SWOT Analysis of the Machine Tool Industry in India

The strategic importance of the Indian machine tool industry is steadily increasing, because of which the press tool manufacturers, die tool manufacturer, or another machine tool manufacturer requires an effective corporate strategy in order to achieve sustainably advantage. SWOT Analysis is one of the most highly accepted methods of analyzing Strengths, Weaknesses, Opportunities, and Threats of an organization's strategic management policy. It should be kept in mind that the use of a trite SWOT analysis is founded on the qualitative analysis and has no means of determining the significance of each SWOT facet.

Generally, the aim of SWOT analysis is determining not only the strengths and weaknesses of an organization but also the opportunities and threats of that particular organization in the environment.

1. Strengths (S)

1. Market-related strengths (S_m)

1. High market competitiveness user (S_m1)
2. Wide market extent (S_m2)
3. Ample competitive manufacturers of the machine tool (S_m3)
4. When it comes to production volume of machine tools the Indian machine tool industry has acquired the leading position

1. Organization related strengths (S_o)

1. Delivery at the promised time (S_o1)
2. Within the machine tool manufacturers, availability of end number of human resources (S_o2)
3. Flexibility and dexterity to user's necessities (S_o3)
4. Alive machine tool manufacturer collaboration (S_o4)

1. Product rated strengths (S_p)

1. Acquainted with advanced technology product (S_p1)
2. Components and parts with best quality and performance (S_p2)
3. Product with total quality (S_p3)
4. During product development encourage the involvement of the part suppliers (S_p4)

2. Weakness (W)

1. Market-related weaknesses (W_m)

1. Stern market price competition (W_m1)
2. Reliance on the automotive industry for production trend (W_m2)
3. Gigantic oscillations of the arrival of order (W_m3)

1. Organization related weaknesses (W_o)

1. Lousy negotiating skills (W_o1)
2. Low profitability (W_o2)
3. Inaccurate foresight in the upcoming industrial trend (W_o3)

1. Product-related weaknesses (W_p)

1. Legal control restrictions (W_p1)
2. Reliance on NC controller performance for production specifications (W_p2)
3. External reliance and elevated purchasing ratio of principal components (W_p3)

1. Other weaknesses (W_a)

1. Sky-high Japan's transportation cost (W_a1)
2. Delay in delivery because of sluggish government procedure (W_a2)
3. The market a conservative inclination toward developed technology (W_a3)

3. Opportunities (O)

1. Market-related opportunities (O_m)

1. The plunge of mature engineers within the machine tool customers (O)
2. Worldwide user production (O)

1. Organisation related opportunities (O_o)

1. Academic and industrial organisations collaborations (O_o1)
2. Transfer of technology beget by corporate beget (O_o2)

1. Product-related opportunities (O_p)

1. The increasing the desideratum of modern machining technology (O_p1)
2. Research and Development of recent materials (O_p2)

4. Threats (T)

1. Market-related threats (T_m)

1. Rinky-dink image of the machine equipment (T_m1)
2. Bolstering of environment policy (T_m2)

2. Organization related threats (T_o)

1. The downfall of a lifetime employment system (T_o1)
2. Beginning of e-commerce (T_o2)

3. Product-related threats (T_p)

1. International Standard's legal control (T_p1)
2. Maturity of machine tools engineering (T_p2)

4. Other threats (T_a)

1. The oscillation of the foreign exchange rate (T_a1)

So this was all you needed to know about the Indian machine tool industry, as far as its parameters of functionality are concerned. The foundation and future of any company belonging to this industry can be determined following the above and necessary measures can be taken to make improvements, if any.