SWOT analysis is a method of internal analysis, that is established according to their own internal conditions of analysis to identify business strengths, weaknesses and core competence lies. Where, S on behalf of strength (advantage), W on behalf of weakness (weakness), O on behalf of opportunity (chance), T on behalf of threat (the threat), which, S,
paul smith polo, W is the internal factors, O, T is the external factors. Complete accordance with the concept of competitive strategy, strategy should be a business
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SWOT analysis SWOT analysis implicitly assumes that the defect is assumed distinction between interest assumption of static analysis SWOT analysis of common mistakes leading competitive strategy expert Michael. Porter's theory of competition from industry structure to start a business SWOT analysis in front of a combination of both, based on the resource school of scholars, represented the company's internal analysis (ie, the mid-20th century, 80 management authorities are concerned with the academic research orientation, the ability of school as the representative) and industry the external competitive environment analysis (Institute for Strategic Studies earlier concerns that the central theme to Andrews and Michael. Porter as the representative) combine to form its own balance of structured system analysis system. And compared to other methods of analysis, SWOT analysis from the outset, significant structural and systemic features. To structured, the first in the form, SWOT SWOT analysis showed structural matrix structure, and matrix analysis of different regions to give a different meaning; second content, SWOT analysis also highlighted the main theoretical basis for analyzing the structural the enterprise's external environment and internal resources for analysis. In addition, the early 20th century before the birth SWOT 60 years, has been raised in the SWOT analysis related to the internal strengths, weaknesses, external opportunities and threats these variables, but only to analyze them in isolation. SWOT method is an important contribution to the idea is to use the system independently of these factors seem to match the comprehensive analysis of each other, making the business strategy formulation more scientific and comprehensive plan. Since the formation of SWOT method has been widely used in corporate strategy research and competitive analysis, strategic management and competitive intelligence as an important analytical tool. Of intuitive, easy to use is it important advantages. Even though no precise data to support and more specialized analysis tools, can draw a convincing conclusion. However, it is this intuitive and simple, making the lack of precision SWOT inevitably have flaws. Qualitative methods such as SWOT analysis, through a list of S, W, O, T in all its manifestations, the formation of a vague description of the competitive position of enterprises. As a basis for making judgments, inevitably with a certain degree subjective. Therefore, when using the SWOT method should pay attention to the limitations, set out as a judge based on facts, as far as possible the real, objective, accurate, and provide some qualitative analysis of quantitative data to make up for lack of SWOT, the basis of qualitative analysis of high-level structure . Recently, SWOT analysis has been widely applied in many fields, such as the school's self-analysis, the ability of individual self-analysis and so on. For example, re-use the career development of their own SWOT analysis, you can follow the following five steps: first, to assess their strengths and weaknesses of each person has their own unique skills, talents and abilities. In today's environment of very fine division of labor, each specializing in a particular area, not swordsmen. (Unless of course a genius.) For example, some people do not like to sit in an office all day, while others have thought of dealing with strangers, and my heart to numb, nervous. Please make a list, list the things you love to do and your strengths lie. Similarly, through the list, you can find yourself not really like to do and your weakness. Identify your weaknesses and strengths that you are equally important, because you can be based on their own strengths and weaknesses, and make two choices; or try to change the normal errors, improving your skills, or to give up not good for you Department of the skills required. You think you have listed are very important to your learning strengths and the impact of weak selection, and then mark the ones you think are important to you the strong weak. The second step, find your career opportunities and threats we know, different industries (including the different companies in these industries) are facing various external opportunities and threats, therefore, to identify these external factors will help you successfully find a copies for their own work, your job is very important, because these opportunities and threats affect your first job and future career development. If the company is in a constant external negative factors by the industry, it is natural, the company can provide career opportunities will be very small, and there is no career advancement opportunities. On the contrary, is full of a lot of positive external factors, the industry will provide job seekers a wide career prospects. Please list one or two industries you are interested in, then a careful assessment of these sectors face opportunities and threats. The third step, outline-style the next 3-5 years to list your career goals carefully to make a SWOT analysis of their evaluation, list your most wanted 5 years to achieve four to five career goals. These objectives could include: what you want in a career, you will manage the number of people, or if you want to be what the salary level. Please always remember: You must do everything we can to play to their advantage, so job opportunities with the industry to provide successful