SWOT Analysis Overview

Presented by: Frederick B. Benitez

What is SWOT Analysis?

 SWOT Analysis is a strategic planning method used to

evaluate the Strengths, Weaknesses, Opportunities, and
Threats involved in a project or in a business venture.
 It involves specifying the objective of the business venture
or project and identifying the internal and external factors
that are favorable and unfavorable to achieve that
objective.
 The technique is credited to Albert Humphrey, who led a
convention at Stanford University in the 1960s and 1970s.
The Components of SWOT Analysis
The Components of SWOT Analysis
The Components of SWOT Analysis
The Components of SWOT Analysis
Aim of SWOT Analysis
Conducting a SWOT Analysis
 When to Conduct a SWOT Analysis
• Do you want to explore the efficacy of a new venture, product,
acquisition, or merger?
• Are you interested in identifying solutions to address a particular
problem in your business?
• Do you need to re-evaluate a particular strategy mid-course?
• Does your business have a large amount of surplus cash and needs to
figure out how to invest the funds?
• Alternatively, if you are a non-profit, or governmental institution, have
you received a large grant, donation, or increase in funding, and need to
decide how to invest the capital?
• Have a number of new competitors entered your market? Does your
company need to reassess how to move forward within your business
nexus?
• Does your company want to identify its central brand message or social
mission?
Conducting a SWOT Analysis
 Why Conduct a SWOT Analysis
 A SWOT analysis provides organizations with an opportunity
to accurately assess their position in their particular market or
field.

 A SWOT analysis, which offers “simplicity and application to a

variety of levels of operation,” is an ideal way to develop such
awareness, which can then be used to craft a sound strategy that
capitalizes on an organization’s internal strengths and external
opportunities, while simultaneously addressing (internal)
weaknesses and (external) threats.
How to Conduct a SWOT Analysis
1. Analyse Internal and External Environment
Internal Factors
> Technological skills
> Leading brands
> Distribution Channels
S > Customer Loyalty/Relationship
> Production Quality
> Management
> Absence of important skills
> Weak brands
W > Poor access to distribution
> Low customer retention
> Unreliable product/service
> Management
External Factors
> Changing customer tastes
> Technological advances
O
> Changes in government policies
> Change in population age
> New distribution channels
> Changing customer base
> Closing of geographic markets
T
> Technological advances
> Changes in government politics
> Tax increases
> Change in population age
How to Conduct a SWOT Analysis
2. Perform SWOT Analysis and Document
 Establish objective
 Select contributors
 Allocate research and information gathering tasks
 Create workshop environment
 List Strength, Weaknesses, Opportunities, and
Threats
 Evaluate Listed Ideas against objective
 Carry your findings forward
How to Conduct a SWOT Analysis
3. Prepare Action Plan
Sources:
 Strategic Management Concepts and Cases, 11 edition – A
competitive Advantage Approach (Fred R. David & Forest R.
David)
 Managementstudyguide.com
 An Essential Guide to SWOT Analysis (Justin Gomer & Jackson
Hille)
 Wikipedia

Thank you.