The resilience of an organization increases by identifying its strengths and weaknesses. Thanks to this internal diagnosis, an entity can design an action plan to optimize its results through this attention to available resources. In this Psychology-Online article we describe the strengths and weaknesses of a company with examples that can serve as inspiration for each entity to analyze its corporate potential based on its current situation.
What are the strengths of a company
The strengths of a company are those positive aspects of the company. These strengths constitute a solid value for a company, therefore, They are a pillar of the corporate brand on which to continue building. The strengths of a company are a great opportunity, therefore, they must not only be maintained but also reinforced in the action plan to increase positive results.
However, what is truly important about strengths is their prior identification through analysis. That is, it is very important identify the strengths of a company to know what it is that positively differentiates an entity from the competing companies in that market niche. To identify strengths, an analysis must be carried out with, for example, the SWOT matrix, a useful tool for analyzing a company. The SWOT matrix classifies positive and negative aspects, separating internal and external issues. In this way, the result is a table that includes strengths, weaknesses, opportunities and threats.
Examples of company strengths
The example is a clarifying resource to delve deeper into this issue. Below we list examples of valuable strengths for the company:
- Location of a business. For example, a clothing store located on the corner of a shopping area that has nearby parking and bus lines.
- Human Resources. What would a company be without the people who make it up? The stability of the team is an example of strength in the face of the opposite circumstance of the changes that frequently occur in the workforce as a result of dismissals and new additions.
- Transformation digital. Companies that invest in technology to take care of their online image are an example of adapting to changes to carry out this digital transformation through effective resources. Such as publishing a corporate blog, designing a functional website or online marketing.
- Specialization and low level of competition. For example, a person can increase their positioning in a specific sector by specializing a catalog of quality products and services that also has a low level of competition.
- Training for employees. Those companies that facilitate access to training for workers have the great strength of knowledge as a fundamental investment.
- A history own. A corporate story that can be shared through the presentation section of the website.
What are the weaknesses of a company
Company weaknesses are those factors or areas that hinder or worsen the company’s performance. Weaknesses are those company issues that, when subjected to an evaluation process, do not reach the desired level of quality. However, in every weakness there is a possible strength when viewed from the perspective of opportunity.
In addition to the strengths, you can identify the company’s weaknesses to know what points can be improved in the organization. By identifying these possible shortcomings, it is possible to design a strategy to minimize their impact based on the needs and weaknesses of the company. Otherwise, by responding with indifference to the company’s weaknesses, the situation continues over time.
In this case, the SWOT matrix analysis technique can also be applied with the objective of knowing the weaknesses and threats and being able to convert them into strengths and new opportunities.
Examples of weaknesses of a company
Below, we show a selection of examples of weaknesses that can be part of a company:
- Bad relationship between partners. In those businesses managed by two people who constantly argue over their differences in criteria in the management of the business, the consequences of lack of cooperation will be seen. It is obvious .
- Frequent complaints by clients. Consumer opinion is very important for business. When a company receives more negative reviews than positive reviews or when it inadequately manages these negative comments, it has weaknesses in customer service.
- Lack of resources. It may happen that a company wants to invest more in a certain objective, however, it has the limit of the available financing.
- Lack of leadership. Leadership is important in an organization since the leader guides the team in the action plan.
- Stagnation. The company has been in a comfort zone for a long time in the absence of a proactive attitude. It is not innovated or updated. Stagnation causes external factors and chance to have more weight than the company’s own ability to influence the appropriate decisions. A web page with a outdated image or a corporate blog that has not been updated for months are examples of points to correct so that this weakness does not further condition the brand image.
All these weaknesses of a company can constitute an opportunity for improvement. All companies have weaknesses and strengths. However, successful entities are those that They are involved to maintain and develop their strengths to the maximum and to improve their weaknesses.. This is only possible by carrying out a diagnosis of the situation of each entity analyzed in itself.
This article is merely informative, at Psychology-Online we do not have the power to make a diagnosis or recommend a treatment. We invite you to go to a psychologist to treat your particular case.
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