Pyramyd Air: Looking through the Scope of Values SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Leadership & Managing People
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of Pyramyd Air: Looking through the Scope of Values
Pyramyd Air, a small and growing online airgun retailer serving the shooting community, wants to broaden its sustainability practices from its current internal initiatives in order to communicate an even stronger value proposition: sustainability isn't just about recycling and efficiency, it is about a thriving environment leading to more engaged employees and more loyal premium customers. Though the airgun industry is not by its nature built on sustainability principles, as is solar energy for example, Pyramyd Air recognizes that some sustainability practices are vital to its customers' long-term enjoyment of a flourishing outdoor sporting industry. For a company with strong customer relationships, can sustainability strengthen the relationship between employees and customers by building on the inherent industry values of the great outdoors and a sense of community?
Swot Analysis of "Pyramyd Air: Looking through the Scope of Values" written by Chris Laszlo, Katherine Gullett includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Pyramyd Airgun facing as an external strategic factors. Some of the topics covered in Pyramyd Air: Looking through the Scope of Values case study are - Strategic Management Strategies, Organizational culture and Leadership & Managing People.
Some of the macro environment factors that can be used to understand the Pyramyd Air: Looking through the Scope of Values casestudy better are - – increasing household debt because of falling income levels, talent flight as more people leaving formal jobs, increasing transportation and logistics costs, increasing commodity prices, increasing government debt because of Covid-19 spendings, challanges to central banks by blockchain based private currencies, cloud computing is disrupting traditional business models,
central banks are concerned over increasing inflation, there is backlash against globalization, etc
Introduction to SWOT Analysis of Pyramyd Air: Looking through the Scope of Values
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Pyramyd Air: Looking through the Scope of Values case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Pyramyd Airgun, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Pyramyd Airgun operates in.
According to Harvard Business Review, 75% of the managers use SWOT analysis for various purposes such as – evaluating current scenario, strategic planning, new venture feasibility, personal growth goals, new market entry, Go To market strategies, portfolio management and strategic trade-off assessment, organizational restructuring, etc.
SWOT Objectives / Importance of SWOT Analysis and SWOT Matrix
SWOT analysis of Pyramyd Air: Looking through the Scope of Values can be done for the following purposes –
1. Strategic planning using facts provided in Pyramyd Air: Looking through the Scope of Values case study
2. Improving business portfolio management of Pyramyd Airgun
3. Assessing feasibility of the new initiative in Leadership & Managing People field.
4. Making a Leadership & Managing People topic specific business decision
5. Set goals for the organization
6. Organizational restructuring of Pyramyd Airgun
Strengths Pyramyd Air: Looking through the Scope of Values | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Pyramyd Airgun in Pyramyd Air: Looking through the Scope of Values Harvard Business Review case study are -
Training and development
– Pyramyd Airgun has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in Pyramyd Air: Looking through the Scope of Values Harvard Business Review case study by analyzing – employees retention, in-house promotion, loyalty, new venture initiation, lack of conflict, and high level of both employees and customer engagement.
Successful track record of launching new products
– Pyramyd Airgun has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Pyramyd Airgun has effective processes in place that helps in exploring new product needs, doing quick pilot testing, and then launching the products quickly using its extensive distribution network.
High switching costs
– The high switching costs that Pyramyd Airgun has built up over years in its products and services combo offer has resulted in high retention of customers, lower marketing costs, and greater ability of the firm to focus on its customers.
High brand equity
– Pyramyd Airgun has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Pyramyd Airgun to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Analytics focus
– Pyramyd Airgun is putting a lot of focus on utilizing the power of analytics in business decision making. This has put it among the leading players in the industry. The technology infrastructure suggested by Chris Laszlo, Katherine Gullett can also help it to harness the power of analytics for – marketing optimization, demand forecasting, customer relationship management, inventory management, information sharing across the value chain etc.
