Tutorial 5 SWOT analysis
SWOT analysis has been around forever. I’ve sat through some really good ones – and a few that are best to forget – but I really think it is going to come into its own over the next few months.
For those who have never done a SWOT analysis, it is looking at the internal Strengths and Weaknesses of your own business in the context of the external Opportunities and Threats in the market that you operate in. By doing this we can identify potential strategies and actions to take the business forward.
Now SWOT can become a bit boring, a bit repetitive, a bit of a tick box exercise that you feel like you have to do, but really doesn’t provide any value. Well that is about to change…
This coronavirus is going to change SWOT out of recognition in the coming months. It has created so many changes to our lives in a short space of time and will continue to change our working practises through adoption of new technology, remote working, change of business process. Some of these changes are profound and are here for the long term, its likely we will never return to how things used to be. And in that the Opportunities and Threats that arise will change almost out of sight.
Just Google some of the predictions of change that will come from this crisis and think about how they will affect your business and sector. Here is one to get you started…
It will be like looking at your Strengths and Weaknesses through a crystal ball, and as the O and the T change, there is the potential for an S to become a W and vice versa. SWOT suddenly becomes a company defining conversation.
There are other things to do which make the SWOT more productive. Get more people in on it, whether that is in your team or from other functions in your business. Get as many perspectives as you can, not only will that enhance the exercise but will also more buy-in to the process from people who feel they have been listened to. The SWOT is the ideal team game to play on Zoom.
But don’t try and build the SWOT together – that will just create a dull compromise that doesn’t help anyone. Ask everyone to do their own, based on their own perception of the S and W and their own research of the O and T. Collate all the responses and build a SWOT that you can debate and understand each other’s perceptions and priorities.
Don’t use single words or phrases – nothing worse than writing ‘Good team’ or ‘competition’. Define what it is about the team or the competition that makes them worthy of being in the analysis. Remember, the same thing can be in more than one section if you define it properly. I recently did this with a client who managed to categorise someone leaving the business as a S, W, O and a T!
Finally, once you have agreed the SWOT, then is the time to cross reference them – make them confront each other. See how your strengths are going to open up the opportunities and ward off the threats. Check how your weaknesses are going to make you miss on those opportunities or make you susceptible to the threats. This is where the SWOT comes alive, its what creates the actions and will ultimately create the strategies to move forward.
I hope that helps. I hope it inspires in some way to sit down with the team and create a SWOT. Look at it in a positive light, not as something you are expected it do. Done properly it can really facilitate change.
There is a video on Youtube and you will find the tutorial at oneobjective.co.uk/tutorials
Chris Perkins is a Part Time Marketing Director, working with clients to provide marketing leadership, strategy and direction. This course has been designed as a FREE to access resource to enable SME business owners and teams to create a workable business plan through a series of simple exercises.
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