The document provides an overview of the SWOT analysis framework and how it can be used for strategic planning. It includes a diagram labeling the internal/external and helpful/harmful factors in a SWOT analysis. There are also descriptions of how to match strengths to opportunities, convert threats/weaknesses into opportunities/strengths, and minimize or eliminate threats. The document advocates creating scenarios to envision potential futures and evaluate strategies and technologies. It stresses using objective measurements and targets to assess strategies and the gap between current performance and strategic goals over time.

1. Enterprise Strategy/AW/05
Arj Wignaraja

2. • Accounting
Internal records
Sources • Marketing data
Secondary Data
Collection External • Internet
Sources • Periodicals
• Reports
• Personal
Observation • Mechanical
Primary Data
Collection • Mail/e-mail
Surveys
• Telephone
• Personal

5. Strengths Weaknesses
I
n
t
e
r
n
a
l
Opportunities Threats
E
x
t
e
r
n
a
l
Helpful Harmful

6. Strengths Weaknesses
I
n
t
e
Maintain, Build and Leverage Improve or Stop
r
n
a
l
Opportunities Threats
E
x
t
e Exploit and Benefit Counter or Minimize
r
n
a
l
Helpful Harmful

7. 1. Matching •Strengths => Opportunities
•Threats/Weaknesses =>
2. Converting Opportunities /Strengths.
3. Remedying •Minimize or Avoid. Ideally eliminate

8. Strengths Weaknesses
I
n
t
e
r
n
a
l Opportunities Threats
E
x
t
e
r
n
a
l
Helpful Harmful

9.  "There is no reason anyone would want a computer in their home."
- Ken Olson, president, chairman and founder of Digital Equipment Corp., 1977
 "This 'telephone' has too many shortcomings to be seriously considered
as a means of communication. The device is inherently of no value to
us.“
 - Western Union internal memo, 1876.
 "The wireless music box [Radio] has no imaginable commercial value.
Who would pay for a message sent to nobody in particular?"
- David Sarnoff's associates in response to his urgings for investment in the radio in the
1920s.
 "Television won't be able to hold onto any market it captures after the
first six months. People will soon get tired of staring at a plywood box
every night."
- Darryl F Zanuck, 1946.
What managers need is a picture of the way the world might be in a
decade or two. They can then be in a position to evaluate technologies
and strategies in terms of how well they fit in with the imagined future
state. This picture of the future is known as a scenario.

10. Profit $250M
Ultimate
Objective Target growth 15%
rate
Objective Measurement
Strategic target $503M
Gap in 5 years
Sales target ?
Future Projects
Current Operations
Time

11. Efficiency strategies
Intensive strategies
Diversification strategies

13. Source: McKinsey Quarterly, July 2010