Direct-trade contracts with highland partner farms
- Type
- Strength
- Source
- —No source
- Weight
- Rating
- Weighted
- 0.60
Sample IFE matrix · Tala Provisions, Inc.
The Internal Factor Evaluation scores a company's strengths and weaknesses. Tala Provisions has four of each: farm contracts, fresh roasting and loyal subscribers on one side, and few cafés, a thin marketing budget and a busy roastery on the other. Two rows are blank. Weight and rate them to complete the total. How it's scored
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How the IFE is scored
- List the company's strengths and weaknesses, each with a source.
- Weight each factor from 0.000 to 1.000 for how much it matters to the company's success. The weights must sum to 1.000.
- Rate each factor: 4 major strength, 3 minor strength, 2 minor weakness, 1 major weakness. Strengths take 3 or 4; weaknesses take 1 or 2.
- Multiply each weight by its rating and add them up. The total runs from 1.0 to 4.0.
Total = Σ (weight × rating). The midpoint is 2.50. Above it, the company's internal position is strong. Below it, weak.
Each row shows its weighted score, and Explain score lays out the whole sum, so you can see which factor moves the total most.
Worked example: Tala Provisions
The two blank rows are trained baristas (F-010), a strength, and thin wholesale margins (F-013), a weakness. Rate the strength 3 or 4 and the weakness 1 or 2, then share out the missing weight between them. More weight on the weakness pulls the total toward 2.50; more on the strength pushes it up.
| ID | Factor | Weight | Rating | Weighted score |
|---|---|---|---|---|
| F-007 | Direct-trade contracts with highland partner farms | 0.15 | 4 | 0.60 |
| F-008 | In-house roasting keeps beans fresh and blends consistent | 0.15 | 4 | 0.60 |
| F-009 | Online subscribers who reorder every month | 0.10 | 4 | 0.40 |
| F-010 | Trained baristas and consistent café quality | 0.10 | 3 | 0.30 |
| F-011 | Only four cafés, all in Metro Manila | 0.17 | 2 | 0.34 |
| F-012 | Small marketing budget and low awareness outside the city | 0.08 | 2 | 0.16 |
| F-013 | Thin margins on wholesale accounts | 0.10 | 1 | 0.10 |
| F-014 | Roastery running close to full capacity | 0.15 | 1 | 0.15 |
| Total | 1.000 | 2.65 |
Completed, Tala's IFE totals 2.65. That is just above the 2.50 midpoint: an average internal position, slightly on the strong side. Fresh in-house roasting and the subscription base are rated major strengths. Only four cafés and a roastery near full capacity are the heaviest weaknesses.
The result says Tala has real assets but little slack. Any strategy that needs more beans roasted will run into the capacity weakness first.
Where it fits
The IFE is the internal twin of the EFE. Its total becomes the horizontal axis of the IE matrix, and its factors and weights become the internal half of the QSPM. The strengths and weaknesses here are the S and W of TOWS.
Common mistakes
- Rating a strength 1 or 2. In the IFE, strengths are rated 3 or 4 and weaknesses 1 or 2. The rating guide on the grid says so.
- Listing something every rival also has as a strength. "Sells coffee" is not a strength. "Roasts in-house, so beans are days old, not months" is.
- Writing weaknesses so softly they read as strengths. "Growing marketing budget" hides the point that it is small.
FAQs
What does an IFE score of 2.65 mean?
It is slightly above the 2.50 midpoint, so the internal position is average to slightly strong. Read your own total the same way.
Should IFE weights match EFE weights?
No. Each set sums to 1.000 on its own, and they measure different things: importance to the industry versus importance to the company's success.
Can a factor be both a strength and a weakness?
Split it into two factors, each stated precisely. One factor in both lists is an error that SWOT will flag.
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