing for it.
•Describe the reasons which are actually causing
the GAP, by looking at the company’s objectives
and strategies.
3. Bridging the GAP:
• It should list all the possible solutions that
can be implemented to fill the GAP between
current state and desired future state.
 • The solutions with respect to GAP should be
specific and also reflect the objectives of the
organisation.
• Advantages
1. GAP analysis is a diagnostic tool, to improve the
performance of the organisation.
2. The GAP analysis can also be used to compare the
results of the past and future states.
• Disadvantages
1. The desired state becomes unrealistic at certain times.
2. The external environment is overlooked.
• Applications
1. Production Industry
2. Sales Forecast
3. Fiscal policies
4. Performance of an individual.
Thank you