Strategic analysis using SWOT-AHP: a fibre cement sheet company application

Ashutosh Ashutosh · Ashok Sharma · Masroor Ahmad Beg

22 citations0/0 files storedJournal of Management Development

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Strategic Planning and Analysis Multi-Criteria Decision Making Management and Organizational Practices

Abstract

Purpose Purpose of study: Indian fibre cement industry is at crossroads on account of the dropping margins attributed to the dynamic internal and external challenges faced by it. The ever-changing technology, the increasing availability of substitutes and changing demographic consumption profiles have questioned the survival of this industry. Internal and external factors affecting an organization provide inputs to the strategic decision-making. Diversity of factors and prioritization is a major challenge encountered for developing a strategy for the organization. Design/methodology/approach Strategic analysis in the paper proposes to rank important key variables through SWOT-AHP methodology affecting a fibre cement company. Computed priorities of SWOT factor could help in formation of management approach to key decisions facing the firm. It is a descriptive research design. The problem itself has multiple SWOT criteria that have been evaluated in three phases with the help of industry experts and AHP criteria. Findings SWOT-AHP analysis has been a strategic fit for qualitative analysis of factors. The important ranked factors affecting the organization have been found to be brand name, capability of both the management and technical, quality of the product, and the efficient customer service and marketing reach/distribution. Research limitations/implications Ranking of key SWOT factors found through AHP methodology will help the firm under study to develop and plan strategic alternatives to counter all challenges faced by them. Practical implications The management of the firm under study shall be benefited in fine-tuning the overall strategy of the organization. Originality/value This paper proposes a hybrid SWOT-AHP strategic analysis first time in this sector. The affecting factors have been quantified and ranked to identify priority factors for the firm to focus.

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References

1997SWOT analysis: It's time for a product recall 1987The Theory of Ratio Scale Estimation: Saaty's Analytic Hierarchy Process 2012Application of Combined SWOT and AHP: A Case Study for a Manufacturing Firm 2003Evaluating the management strategies of a forestland estate—the S-O-S approach 2007The Use and Misuse of SWOT Analysis and Implications for HRD Professionals 2006Quantitative SWOT analysis on global competitiveness of machine tool industry 2001Assessing the Priorities Using A'WOT Among Resource Management Strategies at the Finnish Forest and Park Service 2011SWOT and AHP hybrid model for sport marketing outsourcing using a case of intercollegiate sport

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