Tough times require tough decisions.
During times of economic uncertainty, strategy refinement and execution need to become the top priority for business leaders.
How to start?
Begin by doing a SWOT Analysis. SWOT is a strategic planning tool used to evaluate the Strengths, Weaknesses, Opportunities, and Threats involved in your business.
The aim of any SWOT analysis is to identify the key internal and external factors that are important to achieving your strategy. SWOT analysis groups key pieces of information into two main categories:
Internal factors - The strengths and weaknesses internal to the organization. The internal factors may be viewed as strengths or weaknesses depending upon their impact on the organizations objectives. The factors may include all of the 4Ps (product, price, place, promotion) as well as personnel, finance, manufacturing capabilities, and so on.
External factors - The opportunities and threats presented by the external environment. The external factors may include the economy, technological change, legislation, and socio-cultural changes, as well as changes in your marketplace or competitive position.
BOTTOMLINE: While it's important to regularly conduct a SWOT analysis on your business, it's critical to revisit SWOT during times of economic uncertainty. In particular, it's essential that you focus on the internal factors that you can control; not the external factors you can't control. By focusing on internal factors, you'll be better able to unearth new opportunities for innovation.