A SWOT analysis is a strategic tool that allows business leaders and managers to ensure the feasibility of a project and identify any points to work on. Whether it is to develop a new product or a new service, or to tackle a new market, the SWOT analysis makes it possible to draw up a roadmap. Why opt for a SWOT analysis? How to proceed ? Here's everything you need to know.
SWOT is an acronym. Each letter refers to an English term. The French equivalent of the SWOT analysis is the SWOT analysis. However, the use of the Anglo-Saxon expression dominates. Here are some guidelines for understanding these two acronyms.
The SWOT analysis is a powerful strategic tool that offers the possibility to the various managers to evaluate the success of a project and to develop the right marketing strategy. To do this, several parameters are studied. Among them, there are the strengths, the faults, the competitors or even the markets.
To perform this analysis, it is important to use a matrix, which is called a SWOT matrix. This takes the form of a table with several entries which provides an overall view of the study. Each parameter is studied in depth at the same time.
The objective of the SWOT analysis is to identify all the positives and negatives of a company. Assets, in other words strengths and opportunities, must be reinforced. Weaknesses and threats must be identified and solutions must be found.
Doing a SWOT analysis is a necessary step when a company or a professional embarks on a new project. The strategic tool makes it possible to set up a roadmap. As a reminder, a roadmap is a list of steps that make up a strategy or action plan.
Performing a SWOT analysis can be done in different situations. Here is a non-exhaustive list.
In all these situations, it is necessary to ensure the feasibility of the project by studying the strengths, weaknesses, opportunities and threats. In other words, you have to do a SWOT analysis.
To carry out a SWOT analysis, it is necessary to collect as much data as possible. First, focus on internal data. Easy to collect, they allow you to take stock of the company's resources. These can be financial, human, material and immaterial. It is at this point in the study that we look at the production capacities, the workforce, the necessary budget or even the possible patents or authorizations to be expected. Finally, it is interesting to take stock of consumer satisfaction and their expectations. In the SWOT analysis, internal resources are represented by strengths (strenghts) and weaknesses (weaknesses).
After the internal analysis, it is necessary to study the external data. To achieve this, it is necessary to take an interest in opportunities (opportunities) and threats (threats). These elements will have a direct impact on the feasibility of a project but also and above all on its success. External data includes the study of the competition which makes it possible to take stock of the products and services offered by other companies as well as the prices. Comparing yourself to competitors allows you to better position yourself. During this key stage, it is also possible to take an interest in communication campaigns, the workforce or even the equipment present on the sites. The study of the competition is supplemented by an analysis of the environment. For example, a company that wants to market bicycles will have to look at networks of cycle paths.
For each of the parameters of a SWOT analysis, you have to ask yourself the right questions and try to answer them. The approach makes it possible to identify the strengths and areas of work that will maximize the success of the project.
To carry out the SWOT analysis, two solutions are available to companies and professionals. The latter can call on an external service provider who will study the project and study the strengths and weaknesses, opportunities and threats. Delegating SWOT analysis is beneficial because companies can get the wrong view of their data. It is also possible to do the analysis in-house. Several collaborators then take part in this study according to their expertise. Less expensive, this approach allows you to start working on the project. Of course, it is possible to call on an external service provider and work with them to have a more complete SWOT analysis.
Performing a SWOT analysis is a very important step that considerably reduces the failure rate when launching a new project. Thanks to it, weaknesses are corrected and threats are understood and circumvented.
SWOT analysis is different from market research. The latter makes it possible to ensure that a project is economically viable in order to find financing. Market research also helps determine how to sell and to whom. It can be part of the SWOT analysis which is a more complete and global study.