Organizational Resilience of Pyramyd Airgun
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Pyramyd Airgun does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Innovation driven organization
– Pyramyd Airgun is one of the most innovative firm in sector. Manager in Pyramyd Air: Looking through the Scope of Values Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Ability to recruit top talent
– Pyramyd Airgun is one of the leading recruiters in the industry. Managers in the Pyramyd Air: Looking through the Scope of Values are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
Digital Transformation in Leadership & Managing People segment
- digital transformation varies from industry to industry. For Pyramyd Airgun digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Pyramyd Airgun has successfully integrated the four key components of digital transformation – digital integration in processes, digital integration in marketing and customer relationship management, digital integration into the value chain, and using technology to explore new products and market opportunities.
Sustainable margins compare to other players in Leadership & Managing People industry
– Pyramyd Air: Looking through the Scope of Values firm has clearly differentiated products in the market place. This has enabled Pyramyd Airgun to fetch slight price premium compare to the competitors in the Leadership & Managing People industry. The sustainable margins have also helped Pyramyd Airgun to invest into research and development (R&D) and innovation.
Learning organization
- Pyramyd Airgun is a learning organization. It has inculcated three key characters of learning organization in its processes and operations – exploration, creativity, and expansiveness. The work place at Pyramyd Airgun is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Pyramyd Air: Looking through the Scope of Values Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Effective Research and Development (R&D)
– Pyramyd Airgun has innovation driven culture where significant part of the revenues are spent on the research and development activities. This has resulted in, as mentioned in case study Pyramyd Air: Looking through the Scope of Values - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Weaknesses Pyramyd Air: Looking through the Scope of Values | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Pyramyd Air: Looking through the Scope of Values are -
Products dominated business model
– Even though Pyramyd Airgun has some of the most successful products in the industry, this business model has made each new product launch extremely critical for continuous financial growth of the organization. firm in the HBR case study - Pyramyd Air: Looking through the Scope of Values should strive to include more intangible value offerings along with its core products and services.
Slow decision making process
– As mentioned earlier in the report, Pyramyd Airgun has a very deliberative decision making approach. This approach has resulted in prudent decisions, but it has also resulted in missing opportunities in the industry over the last five years. Pyramyd Airgun even though has strong showing on digital transformation primary two stages, it has struggled to capitalize the power of digital transformation in marketing efforts and new venture efforts.
Lack of clear differentiation of Pyramyd Airgun products
– To increase the profitability and margins on the products, Pyramyd Airgun needs to provide more differentiated products than what it is currently offering in the marketplace.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Pyramyd Airgun is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study Pyramyd Air: Looking through the Scope of Values can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
Interest costs
– Compare to the competition, Pyramyd Airgun has borrowed money from the capital market at higher rates. It needs to restructure the interest payment and costs so that it can compete better and improve profitability.
Skills based hiring
– The stress on hiring functional specialists at Pyramyd Airgun has created an environment where the organization is dominated by functional specialists rather than management generalist. This has resulted into product oriented approach rather than marketing oriented approach or consumers oriented approach.
Increasing silos among functional specialists
– The organizational structure of Pyramyd Airgun is dominated by functional specialists. It is not different from other players in the Leadership & Managing People segment. Pyramyd Airgun needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Pyramyd Airgun to focus more on services rather than just following the product oriented approach.
High dependence on existing supply chain
– The disruption in the global supply chains because of the Covid-19 pandemic and blockage of the Suez Canal illustrated the fragile nature of Pyramyd Airgun supply chain. Even after few cautionary changes mentioned in the HBR case study - Pyramyd Air: Looking through the Scope of Values, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Pyramyd Airgun vulnerable to further global disruptions in South East Asia.
Capital Spending Reduction
– Even during the low interest decade, Pyramyd Airgun has not been able to do capital spending to the tune of the competition. This has resulted into fewer innovations and company facing stiff competition from both existing competitors and new entrants who are disrupting the industry using digital technology.
Low market penetration in new markets
– Outside its home market of Pyramyd Airgun, firm in the HBR case study Pyramyd Air: Looking through the Scope of Values needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
High dependence on star products
– The top 2 products and services of the firm as mentioned in the Pyramyd Air: Looking through the Scope of Values HBR case study still accounts for major business revenue. This dependence on star products in has resulted into insufficient focus on developing new products, even though Pyramyd Airgun has relatively successful track record of launching new products.
