How to Conduct a SWOT Analysis
Strengths-Weaknesses-Opportunities-Threats
This is usually carried out as part of a Business Plan, or Competition Analysis. It should produce an action plan for the business.
1. First, define the scope of the SWOT- the company, a department, an individual, a product
Then define the competitors you will compare against.
2. Produce a table like this;-
| Strengths | Weaknesses |
| Opportunities | Threats |
Fill in;-
Strengths-where you are better than competitors
Weaknesses-where you are worse than competitors
Opportunities– that affect everyone in the business or sector
Threats -that affect everyone in the business or sector
Strengths which will help to deliver the business strategy may be;-
- Skills
- People
- Products
- Processes
- Past successes
- Technological advances
- Knowledge
Weaknesses which will hinder the business strategy could be;-
- Lack of skills
- Poor performance
- Failures
- Causes of customer complaint
Opportunities which if exploited will help to deliver the business strategy could be;-
- Favourable changes in the market
- Technology
- Learning
- New products
- New services
Threats which may pose a risk to delivering the business strategy could be ;-
- Unfavourable changes in the market
- Changes in customer requirements
- Economic changes
- Technological changes
3. Identify actions and develop an action plan
Link up strengths and opportunities to create an attack plan
Link weaknesses with threats to create a defensive strategy
List any viable actions which arise as a result of the linking or listing process.
Prioritise actions on a cost/benefit basis