match. The fourth step, outline-style sets out a future career plans of action 3-5 years this step are mainly related to some specific content. Please prepare a third step to achieve the above goals set out an action plan for each and every detail in order to achieve goals, you need to do everything, and when completed these things. If you feel you need some outside help, please explain what you need help and how you can get this help. For example, your personal SWOT analysis may show that, in order to achieve your ideal career goals, you need more management training courses, then your career action plan should indicate what courses to attend, what level and when the training courses these courses and so on. Your detailed action plan developed to help you make decisions, as formulated in advance of travel plans will be the same as your guide to action. The fifth step, seek professional help to analyze the habits of their own career development and the shortcomings is not difficult, but going the right way to change them is difficult. I believe your friends, supervisors, career counseling experts can give you some help, especially a lot of time consulting with a professional will give you great power of shortcuts. With external assistance and supervision also let you get a better effect. Teaching from the perspective of strategic management, strategic management in many textbooks still use the SWOT analysis as the layout of the book, people familiar with SWOT analysis, where the majority of case studies will be used. In business management consulting, there are many defects in the strategic consultative SWOT Analysis SWOT analysis by the Learned, who was first in 1965, in the field of strategic management is widely used. Purposes of internal analysis, from the initial simple checklists (check list), to the specific competence (distinctive competence), the value chain and make the concepts of core competencies are seen as advantages to the development of the enterprise's external analysis, in addition to PEST analysis, Porter's competitive strategy theory analysis of the external environment in order to further refine the targeted industries, which are no doubt on the theory and practice of strategic management development had an important impact. And, like many other strategic model, SWOT model has been proposed by McKinsey, a long time, with time limitations. Companies may be more concerned about the previous cost, quality, and now the company may be more emphasis on organizational processes. For example, the previous printer, electric typewriter was replaced, how to change? Should be done with the printer, or other mechanical and electrical related products? From the SWOT analysis, the electric typewriter manufacturers in the electrical and mechanical advantages, the development of the printer and appears to have more opportunities. Some results of development towards the printer, died a sad death; some very successful development of production towards the razor. That depends on your opportunity to be the main growth strategy is, or should be competency-based growth strategy. SWOT change the status quo without taking into account the initiative of enterprises, enterprises can find new resources to create business advantage needed to achieve the strategic objectives of the past can not be reached. SWOT analysis in the application process, you may encounter some problems, and this is its adaptability. There are too many occasions to use SWOT analysis, so it must be adaptive. However, this can lead to a number of anomalies. SWOT analysis method based on the problems arising can be more senior POWERSWOT analysis to be resolved. Implicitly assumes that strategic decisions require information, SWOT analysis of strategic decision-making information needed to make two distinctions: distinction between inside and outside, that is on the enterprise's own information and information on the company's environment; interest distinction, that is good for business within the enterprise strengths (S), external opportunities (O) and harmful to the internal weaknesses of enterprises (W) and external threats (T). There is no doubt that this classification clear and greatly simplifies the development of strategic business information you need to master, but this SWOT defects also lead to the implicit assumptions. Distinction between inside and outside the assumptions usually considered in the SWOT analysis, opportunities and threats exist only in the external environment, the advantages and disadvantages exist only in the internal environment, strengths and weaknesses but in fact may occur outside the enterprise, opportunities and threats may also appear in within the enterprise. Penrose pointed out that the development of business opportunities often exist in the enterprise, the enterprise remaining productive resources is an important opportunity to grow. More important is often difficult to separate internal and external, Chamberlain that the company's ability to nest in an interdependent network, the network relies upon the interdependence of the enterprise, but also in business with the environment. Barney that the environmental analysis typically can not get excess return, excess return obtained if this is luck, because the environmental analysis methods and information is public, any company can get, only the analysis of product market strategy, business executives the unique assets, such as special have the technology, could obtain excess returns. Barney is still inside and outside the segmentation analysis, even of the environment, but also by internal factors, the value of organizational assets only in certain circumstances to demonstrate their value, internal and external integration can show a more complete analysis of the strategic picture. If the SWOT analysis in general and fragmented to list the advantages and disadvantages of internal and external environmental opportunities and threats, and then establish some kind of inside and