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TOWS Matrix PDF

The TOWS matrix is derived from the SWOT analysis model. It is used to develop strategic options from an external-internal analysis. Unlike SWOT which starts internally, TOWS starts externally by examining threats and opportunities, then considers strengths and weaknesses. The external analysis is linked to the internal analysis to help the organization make better decisions, seize opportunities, and protect against threats.

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109 views

TOWS Matrix PDF

The TOWS matrix is derived from the SWOT analysis model. It is used to develop strategic options from an external-internal analysis. Unlike SWOT which starts internally, TOWS starts externally by examining threats and opportunities, then considers strengths and weaknesses. The external analysis is linked to the internal analysis to help the organization make better decisions, seize opportunities, and protect against threats.

Uploaded by

palaviya
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
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TOWS matrix

The TOWS matrix is derived from the SWOT matrix model. It is aimed at
developing strategic options from an external-internal analysis.

Whereas SWOT analysis starts with an internal analysis, the TOWS


matrix starts with an external environment analysis; the threats and
opportunities are examined first.
An organisation gets a clear picture of its environment and the
opportunity to think about strategy and what direction the company will
go into. Next the company's strengths and weaknesses are considered;
what its good at internally and what its not so good at.

The external analysis is linked to the analysis and the resulting TOWS
matrix can help an organisation to make decisions better, seize
opportunities and protect itself better against threats.

How to use the TOWS matrix


Start by analyzing external opportunities and threats. Then analyze the
internal strengths and weaknesses which will subsequently be linked to
the external analysis. Strategic tactics emerge by opposing S-O
(strengths - opportunities), W-O ( weaknesses - opportunities), S-T
(strengths - threats) and W-T (weaknesses - threats).
The next step external opportunities and threats are compared to the
internal strengths and weaknesses to help identify strategic options:
i. Internal strengths and external opportunities (S-O) - how can they
use the strengths to benefit from existing external opportunities?
ii. Internal strengths and external threats (S-T) - how can they benefit
from their strengths to avoid or lessen (potential) external threats?
iii. Internal weaknesses and external opportunities (W-O) - how can
they use opportunities to overcome the organisation's internal
weaknesses?
iv. Internal weaknesses and external threats (W-T) - how can they
minimize weaknesses and thus avoid potential threats?

Generating alternative strategies using TOWS Matrix

This study source was downloaded by 100000810029526 from CourseHero.com on 02-17-2022 17:30:23 GMT -06:00

https://www.coursehero.com/file/84437833/TOWS-matrixpdf/
Far above we discussed how a firm uses SWOT analysis to assess its
situation. SWOT can be used to generate a number of possible
alternative strategies. The TOWS matrix (SWOT backwards) can also be
used to assess situation of a firm. It can be used to generate corporate
as well as business and functional strategies.

To generate a TOWS matrix follow the following steps:


i. In the opportunities (O) block, list the external opportunities
available in the company's current and future environment
ii. In the threats (T) block, list the external threats facing the
organisation now and in the future.
iii. In the strengths (S) block, list the current and future strengths for
the company.
iv. In the weaknesses (W) block, list the current and future weaknesses
for the company.

This study source was downloaded by 100000810029526 from CourseHero.com on 02-17-2022 17:30:23 GMT -06:00

https://www.coursehero.com/file/84437833/TOWS-matrixpdf/
v. Generate a series of possible strategies for the corporation under
consideration based on particular combinations of the four sets of
strategic factors:
 SO strategies are generated by thinking of ways a company
could choose to use its strengths to take advantage of
opportunities.
 ST strategies consider a company's strengths as a way to avoid
threats.
 WO Strategies attempt to take advantage of opportunities by
overcoming weaknesses
 WT Strategies are basically defensive and primarily act to
minimize weaknesses and avoid threats.

This study source was downloaded by 100000810029526 from CourseHero.com on 02-17-2022 17:30:23 GMT -06:00

https://www.coursehero.com/file/84437833/TOWS-matrixpdf/
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