An early warning system for strategic planning

Abstract Early warning indicators, weak or strong signals, alert coefficients, early warning or recognition systems and other terms can be found more and more frequently in the business related literature. Some progress-minded companies have adopted the theory and are about to initiate operational future observation systems, well adjusted to their own objectives. The author points out the significance and the advantages to a company of introducing an early warning or early recognition system and discloses the risks and problems that are associated with an improper implementation. He then outlines the different ways of utilizing the instrument of strategic early recognition for large and medium-sized enterprises.