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QUANTITATIVE

STRATEGIC
PLANNING
MATRIX
Wilbert C. Venzon, LPT, MBA, PhD,ip
BACKGROUND
Originally introduced in a 1986 Long
Range Planning article, the Quantitative
Strategic Planning Matrix (QSPM)
has become widely used in strategic
management. To assess and consider the
relativeness attractiveness of alternative
strategies, this presentation will show
How and Why the QSPM is commonly
used in strategic management.
BACKGROUND

QUANTITATIVE IS A HIGH-LEVEL STRATEGIC FOR EVALUATING


STRATEGIC MANAGEMENT POSSIBLE
PLANNING APPROACH STRATEGIES
MATRIX (QSPM)
WHY Quantitative
Strategic Planning
Matrix (QSPM)?
HOW TO USE
Quantitative
Strategic Planning
Matrix (QSPM)?
STEP 1. List key
external and
internal factors
QSPM
STEP 2. Assign
importance weights
to external and
internal factors
QSPM
STEP 3. List
potential strategies
QSPM
STEP 4. Assign
attractiveness
score to each
strategy
QSPM
STEP 5. Calculate
total ASs
QSPM
STEP 6. Sum the
attractiveness and
TAS
QSPM
Positive FEATURES of Quantitative Strategic
Planning
Matrix Analysis(QSPM)?

Requires strategist to
Any number of strategies can
integrate pertinent external
be evaluated at once or in
and internal factors into the
sets of strategies.
decision-making process.
Limitations of Quantitative Strategic
Planning
Matrix (QSPM)?

IT ALWAYS REQUIRES IT CAN BE ONLY AS GOOD AS ONLY THOSE STRATEGIES ARE


INTUITIVE JUDGMENTS AND THE PREREQUISITE EVALUATED THAT ARE
EDUCATED ASSUMPTIONS. INFORMATION UPON WHICH IT RELATED TO ONE ANOTHER IN
IS BASED. A GIVEN SET.
Resources:
Meredith E. David, Fred R.
David & Forest R. David
(2016): The quantitative
strategic planning matrix: a
new marketing tool, Journal
of Strategic Marketing

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