Final answer:
The third step in the strategic planning process is to undertake a position analysis, which informs the company about its internal and external environments and aids in setting achievable goals.
Step-by-step explanation:
The third step in the strategic planning process is Undertake a position analysis. This step involves evaluating the organization's internal and external environments to understand its strengths, weaknesses, opportunities, and threats (SWOT analysis).
This analysis is critical as it helps in setting achievable and appropriate goals.
It also determines the foundation upon which the company can identify how these goals can be achieved, ensuring that the planning is rooted in current realities and informed projections.