SWOTT methodology as some limitations Select a limitation an

SWOTT methodology as some limitations. Select a limitation, and chose an alternate methodology from those discussed (QSPM, Grand Strategy, SPACE, BCG, IE) which would address the shortcoming.

Solution

SWOT methodology can play an important role in the decision making process of an organization. It allows the organization to find out the strengths, weaknesses, opportunities, and threats of a plan or concept. Despite of its importance, SWOT methodology has some limitations. Some of them are – 1) It only provides an oversimplified solution and fails to provide a detailed analysis for several factors, 2) SWOT methodology is highly subjective in nature, 3) SWOT methodology can only provide a basic framework but it fails to provide specific directions to the managers, and 4) It provides equal weightage to all the alternatives, which is not correct.

The limitation of SWOT analysis of providing equal weightage to different factors can be overcome by the QSPM. Quantitative Strategic Planning Matrix (QSPM) helps in determine the relative attractiveness of different feasible actions. In QSPM, a firm’s strengths, weaknesses, opportunities, and threats are listed in the extreme left column. Then, each factors are assigned respective weights. After this, attractiveness scores are determined and then total attractiveness scores are calculated and added. On the basis of above scores, the final decision needs to be taken.