SWOT (Strengths, Weaknesses, Opportunities, Threats) Analysis is the analysis of strengths, weaknesses, opportunities, and threats of an organization, project, or option.
It provides a structured framework for identifying internal factors (strengths and weaknesses) and external factors (opportunities and threats), enabling teams to evaluate strategic positions and make informed decisions.
Key Characteristics
- Internal and External Focus – Differentiates between controllable and uncontrollable factors
- Supports Strategic Planning – Helps define priorities and mitigation strategies
- Simple and Visual – Often presented in a quadrant table for clarity
- Widely Applicable – Used across organizations, portfolios, and initiatives
Example Scenarios
- Evaluating a project’s fit within the organization’s capabilities
- Assessing risks and advantages before entering a new market
- Identifying improvement areas in a project team or process
SWOT Analysis Table
| Strengths | Weaknesses |
|---|---|
| Experienced project team | Limited stakeholder engagement |
| Strong executive sponsorship | High reliance on a single vendor |
| Proven technology infrastructure | Compressed delivery timeline |
| Opportunities | Threats |
|---|---|
| Expansion into a growing market | Regulatory changes impacting scope |
| Adoption of emerging technologies | Budget cuts or funding limitations |
| Strategic partnerships available | Competitive projects with similar goals |
Role in Strategic Decision-Making
- Informs Risk Planning – Links weaknesses and threats to mitigation strategies
- Highlights Strategic Fit – Aligns strengths with external opportunities
- Drives Prioritization – Helps teams focus on high-impact areas
- Guides Action Planning – Converts analysis into concrete decisions
See also: Risk Assessment, Enterprise Environmental Factors, Business Case, Assumption and Constraint Analysis, Strategic Alignment.