SWOT Analysis - 2
Shankar A. Iyer, PMP
Prin Engr/Prog Mgr
Exelis Corporation
First, a quick recap ….
• Created as SOFT by Albert Humphrey at SRI in 60’s
– What is good at present is Satisfactory; Good in the future is
Opportunity; Bad in the present is Fault; Bad in the future is
Threat
• Became SWOT
– Structured planning method
– Fundamental activity of self-preservation and growth
– 4A: Aim, Assess, Activate, Apply; get your strategies USED
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Use Strength
Stop Weakness
Exploit Opportunity
Defend against Threat
In the business world ..
• SWOT Analysis can be used to look at the
– Product or Service
– Package
– Price
– Placement
– Promotion
– Political/Legal
– Professional/Public Relations
– People
S, W, O & T can be …
• Inherent or acquired in any of the P’s
• Temporary, short term, long term or
permanent
• Unique, rare, common or ubiquitous
• Surmountable or insurmountable
• Transferable or nontransferable
So, what is the difference?
• Traditional/simplistic view: SW are what we
have (internal factors), OT (external factors)
are what we face/deal with .
• But reality is more complex/nuanced
– Our own S or W can create O or T
• S can create O or T and W can create O or T
• Therefore, it is important to assess/refine
assessment objectively and regularly
• Circumstances change, people change, everything
changes – change is the only constant in life.
You might want to check this out …
http://ctb.ku.edu/en/tablecontents/sub_section_main_1049.aspx
This helpful article in The Community Tool Box
addresses the following:
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What is a SWOT analysis and why should you use one?
When do you use SWOT?
What are the elements of a SWOT analysis?
How do you create a SWOT analysis?
How do you use your SWOT analysis?
It is not a briefing if it has no colors
and charts ……..
• So, you saw set of slides are from Microsoft,
templates for doing SWOT Analyses.
• You can get them here:
http://office.microsoft.com/en-us/templates/swotanalysis-examples-TC101875476.aspx?AxInstalled=1&c=0
Take away from first session …
• SWOT Analysis needs to be an essential, conscious
exercise in everything that we do – by becoming
so, we will be just a bit faster, better, higher, longer,
cheaper – we will be more competitive.
• In the next session on this topic – in March 2013,
we will look at several examples – from the days of
mythical yore to 21st century political campaigns.
• Please:
– Fill in Evaluation Forms
– Collect Your PDU Forms
– Come in for the second session next month
Your feedback ……
• General Summary of the Evaluation:
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29/33 indicated all 4 or 5 ratings.
4/33 had some 3 ratings.
Nothing lower than a 3 in all the ratings.
15 evaluations had written comments:·
More examples
More tables
Can’t wait for follow-on session
Good facility
Skip 11:30-12
networking; engaging
speaker
Relevant stories
Integrate examples
Diagrams/pictures are
memorable
Try to end on time
Looking forward to Part 2
More audience
interaction
More examples
Difficulty understanding
speaker
Don’t talk like a
professor
Pace was slow
SWOT Analysis – Epic Tale
• Ramayana – dates back to events in 7300-7200 BC
• 24,000 verses, one of the longest of epic poems
• There are several instances in this epic where there
are discussions relating to assessing the S & W of
one’s self & opponents, and assessing O & T to
determine
– The right objective/course of action
– The optimal way to pursue it
• Example: Demon Mareecha’s extended discussion
with the demon king Ravana
Gist of this epic SWOT
Ravana’s Objective: Exact Revenge and Fulfill Lust
Ravana: S & O
Mareecha: W & T
Mighty king of demons with
unbeatable power/armies
Superhuman abilities
Isolated, well-guarded island nation
Divine boons do NOT cover mortals
No experience with Rama’s prowess as
an archer
Alienated all divine beings with
arrogant behavior – all wish your
downfall
Infatuation with women has caused
you troubles before
Your magical skills will make this easy
Abducting Sita is apt revenge for loss
of my brothers and insult to my sister
Rama is mere human being – exiled,
with little support; easy target
Loves wife dearly, her loss will finish
him; thus both my objectives will be
realized with least effort
My death is certain; yours and that of
all in our race will follow eventually
Blot on your name – coward, abductor
of helpless women
Success of your enemies at no cost
The recent election
P & G Head & Shoulders
• CP Test Marketed Cascade – a new shampoo
• P & G wanted to stop them!
Strengths: superior branding/marketing skills, channel
relations, strong image, deep pockets, excellent R &
D capabilities, manufacturing abilities
Opportunity: Immediately create concept and
promote it, develop actual product quickly and
launch nationally ahead of competitor
• P & G created H & S name and started national
promotion! Developed and distributed product
nationally before CP could do so with Cascade
An example from the WWW – Dell
http://som.csudh.edu/depts/cis/meyadat/ClassesPage/CIS502/casestudies/SWOT%20Analysis%2
0Example.htm
• In the mid-1990s, Dell Computer used a SWOT analysis to
create a strong business strategy that has helped it become
a very strong competitor in its industry value chain.
• Dell identified its strengths in selling directly to customers
and in designing its computers and other products to
reduce manufacturing costs. It acknowledged the weakness
of having no relationships with local computer dealers.
• Dell faced threats from competitors such as Compaq and
IBM, both of which had much stronger brand names and
reputations for quality at that time.
• Dell identified an opportunity by noting that its customers
were becoming more knowledgeable about computers and
could specify exactly what they wanted without having Dell
salespersons answer questions or develop configurations
for them. It also saw the internet as potential marketing
tool.
Dell SWOT
Strengths
Weaknesses
Sell directly to consumers
Keep costs below competitors’ costs
No strong relationships with
computer retailers
Opportunities
Threats
Consumer desire for one-stop shopping
Consumers know what they want to buy
Internet could be a powerful marketing
tool
Competitors have stronger brand
names
Competitors have strong
relationships with computer retailers
Dell decided to offer customized computers built to order and sold
over the phone, and eventually, over the internet. Dell’s strategy
capitalized on its strengths and avoiding relying on a dealer
network. The brand and quality threats posed by Compaq and IBM
were lessoned by dell’s ability to deliver higher perceived quality
because each computer was custom made for each buyer.
SWOT in Sports – NCAA Basketball –
VCU Rams in 2013 NCAA Tournament
Strengths
Weaknesses
Shaka Smart
Passionate, driven team members
Experience playing and doing well in
the tournament
Strong fan base, supportive university
system
Less powerful conference, even with
move to Atlantic 10
Lack the depth of experience that
traditional powerhouses have
Opportunities
Threats
Ranked opponents tend to
underestimate our abilities
Move to A-10 has made us more
visible, improves recruiting power
Competitors have stronger recruiting
power
Speed overwhelmed by physical
strength of opponents players?
A resource with lots of examples ..
• http://www.cps.ca.gov/WorkforcePlanning/do
cuments/SampleCompletedSWOTAnalysis.pdf
• Caveat: missing from the nice examples above
are the objectives associated with the SWOT
analyses, and the course of action pursued as
a result.
In conclusion …..
• SWOT Analysis – integral to self-preservation
and growth
• As with all tools, proper use/misuse possible
• Proper use empowers you to focus on right
strategic and tactical choices for action
• Please:
– Fill in Evaluation Forms
– Collect Your PDU Forms
• THANK YOU VERY MUCH.