outside the off potential and weaknesses of the criteria used are often based on business needs and organizational features of the operating history of performance. Threats and opportunities for the same incident, as if to grasp or handle business well, have the opportunity to come out on top, and vice versa may be brought to its knees, this situation can be a crisis. For example, China's accession to the WTO, many Chinese enterprises is the case. Therefore, SWOT distinction between strengths and weaknesses of the internal situation of fragmented continuum, and the distinction between opportunities and threats of interest does not reflect the same event together, and take the formation of corporate strategy, is clearly dangerous, but in practice has proved is difficult to operate. Business advantage of external changes led to changes in business, which from another aspect that the close of business and external links. In other words, internal and external environment analysis of the division is convenient, rather than the actual business. Interest assumptions distinguish judgments of strengths and weaknesses is a complex measurement problems. From the perspective of measurement, the measurement of external and internal conditions are often represented as a continuum, the relative strengths and weaknesses and extent of the SWOT analysis is required to use the appropriate measurement standards, which are entirely different than the actual merits of the enterprise have a distinction between more objective grasp. However, the strengths and weaknesses, opportunities and threats are the lack of clear measurement standards. For example, the advantage is with their own history, pre-planned, competitors have an advantage, or the situation and customer demand have more advantages? Stevenson's research shows that on the strengths and weaknesses of the evaluation criteria have a history of competition and plans of the three standard, enterprise more competitive is to use historical and standard to measure their own advantages and disadvantages are often used for program standards. Although the evaluation of enterprises to adopt similar steps, but there is no uniform standard, the evaluation has two faces. SWOT analysis of the assumptions of static analysis is usually some point to scan inside and outside the enterprise, then the strengths, weaknesses, threats and opportunities analysis to match the formation of a strategic four internal and external, that is SO strategy: to rely on internal strengths with external opportunities ; ST strategies: use of internal strengths to avoid external threats; WO strategies: use of external opportunities to overcome internal weaknesses; WT strategies: reducing internal weaknesses, avoiding external threats. Although some scholars a detailed explanation of each match will be different, but in the moment-to-business strengths, weaknesses, opportunities and threats of static analysis, it is difficult to ensure that no actual inside and outside the match will be achieved, for example, the enterprise is strong enough to take advantage of opportunities and threats, enterprises are the disadvantages of weak to miss the opportunity, bear threat. For example, SO strategy includes both the strategic planning process, that is, threats and opportunities to industry, the starting point for the analysis of the external-oriented strategic planning process (Five Forces Analysis Industry Orientation → → → driving factors of value activities) and to internal resources and capabilities as a starting point domestically-oriented strategic planning process (identification of resources and capacity evaluation of resources and capacity → → → use of resources and capacity to fill the resource gap), and stability in the external environment during the development of corporate strategy has some guidance, but turmoil in the enterprise environment period: industrial structure fuzzy, corporate resources and capabilities no longer valid, SWOT analysis and internal and external static matching little real significance. In other words, SWOT analysis and capacity development related to the evolution of industry evolution and cross-phase development strategy to help much. SWOT analysis implies a confidence in human ability to reason, mechanical, internal and external matching ignores the internal and external matching is often a process of trial and error and learning. In summary, SWOT analysis of the implicit assumptions can be said not only has the advantages of simplified and classified information, also has its disadvantages can not be comprehensive grasp of the information on the use of SWOT can say that there is a potential threat, however, recent years Strategic Management provides a rich understanding of our SWOT analysis of opportunities. The following are two common errors common mistakes during the SWOT analysis is a novice, it is easy to mistake committed. Sometimes these errors can be seriously misleading results. Not yet clear in the overall objectives and get consensus, to carry out SWOT analysis. The case of the overall business goals or plans are yet to be confirmed, it may SWOT all want the team members, resulting in SWOT analysis is also falling apart, and finally analyze the results can not be implemented, because the main goal may have three or five , or even stop the change, so the situation will result in long carriage. Cause of this phenomenon is not the status of the overall objectives have not been made; sometimes target has been raised, but everyone understood the situation only in their minds, and confirmation has not been shared, but misleading. The SWOT analysis as a viable strategy. SWOT analysis is just the current situation and objective statements. Perhaps most people in the strengths, weaknesses and threats can be objective surface representations, but the opportunity in this quadrant, and many people will be written into the policy, not the phenomenon. 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