SWOT
SWOT analysis identifies internal Strengths and Weaknesses, and external
Opportunities and Threats. Each of these should be identified for every line of
business (LOB) that organisation or project is engaged in.
Internal Strengths and
Weaknesses
Consult widely with staff and participants to identify weaknesses that must
be managed or avoided as the plan is formulated. Identify those strengths that
can be capitalised on in accomplishing the desired future. Many people do not
identify weaknesses as they think this shows failure and shortcomings.
Individual planners or a planning team may underestimate or avoid the
weaknesses.
Looking at five key areas can facilitate identification of weaknesses. They
are:
1. Line of Business
Analyse each line of business as a separate unit. Look at the Critical
Success Indicators [CSI} to see if they are in right place and have been
identified adequately. It is crucial to find out if there are units in
organisation that are operating as a business on their own.
2. Strategic Profile
Examine the strategic thinking in the organisation, and the level of
creativity. Look for examples of pro-active future thinking. Are there
strategic weaknesses such as passive thinking, or risk avoidance?
3. Resource Analysis
Are financial and managerial resources used well? Are there weaknesses or
gaps in the allocation of resources? Are some parts starved of resources,
while others are resource rich? Does the allocation of resources hinder
achievement of purpose?
4. Organisational Culture
In what ways does the organisational culture hinders or helps the
execution of its Statement of Purpose? What are the weaknesses associated
with organisational culture?
Four organisational cultures are:
Power culture: one individual can make a difference in organisation
Role culture: each person in organisation has a role and people perform
their role accordingly
Achievement culture: people in organisation want to reach certain goals
Support culture: everyone should support everyone else for he good of the
organisation.
5. Implementation Considerations
Identify weaknesses in the operation of the organisation. There is no
need to wait until planning has been finished before starting to implement
improvements. Taking action gives the impression to every one that
management is serious about strategic planning, and that the organisation is
committed to planning and evaluation.
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