Business Leader's Involvement in the Improvement of Education SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Leadership & Managing People
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of Business Leader's Involvement in the Improvement of Education
Describes the alliance that Manuel Ariztia (Don Manuel), a highly respected owner of one of the leading poultry companies in Chile, has forged with Melipilla, a Chilean municipality, to collaborate in the management of its public educational system. The vehicle used for this alliance is the Corporacion Municipal de Melipilla (CMM), which is defined as a private, not-for-profit, autonomous, nonpartisan entity that provides education and health services at the municipal level. Don Manuel became a leader on the board of directors of the CMM and was instrumental in improving CMM's financial and educational performance. Opens with the challenge facing the CMM--the upcoming retirement of the general manager, who has been in charge of the administration since the beginning. Additionally, the impending retirement of Don Manuel, whose presence has given the board an element of stability, along with the upcoming mayoral elections are jeopardizing the board's stability. Addresses issues of management succession, governance, decision making, and collaboration between business leaders and nonprofit organizations. Also addresses issues related to the key role that board of directors can play in the effective management of educational organizations.
Authors :: Rafael Aguila, Mladen Koljatic, Monica Silva
Swot Analysis of "Business Leader's Involvement in the Improvement of Education" written by Rafael Aguila, Mladen Koljatic, Monica Silva includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Manuel Cmm facing as an external strategic factors. Some of the topics covered in Business Leader's Involvement in the Improvement of Education case study are - Strategic Management Strategies, Government, Joint ventures, Leadership, Social enterprise, Succession planning and Leadership & Managing People.
Some of the macro environment factors that can be used to understand the Business Leader's Involvement in the Improvement of Education casestudy better are - – cloud computing is disrupting traditional business models, customer relationship management is fast transforming because of increasing concerns over data privacy, talent flight as more people leaving formal jobs, increasing commodity prices, digital marketing is dominated by two big players Facebook and Google, geopolitical disruptions, technology disruption,
increasing energy prices, central banks are concerned over increasing inflation, etc
Introduction to SWOT Analysis of Business Leader's Involvement in the Improvement of Education
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Business Leader's Involvement in the Improvement of Education case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Manuel Cmm, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Manuel Cmm 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 Business Leader's Involvement in the Improvement of Education can be done for the following purposes –
1. Strategic planning using facts provided in Business Leader's Involvement in the Improvement of Education case study
2. Improving business portfolio management of Manuel Cmm
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 Manuel Cmm
Strengths Business Leader's Involvement in the Improvement of Education | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Manuel Cmm in Business Leader's Involvement in the Improvement of Education Harvard Business Review case study are -
Innovation driven organization
– Manuel Cmm is one of the most innovative firm in sector. Manager in Business Leader's Involvement in the Improvement of Education Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Effective Research and Development (R&D)
– Manuel Cmm 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 Business Leader's Involvement in the Improvement of Education - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Ability to recruit top talent
– Manuel Cmm is one of the leading recruiters in the industry. Managers in the Business Leader's Involvement in the Improvement of Education are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
Analytics focus
– Manuel Cmm 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 Rafael Aguila, Mladen Koljatic, Monica Silva 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.
Digital Transformation in Leadership & Managing People segment
- digital transformation varies from industry to industry. For Manuel Cmm digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Manuel Cmm 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
– Business Leader's Involvement in the Improvement of Education firm has clearly differentiated products in the market place. This has enabled Manuel Cmm to fetch slight price premium compare to the competitors in the Leadership & Managing People industry. The sustainable margins have also helped Manuel Cmm to invest into research and development (R&D) and innovation.
Organizational Resilience of Manuel Cmm
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Manuel Cmm does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Cross disciplinary teams
– Horizontal connected teams at the Manuel Cmm are driving operational speed, building greater agility, and keeping the organization nimble to compete with new competitors. It helps are organization to ideate new ideas, and execute them swiftly in the marketplace.
Low bargaining power of suppliers
– Suppliers of Manuel Cmm in the sector have low bargaining power. Business Leader's Involvement in the Improvement of Education has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Manuel Cmm to manage not only supply disruptions but also source products at highly competitive prices.
High brand equity
– Manuel Cmm has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Manuel Cmm to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Operational resilience
– The operational resilience strategy in the Business Leader's Involvement in the Improvement of Education Harvard Business Review case study comprises – understanding the underlying the factors in the industry, building diversified operations across different geographies so that disruption in one part of the world doesn’t impact the overall performance of the firm, and integrating the various business operations and processes through its digital transformation drive.
Strong track record of project management
– Manuel Cmm is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Weaknesses Business Leader's Involvement in the Improvement of Education | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Business Leader's Involvement in the Improvement of Education are -
Slow to strategic competitive environment developments
– As Business Leader's Involvement in the Improvement of Education HBR case study mentions - Manuel Cmm takes time to assess the upcoming competitions. This has led to missing out on atleast 2-3 big opportunities in the industry in last five years.
Low market penetration in new markets
– Outside its home market of Manuel Cmm, firm in the HBR case study Business Leader's Involvement in the Improvement of Education needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
Lack of clear differentiation of Manuel Cmm products
– To increase the profitability and margins on the products, Manuel Cmm needs to provide more differentiated products than what it is currently offering in the marketplace.
