07-07-2012, 02:33 PM
SWOT analysis
SWOT analysis.doc (Size: 37 KB / Downloads: 31)
The SWOT analysis is an extremely useful tool for understanding and decision-making for all sorts of situations in business and organizations. SWOT is an acronym for Strengths, Weaknesses, Opportunities, Threats. Information about the origins and inventors of SWOT analysis is below. The SWOT analysis headings provide a good framework for reviewing strategy, position and direction of a company or business proposition, or any other idea.
Completing a SWOT analysis is very simple, and is a good subject for workshop sessions. SWOT analysis also works well in brainstorming meetings.
Use SWOT analysis for business planning, strategic planning, competitor evaluation, marketing, business and product development and research reports. You can also use SWOT analysis exercises for team building games.
Note that SWOT analysis is often interpreted and used as a SWOT Analysis 2x2 Matrix, especially in business and marketing planning.
In addition to this 2x2 matrix method, SWOT analysis is also a widely recognized method for gathering, structuring, presenting and reviewing extensive planning data within a larger business or project planning process.
See also PEST analysis, which measures a business's market and potential according to external factors; Political, Economic, Social and Technological. It is often helpful to complete a PEST analysis prior to a SWOT analysis. In other situations it may be more useful to complete a PEST analysis as part of, or after, a SWOT analysis. See also Porter's Five Forces model, which is used to analyse competitive position.
Please note: If you use SWOT Analysis as a 2x2 matrix method , then technically Strengths and Weaknesses are internal factors (generally the case anyway), whereas Opportunities and Threats are external factors (this can be more difficult, since it requires you to ignore internal threats and opportunities). The SWOT 2x2 'internal/external' matrix method thus only considers external threats and opportunities.
As a more general guide, here is a free SWOT analysis template worksheet (doc file), and the same free SWOT analysis tool (pdf format).
If you have difficulty opening the above doc file here are two other formats:
• SWOT Analysis Template doc file using table format instead of text-boxes (portrait layout)
• SWOT Analysis Template doc for Apple Mac (thanks U Weissbach)
A SWOT analysis measures a business unit, a proposition or idea; a PEST analysis measures a market.
A SWOT analysis is a subjective assessment of data which is organized by the SWOT format into a logical order that helps understanding, presentation, discussion and decision-making. The four dimensions are a useful extension of a basic two heading list of pro's and con's (free pro's and con's template here).
SWOT analysis can be used for all sorts of decision-making, and the SWOT template enables proactive thinking, rather than relying on habitual or instinctive reactions.
The SWOT analysis template is normally presented as a grid, comprising four sections, one for each of the SWOT headings: Strengths, Weaknesses, Opportunities, and Threats. The free SWOT template below includes sample questions, whose answers are inserted into the relevant section of the SWOT grid. The questions are examples, or discussion points, and obviously can be altered depending on the subject of the SWOT analysis. Note that many of the SWOT questions are also talking points for other headings - use them as you find most helpful, and make up your own to suit the issue being analysed. It is important to clearly identify the subject of a SWOT analysis, because a SWOT analysis is a perspective of one thing, be it a company, a product, a proposition, and idea, a method, or option, etc.
SWOT analysis is commonly presented and developed into a 2x2 matrix, which is shown and explained within the SWOT analysis matrix section.