SWOT Therapy: Facing the Threats

McL Article

Oct 21

Threats are the quadrant teams either dramatize or dismiss entirely. In this final conversation, Scot Safon and Robin McLoughlin cut through the noise to show why Threats aren’t about fear but about foresight. When handled with clarity and leadership, this last quadrant becomes a powerful tool for resilience, scenario planning, and smarter decision-making.

Robin: Okay, Scot, we’ve arrived at the last quadrant: Threats. The one that tends to get blown out of proportion. Why do you think that is?

Scot: Because it feels scary. Strengths are fun, Weaknesses are uncomfortable but productive, Opportunities are energizing. Threats? They can feel like doom and gloom. People don’t want to dwell on things they can’t control.

Robin: Right, but here’s the problem: ignoring external risks doesn’t make them go away. Competitors, economic shifts, regulatory changes, and disruptive technologies—these are real forces. And if you’re not actively scanning and discussing them, you’re setting yourself up to be blindsided.

Scot: Absolutely. One mistake I see is treating Threats like a laundry list of bad things happening in the world. What you need to ask yourselves is which of these scenarios really intersects with your business in ways that matter:

The economy is weak
There is more competition
AI is changing everything

Robin: Exactly. A serious SWOT forces you to ask: which of these external forces actually threaten our ability to win? And what are we going to do about them? Because the point isn’t fear—it’s resilience.

Scot: And let’s not forget that not all Threats are obvious. Sometimes they’re lurking inside what looks like a Strength. Maybe you’re too dependent on one large client. Or your proud “legacy processes” are slowing you down. Threats often hide in plain sight.

Robin: That’s such a good point. Your competitors are looking for the cracks in your armor. If you don’t name those cracks yourself, you’ve given them the upper hand.

Scot: Right. And discussing Threats doesn’t mean being fatalistic. It’s about scenario planning. If the economy shifts, what’s our playbook? If a new technology disrupts us, are we ahead of it or behind? A company that treats Threats seriously is a company that can adapt.

Robin: I also think Threats are where leadership really has to show up. You can’t outsource this quadrant to middle management. Leaders need to set the tone: “We’re not here to panic, we’re here to prepare.” That’s what gives people confidence to engage with the hard stuff.

Scot: Totally. And when a team faces Threats honestly, it usually sparks innovation. Threats force you to think creatively, to evolve, to reimagine your category. Some of the best growth stories I’ve seen came from companies that were under threat and refused to sit still.

Robin: So, to sum it up: Threats are real, but they’re not destiny. They’re a lens. Face them, plan for them, and use them to sharpen your strategy. That’s how you make this last quadrant count.

Scot: So, we’ve come full circle on our SWOT Therapy series. Over the last few months, we’ve tackled each quadrant:

Strengths — more than pats on the back, they’re the fuel for growth.
Weaknesses — uncomfortable, but the real catalyst for change.
Opportunities — exciting, but only when you separate the shiny distractions from the true game-changers.
Threats — daunting, but the key to building resilience and foresight.

Robin: Done right, a SWOT can unify teams, sharpen decisions, and uncover the signals that matter most. That’s how you transform a SWOT from an exercise into a strategy tool. Done wrong, it’s just another workshop that gets shelved.

Best practices:

Take the time.
Be brutally honest.
Turn insights into action.

Key advice:

Don’t ignore them: Naming a Threat reduces its power to surprise you.
Be specific: Focus on external forces that directly impact your business.
Look inside Strengths & Weaknesses: Sometimes threats are hiding there.
Plan scenarios, not panic: Threats are triggers for preparation, not paralysis.
Lead from the top: Leadership must set the tone for candid, constructive conversations.