SWOT-i Matrix
The previous sections described the major steps involved in context analysis. All these steps resulted in data that can be used for developing a strategy. These are summarized in a SWOT-i matrix. The trend and competitor analysis revealed the opportunities and threats posed by the market. The organization analysis revealed the competences of the organization and also its strengths and weaknesses. These strengths, weaknesses, opportunities and threats summarize the entire context analysis. A SWOT-i matrix, depicted in the table below, is used to depict these and to help visualize the strategies that are to be devised. SWOT- i stand for Strengths, Weaknesses, Opportunities, Threats and Issues. The Issues refer to strategic issues that will be used to devise a strategic plan.
| Opportunities (O1, O2, ..., On) | Threats (T1, T2, ..., Tn) | |
|---|---|---|
| Strengths (S1, S2, ..., Sn) | S1O1...SnO1 ... S1On...SnOn |
S1T1...SnT1 ... S1Tn...SnTn |
| Weaknesses (W1, W2, ..., Wn) | W1O1...WnO1 ... W1On...WnOn |
W1T1...WnT1 ... W1Tn...WnTn |
This matrix combines the strengths with the opportunities and threats, and the weaknesses with the opportunities and threats that were identified during the analysis. Thus the matrix reveals four clusters:
- Cluster strengths and opportunities: use strengths to take advantage of opportunities.
- Cluster strengths and threats: use strengths to overcome the threats
- Cluster weaknesses and opportunities: certain weaknesses hamper the organization from taking advantage of opportunities therefore they have to look for a way to turn those weaknesses around.
- Cluster weaknesses and threats: there is no way that the organization can overcome the threats without having to make major changes.
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