SWOT Analysis

Be Smart. Use SWOT.A presentation to

Sacramento State University

Identify your Strengths, Weaknesses, Opportunities and Threats, and then

make better decisions

© Mark Anthony Germanos ● [email protected] ● 530-677-8864

mailto:[email protected]

Mark Anthony Germanos

Good morning everybody. (pause 3 seconds while looking at each person in the audience) Good morning everbody! (raise arms up like a precher). (point at my heart) My name is Mark. Today I am presenting the SWOT Analysis. SWOT is an acronym. It stands for (count on right hand) Strengths, Weaknesses, Opportunities and Threats.


After YOU identify your (count on right hand) Strengths, Weaknesses, Opportunities and Threats, you will become (point one finger at my head) smarter

SWOT = ?

Strengths: What are you doing right?Weaknesses: What are you doing wrong?Opportunities: What deserves your time, energy and attention?Threats: Where are you vulnerable?


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Strengths and Weaknesses are (slow 1 word) INTERNAL factors, and opposite sides of the same coin. Opportunities and Threats are (slow 1 word) EXTERNAL factors. Opportunities mandate your time, energy and attention. Sometimes Threats are really Opportunties (slowly and deliberately) waiting to happen.


(full right hand pointing at my heart) I started doing SWOT Analyses on a Friday afternoon. I looked at my calendar for the upcoming week. (counting on my fingers) Monday was emply. Tuesday was empty. Wednesday, Thursday and Friday...were all empty. (pause)


Quite awful for a self-employed (poke at my chest) computer guy, wouldn't you say?(pause)A friend introduced me to the SWOT Analysis. One of mine looked like this

What I Do


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Strengths and Weaknesses are (slow 1 word) INTERNAL factors, and opposite sides of the same coin. Opportunities and Threats are (slow 1 word) EXTERNAL factors. Opportunities mandate your time, energy and attention. Sometimes Threats are really Opportunties (slowly and deliberately) waiting to happen.


(full right hand pointing at my heart) I started doing SWOT Analyses on a Friday afternoon. I looked at my calendar for the upcoming week. (counting on my fingers) Monday was emply. Tuesday was empty. Wednesday, Thursday and Friday...were all empty. (pause)


Quite awful for a self-employed (poke at my chest) computer guy, wouldn't you say?(pause)A friend introduced me to the SWOT Analysis. One of mine looked like this

My SWOT Case Study

Item Cameron Park Computer Services

Strengths Locally ownedGreat reputationProfessional certifications

Weaknesses One-man showToo much time in the carVulnerable to customers’ cash flow challenges

Opportunities Lawyer client wants to change his Internet and phone Networks built 2003-2006 need hardware refreshSeven speeches scheduled in seven weeks

Threats New construction haltLocal corporations are downsizingConsumerization/everybody is a rocket scientist


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I have Strengths and Weaknesses. I have a great reputation and loyal clients. Unfortunately, my territory ranges from Rocklin to Latrobe, Apple Hill (Placcerville) to Rohnert Park. My time in the car is usually nonbillable but it is always taxing.


I have Opportunities. When I wrote this SWOT Analysis, I had a client who was paying $580/month for his Internet and phone service. (pause). IT WAS A RIP OFF! I went in there, switched him to new carriers and reduced his combined bill from $580/month to $90/month. I listed this as an opportunity because 1) it would create a few billable hours off work for me, and 2) it would make me look like a hero (pause and nod)


I have Threats. I used to build networks from the ground up, in new construction. That work has faded. (pause)Aso, everybody is a rocket scientist these days. People are now building their own networks. Sometimes they do them right (pause and nod) and sometimes they don't. Sometimes they create a FRUSTRATING MESS before calling a professional to come in and get everything working right.


Let me introduce you to my friend and client Dave, who used to think social media is stupid. He wanted to avoid it because his former girlfriends might find him there. Dave is a landlord.


Social Media is Stupidaccording to Dave the landlord



Everybody meet Pete. Pete has been a plumber for 30 years. He has Strengths and Weaknesses. He has a long list of satisfied clients and a great reputaion. He also has weak marketing. He buys ads in the yellow pages but feels these ads are not as effective as they were 5 years ago.


