Markets are continuously evolving. To stride with the changes is the key to success in the current competitiveness. The organizations need to keep their pace, which is mainly possible, if they are aware of the market changes, and adopt the relevant measures to face the challenges.
Whether it is about an investment, borrowing, product or a process change, a process of change detection and analysis can aid the organization to a great extent. For such a market analysis, a change detection (CD) switch analysis worksheet is prepared.
What is a CD switch analysis worksheet?
CD switch analysis worksheet is a document of strategical analysis, prepared by experts, that is based on the changed trends or probable changes in the market, in which the organization is operating. This sheet is prepared by incorporating a process of change detection, which accounts for the stochastic changes, that have occurred in the past.
The worksheet can focus on one or multiple changes. Its importance lies in the fact that it helps in identifying if the change has occurred as well as it aids in devising the future strategies of a firm and notifies about how the company needs to respond and modify its products, processes, marketing campaigns, investments, etc., according to the change/s in the market demand and supply and other factors.
What are the advantages of a CD switch analysis worksheet?
Following are few of the benefits of this type of a worksheet:
Indicates the probable changes in the market:
The company can prepare itself, and respond to the changes, that have occurred, or the changes that will probably occur, by using this analysis worksheet. In addition, the actions that the company should take to survive effectively can also be gauged based on this analysis.
Identifies the timings of the change:
Not only the changes, but the timings of the changes are also indicated by the analysis sheet. Thus, the actions and strategies can also be timed accordingly.
Can be used for multiple changes:
It is not necessary that this sheet can only be used for one change at one time, rather, it can be used to analyze a multiple number of changes. It is beneficial because, usually, in a real world, more than one change is occurring at one point in time.
The Statistical analysis helps in setting targets:
As this analysis gives statistical figures, the targets can be set based on these numbers, so that the achievable targets are clearly known.
What are the main components of a CD switch analysis worksheet?
The components of this worksheet vary as per the circumstances.
- Date or time-period covered.
- Inflation rate.
- Interest rate.
- Political changes and government policies.
- Economic changes.
- Social changes.
- Technological changes.
- Changes in the competition.
- Relevant possibilities of the strategies and changes to be adopted by the organization.
One, or few, or all of the above components can be used for the change detection process. In addition, the measures used to gauge these components can vary as well, as per the requirements of the analysis.