STRATEGIC MANAGMENT
SEMESTER: (VII) 7
SUBMITTED TO:
MAM MARYAM HINA
SUBMITTED BY:
IZZA AHSAN
QUESTION: What are following matrix explains and differentiates following
1. Strength, weakness, opportunity, threat matrix
2. Strategic position and action evaluation matrix
3. The external and internal matrix (IEM)
4. The grand strategic matrix (GSM)?
ANSWER:
SWOT (Strength, Weakness, Opportunity and Threat) Matrix
Definition/Purpose: A SWOT (Strength, Weakness, Opportunity and Threat) Matrix is used to create a compelling need to change. It is a listing of strengths and opportunities as well as the weaknesses and threats of the current and future states. It is used during the Improve phase to consider
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• Strength is a resource or capacity the organization can use effectively to achieve its objectives.
• A weakness is a limitation, fault, or defect in the organization that will keep it from achieving its objectives.
• An opportunity is any favorable situation in the organization’s environment. It is usually a trend or change of some kind or an overlooked need that increases demand for a product or service and permits the firm to enhance its position by supplying it.
• A threat is any unfavorable situation in the organization’s environment that is potentially damaging to its strategy. The threat may be a barrier, a constraint, or anything external that might cause problems, damage or injury.
Steps:
• The first part of any SWOT analysis is to collect a set of key facts about the organization and its environment.
• The second part of a SWOT analysis is to evaluate data to determine whether they constitute strengths, weaknesses, opportunities or threats for the organization. This may be done independently by the individuals in a group, results being compared
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What other threats are present in this state? What weaknesses do we predict will exist in the proposed state? What other threats are possible in this state? Are the weaknesses and threats in the current state much more significant than in the future state?
Strategic position and action evaluation matrix
The SPACE matrix is a management tool used to analyze a company. It is used to determine what type of a strategy a company should undertake. The Strategic Position & Action Evaluation matrix or short a SPACE matrix is a strategic management tool that focuses on strategy formulation especially as related to the competitive position of an organization.
The SPACE matrix can be used as a basis for other analyses, such as the SWOT analysis, BCG matrix model, industry analysis, or assessing strategic alternatives (IE matrix).
The four quadrants framework of SPACE Matrix represents the suitability or appropriateness of the strategies to be selected by a company such as aggressive, conservative, defensive, or competitive strategies. Organizations falling in four quadrants should adopt the strategies as follows:
Quadrant I Financial Stability and Industry Strength
The SWOTT analysis offer a four part approach in effort to analyze the necessary strategy and before implementing the long term plan the four aspects are considered. Danis Financial Consultants will conduct the SWOTT analysis to create a plan that will assist the company in making long term decisions. The four steps that will be the major concerns for the company are; Strengths, Weaknesses, Opportunities and Threats.
It is important to evaluate the ins and outs of a company to provide valuable information on the standings and future standings of the company. It also provides insight to develop strategies for long-term growth and shows potential threats that may hinder the bottom line. Strengths The strength portion of the SWOT analysis shows the internal environment, which are the controllable components of the firm that give a competitive advantage. This allows them to purchase high volume items for a lower cost.
In a nonstate world, the United State faces a number of challenges. The NSS explains the United States national interest and what we seek in the world. There are two challenges the U.S may face in the nonstate world of 2030: security and the economy. These two national interest will be affected in a nonstate world. A state takes the lead in attempting to defend the physical security of the population, ensures the economic welfare of its citizens, provides a focus for loyalty and identity, and claims sovereignty (Viotti & Kauppi, 2013). So sharing this with non-state actor will be a challenge in a nonstate world.
A SWOT analysis is an acronym that stands for Strengths, Weaknesses, Opportunities, and Threats. SWOT is a planning evaluation used by businesses and organizations.
Strengths are gifts that we have that we us to our benefit, but we must use them in a holistic, Bible-based, and asset-based view. Strengths on the other hand are what we use to help define our unique design. Strengths are what we rely on primarily, such as if we are good at intellectual, we will primarily use those strengths instead of using emotional or physical strengths because we do not have a good measure on them. When we focus solely on our weaknesses, we will not fully understand our unique design. Weaknesses are wake the evil one uses that make us doubt are life calling because we are missing the mark on what our stre...
