Discussion: The PEST Analysis-MOD-3

A SWOT analysis is a framework that is used to analyze a company’s competitive positioning in its business environment. Strengths (S) and Weaknesses (W) Opportunities (O) and Threats (T). The main objective of the SWOT analysis is to help in identifying the strategies that can be used by the company to build on its strengths, eliminate its weaknesses while making the most of opportunities and countering threats.

We used the SWOT systems in the U S Army, it involved the SWOT matrix of a 2x2 matrix that has the internal strategic factors listed in the first row; Strengths and Weaknesses. It has the external strategic factors listed in the second row; Opportunities and Threats.

This SWOT key structure permits organization chiefs to effortlessly see the entirety use of the organization's qualities, shortcomings, openings and dangers in a single grid. The interactive process has to be undertaken by all the departments of the Army such as finance, marketing, operations, human resource, logistics, strategic planning, management information systems etc.

As a HR tech I use two of theses areas of the matrix everyday at work. One of strengths of this is the extensive training of employees that has resulted in it employing a large number of skilled and motivated employees. But on the flip side of that, a weakness is that there is a higher turnover rate compared to most companies.

The matrix is not an end as it does not show how to achieve the objectives. It should be used as a starting point to make strategic decisions.

Bartol. K, & Martin, D. (1998). Management, 3rd edition. Boston: Irwin McGraw-Hill.

Pickton, D. W., & Wright, S. (1998). What's swot in the strategic analysis? Strategic Change, 7(2), 101-109.

Nixon, J., & Helms, M. M. (2010). Exploring SWOT analysis – where are we now?: A review of academic research from the last decade. Journal of Strategy and Management, 3(3), 215-251.

Annette