SWOT analysis is an important tool that helps to identify the positive and negative factors affecting the production activities of the company. This analysis will allow an entrepreneur to build a correct and competent strategy of behavior, in accordance with the conditions of a market economy.
Instructions
Step 1
Assess your company's external environment. Study her close and then distant environment (possible suppliers, buyers). Analyze the business environment as well as the competition.
Step 2
Based on the information received, identify opportunities and threats for the development of your enterprise. It should be borne in mind that all risks and opportunities cannot affect the firm in the same way, but can actually happen. That is why, try to pay special attention to those factors that have a high probability of implementation and great power of influence.
Step 3
Based on the results of the analysis of the internal environment of the company, determine its greatest strengths and weaknesses. In turn, the internal environment of the organization includes: marketing, finance, production, management, personnel, research and development structure. At the same time, its analysis will allow you to find out the internal potential and specific capabilities of the firm, which should be counted on to achieve the set goals. Also, with the help of it, you can adjust the goals and mission of the enterprise, choose a strategy for further development, and also determine the ways of its implementation.
Step 4
Analyze the potential of the company, including its divisions, the equipment it possesses, the state of finance and the marketing department. Together with the general analysis, it is necessary to determine what the competitive position of your business is, whether its position meets the development strategy, as well as the chosen goals.
Step 5
Compare your company with its main competitors for the main factors of successful development. This will help you identify all the strengths and weaknesses of the enterprise. Analyze in more detail the following indicators: enterprise marketing, financial capabilities, production and management system.
Step 6
Establish links that define the interaction between the considered parties of the company. To do this, use a special SWOT analysis matrix. Consider all kinds of paired combinations and highlight the main ones that will need to be taken into account in the further formation of the strategy for the behavior of your enterprise.
Step 7
Develop a strategic action plan. In it, define what needs to be done to use all the opportunities and strengths of the company. Indicate how you can improve performance that is lower than your competitors. Also note how you can minimize potential threats while implementing the strategy.
