1. Sustainable Economic Development of the Sudurnes
region, Iceland
SWOT Analysis and Needs Assessment
JOSE MATEOS MORENO
Ásbrú, January 2012

2. Content
1. SWOT
2. Needs assessment
2

3. Main Stages of OP Preparation
Organisation of OP process
SWOT Analysis
Strategic Goals and Priorities
Budget Allocation and Impacts
Implementing Arrangements
Ex-ante Evaluation
Negotiations with EU
1 to 2 years
3

4. SWOT Analysis
Strengths Weaknesses
Internal
& static
External
& dynamic
Opportunities Threats
4

5. SWOT Rules
• Formulate in terms relative to the current situation
• Keep it simple and realistic
• It is subjective: which point of view?
• Avoid:
– Intention or wish as opportunity
– Objective as threat or weakness
– Internal versus external
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6. Driving Factors for Competitiveness
• Talent – the creativity, flexibility and skills with
which the workforce is endowed
• Innovation – the ability of the place to keep
reinventing itself and to respond effectively to
new challenges
• Connectivity – how open and „plugged in‟ the
place is
• Entrepreneurship – how encouraging the
environment is for harnessing the place‟s
potential for profitable enterprise
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7. 7

8. SWOT Elements (OP COMP.)
• Description of the Productive sector: Socio-Economic
Analysis
– Macro-economic situation (GDP, inflation, labour market,
Openness of the economy, etc.)
– Regional Structure of Production
– Description of Enterprises
– The “business environment”
– Development Potential
• Description of Industry and Enterprise trends
– Benchmarking (Value added index, investment in R&D,
etc.)
– Trend analysis (development od SMEs, energy efficiency,
needs of technology, etc)
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9. Needs Assessment (1)
• Based on SWOT
– Establish future socio-economic scenarios
– Estimate future needs or competitiveness
problems
– Translate needs forecast in physical and
financial needs
• Identification of future bottlenecks (e.g. lack of
investment in R&D)
• Identification possible solutions
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10. Needs Assessment (2)
• Tools
– Desk research
– Literature study (e.g. relationship between
regional competitiveness and information
society)
– (Baseline) surveys (e.g. SMEs creation
monitoring, industry reports)
– Forecasts of Industry development
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11. Practical Exercise: work in teams.
• Design a SWOT Analysis for Sudurnes
Region.
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12. Practical Exercise: work in teams.
STRENGTHS
– International Airport
– Natural Resources (Water, Air, Geothermal)
– Plenty of Land
– Young Population
– Fish Industry
– Good Infrastructure
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13. Practical Exercise: work in teams.
WEAKNESSES
– Educational level of work force low. Lack of
opportunities for educated work force.
– Lack of culture for innovation and initiative
(entrepreneurship).
– Need for a better connection with capital
area.
– Too small & too many local authorities
– Distance to the capital. Competition for
resources or projects.
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14. Practical Exercise: work in teams.
OPPORTUNITIES
– International airport Development
– Better use of natural resources
– Flexible labour market
– Close location to capital area.
– Cooperation with other regions.
– Changes in national law (contribution to
investment, tax reductions).
– Opening of north pole and Artic areas.
– Tourism development. 14
– New demand for use of empty buildings.

15. Practical Exercise: work in teams.
THREATS
– Lack of coordination and coherence.
Loosing opportunities.
– Unemployment could Increase.
– Loosing employment opportunities because
of low skills level of population.
– Weak social capital. Departure of Nato
base.
– “Lost generation” (16 to 20 years old) of
unemployed people.
– Changes in Fisheries Policy.
– Proximity to capital area.
15
– Families & Financial crisis