Lu, W (2010) Improved SWOT approach for conducting strategic planning in the construction industry. Journal of Construction Engineering and Management, 136(12), pp. 1317-1328. ISSN 0733-9364
Abstract
Strength, weakness, opportunity, and threat (SWOT) analysis has been in use since the 1960s as a tool to assist strategic planning in various types of enterprises including those in the construction industry. While still widely used, the approach has called for improvements to make it more helpful in strategic management. The project described in this paper aimed to study whether the process to convert a SWOT analysis into a strategic plan could be assisted with some simple rationally quantitative model, as an augmented SWOT analysis. By using the mathematical approaches including the quantifying techniques, the "maximum subarray" method, and fuzzy mathematics, one or more heuristic rules (HRs) are derived from a SWOT analysis. These HRs bring into focus the most influential factors concerning a strategic planning situation, and thus inform strategic analysts where particular consideration should be given. A case study conducted in collaboration with a Chinese international construction company showed that the new SWOT approach is more helpful to strategic planners. The paper provides an augmented SWOT analysis approach for strategists to conduct strategic planning in the construction industry. It also contributes fresh insights into strategic planning by introducing rationally analytic processes to improve the SWOT analysis.
| Item Type: | Article |
|---|---|
| Uncontrolled Keywords: | construction companies; strategic planning; strategy management; SWOT |
| Index terms: | strategic management, collaboration, influential factor, strategy, construction company, strategic planning, international construction, planner, construction industry, case study, heuristic |
| Subjects: | industry analysis, management, organization, data collection methods, strategic management, profession, risk assessment |
| Topics: | Risk Management, Roles and Professions, Research Practice, Business Strategy, Organizational Design, International Construction |
| Descriptive scope: | 4 PCTE |
N.B. Descriptive scope is a count of how many of the five facets of empirical research are indicated by the words used in title, abstract and keywords. It is not intended as a judgement on the research; merely a count of the kind of word we would expect to indicate Phenomenon, Concepts, Theoretical framing, Empirical techniques, Analytical techniques. If all five are present, then a code of “5 PCTEA” will indicate this. If you feel the coding for this record is questionable, we welcome discussion around the terms we matched or the way we categorized them. The facet you would expect may not be coded, or a facet may be coded inappropriately. This can also bear on a larger question, of which facets should be treated as defining in construction management research. Please get in touch, and we will look at it. More details here