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Before Social Media

“I don’t have time”

“Former girlfriends might find me”

Vacant office space


Dave has shared office space that is divided into a conference room and 9 offies around the perimeter. (draw a circle on my belly). When I did Dave's SWOT Analysis, he was the only person in there. (pause) Yes, (slowly) Dave had eight empty offices. (sadly) There is noooo way Dave was collecting enough rent to pay the mortgage.I performed Dave's SWOT Analysis.

Dave’s Social Media SWOT Analysis

Item Dave the Landlord

Strengths Beautiful/professional office spaceConference roomProfessional location

Weaknesses Landlord duties are a distractionMortgage on vacant spaceOne-man show

Opportunities Self-employment on the riseIncreasing demand for shared office spaceProfessional connections already use LinkedIn

Threats CompetitionTenants…might pay the rent on time and might notRising overhead




Dave has Strengths and Weaknesses. He has beautiful offie space that still has the new lustre. Unfortunately, (sigh) it is not free. Dave is paying a mortgage. (slowly) If he has no tenants, then how will he pay the mortgage? (pause)


Dave has some Opportunties. Dave knows self-employment is on the rise, (with conviction) especially with folks getting downsized from their corporate jobs. (pause) These folks also realize it is tough to run a business from a 4th bedroom, while entertaining kids and a dog. They need shared office space. (poke the table) They need to see Dave. (nod)


Dave has some Threats. He is not the only one out there looking for tenants. When he gets some, they might pay the rent on time and they might not. (pause). Being a landlord is a Threat.


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Before Social Media After Social Media Embrace

“I don’t have time” LinkedIn addict

“Former girlfriends might find me”

Vacant office space 3 new tenants$1000-$1400 in monthly rents

smart


I did the SWOT Analysis for Dave. Things have definitely gotten better. I have him up and running aon a blog, LinkedIn and Twitter. He used to say "I don't have time for social media." Now, it seems every time I visit, Dave is staring at LinkedIn.Dave used to have 8 empty offices. Now he has five empties. he has three tenants. I think their comined rent is between $1,000 and $1400/month.


(point at the empty square) "Former girlfriends"? (pause and shrug) Dave is on his own. My name is not Doctor Love.


Dave is a (emphasis) Sucess Story. Here's how we can tell.

What is Important?(finding tenants)

What was it like before?Why did you call?What did you expect?What did I do?What were the results?




(standing next to and pointing at the screen)At #1: Dave had no tenants and therefore NObody...subsidizing his mortgageAt #2 Dave needed help. He needed reliable and professional tenants quicklyAt #3 Reliable and professional tenants who will pay the rent ON TIMEAt #4 (point one finger at my heart) I got Dave up and running on Twitter, LinkedIn and a blog. I showed him how he can connect with other professionals at LinkedInAt #5 Rents went up (do a thumbs up) $1400/month. He had (zero sign) $0 before I (point at my heart three times) walked in there

Where Did I Get This Content?(for more information)




(Point one finger at my heart) Speaker. (Point one finger at the screen) Author. Whoever wins the Bingo gets a free copy of Escape the Cubicle. If you don't win, see me afterwards. Page numbers in the upper right-hand corner reference pages in Escape the Cubicle

SWOT Analysis(I wish it was my creation)

Origin: Stanford Research Institute1960-1970Funded by Fortune 500Why does corporate planning fail?What can be done?


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As much as I (point at my heart) embrace the SWOT Analysis, I must confess it was (slower and shake my head no) not my idea. Back in the 60s, Fortune 500s went to Stanford Research Institute. They said (counting on fingers) 1. WHY is our corporate planning failing, and 2. WHAT CAN WE DO about it? (pause) SRI came back with the SWOT ANalysis and its embrace has been widespread. Small businesses use SWOT, Fortune 500s use SWOT. Countries use SWOT. I (pointing at my heart)once read a SWOT Analysis for the country of Vietnam. (nodding)


I know we're covering a lot in a short amount of time. Everybody clear so far? (wave one arm with hand palm up)? Look at every personLet's see another case study

Pete Lazowski’s SWOT Case Study(before)


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Everybody meet Pete. Pete has been a plumber for 30 years. He has Strengths and Weaknesses. He has a long list of satisfied clients and a great reputaion. He also has weak marketing. He buys ads in the yellow pages but feels these ads are not as effective as they were 5 years ago.

