Creation of strengths-weaknesses and opportunity-risk analyzes (SWOT analyses)

The SWOT Analysis is an instrument for situational analysis and strategy development. It serves as a tool for analyzing both internal company factors and external environmental factors..

The main reasons for creating a SWOT analysis are:

• Subjective assessments by management are largely suppressed.
• Ensuring an improvement in systematic evaluation.
• Accelerating the solution-finding process within the management team (extended executive board).

The essential goals of the SWOT analysis are:

• With the involvement of all key stakeholders and actors, to develop and document the consistent and, if applicable, differing assessments of both the current situation and the foreseeable future developments in the relevant environments of the company or a part of the company.
• To derive effective and efficient strategic options for successful transformation.

Ultimately, the goal is to develop recommendations for action within the strategy building process that are as independent as possible from subjective assessments and are predominantly based on numbers, data, and facts.