SWOT analysis

Strategic Management
SWOT ANALYSIS
MANAGEMENT - SWOT ANALYSIS INNO-SMART Barcelona - www.inno-smart.com
Silvia Rodriguez-Donaire, Ph.D.
silvia.rodriguez-donaire@inno-smart.com
INNO-SMART Barcelona CEO
@srodriguezd

INNO-SMART Barcelona - www.inno-smart.com MANAGEMENT - SWOT ANALYSIS
INTERNAL EXTERNAL
Strengths &
Weaknesses
Opportunities &
Threats
CONTENT
STEP 3c
SWOT
Analysis
STRATEGIC MANAGEMENT
SITUATION ANALYSIS
STEP 3c: Situation Analysis

CONTENT STRATEGIC MANAGEMENT
STEP 3c
What are SWOT Analysis
ANALYSIS
objectives?
SWOT - MANAGEMENT INNO-SMART Barcelona - www.inno-smart.com Understand how to build the SWOT
MATRIX
Apply the quantitative and
qualitative SWOT Analysis
method using a group decision
Analyze and discuss the SWOT
Analysis results.
SWOT
Analysis

STEP 3c
STEP 3c - SWOT
Analysis
SWOT Matrix
SWOT Analysis
SWOT
Analysis

STEP 3c
What’s SWOT?
SWOT
Analysis

STEP 3c
What’s SWOT?
It’s a tool for an organization analysis.
Planning tool used to understand the
Strengths, Weaknesses, Opportunities and
Threats involved in a project.
SWOT
Analysis

STEP 3c
What’s SWOT?
STRENGTHS: what the company does well compare to
its competition. It gives an advantage over others.
● Product line
● Technology
● Cash flow
● Client base
● Industry knowledge
● Patents
● ...
SWOT
Analysis

STEP 3c
What’s SWOT?
WEAKNESSES: what the company does not do
well compare to its competition. It gives
disadvantage over others:
● Lack of capacity
● Inexperience
● Bad service
● ...
● Poor communications
SWOT
Analysis

STEP 3c
What’s SWOT?
OPPORTUNITIES: where the company can
grow and create additional revenues.
● Growing demand
● Industry growth
● Alliances
● Evolving client needs
● ...
SWOT
Analysis

STEP 3c
What’s SWOT?
THREATS: where the company is vulnerable to
lost revenue.
● Trade barriers
● Cost reduction
● Environmental regulations
● New competitors
● Weak entry barriers
● High exit barriers
● ...
SWOT
Analysis

It’s time for your
SWOT Matrix
STEP 3c: Situation Analysis - SWOT Matrix
STEP 1: Rank the opportunities, strengths, weaknesses
and threats of your situation analysis.
STEP 2: Choose the main opportunities,
strengths, weaknesses and threats. Not
more than 5.
STEP 3: Build the SWOT matrix
completing the following template.
CONTENT
STEP 3c
SWOT
Analysis

STEP 3c
STEP 1c - SWOT
Analysis
SWOT Matrix
SWOT Analysis
ANALYSIS
SWOT
Analysis
SWOT - MANAGEMENT INNO-SMART Barcelona - www.inno-smart.com

STEP 3c
Situation Analysis
technique:
SWOT Analysis
SWOT
Analysis

STEP 3c
STEPS for SWOT
ANALYSIS
Analysis
SWOT - MANAGEMENT INNO-SMART Barcelona - www.inno-smart.com What has been done?
STEP 1 & 2: Rank and select 5 opportunities,
strengths, weaknesses and threats that your
business face.
STEP 3: Build the matrix with the previous
selection.
SWOT
Analysis

STEP 3c
STEPS for SWOT
ANALYSIS
Analysis
SWOT - MANAGEMENT INNO-SMART Barcelona - www.inno-smart.com What’s NEXT?
STEP 4: Individually, each member of the group will
quantify from “10”(+) to “1”(-) each of the factors of
your matrix according to the following questions…
Top values (10) stand for firm’s benefit
point of view.
SWOT
Analysis

STEP 3c
STEP 4 for SWOT
ANALYSIS
Analysis
SWOT - MANAGEMENT INNO-SMART Barcelona - www.inno-smart.com Quantify from “10”(+) to “1”(-) each of the factors
Q1: How much does every
strength take advantage
of each opportunity?
strength allow the firm to
reduce or minimize the
most likely threat?
Q3: If the weakness are
not overcome, would the
firm take advantage of
each opportunity?
firm reduce each threat?
STRENGTH WEAKNESS
OPPORTUNITIES THREATS
SWOT
Analysis

strength take advantage
of each opportunity?
strength allow the firm to
reduce or minimize the
most likely threat?
ANALYSIS
SWOT firm take advantage of
each opportunity?
- MANAGEMENT INNO-SMART Barcelona - www.inno-smart.com Q4: If the weakness are
firm reduce each threat?
STRENGTH WEAKNESS
O1 O2 O3 O4 O5 T1 T2 T3 T4 T5
S1 S2 S3 W1 W2 W3
5 4 8 8 5 7 5 4 7 2
6
8
1
5
9
9
4
5
4
5
1 5 4 3 3 8 2 5
55
33
34 34
45
52
20
20
54 40 50 44 30 46 28 36
CONTENT
STEP 3c
SWOT
Analysis