Pete Lazowski’s SWOT Case Study(before)

Item Pete’s Plumbing

Strengths Locally ownedGreat reputationLong list of satisfied clients

Weaknesses Social networking = ? Yellow pages marketingNo computers in the office

Opportunities New developmentRemodeling is on the upswingSBA Loans

Threats Big box retailer has plumbersOthers use computers Unreliable cash flow


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Pete brought me in to help computerize his business. He had no computers in the office. His processes are not as efficient as others. He also has no protection in case his office were struck by a fire, flood or theft. A neighbor was robbed a few months back and never recovered. The neighbor went out of business. (pause) Pete wants protection. Pete admits that sometimes he sends out bids that look like they were written by a 4th grader. (four fingers up)


Pete sees some Opportunities. He knows developers are buying abandoned warehouses and converting them to residential and office space. They are getting SBA loans, hiring subcontractors and remodeling these buildings. Pete could approach these developers and tell them to hire Pete, since Pete has 30 years' experience.


Pete identifies his Threats. He knows people are going to HomeDepot, buying dishwashers and asking for someone to install them. Home Depot is sending someone and that someone is not Pete. (pause and shake head no) Pete's competitors are getting easy business. Pete also realizes his competitors may be running their businesses more efficiently because they have computers.

Pete Lazowski’s SWOT Case Study(after)

Item Pete’s Plumbing

Strengths Locally ownedGreat reputationLong list of satisfied clientsNew computers in the office

Weaknesses Social networking = ? Yellow pages marketing






After this project, Pete has a new Strength. He now runs his business on new computers. His data is backed up offsite daily. Pete also sends out professional-looking bids.


Sometimes Threats are Opportunities waiting to happen (stand at the screen and point at "Big box retailer..."). Pete could approach Home Depot, tell them he has 30 years' experience as a plumber and should therefore resell him. He can move this threat to here (point at Opportunity row, pause and smile)


Pete is a (emphasis) success story. Here's how we can tell

What is Important?(business continuity)

What was it like before?Why did you call?What did you expect?What did I do?What were the results?




(standing next to and pointing at the screen)At #1: Pete had no business continuity plan that would keep him in business after a fire, flood or theft. (slowly) He was nervous that a disaster would occur. He did not sleep well. At #2 Pete needed help. He needed reliable computers and a strategy that would keep him in businessAt #3 He expected a solution that would keep him in business after a disaster. he did not want to end up like his neighbor who got robbedAt #4 (point one finger at my heart) I deployed new computers, taught his staff how to use them and established offsite backupsAt #5 Revenues are up 30% (do a thumbs up). Pete sleeps easily at night because he knows he can survive a disaster. That was not the case before I (point at my heart three times) walked in there

A SWOT Case Study for You

Item Pete’s Plumbing Your Business

Strengths Locally owned Great reputationLong list of satisfied clients

Weaknesses Social networking = ?Yellow pages marketingNo computers in the office






I have a SWOT worksheet for you. If you give me your e-mail address, I can send you a link to this PDF. It has no password and no cost. I do NOT sell e-mail address, but I will ask you to connect with me online.

Item Pete’s Plumbing Today’s Prominent Themes

Strengths Locally ownedGreat reputationLong list of satisfied clients

Weaknesses Social networking = ?Yellow pages marketingNo computers in the office



A SWOT Case Study Results



You will pay either way:$15 for a powerful book, ORMuch more than $15 in frustration, lost productivity and aimless marketing

OK, What is He Selling?



SWOT = ? (again)?


Strengths: What are you doing right?Weaknesses: What are you doing wrong?Opportunities: What deserves your time, energy and attention?Threats: Where are you vulnerable?

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Now let's recap. You owe it to yourself and your business to do a SWOT Analysis. We're in a fast moving world. Performing one once a month would be smart. Successful businesses know where they are strong and where they are weak. They know what opportunities mandate their time, energy and attention. They know what is threatening their existence. They are successful. They know.


If being successful is attractive to you, do what the sucessful do. (point at the screen over my shoulder)Thank you everybody.

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SWOT Analysis

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