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April 04, 2017 @ 01:15 PM

April 04, 2017 @ 01:15 PM

K. J. Somaiya Institute of Management Studies and Research, Mumbai

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SWOT analysis for MBA Aspirants

We are continued to be advised that we must exercise SWOT analysis before we approach for interviews at MBA institutes or for Job interviews. 

What is SWOT and why it should be analyzed and how we can be benefited out of analysis. Please read on…..
SWOT, an unofficial acronym for Strength, Weakness, Opportunity, and Threats.
SWOT analysis is one of the strategic planning methods used to evaluate the Strengths, Weaknesses, Opportunities, and Threats involved in a project or in a business venture. It involves specifying the objective of the business venture or project and identifying the internal and external factors that are favorable and unfavorable to achieve that objective. 
The technique is credited to Albert Humphrey, who led a convention at Stanford University in the 1960s and 1970s using data from Fortune 500 companies.
SWOT Analysis is an effective method of identifying and working on your Strengths and Weaknesses, and to examine and understand the Opportunities and Threats you might face.
SWOT analysis is a tool for auditing an organization and its environment. It is the base of planning and helps marketers to focus on key issues. Once key issues have been identified, they feed into marketing objectives. It is a very popular tool with marketing students because it is quick and easy to learn.
Strengths and weaknesses are internal factors. For the purpose of understanding, Strength could be your specialist HR or Finance expertise. Weakness could be the lack of a new portfolio.
Opportunities and Threats are external factors. For the purpose of understanding, Opportunity could be a developing market such as Green Marketing. A threat could be a new competitor in your Market.
The SWOT analysis is often used in corporate to highlight and identify strengths, weaknesses, opportunities and threats. It is particularly helpful in identifying areas for development.
A SWOT analysis must first start with defining a desired end state or objective.
•Strengths: characteristics of the business or team that give it an advantage over others in the industry.
•Weaknesses: are characteristics that place the firm at a disadvantage relative to others.
•Opportunities: external chances to make greater sales or profits in the environment.
•Threats: external elements in the environment that could cause trouble for the business.
Identification of SWOTs is essential because subsequent steps in the process of planning for achievement of the selected objective may be derived from the SWOTs.
The aim of any SWOT analysis is to identify the key internal and external factors that are important to achieving the objective. These come from within the company's unique value chain. SWOT analysis groups key pieces of information into two main categories:
•Internal factors – The strengths and weaknesses internal to the organization.
•External factors – The opportunities and threats presented by the external environment to the organization.
All jobs and business across the world run on specific performances and parameters. A well planned business is assured success to a rewarding business. So best that is adhered to in all situations is to carry out a SWOT analysis.
When business is evaluated or strategy is planned, it really pays if we are adhering to certain basics.
“Knowing is Knowing and Doing is Doing, Knowing and Doing are two different things”
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