Come Back to Basics Strategy - SWOT Analysis

Strengths. Weaknesses. Opportunities. Threats. Perhaps you have heard of S.W.O.T. Analysis since it is first introduced in almost all business, marketing, sales and curriculum known to man. But, what if you actually took a business course? How many of you climbed the ranks to get where you are today, without going through the traditional business school curriculum? I remember working with a contractor that was clearly an exceptional success, including its customers, and had given a great value, but had never done a SWOT analysis on your business - you do not even know what it was.

In any economy, the strategy is the key. We are constantly reminded that the planning and goal setting is an integral part of success, and we must be flexible enough to understand that with the change of state of the economy, our strategies and goals may change. Being able to make a strategic analysis of any effort before launch, and then have the opportunity to reassess where justified, will always be one step ahead of the competition and, hopefully, on the positive side of the recession.

Let's get back to basics. One of the key aspects of strategic planning is facing and evaluating the components of the SWOT - Your strengths, weaknesses, opportunities and threats. Ideally, you set a goal. It could be to increase revenue by 20% in 2010 and to establish relationships with three new customers. Whatever the goal, making a S.W.O.T. analysis will help you determine what's going to help you achieve this and what types of obstacles that might get in the way. Each examines various aspects of the implementation (or missing) the objective:

- Strengths: What strengths or positive attributes you or your team, who have a direct or less to achieve this particular goal? Do you have a new sales person who has a proven track record and brings new contacts? You have a strong set of customer loyalty? Do you provide a value added of a particular product that will increase revenue? Think of the positives that will help you reach your goal and write it.

- Weaknesses: What pitfalls so you will achieve your goal? Your sales force lacks the drive to increase its numbers? Your lead generation and follow-up of the system ineffective? Do you lack the tools to support that will help you achieve the goal? Knowing your weaknesses are and addressing them early on will help to move forward successfully. Be honest here. The only way you can convert a weakness into a strength is to recognize it. Consider a weakness as an opportunity to grow your business!

- Opportunities: outside your company and your team, what opportunities you can capitalize on that are not yet fully exploited? Your suppliers have existing programs that can work with? As well as your customers promote your products than your competitors? There is the possibility to do better here? What opportunities exist outside that can help your sales force in a growing number of income?

- Threats: Where there are opportunities, there are also challenges. What exists outside of your company that might prevent you from achieving your goal? He's a competitor strengthening and creation of a new challenge? It is the advancement of technology going to make your products or services obsolete or at least less valuable? What events in law, economics, or even public opinion could impede your progress? Understanding external threats to your overall goal will allow you to minimize their effect on expected results.

What makes a S.W.O.T. The analysis is so important that the exercise should not be used for the sole purpose of evaluating the programs and objectives profitable. You could do an analysis on your brand image in the market or how your stack value proposition against the competition. If you are thinking of expanding your business into new markets or trying to reach a new channel, a SWOT analysis can help you decide whether or not you are doing a good business decision and if so, what are the risks involved? ......