SWOT – Strengths, Weaknesses, Opportunities & Threats
As Britain begins to see an easing of Covid19 lockdown measures & slowly & cautiously the economy starts to re-open; businesses across the country are finding ways to fathom their way forward.
It is no surprise that the largest sector affected by the pandemic thus far has been hospitality, leisure & what has been deemed ‘non-essential’ businesses. The lockdown model having been adopted globally, has proved to be a successful way of stemming the spread of Covid19 & despite some restrictions looking to remain in place in the long term, namely mask wearing, social distance & hand washing; consumers are finding some relief in the ability to re-familiarise themselves with consumerism & social experiences.
However, for some businesses things have not been easy & sadly many businesses across the globe have ceased trading due to the overbearing pressures of the pandemic. Despite some governments, our own included, trying to keep businesses afloat with grants & loans; for some, this has simply not been enough to keep their particular business trading.
As businesses re-open & for some start-up’s commence trading for the first time; the pandemic has re-shaped many original business plans & business models. For many businesses they have not only had to adapt throughout the past year but will need to seek ways to continue to adapt going forward.
One of the simplest business tools for any business is a SWOT Analysis. Whether it is an established business seeking ways to re-focus, or a start-up looking at ways to identify their strengths & opportunities, whilst also recognising their weaknesses & threats; SWOT can help re-direct & re-focus any business at any time.
How to use a SWOT Analysis effectively?
Be honest. There is a temptation to be unrealistic in a SWOT Analysis. However, this does not give you a realistic vision of your business & or business goals & therefore this could give you an idealistic vision of your SWOT, rather than a real vision of what you are trying to achieve.
Strengths.
For some business owners who are fully emersed in the hard work of day to day running of a business; it can be difficult to find the time to identify where your strengths are.
One of the key strengths of any business is You. If you are the entrepreneurial spirit who began your business, it is your strength which is as the core.
Dependant on the sector you work in, this is an opportunity to identify such things as what your career path has taught you on your road to being a business owner. It can help you identify your specific skills, education, training & any other aspects of You & your original vision which have brought you thus far.
Again, be honest. Fabrication of truths are not strengths.
Another strength is based on your success. However, financial turnover is not the be all & end all of ‘success’. Success can be measured on where your business compares to others of a similar ilk. Keeping an eye on the competition & even forming alliances & or connections with other businesses in your own sector, which can compliment you & your company; is a great strength.
Weaknesses.
Do not think for one moment you do not have weaknesses in your own business, even if you are a sole trader.
Identifying your weaknesses can help you work towards facing them & turning them around.
For a lot of business owners & entrepreneurs, one of their greatest weaknesses is time. Often business owners are so busy running their businesses, that they have very little time to take a good look at their business model & make effective & shrewd changes to improve.
Sitting on your laurels is not the way to have continued success for example. Just because your trading years may have been good for the first 3-5 years of your business, complacency can lead you along a tricky path to stagnation. This can be a weakness which needs to be kept in check & reviewed regularly.
Opportunities.
Opportunities are around your business all the time. Even in a pandemic, there are opportunities for change & development.
Although a wide variety of business have not been able to adapt due to the constraints of the pandemic; there are many who have not only adapted & embraced the opportunities around them, but have thrived.
An example of which is explored in one of the most recent Virtually Smart blogs which identified how MasterPeace adapted & embraced the opportunities surrounding them, whilst in the midst of a global pandemic.
The MasterPeace business model was London’s first dedicated mindful painting experience, with an initial focus on in-studio classes, hosted in their Belgravia studio. (1)
In the wake of Covid-19, the business adapted & from this the At Home Art Kits were born, enabling the young business to survive & thrive. MasterPeace grew to reach customers in 17 different countries around the world & their journey has subsequently been celebrated on the pages of the Daily Mail, Evening Standard, the Mirror, Forbes, Tatler & more.
By identifying their opportunities &embracing them, MasterPeace have now reached a global audience, something they may not have done so quickly, if it had not been for the pandemic.
Threats.
Can another business do what you are doing? Do you have a niche which brings clients back time & again, or are you competing with a myriad of similar business types? Are you open to change? What are the threats to your businesses continued success?
For millions of business owners, the threat of a global pandemic was never on their radar. However, what have they learnt in the past year? Well, the biggest lesson is that nothing is certain & being able to recognise that in good time & or to have contingencies in place, is essential.
If the question were asked to most business owners across Britain, Europe & beyond “Did you have a continuity or contingency plan pre-Covid?” one wonders how many would say no. The Covid19 pandemic has proven to be the biggest threat to global economies since WW2 & lessons hopefully have been learned during this process.
If you are interested in working with one our expert Online Business Management team to formulate a business overview & or to support you in generating an ongoing SWOT Analysis for you & your team; then please do contact Helena Parrott – Director of Virtually Smart in the first instance Mobile: 07954 994 769 Email: helena@virtuallysmartltd.com
Written by Katy-Jane Mason for & on behalf of Virtually Smart
