The purpose of SWOT analysis (SWOT), a method used by various companies and firms, is to study the circumstances of the enterprise, the relationship between hidden opportunities and potential threats to its strengths and weaknesses.
Instructions
Step 1
The essence of this method lies in its name, according to the abbreviation in translation C - (strengths), C - (weaknesses), B- (opportunities) and U (threats). To make a swot analysis, you must strictly follow the following rules: The first and most important thing is to choose the right object of analysis and formulate the research goal. If you choose an organization as the object of analysis, this will not lead to the desired results, you need to analyze the relationship, for example, the bank and those who are interested in it.
Step 2
Make a list of strengths, weaknesses, threats and opportunities, remembering that strengths and weaknesses are factors inherent in the object under study, and opportunities and threats are what surrounds the object and what cannot be controlled.
Step 3
Having completed the SWOT matrix, it is necessary to analyze how to use strengths so that they help to counter the threat of the environment and help to use the opportunities that arise in the external environment. With regard to weaknesses, an analysis is needed of how to use them in order not to interfere with emerging opportunities and to counter environmental threats.
Step 4
It is important not to forget about the "time factor", in the case of an analysis, for example, within 10 years, one cannot ignore the fact that external factors may change.
Step 5
Which sides are strong and which are weak - this question is quite difficult and it is easy to make a mistake that will erase the result of the work, so the author of the analysis should not be one person, it is wiser to organize a working group.
Step 6
When listing external opportunities and threats, think about the market, not your company. Well-formulated opportunities and threats are those for you and for your competitors.
Step 7
It is important to do a swot analysis, but after drawing up a SWOT matrix, you also need to understand how to improve your own activities. Calculate which of the strengths or weaknesses are associated with more opportunities and threats, they will be the most important internal factors that require your attention. You can change them, significantly improve the affairs of your company.
