Use SWOT Analysis to PinpointStrengths and Weaknesses

ChrisRyan

“Nothing focuses the mind better than the constant sight of a

competitor who wants to wipe you off the map.”

- Wayne Calloway

Know Your Competition

It is necessary to know your opponents (business competitors) because they’re: – Strengths represent

threats to you– And, their weaknesses

represent opportunities for you to exploit

Marketing is war: To win at war, you must be acquainted with

yourself, your enemy, and the battlefield.

The Need for SWOT Analysis

• SWOT analysis came from research conducted at Stanford Research Institute between 1960 and 1970 to learn why corporate planning failed.

• Fortune 500 companies funded the initial research to find a way to overcome poor planning.

Critical Insight to Support Planning

A SWOT analysis is a subjective assessment of data that is organized

by the SWOT format into a logical order that helps understanding,

presentation, discussion, and decision-making.

Read Chris Ryan’s article on SWOT analysis here!

SWOT Categories

A SWOT analysis always focuses on four categories:

1. Strengths – What are we good at; where do we excel; where do we have a unique advantage or significant head start?

2. Weaknesses – What are we not good at; where are our vulnerabilities; where are we less than adequate; where have we been ineffective in comparison to the competition?

3. Opportunities – Where can we take advantage of current market trends; where can we exploit our strengths and the competition’s weaknesses; what are the possibilities for a big win; what excites us the most?

4. Threats – Which of the competitors are coming on strong; where are the market trends working against us; what are the gaps that can be exploited by our competitors; what scares us the most?

Expose Your Blind Spots

Every individual, and every company, has one or more blind spots. Your ability to discover

these blind spots is critical to the achievement of your marketing and sales

goals. However, it is not just weaknesses that you must discover, but also your strengths,

opportunities, and threats.

Ignorance is Not Bliss

Ask the tough questions:

1. What are the weaknesses in you, your department, your marketing strategy, the company?

2. What are the internal and external threats that can take you off your game or take you out of the game altogether?

Note: Marketing & Sales are tough. Root out your weaknesses and find ways to minimize and/or overcome them.

Performing the SWOT Exercise

• Perform the SWOT analysis on two levels:– Macro (the entire company or division)– Micro (your department)

• Perform SWOT analysis to ensure all relevant issues are on the table. And, be sure to:– Gain consensus from necessary stake holders– Guide the actions that have the greatest chance of

achieving your objectives

Achieving the Right Outcomes

Use the 4 SWOT quadrants to address issues that will help you achieve the right outcome:

1. Strengths – How do we maintain our strengths, build on them, maximize our advantages, and create greater leverage in the marketplace?

2. Weaknesses – How do we get the team (or company) to recognize its weaknesses, fix what is fixable, mitigate what is not fixable, or utilize outside resources to bring us up to par?

3. Opportunities – Of the many opportunities we have, how do we prioritize them given our strengths and weaknesses? Where can we get the greatest return on our human and financial investments?

4. Threats – Which of the threats against us are most likely to derail our business; how do we minimize or counter these threats; what can we do to get out of the line of fire?

An Example of SWOT Analysis

Summary

• Know your competition. Capitalize on your opponents weaknesses and recognize their strengths.

• Gain critical insights through your own SWOT analysis, with the goal of creating positive change to improve decision-making.

• Expose your blind spots. This will help you achieve your marketing and sales goals.

• Perform the SWOT analysis at the macro and micro level. Get all relevant issues out on the table.

• Ask the tough questions and achieve the right outcomes.

Free SWOT Analysis Template

Free SWOT Analysis Template

Get started faster. Download this free SWOT guide and template to accelerate your decision analysis.

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About the Center for Business Modeling

CBM is the leading provider of proprietary software and planning tools. We offer an online peer group of subject

matter experts and practical user-friendly resources. Our tools are designed to accelerate your business’s

profitability and growth.

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