Final answer:
A formal review of a business organization's strengths, weaknesses, opportunities, and threats is a SWOT analysis. This approach aids organizations in crafting strategic plans, taking into account internal and external factors that affect their success.
Step-by-step explanation:
A formal review of a business organization's strengths, weaknesses, opportunities, and threats that ultimately contributes to a comprehensive strategic plan is called a SWOT analysis. This analytical framework helps organizations identify internal and external factors that can affect their success.
A strength might be a skill or resource that gives the company an advantage, like public speaking or the ability to plan successful events. A weakness is an area where the company is lacking. Opportunities refer to potential paths for growth, and threats are external challenges that might hinder progress.
While strengths-based management, as discussed by Donald Clifton, focuses on leveraging individual strengths in an organization, a SWOT analysis considers all aspects of an organization's performance and environment in the strategic planning process.
Clifton's research suggests that focusing on individual strengths within a SWOT analysis could enhance a company's strategy if managed correctly.