SWOT Analysis: Focusing On Your

Organization

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SWOT Analysis Overview What is SWOT Analysis?

Remember, It’s Virtually Impossible To Focus Too Much On What You Do Well And What Creates Profits For Your Business.

A SWOT (Strengths, Weaknesses, Opportunities, and Threats) is a tool used to provide a general or detailed snapshot of a company's health. Think of your SWOT as a tune-up that every business needs periodically to diagnose and fix what’s a bit worn, what’s on the verge of breaking down, or what’s already broken and needs replacement--so that you can keep the business humming—even better than it has in the past.

SWOT offers professional managers an effective evaluative technique to aid the decision making process.

It can not find the solution for you, but it will ensure that issues are: identified, classified and prioritized clearly, showing the problem in terms of key underlying issues. Decision makers can then see the answer.

It's a four-part approach to analyzing a company's overall strategy or the strategy of its business units. All four aspects must be considered to implement a long-range plan of action.

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SWOT Analysis Focusing On Your Organization

“Concentrating” or “focusing” in a business sense does NOT literally mean concentrating or focusing on a single miniscule product or service; nor clinging to one “winner” forever; nor not revamping an already successful (profitable) product/service to make it even better; nor marketing it the same way it’s always been done. It does mean honing in on a relatively narrow product/ service/market set where the company has best chance of making a profit into the foreseeable future. Focus and avoid becoming a BADD company by doing the following:

1. Learn to say NO when appropriate: No, we don’t do that at this point. We do this. No, we aren’t ever going to do that. Others do that already. These are the tough decisions that enable you to grow your business a step at a time.

2. Dare to assess how much time and effort you devote to what your business is really good at and where you make the most money/have the most short term upside.

3. Significantly narrow your business focus for the next 6 months. Yup, it can be painful to admit you can’t do it all. In parallel, narrow your marketing messages and make them match your products and services (very unusual but very differentiating).

SWOT Enables A Focus On Your Business That Will Promote Team Discussion and Actions!

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SWOT Analysis Focusing On Your Organization (Cont.)

4. Then invest 75% or more of your business aggregate time, resources and energies in that key thing that you do best and generates the most profits.

5. Tell the truth and the good stories about your business to your customers and markets. In appealing to all types of markets that you do virtually anything, your messages usually become mush, you lose credibility, you lose attention (despite any level of marketing funding)—you create your own marketing and sales nightmare. All things to all people is not a position. It is a death sentence.

6. Grow organically for the foreseeable future. Sure there are business cases to consider to purchase highly complementary or directly competitive businesses, but those are the exceptions versus the rules. Try it the old fashioned way for a while.

7. Execute, execute, execute. This is the bane of BADD executives—who would rather go after that next windmill, do that next deal, and look busy--versus executing, which is a lot harder work.

Have a sense of urgency but don’t hurry your business. It always takes longer than you think it will

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SWOT Analysis Template

Oppurtunities Threats

SWOT AnalysisInternal

Strengths Weaknesses

External

Writing alone on a piece of paper, without a name, provides some protection of anonymity, & some observations about

sensitive issues can be revealed this way

The SWOT Template is a Simple Worksheet

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SWOT Analysis Why It’s Difficult to SWOT Yourself

Can you SWOT your business yourself? Sure, if you’re really willing to check your ego(s) at the door, truly step back, and take an objective no-holds-barred look at your business: the good and the bad. It’s very difficult to do internally, but certainly possible. I’d guess, though, that fewer than one in four businesses can do it alone. Why is a SWOT so tough to do yourself?As part of the company, you’re simply too close to the action. Yes, you know your business better than any “outsider” ever will, but you’ve been looking at it the same way for so long that you’re not really seeing what you need to see. And you probably take for granted some assumptions that may not be relevant (any longer).You may not have enough reference points to be able to evaluate your business and compare it to others.Someone needs to drive the process. Unfortunately, unless you invest in an outside professional, too often the SWOT just doesn’t happen—or is not well done. SWOT can bruise egos. A good SWOT almost always helps identify some overlooked strengths, but also rocks the boat. A consultant can push the process and avoid getting bogged down in personality and political issues.

Whether you attempt it yourself or get some help, a SWOT is a quick-and-dirty, super-objective look your successes, your

failures, the market, and your competitors

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SWOT Analysis Outside Expertise?

If you decide to use an outside expert to help SWOT:

Use a pro who knows not only Marketing and Sales, but is also business-savvy.

Give them access to the information and people they need and tell it to him/her straight. You can fool even some of the best if you really want to, like a patient who doesn’t divulge symptoms to a physician, and then shouldn’t expect to get a very good diagnosis.

Don’t expect all of THE answers: expect objectivity and unbiased analytical thinking, and someone who will put the time and effort into doing the SWOT right.

Leaders Use Lean Six Sigma To Counter BADD Leadership!

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PMI (Plus, Minus, and Interesting) Analysis Template

Plus Plus Score Minus Minus

Score Interesting Interesting Score

0 0 00 0 00 0 00 0 00 0 00 0 00 0 00 0 00 0 00 0 00 0 00 0 00 0 00 0 0

Plus Totals 0 Minus Totals 0 Interesting Totals 0

0

PMI AnalysisQuestion: ?

SummaryTotal

PMI Analysis Is A Simple Team Worksheet For Pre and Post Meeting Assessments

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About The Author

Steven Bonacorsi is a Senior Master Black Belt instructor and coach. Steven Bonacorsi has trained hundreds of Master Black Belts, Black Belts, Green Belts, and Project Sponsors and Executive Leaders in Lean Six Sigma DMAIC and Design for Lean Six Sigma process improvement methodologies.

Our Expert Consultants Can Help Your Business Growth

The AIT Group, Inc. Steven Bonacorsi, Solution Provider Lean Six Sigma Master Black Belt 3135 South Price Road, Suite 115 Chandler, AZ 85248-3549 Phone: +(1) 888.826.2484 E-mail: americas@theaitgroup.com

http://www.theaitgroup.com http://blog.theaitgroup.com/?tag=change

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About The AIT Group