Internal appraisal involves evaluating a firm's capabilities to efficiently meet current activities and challenges as indicated by external appraisals. It identifies strengths, weaknesses, and resources and aims to align objectives with capabilities while assessing gaps for growth opportunities. Techniques for analysis include marketing, finance, human resources, and information management, which help determine competitive advantages and organizational health.

1. INTERNAL APPRAISAL

2. DEFINITION
“An Organization Should
Approach All Tasks With The
Idea That They Can Be
Accomplished In A Superior
Fashion”.
Thomas Watson
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3. INTERNAL APPRAISAL
Internal appraisal means to evaluate the firms
own capacities and to meet the requirements of
existing activities efficiently and effectively and
also to meet the challenges or threats indicated
on the basis of external appraisal.
It further identifies the strengths, weaknesses,
and resources of the company

4. PURPOSE
 Stands in capabilities and strength & weakness.
 Opportunity to be tapped in line with its capability.
 Match the objective in line with its capability.
 Assess the capability gap.
 Select the specific line in which it can grow.
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5. HOW TO ANALYSIS?
Assessment of the strength
and weakness
 Appraisal of status and health
Identity and assess
competitive advantage.
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7. STRENGTH AND WEAKNESS
TATA IBM LMT
Strength -
 excellent workstation
 high brand equity
 largest buyers of software
 Weakness –
 Late entry into the market
 Limit market reach
 Slow in decision making 7

8. TECHNIQUES FOR ANALYSING STRENGTH
& WEAKNESS
 MARKETING
FINANCE
HUMAN RESOURCE
INFORMATION
MANAGEMENT SYSTEM
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9. MARKETING
 It is a communicating the value of a product,
services or brand to customers, for the purpose of
promoting or watching that product, services, or
brand.
 low prices as compare to similar products in the
market
 Effective sales promotion
 Effective distribution system
 Better quality product
 High quality customer service
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10. MARKETING
 Marketing audit
 Market share analysis
 Product line profit analysis
 Brand monitoring surveys
 Consumer satisfaction index
 Analysis of price and volume relationship
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11. FINANCE
 Access to financial resources
 High level of credit worthiness
 Amicable relationship with financial institutions
 High level of shareholder confidence
 Tax benefits due to various govt. policies
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12. HUMAN RESOURCE
 Genuine concern for HRM and development
 Efficient and effective personnel system
 Excellent training opportunities and facilities
 Congenial working environment
 Highly satisfied and motivated workforce
 Low level of absenteeism
 High level of organizational loyalty
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13. INFORMATION MANAGEMENT SYSTEM
 Ease and convenience of access to information
sources
 Computerized information system
 Use and availability of high tech equipment
 Positive attitude to sharing information
 Foolproof information security system
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14. 2. STATUS AND HEALTH
 Trends of result
 Risk
 Manufacturing activity
 Organization and Management structure
 Financial resources
 Use of resources
 Skills and technology
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15. 3.COMPETITIVE ADVANTAGE
 It is a special case of strategic advantage where
there is one or more identified rivals against whom
the rewards or penalties could be measured
 So out performing rivals in profitability or market
standing could be competitive advantage for an
organization
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16. EXAMPLES
 Nestle CA through “brand power”
 VIDEOCON acquire CA through integration
 CA through alliance
 Kotak Mahindra alliance with bank of Mathura
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