The SWOT analysis (abbreviation for Strengths, Weaknesses, Opportunities and Threats) is an essential tool in marketing for understanding and supporting decision-making in all kinds of situations in business and organisations. In brief, it provides an accurate context for studying strategies, positions and directions of a company proposition. It is used mainly for business planning, competitor evaluation, marketing, business and product development and research reports. SWOT analysis is also a widely recognised method for gathering, structuring, presenting and reviewing extensive planning data within a larger business or project planning process. (Chapman, 2014)
A SWOT analysis is simple exercise that could be implemented on multiple subjects including an individual or a whole corporation. The SWOT analysis is an operational tool for managing change, defining strategic direction and setting realistic goals and objectives according to Simoneaux and Stroud (2011). Discovering new opportunities and manage and eliminate threats that are present in the company and the surrounding market. SWOT is a valuable technique that leads to a better understanding of the strengths, weaknesses, opportunities and treats both internally and externally. The strengths and weakness are to be considered internal factors and opportunities and threats to be e...
Qualitative research provides insight into developing phenomena or offers a new perspective on current trends. Prior to the creation of a dynamic strategic plan, the SWOT analysis offers a critical assessment of an organization’s competitive position, though the four areas of assessment are not weighted, nor does the utilization of the tool provide specific direction for the organization and requires subjective interpretation of the data. Input from stakeholders brings validity to the information gathered while conducting a SWOT
The definition of SWOT analysis is comprehensively summaries the internal and external conditions, critical evaluate advantages and disadvantages of organization, facing the opportunities and threats, in order to the combination of company 's strategy and internal resources and external environment (Yuan, 2013). In contrast, SWOT analysis method is a descriptive model, because the enterprise strategy is often a typical uncertainty problem, the lack of adequate analysis and logic, and a SWOT analysis cannot provide the specifically, format of strategic advice (David,
A SWOT analysis is a measure tool to summarize a company’s internal and external aspects. By measuring the company’s strengths, weaknesses, opportunities and threats and looking for improving solutions by using the strengths and opportunities to improve on the weaknesses and take the necessary actions concerning any threats a company can survive in today’s world market.
It is used to measure the position of a firm in relation to its relative market share as well as its market growth. Based on this the situation where in all of the given four divisions of the firm are at different levels of performance can be evaluated in order to formulate a 5 year strategy plan. This can help in the creation of a portfolio where in returns are optimized by re investing in growth oriented sectors and divesting out of the sectors that are saturated and loss making for the firm.
What is a SWOT analysis? This concept involves assisting businesses to identify their strengths, weaknesses, opportunities and threats. It is often used to analyze an organization and its environment. Businesses find the analysis useful in assisting them to improve their business, establish goals and objectives.
...d to learn from the chess game in terms of the ground rules and specific strategic management points of views. There are three common strategic principles and management expertises that the corporations need to be aware of and follow. First of all, it is highly advisable for them to conduct a macro environment evaluation through resorting to the PESTLE Analysis and the Porter’s Five Forces Model. Second, it is of significance to carry out self evaluation analysis with a view to better understanding the firms’ own advantages and capabilities through using SWOT Analysis. Last but not least, the corporation is advisable to conduct an all rounded competitor analysis in order to gain a detailed acknowledgement of the current circumstance possessed by the major competitors so as to assist them to generate a better corresponding strategies in the future business operation.
The SWOT analysis is a useful tool for identifying our personal strengths, weaknesses, opportunities, and threats to our plans and goals. According to a “Fuel My Motivation” article (2010), this analysis considers internal influences that can positively or negatively affect our ability to achieve our goals. The internal factors are our strengths and weaknesses. Also considered are opportunities and threats, which are external influences that can have a positive or negative impact on the ability to achieve our goals. I will share how the self-assessment instruments and self-exercises in this course have contributed to assessing and understanding my strengths and weaknesses. I will also discuss techniques I will use to leverage my strengths and understand my weaknesses. In addition, I will consider opportunities that I can take advantage of and the threats that can possibly impede my progress.
Space matrix based on four areas of analysis within these. As a most important determinant of a company, financial strength and competitive advantage make up internal dimensions. Environmental stability and Industry strength constitutes external strategic dimensions. In the internal dimension part, key factors regarding financial strength mostly come from company accounting. (Cross, 2003) These critical success factors can be return on investment, leverage, liquidity, ease of exit from the market and the risk involved in business, cash flow and etc. Competitive advantage (having critical importance to marketers) key factors are as an example, technological know how, market niche position, customer loyalty, product quality, market share, product life cycle, and others. Every company is influenced by external environment (industry and environmental stability) that company is