High bargaining power of channel partners
– Because of the regulatory requirements, Rafael Aguila, Mladen Koljatic, Monica Silva suggests that, Manuel Cmm is facing high bargaining power of the channel partners. So far it has not able to streamline the operations to reduce the bargaining power of the value chain partners in the industry.
High operating costs
– Compare to the competitors, firm in the HBR case study Business Leader's Involvement in the Improvement of Education has high operating costs in the. This can be harder to sustain given the new emerging competition from nimble players who are using technology to attract Manuel Cmm 's lucrative customers.
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 Manuel Cmm supply chain. Even after few cautionary changes mentioned in the HBR case study - Business Leader's Involvement in the Improvement of Education, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Manuel Cmm vulnerable to further global disruptions in South East Asia.
Aligning sales with marketing
– It come across in the case study Business Leader's Involvement in the Improvement of Education that the firm needs to have more collaboration between its sales team and marketing team. Sales professionals in the industry have deep experience in developing customer relationships. Marketing department in the case Business Leader's Involvement in the Improvement of Education can leverage the sales team experience to cultivate customer relationships as Manuel Cmm is planning to shift buying processes online.
Need for greater diversity
– Manuel Cmm has taken concrete steps on diversity, equity, and inclusion. But the efforts so far has resulted in limited success. It needs to expand the recruitment and selection process to hire more people from the minorities and underprivileged background.
Workers concerns about automation
– As automation is fast increasing in the segment, Manuel Cmm needs to come up with a strategy to reduce the workers concern regarding automation. Without a clear strategy, it could lead to disruption and uncertainty within the organization.
High cash cycle compare to competitors
Manuel Cmm has a high cash cycle compare to other players in the industry. It needs to shorten the cash cycle by 12% to be more competitive in the marketplace, reduce inventory costs, and be more profitable.
Slow decision making process
– As mentioned earlier in the report, Manuel Cmm 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. Manuel Cmm 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.
Opportunities Business Leader's Involvement in the Improvement of Education | 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 Business Leader's Involvement in the Improvement of Education are -
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 Manuel Cmm in the consumer business. Now Manuel Cmm can target international markets with far fewer capital restrictions requirements than the existing system.
Better consumer reach
– The expansion of the 5G network will help Manuel Cmm to increase its market reach. Manuel Cmm 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.
Buying journey improvements
– Manuel Cmm can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Business Leader's Involvement in the Improvement of Education 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.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Manuel Cmm is facing challenges because of the dominance of functional experts in the organization. Business Leader's Involvement in the Improvement of Education case study suggests that firm can utilize new technology to build more coordinated teams and streamline operations and communications using tools such as CAD, Zoom, etc.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Manuel Cmm can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Changes in consumer behavior post Covid-19
– Consumer behavior has changed in the Leadership & Managing People industry because of Covid-19 restrictions. Some of this behavior will stay once things get back to normal. Manuel Cmm can take advantage of these changes in consumer behavior to build a far more efficient business model. For example consumer regular ordering of products can reduce both last mile delivery costs and market penetration costs. Manuel Cmm can further use this consumer data to build better customer loyalty, provide better products and service collection, and improve the value proposition in inflationary times.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Manuel Cmm 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, Business Leader's Involvement in the Improvement of Education, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Low interest rates
– Even though inflation is raising its head in most developed economies, Manuel Cmm 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.
Loyalty marketing
– Manuel Cmm 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.
Learning at scale
– Online learning technologies has now opened space for Manuel Cmm 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.
Manufacturing automation
– Manuel Cmm can use the latest technology developments to improve its manufacturing and designing process in Leadership & Managing People segment. It can use CAD and 3D printing to build a quick prototype and pilot testing products. It can leverage automation using machine learning and artificial intelligence to do faster production at lowers costs, and it can leverage the growth in satellite and tracking technologies to improve inventory management, transportation, and shipping.
Developing new processes and practices
– Manuel Cmm can develop new processes and procedures in Leadership & Managing People industry using technology such as automation using artificial intelligence, real time transportation and products tracking, 3D modeling for concept development and new products pilot testing 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, Manuel Cmm can use these opportunities to build new business models that can help the communities that Manuel Cmm operates in. Secondly it can use opportunities from government spending in Leadership & Managing People sector.
Threats Business Leader's Involvement in the Improvement of Education External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Business Leader's Involvement in the Improvement of Education are -
Environmental challenges
– Manuel Cmm 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. Manuel Cmm can take advantage of this fund but it will also bring new competitors in the Leadership & Managing People industry.
Technology acceleration in Forth Industrial Revolution
– Manuel Cmm has witnessed rapid integration of technology during Covid-19 in the Leadership & Managing People industry. As one of the leading players in the industry, Manuel Cmm 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.
Easy access to finance
– Easy access to finance in Leadership & Managing People field will also reduce the barriers to entry in the industry, thus putting downward pressure on the prices because of increasing competition. Manuel Cmm can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Consumer confidence and its impact on Manuel Cmm 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.
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. Manuel Cmm needs to understand the core reasons impacting the Leadership & Managing People industry. This will help it in building a better workplace.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study Business Leader's Involvement in the Improvement of Education, Manuel Cmm 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 .
Increasing wage structure of Manuel Cmm
– Post Covid-19 there is a sharp increase in the wages especially in the jobs that require interaction with people. The increasing wages can put downward pressure on the margins of Manuel Cmm.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Manuel Cmm in the Leadership & