SWOT Analysis is a simple and straightforward strategic planning technique and approach (Marketing gurus invented it). It is one of the quickest tools to explore and describe the internal and external landscape. Also, it supports setting priorities and aligning team members around the vision.
An organization faces many challenges. Also, it cannot lose its momentum. Otherwise it will fall behind its competitors. Having a clear picture about the landscape, it can focus on right products and services to stay competitive.
Originally, it was invented and introduced as the Marketing tool. It allowed marketing guys to introduce new products, describe the competitive landscape and find best ways how to beat competitors. Its simplicity and speed was always a key benefit of the methodology. No need to spend hours and days learning how to conduct a productive brainstorming session. No need for a lengthy preparation. Nowadays, given its simplicity, it is one of the most favorite tools for analyzing gaps and strenghts.
SWOT Analysis in Human Resources
Modern Human Resources function acts as a change agent. Acting in the strategic role required to use methodologies that uncover hidden potential and issues in the organization. A SWOT analysis is a great tool to conduct the initial reflection. It is a quick assessment tool that delivers great results. Each HR professional has to know how to swiftly analyze the organization.
SWOT Analysis is one of the most useful tools, which can be used in Human Resources. SWOT Analysis is not hard to use, but it can produce really great results, which can be immediately presented and it helps to sort out the ideas of the group.
how to analyze the internal and external strengths and weaknesses. There is no quicker tool to define the, strategy, and obtain quite impressive picture of key strengths, weaknesses and opportunities. As a bonus, key external threats are listed.
Additionally, it helps to allocate resources to most promising ideas. As the team generate ideas, it also increases the overall comittment. No one refuses to elaborate the idea that came as a team result. So, the analysis also increases team spirit and decomposes the vision into actionable items. The swot analysis presentation is usually easy to understand, and it engages the leadership team to support a great idea.
Basic Principles of a SWOT Analysis
The SWOT Analysis is a tool to recognize initiatives to be taken and also the environment, in which this initiative will be taken. The SWOT Analysis helps to get the whole group of employees on the same boat and to focus on the real identified issues. On the other hand, the SWOT Analysis can be also used as a tool to sort out ideas personally. No participation of the group is needed.
The letters in SWOT Analysis stand for:
The Strengths describe the strengths inside the organization, which make it really unique on the market and which can be used as a basis for the future growth. Weaknesses on the other hand described the potential to improve inside the organization.
Opportunities and Threats are completely focused on the external world. Strengths and Weaknesses are internal and the other two parts are their mirror in the external world.
The most important condition for the SWOT Analysis is a honesty of the team, which prepares the analysis. When the team is not honest with the current status of the organization, then the result delivered can be too optimistic and the correct issues to be solved are not selected.
The best approach is to have an overall business SWOT analysis as a basis for the concrete SWOT Analysis. It is always good to have some general boundaries set as the specific SWOT Analysis should not exceed the boundaries defined by the general business SWOT Analysis. And to apply the most important rule – never spend a lot of time on preparation of the SWOT Analysis.