what is a swot analysis and why is it helpful?

What is a SWOT analysis?

SWOT Analysis or the Quadruple Swat Matrix, or the Quadruple Analysis Tool is one of the strategic analysis tools, and it is an analytical method that helps determine the points of weakness and strength, and realize the quality of threats and the nature of the opportunities available and affecting the establishments, and SWOT analysis is one of the important systems for preparing designing strategies for the business sector; By presenting a set of plans, whether short or long-term, the emergence and emergence of SWOT analysis dates back to a group of research issued by the Stanford Institute during the period between 1960 and 1970.


Elements of SWOT Analysis

They are the basic and main elements on which this analysis depends in evaluating the work of enterprises, and helping them to make decisions based on strategic planning, and the following is information about each of them:

strength point

Elements or strengths (in English: Strengths), are the elements that contribute to distinguishing the project or the company from other companies, and the strengths constitute a set of capabilities available within the facility, and contribute to achieving its demands and ridding it of the threats surrounding it, and examples of which are the presence of Competent people in the work environment such as trainees and managers, access to adequate financial resources, and use of technology.

Weak points

Elements or weaknesses, are the elements that show signs of weakness in the company or project, and weaknesses represent that deficit affecting the facility, and prevents it from reaching its goals, examples of which are the emergence of problems in the distribution and export of services and products.


Opportunities elements, are the elements that represent the external factors belonging to the facility or project, and reflect positive effects, for example, they may help to raise the profit rate or increase the sale of products, and opportunities constitute all trends or conditions that help achieve the desired goal, and from Examples include the emergence of cooperation between enterprises.


Threats are the elements that constitute influences from outside the facility or project, and lead to its being affected by a clear threat, and result in disturbance in the work environment of the facility or project, and threats represent all conditions of external sources that negatively affect the efficiency and quality of work within An example of a threat is that people are not interested in buying the company’s own products.


SWOT Analysis Template and Matrix

The analysis of the strategic situation within the work environment is based on a model called the dual model of performance and the environment. As for the SWOT analysis, known as the SWOT matrix, or the quadruple analysis tool, it is a four-way matrix consisting of weaknesses, strengths, threats, and opportunities, and the SWOT analysis model shows According to the following figure:

the SWOT analysis model

SWOT Analysis Strategies

After defining and studying all the elements of the SWOT analysis, knowing the nature of the threats and opportunities available, and evaluating weaknesses and strengths, a set of results appear that depend on various strategies, and management must choose the most appropriate strategy; Where it corresponds to the organization’s attitudes towards its goals and competitors, and the following is information on the main strategies of SWOT analysis:

Offensive strategy: It is the strategy that depends on the facility possessing elements of strength and many opportunities, so the facility is keen to implement an offensive strategy to take advantage of all opportunities and enhance its strength.

Therapeutic strategy: It is the strategy that indicates that the facility has a lot of opportunities, but is affected by several weaknesses that make it unable to take advantage of these opportunities, so the remedial strategy contributes to providing the appropriate treatment to correct the weakness that the facility suffers from.

Defensive strategy: It is the strategy that is used when there is an interaction between threats and elements of power; Where the organization is keen to invest its strength to defend itself against the threats it faces.

The deflationary strategy: It is the strategy that is used when the facility confronts the elements of weakness emanating from within it and a group of threats coming from outside, and the deflationary strategy is keen to provide treatment for weakness and reduce as much as possible the threats.


Importance of SWOT Analysis

SWOT analysis is one of the most important tools for strategic analysis, and it is considered the first stage of preparing and designing plans within facilities. It also helps people to take and make decisions that affect their lives. It is also an easy and very important method. Where it may not be ignored or not used in the work environment, the importance of SWOT analysis is summarized according to the following points:

SWOT analysis helps to know all the elements of the strength that can be used to deal with threats and obstacles, and provides the appropriate means to take advantage of the available opportunities, and reduces the control resulting from the elements of weakness affecting the efficiency of the work of the facility.

SWOT analysis contributes to providing appropriate treatments for complex strategic cases; By reducing the volume of information to contribute to the development of the decision-making process.

SWOT analysis provides facilities with the ability to choose the best systems, and review all data and information.

SWOT analysis supports organizations in reaching the best types of planning that help achieve goals.

The SWOT analysis is keen to overcome the barriers and obstacles affecting the change processes, and to clarify the nature of the constraints that prevent the continuation of change.

The SWOT analysis provides information on all its components, including threats, strengths, opportunities, and weaknesses; In order to apply a useful analysis of the facility.

SWOT analysis provides access to new and modern solutions to problems, effective decision-making, and enhances the role of exchange of ideas and communication between individuals. SWOT analysis provides appropriate recommendations that help in preparing feasibility studies for projects.


Steps to do a SWOT analysis

To use the quadrant analysis tool, a number of steps must be followed to perform the analysis, and the following is an explanation of these steps:

Define SWOT goals

Determining the business objectives of a SWOT or SWOT matrix is ​​the first step in maximizing the benefit of a SWOT. For example, it can be used to help determine whether a new product or service should be introduced or changed.

Determining strengths The second step in swat analysis work is brainstorming to identify strengths and arrange them within a complete and detailed list. And making sure the list is as specific as possible, making sure it’s accurate, then each one is evaluated, and the question is answered: Is it really a force that gives the project or business an edge or value, or is it just a good positive?

Identification of Weaknesses

To get better results and after identifying the strengths, you should focus on the weaknesses in the work, and it is also to make a list of the weaknesses by thinking about the resources, the work capabilities, the employees, and the general view of the market, which is often formed by listening to the different opinions It is important to make sure that the analysis is kept as realistic as possible, and once the list has been developed, it is scrutinized and refined, to identify a clear list that can be managed and that identifies the underlying weaknesses in an understandable manner.

Identifying potential opportunities

Possible external opportunities that can affect the work and lead to its success are identified. These opportunities differ from internal strengths. Attention should be paid not to include the same element as an opportunity and a threat. For example, external opportunities can include: new technology, training programs, partnerships, the state of the market and policy change.


Identification of threats

A list is made of external factors that could pose a threat or cause a problem to the business or enterprise, including, for example, high unemployment, increased competition, and high interest rates.

The quadruple SWOT analysis tool is of great interest; It works to identify the strengths and weaknesses of the establishments, and also contributes to determining the quality of threats and the nature of opportunities available in the business sector within studied steps using the Swat Quartet Matrix, after which the most appropriate strategy is determined to be compatible with the establishment’s positions towards its objectives and competitors; To obtain the best analysis and the best results for designing plans in the facilities and for individuals and companies to take decisions based on this realistic analysis.

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