SHRM Certified Professional Practice Exam 2025 – All-In-One Resource to Master Your Certification!

The correct answer is that workers' compensation is not part of a SWOT analysis in business. A SWOT analysis focuses on four key areas: strengths, weaknesses, opportunities, and threats related to the organization. Strengths are the internal attributes and resources that support a successful outcome, while weaknesses are internal factors that might hinder the organization. Opportunities represent external factors that the organization could capitalize on for growth, and threats refer to external challenges that could jeopardize its performance.

Workers' compensation, however, pertains specifically to the insurance and legal responsibilities a business has regarding its employees' injuries and illnesses. While it is an important aspect of human resources and business operations, it does not fit within the framework of SWOT analysis since it does not directly align with assessing an organization’s internal strengths or weaknesses, nor external opportunities or threats in a broad strategic context.