As a business consultant for Sun City Boards, I would suggest that the company adopt the SWOT analysis as a strategic Management tool. The firm needs to engage in a planning process by starting with the process of setting tangible goals and defining specific actions that are needed to achieve the said goals. Goals are the basic foundation of planning and are usually acquired from a firm’s mission and vision statements (FCSJ., 2021). They explain what the company wants to achieve and not what it can achieve. Therefore, the company needs to adopt the SWOT analysis as a strategic management tool of tackling its business problems.
Sun City Boards can use the SWOT analysis to leverage on its own strengths, address its weaknesses, limit its threats, and take advantage of its opportunities. The firm’s greatest weakness is a lack of planning which affects its profitability. It needs to set clear goals and objectives which it can use as a guide in its business operations. The company also needs to limit its threats which include competition from other firms dealing with the same product line. It can do this by producing high quality surf boards which can give it some competitive advantage. The company can also take advantage of its opportunities by looking into the possibility of expanding its product line to capture a large market (Teoli et al., 2021). It can venture into producing low value boards for the lower section of the market.
The purpose of SWOT analysis is to help the company to identify its strengths and weaknesses, opportunities and threats in the market. It can also be used to help the organization to identify the best way to achieve future growth or handle a current situation to propel the business in the right direction (Visual Paradigm, 2022). SWOT analysis will help Sun City Boards to realize the importance of setting goals that are derived from its mission and vision statements. The company will also realize the importance of having mission and vision statements as a planning tool. The SWOT analysis will help the company to understand its position and encourage it to create ideas and decisions on how to build on its strengths, capitalize on its opportunities, limit its weaknesses, and help in the creation of business opportunities.
References
FSCJ. (2021). Introduction to Planning. Web.
Teoli, D., Sanvictores, T. & An, J. (2021). SWOT analysis. StatPearls. Web.
Visual Paradigm. (2022). What is SWOT Analysis? Web.