Description
The SWOT analysis is an instrument of strategic corporate management with which strengths and weaknesses of the company or its supply chain, as well as the opportunities and threats in the environment, can be uncovered. The resulting findings can be used to identify risks by comparing the requirements of the market with the potential of the company or supply chain. Finally, identified weaknesses are to be regarded as risks, whereby these can be both strategic and operational in nature.
Effort
High
Complexity
Medium
Method Type
Qualitative
ISO 31000
Risk Identification
Risk Analysis - Causes/Threats
Prerequisites
The prerequisite for determining the strengths and weaknesses of a company is a well- functioning controlling system that can provide the necessary information. To identify opportunities and threats, an environmental and competitive analysis should be carried out. External consultants who have the appropriate industry expertise and access to necessary databases can be supportive.
Basic Approach
1. Combination of a project team consisting of employees from different functions or business units
2. Drawing up checklists and information requirements
3. Data collection and evaluation
4. Derivation of risks from weaknesses and threats
Advantages
• Structured process
• Recognized and well-known instrument in practice
• All functional areas are illuminated
Disadvantages
• Difficult information retrieval
• No immediate derivation of risks
• Very time consuming
• Resource Intensive
Copyright © 2022 TUHH. All rights reserved.