Charting the Results of a SWOT Analysis
A graphic representation of the results of a SWOT analysis facilitates the quick assimilation of the key features and highlights of the results.
The SWOT Chart model differentiates between strenghts and weaknesses of different scales, relevance and strategic impact. The different
probabilities of threats or opportunities are also incorporated.
However, at first glance the SWOT analysis is not underpinned by a rigorous analytical framework on which to base the chart. The framework
presented here allows the SWOT results to be plotted in a logical and meaningful way.
The X-Axis
Any SWOT factor, such as financial resources, management team or market reputation, is in itself neither a strength nor a weakness. The
availability of substantial financial resources or a strong management team could be deemed to be a strength while their absence could be
deemed as a weakness. From a graphic representation perspective a weakness is a negative strength.
Strengths and weaknesses can be plotted on a continuous axis with:
Significant Strength
Strength
Minor Strength
Neutral
Minor Weakness
Weakness
Significant Weakness
5
3
1
0
-1
-3
-5
Similarly, threats are negative opportunities and threats and opportunities can also be plotted on a continuous axis with
Significant Opportunity
5
Opportunity
3
Minor Opportunity
1
Neutral
0
Minor Threat
-1
Threat
-3
Significant Threat
-5
Thus, this first axis (x-axis) measures the scale or magnitude of the SWOT factor.
Y-Axis
All strengths or weaknesses do not have the same relevance or importance. The relevance of, say financial resources is clearly different in a
business that requires long-term market development and investment to one that is generating significant positive cash flows.
Similarly, all threats or opportunities are not equally likely to materialise. Clearly two threats that have significantly different probabilities of
occurring should be treated differently. Thus, it is appropriate to use probability as an axis when plotting threats and opportunities.
The second axis (Y-axis) is used to plot the relevance of strengths or weaknesses and the probability of threats or opportunities as follows:
Strength/Weakness Highly Relevant
Strength/Weakness Relevant
Strength/Weakness little Relevance
Neutral
Opportunity/Threat Low Probability
Opportunity/Threat Medium Probability
Opportunity/Threat High Probability
5
3
1
0
-1
-3
-5
Z-Axis
SWOT analysis is normally used as part of the strategic planning process. Within that context it is appropriate to consider the strategic impact
of the relevant SWOT factor on the organisation. Two threats with equal probability of occurring can have significantly different impacts, if they
occur. The Z-Axis (the diameter of the bubble in a bubble chart) is used to plot the impact as follows:
High Impact
Medium Impact
Low Impact
5
3
1
Interpretation
Items plotted close to the (0,0) are the least significant, either because they are not rated as important or the relevance or probability is very low.
Those that are at the extremes of the chart are rated as most important and are rated as highly relevant or a high probability of occurring.
The size of the bubble indicates the strategic impact of the SWOT factor.
(c) Marketware International 2001-2004
SWOT Chart
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SWOT Chart User Guide
Copyright MarketWare International 2001-2004
User Instructions
The EXCEL model has a simple Push Button Menu system at the top of the Workbook in cells A2. The following general guide
Green are intended for User Input. Cells in Black are calculated and should not be altered by the user. On first use it is recomm
used in the sequence in which they are numbered, 1, 2, 3, etc. On subsequent use the options can be selected as required to
originally entered.
Enter the SWOT Factors. These are the factors that you will subsequently be classified as Strengths, Weaknesses, Opportunit
Factor Classification. Use the dropdown list to classify each of the SWOT Factors
The choices are:
Significant Strength
Strength
Minor Strength
Minor Weakness
Weakness
Significant Weakness
Significant Opportunity
Opportunity
Minor Opportunity
Significant Threat
Threat
Minor Threat
Relevance/Probability. Use the dropdown list to rate each of the SWOT Factors
The choices are:
Strength/weakness highly relevant
Strength/weakness relevant
Strength/weakness little relevance
Opportunity/Threat high probability
Opportunity/Threat medium probability
Opportunity/Threat low probability
Strategic Impact Use the dropdown list to rate each of the SWOT Factors
The choices are:
High Impact
Medium Impact
Low Impact
Once the relevant data is entered the SWOT chart is automatically produced.
(c) MarketWare International
SWOT Chart
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SWOT Chart
Copyright MarketWare International 2001-2004
SWOT Factors
Factor Classification
Relevance/Probability
Strategic Impact
Financial resources
Strength Significant
Strength/Weakness Highly Relevant
High Impact
Market share
Strength
Medium Impact
Strength/Weakness Relevant
Brand Image
Strength Minor
Strength/Weakness Little Relevance
Low Impact
R&D
Weakness
Significant
Strength Minor
HighImpact
Impact
Low
Strength/Weakness Relevant
Management Team
Weakness Significant
Manufacturing Technology
Weakness Minor
Medium Impact
Strength/Weakness Highly Relevant
Low Impact
Strength/Weakness Little Relevance
Sales Team
Opportunity Significant Opportunity/Threat High Probability
High Impact
Cost Base
Opportunity
Opportunity/Threat MediumMedium
Probability
Impact
Innovation
Opportunity Minor
Opportunity/Threat Low Probability
Low Impact
Exchange Rates
Threat Significant
Opportunity/Threat High Probability
High Impact
Industry Specialisation
Threat
Opportunity/Threat MediumMedium
Probability
Impact
Economic Outlook
Threat Minor
Opportunity/Threat Low Probability
Low Impact
Government Policies
Weakness Significant
Threat
Strength/Weakness Highly Relevant
High Impact
Pricing
Threat Significant
Opportunity/Threat MediumMedium
Probability
Impact
Globalisation
Opportunity Significant Opportunity/Threat Low Probability
Low Impact
Neutral
Opportunity
Opportunity Minor
Opportunity Significant
Strength
Strength Minor
Strength Significant
Threat
Threat Minor
Threat Significant
Weakness
Weakness Minor
Weakness Significant
MarketWare International Confidential
0
1
3
5
3
1
5
-3
-1
-5
-3
-1
-5
SWOT Input
7
5
6
13
11
12
4
2
3
10
3
2
1
2
3
1
4
5
6
4
3
2
1
3
2
1
3
2
1
3
Financial resources
Market share
Brand Image
R&D
Management Team
Manufacturing Technology
Sales Team
Cost Base
Innovation
Exchange Rates
SWOT Chart
Rating Probability
Impact
5.0
5.0
5.0
3.0
3.0
3.0
1.0
1.0
1.0
-5.0
3.0
5.0
-3.0
5.0
3.0
-1.0
1.0
1.0
5.0
-5.0
5.0
1.0
-3.0
3.0
3.0
-1.0
1.0
-5.0
-5.0
5.0
Page 3
SWOT Analysis
Weaknesses
Strengths
6.0
4.0
Probability/Relevance
2.0
-6.0
-4.0
-2.0
0.0
0.0
2.0
4.0
6.0
-2.0
-4.0
-6.0
Threats
Opportunities
Scale
Financial resources
Market share
Brand Image
R& D
Economic Outlook
Government Policies
Pricing
Globalisation
MarketWare International
Management Team Manuf acturing Technology
SWOT Chart
Sales Team Cost Base
Innovation
Exchange Rates
Industry Specialisation
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