Opportunities Pyramyd Air: Looking through the Scope of Values | External Strategic Factors
What are Opportunities in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The opportunities highlighted in the Harvard Business Review case study Pyramyd Air: Looking through the Scope of Values are -
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Pyramyd Airgun can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Use of Bitcoin and other crypto currencies for transactions
– The popularity of Bitcoin and other crypto currencies as asset class and medium of transaction has opened new opportunities for Pyramyd Airgun in the consumer business. Now Pyramyd Airgun can target international markets with far fewer capital restrictions requirements than the existing system.
Loyalty marketing
– Pyramyd Airgun has focused on building a highly responsive customer relationship management platform. This platform is built on in-house data and driven by analytics and artificial intelligence. The customer analytics can help the organization to fine tune its loyalty marketing efforts, increase the wallet share of the organization, reduce wastage on mainstream advertising spending, build better pricing strategies using personalization, etc.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Pyramyd Airgun can use these opportunities to build new business models that can help the communities that Pyramyd Airgun operates in. Secondly it can use opportunities from government spending in Leadership & Managing People sector.
Using analytics as competitive advantage
– Pyramyd Airgun has spent a significant amount of money and effort to integrate analytics and machine learning into its operations in the sector. This continuous investment in analytics has enabled, as illustrated in the Harvard case study Pyramyd Air: Looking through the Scope of Values - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Pyramyd Airgun to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Buying journey improvements
– Pyramyd Airgun can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Pyramyd Air: Looking through the Scope of Values suggest that firm can provide automated chats to help consumers solve their own problems, provide online suggestions to get maximum out of the products and services, and help consumers to build a community where they can interact with each other to develop new features and uses.
Building a culture of innovation
– managers at Pyramyd Airgun can make experimentation a productive activity and build a culture of innovation using approaches such as – mining transaction data, A/B testing of websites and selling platforms, engaging potential customers over various needs, and building on small ideas in the Leadership & Managing People segment.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Pyramyd Airgun can build a diversified supply chain model across various countries in - South East Asia, India, and other parts of the world. This reconfiguration of global supply chain can help, as suggested in case study, Pyramyd Air: Looking through the Scope of Values, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Learning at scale
– Online learning technologies has now opened space for Pyramyd Airgun to conduct training and development for its employees across the world. This will result in not only reducing the cost of training but also help employees in different part of the world to integrate with the headquarter work culture, ethos, and standards.
Low interest rates
– Even though inflation is raising its head in most developed economies, Pyramyd Airgun can still utilize the low interest rates to borrow money for capital investment. Secondly it can also use the increase of government spending in infrastructure projects to get new business.
Lowering marketing communication costs
– 5G expansion will open new opportunities for Pyramyd Airgun in the field of marketing communication. It will bring down the cost of doing business, provide technology platform to build new products in the Leadership & Managing People segment, and it will provide faster access to the consumers.
Finding new ways to collaborate
– Covid-19 has not only transformed business models of companies in Leadership & Managing People industry, but it has also influenced the consumer preferences. Pyramyd Airgun can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Better consumer reach
– The expansion of the 5G network will help Pyramyd Airgun to increase its market reach. Pyramyd Airgun will be able to reach out to new customers. Secondly 5G will also provide technology framework to build new tools and products that can help more immersive consumer experience and faster consumer journey.
Threats Pyramyd Air: Looking through the Scope of Values External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Pyramyd Air: Looking through the Scope of Values are -
Technology disruption because of hacks, piracy etc
– The colonial pipeline illustrated, how vulnerable modern organization are to international hackers, miscreants, and disruptors. The cyber security interruption, data leaks, etc can seriously jeopardize the future growth of the organization.
High level of anxiety and lack of motivation
– the Great Resignation in United States is the sign of broader dissatisfaction among the workforce in United States. Pyramyd Airgun needs to understand the core reasons impacting the Leadership & Managing People industry. This will help it in building a better workplace.
