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The External Factor Evaluation (EFE) Assignment Help

Know How to Prepare the External Factor Evaluation Model and Its Advantages 

The external factor evaluation is a tool that is used by a firm to evaluate its existing plans. It evaluates the external environment of the company that might include the social, economic, political, technological or legal data.The main external factors are studied properly and summed up to make it easy for evaluation. More on the topic can be learned by checking out visit the external factor evaluation (EFE) homeworkhelp.

Main categories of external factors

  1. Opportunities –

The probabilities that are present in the outside environment that can be explored by the firm. The decision is solely on the company whether they use these opportunities or they leave them due to the constraint of resources.

  1. Threats –

The probable blockages that are available in the external front are the threats that hinder the growth of the company. More knowledge on these categories with examples can be obtained by clicking on visit the external factor evaluation (EFE) assignment help.

Steps in making the External Factor Evaluation Model

Five basic steps need to be followed for preparing the External Factor Evaluation Matrix that is as follows –

  • Noting down the main external factors

All the necessary external factors that can affect the model are noted with a note on the opportunities and threats that these factors can have on the firm’s performance.

  • A proper weight-age is assigned to each factor

The factors that have been identified and listed in the previous step are given weight-age according to the importance that each factor carries. The percentage is used to represent the importance of each factor. All the factors should add up to one.

  • A rating needs to be given to the factors

The next step is to rate each of these factors between the numbers one to four. This rating is given according to the firm’s response to the factors.

  • The weight and rating of each factor have to be multiplied

The weight of a factor is multiplied by the rating given to that factor, and the result is noted.

  • The total score of each factor is summed up

The score from the previous step is summed up so that a score can be given to the complete organization. More on these steps can be learned by visiting visit the external factor evaluation (EFE) homework help.

Benefits of the evaluation

  1. It helps the organization to be ready for any change in environmental condition be it social, technological, government regulations,
  2. It helps to take decisions in business when the decision is related to the external factors. Details on such advantages can be derived by visiting visit the external factor evaluation (EFE) assignment help.

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