It’s time for SWOT
analysis
STEP 4: Situation Analysis - SWOT Analysis
● Quantify individually the SWOT
matrix
CONTENT
STEP 3c
SWOT
Analysis

STEP 3c
STEPS for SWOT
ANALYSIS
Analysis
SWOT - MANAGEMENT INNO-SMART Barcelona - www.inno-smart.com STEP 5: Meet your group and agree on the final
score of each square matrix quadrant.
STEP 6:
● Detect the strengths and opportunities that
have bigger scores.
● Detect the weaknesses and threats that have
smaller scores.
SWOT
Analysis

STEP 3c
STEP 6 for SWOT
ANALYSIS
Analysis
SWOT - MANAGEMENT INNO-SMART Barcelona - www.inno-smart.com ● Opportunities with higher scores are the ones
that we can take advantage of.
● Strengths with higher scores are the ones are
that we must take advantage of.
● Weakness with lower scores are the ones that
the firm has to invest to reduce or mitigate.
● Threads with lower scores are the ones that the
firm has to identify and protect against.
SWOT
Analysis

SWOT Analysis example
O1 O2 O3 O4 O5 T1 T2 T3 T4 T5
D1 D2 D3
5 4 8 8 5 7 5 4 7 2
6
8
1
5
9
9
4
5
4
5
1 5 4 3 3 8 2 5
55
33
34 34
45
52
20
20
54 40 50 44 30 46 28 36
Which ones we
have to invest to
reduce or mitigate
Which ones we
must take
advantage of
Which ones we have
to identify &
protect against
Which ones you can
take advantage of
TOTAL
40
TOTAL
225
S1 S2 S3
CONTENT
STEP 3c
SWOT
Analysis

analysis
STEP 5 - 6: Situation Analysis - SWOT Analysis
● Meet your group and agree on the
final score of each matrix quadrant.
● Detect the strengths and opportunities
that have bigger scores.
● Detect the weaknesses and threats
that have smaller scores.
CONTENT
STEP 3c
SWOT
Analysis

STEP 3c
STEP 7 for SWOT
ANALYSIS
Analysis
SWOT - MANAGEMENT INNO-SMART Barcelona - www.inno-smart.com STEP 7: Assess in which quadrant state you are
Cuadrante MAXI-MAXI (F-O):
SUCCESS
Reinforce strengths to get the
opportunities
Cuadrante MAXI-MINI (F-A):
ILUSION
Reduce threats effects
Cuadrante MINI-MAXI (D-O):
DECLINATION
Reduce weakness to get the
opportunities
Cuadrante MINI-MINI (D-A):
VULNERABILITY
Reduce threats and weakness.
BAD situation.
STRENGTH WEAKNESS
SWOT
Analysis

SWOT Analysis example CONTENT
STEP 3c
ANALYSIS
40
SWOT Quadrant MAXI-MAXI (F-O):
- MANAGEMENT SUCCESS
19,55%
INNO-SMART Barcelona - www.inno-smart.com Quadrant MAXI-MINI (F-A):
ILUSION
17,77%
Quadrans MINI-MAXI (D-O):
DECLINATION
12,44%
Quadrant MINI-MINI (D-A):
VULNERABILITY
14,22%
STRENGTH WEAKNESS
= 17,7%
225
TOTAL MATRIX = 225
TOTAL Q Max-Mini = 40
SWOT
Analysis

STEP 3c
STEP 8 for SWOT
ANALYSIS
Analysis
SWOT - MANAGEMENT INNO-SMART Barcelona - www.inno-smart.com STEP 8: Once detected your quadrant and the main
opportunities, strengths, threats and weaknesses to be
considered, discuss in group:
● Opportunities: how could you take advantage of?
● Threats: how would you protect against?
● Strengths: how could you take advantage of?
● Weaknesses: how would you reduce them?
SWOT
Analysis

CONCLUSIONS
STEP 7 - 8: Situation Analysis - SWOT Analysis
● Detect in which quadrant you are
● Discuss in group how you could take
advantage of the main opportunities
and strengths.
● Discuss in group how you would
protect against threats and mitigate
weaknesses.
CONTENT
STEP 3c
SWOT
Analysis

STEP 3c
What might be learn?
Understand how to build the
SWOT MATRIX
Apply the quantitative and
qualitative SWOT Analysis
method as a decision group.
Analyze and discuss the
SWOT Analysis results.
SWOT
Analysis

STRATEGIC MANAGEMENT
SITUATION ANALYSIS
STEP 3c: Situation Analysis
INTERNAL EXTERNAL
Strengths &
Weaknesses
Opportunities &
Threats
CONTENT
STEP 3c
SWOT
Analysis

SWOT analysis

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