Backlash against dominant players
– US Congress and other legislative arms of the government are getting tough on big business especially technology companies. The digital arm of Pyramyd Airgun business can come under increasing regulations regarding data privacy, data security, etc.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Pyramyd Airgun with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
High dependence on third party suppliers
– Pyramyd Airgun high dependence on third party suppliers can disrupt its processes and delivery mechanism. For example -the current troubles of car makers because of chip shortage is because the chip companies started producing chips for electronic companies rather than car manufacturers.
Aging population
– As the populations of most advanced economies are aging, it will lead to high social security costs, higher savings among population, and lower demand for goods and services in the economy. The household savings in US, France, UK, Germany, and Japan are growing faster than predicted because of uncertainty caused by pandemic.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study Pyramyd Air: Looking through the Scope of Values, Pyramyd Airgun may face longer learning curve for training and development of existing employees. This can open space for more nimble competitors in the field of Leadership & Managing People .
Technology acceleration in Forth Industrial Revolution
– Pyramyd Airgun has witnessed rapid integration of technology during Covid-19 in the Leadership & Managing People industry. As one of the leading players in the industry, Pyramyd Airgun needs to keep up with the evolution of technology in the Leadership & Managing People sector. According to Mckinsey study top managers believe that the adoption of technology in operations, communications is 20-25 times faster than what they planned in the beginning of 2019.
Capital market disruption
– During the Covid-19, Dow Jones has touched record high. The valuations of a number of companies are way beyond their existing business model potential. This can lead to capital market correction which can put a number of suppliers, collaborators, value chain partners in great financial difficulty. It will directly impact the business of Pyramyd Airgun.
Environmental challenges
– Pyramyd Airgun needs to have a robust strategy against the disruptions arising from climate change and energy requirements. EU has identified it as key priority area and spending 30% of its 880 billion Euros European post Covid-19 recovery funds on green technology. Pyramyd Airgun can take advantage of this fund but it will also bring new competitors in the Leadership & Managing People industry.
New competition
– After the dotcom bust of 2001, financial crisis of 2008-09, the business formation in US economy had declined. But in 2020 alone, there are more than 1.5 million new business applications in United States. This can lead to greater competition for Pyramyd Airgun in the Leadership & Managing People sector and impact the bottomline of the organization.
Shortening product life cycle
– it is one of the major threat that Pyramyd Airgun is facing in Leadership & Managing People sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Consumer confidence and its impact on Pyramyd Airgun demand
– There is a high probability of declining consumer confidence, given – high inflammation rate, rise of gig economy, lower job stability, increasing cost of living, higher interest rates, and aging demography. All the factors contribute to people saving higher rate of their income, resulting in lower consumer demand in the industry and other sectors.
Weighted SWOT Analysis of Pyramyd Air: Looking through the Scope of Values Template, Example
Not all factors mentioned under the Strengths, Weakness, Opportunities, and Threats quadrants in the SWOT Analysis are equal. Managers in the HBR case study Pyramyd Air: Looking through the Scope of Values needs to zero down on the relative importance of each factor mentioned in the Strengths, Weakness, Opportunities, and Threats quadrants.
We can provide the relative importance to each factor by assigning relative weights. Weighted SWOT analysis process is a three stage process –
First stage for doing weighted SWOT analysis of the case study Pyramyd Air: Looking through the Scope of Values is to rank the strengths and weaknesses of the organization. This will help you to assess the most important strengths and weaknesses of the firm and which one of the strengths and weaknesses mentioned in the initial lists are marginal and can be left out.
Second stage for conducting weighted SWOT analysis of the Harvard case study Pyramyd Air: Looking through the Scope of Values is to give probabilities to the external strategic factors thus better understanding the opportunities and threats arising out of macro environment changes and developments.
Third stage of constructing weighted SWOT analysis of Pyramyd Air: Looking through the Scope of Values is to provide strategic recommendations includes – joining likelihood of external strategic factors such as opportunities and threats to the internal strategic factors – strengths and weaknesses. You should start with external factors as they will provide the direction of the overall industry. Secondly by joining probabilities with internal strategic factors can help the company not only strategic fit but also the most probably strategic trade-off that Pyramyd Airgun needs to make to build a sustainable competitive advantage.
