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Sustainable Economic Development of the Sudurnes region, Iceland SWOT Analysis and Needs Assessment JOSE MATEOS MORENO Ásbrú, January 2012

1.4 swot and needs assessment

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Page 1: 1.4 swot and needs assessment

Sustainable Economic Development of the Sudurnes region, Iceland

SWOT Analysis and Needs Assessment

JOSE MATEOS MORENO

Ásbrú, January 2012

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1. SWOT

2. Needs assessment

Content

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Main Stages of OP Preparation

Organisation of OP process

Implementing Arrangements

Negotiations with EU

SWOT Analysis

Strategic Goals and Priorities

Budget Allocation and Impacts

Ex-ante Evaluation

1 to 2 years

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SWOT Analysis

Opportunities

Strengths Weaknesses

Threats

Internal

& static

External

& dynamic

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SWOT Rules

• Formulate in terms relative to the current situation

• Keep it simple and realistic

• It is subjective: which point of view?

• Avoid:

– Intention or wish as opportunity

– Objective as threat or weakness

– Internal versus external

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Driving Factors for Competitiveness

• Talent – the creativity, flexibility and skills with which the workforce is endowed

• Innovation – the ability of the place to keep reinventing itself and to respond effectively to new challenges

• Connectivity – how open and ‘plugged in’ the place is

• Entrepreneurship – how encouraging the environment is for harnessing the place’s potential for profitable enterprise

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SWOT Elements (OP COMP.)• Description of the Productive sector: Socio-Economic

Analysis– Macro-economic situation (GDP, inflation, labour market,

Openness of the economy, etc.)– Regional Structure of Production– Description of Enterprises– The “business environment”– Development Potential

• Description of Industry and Enterprise trends – Benchmarking (Value added index, investment in R&D,

etc.)– Trend analysis (development od SMEs, energy efficiency,

needs of technology, etc)

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Needs Assessment (1)

• Based on SWOT– Establish future socio-economic scenarios– Estimate future needs or competitiveness

problems– Translate needs forecast in physical and

financial needs• Identification of future bottlenecks (e.g. lack of

investment in R&D)• Identification possible solutions

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Needs Assessment (2)

• Tools– Desk research– Literature study (e.g. relationship between

regional competitiveness and information society)

– (Baseline) surveys (e.g. SMEs creation monitoring, industry reports)

– Forecasts of Industry development

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Practical Exercise: work in teams.

• Design a SWOT Analysis for Sudurnes Region.

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Practical Exercise: work in teams.

STRENGTHS– International Airport– Natural Resources (Water, Air, Geothermal)– Plenty of Land– Young Population– Fish Industry– Good Infrastructure

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Practical Exercise: work in teams.

WEAKNESSES– Educational level of work force low. Lack of

opportunities for educated work force.– Lack of culture for innovation and initiative

(entrepreneurship).– Need for a better connection with capital

area.– Too small & too many local authorities– Distance to the capital. Competition for

resources or projects.

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Practical Exercise: work in teams.

OPPORTUNITIES– International airport Development– Better use of natural resources– Flexible labour market– Close location to capital area.– Cooperation with other regions.– Changes in national law (contribution to

investment, tax reductions).– Opening of north pole and Artic areas.– Tourism development.– New demand for use of empty buildings.

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Practical Exercise: work in teams.THREATS– Lack of coordination and coherence.

Loosing opportunities.– Unemployment could Increase.– Loosing employment opportunities because

of low skills level of population.– Weak social capital. Departure of Nato

base.– “Lost generation” (16 to 20 years old) of

unemployed people.– Changes in Fisheries Policy.– Proximity to capital area.– Families & Financial crisis