I’m a big fan of the guys at 37Signals. Their products are huge productivity boosters. One of these days I’ll get around to doing a review of each for your learning pleasure, but in regards to this writing, I want to focus on their book, Getting Real.

The book decimates a lot of “conventional” knowledge and wisdom surrounding the process of building software, but really, the principles apply to everything in business and life. I’m a big proponent of this because I hate to waste time planning and would rather do something. Plans are really nothing more than guesses in this day and age. The ubiquity and instantaneous nature of the internet have caused a major shift in the way businesses develop. Overnight successes such as Twitter are common.

For that reason, I submit to you that SWOT is the only analysis you need to do regarding your business.

Strengths – Know what you are good at. This is probably, or at least should be, what you are focusing your new venture around. Take stock of these items and focus on them each and every day.

Weaknesses – What do you need to work on or even avoid in order to perform at your best? Heck, if you’re horrible at accounting, get an accountant to handle everything or use a service like Shoeboxed. Don’t waste your time on what you are not good at.

Opportunites – This list should give you a good basis with which to start your marketing and business development. Grab a hold of every opportunity you can get your hands on and evaluate it.

Threats – Who’s in your way? What’s in your way? Do you work with them? Avoid them? Maneuver around them? Take them head on and prove you’re better? It’s up to you, but knowing and learning from your competition can be a huge help in your own business. Learn from their mistakes and do better.

I use SWOT so often that I don’t even think about it anymore. It’s just natural to look at an idea and apply the methodology. If you use it effectively it won’t slow you down and it is one of the few business analysis tools that work so efficiently.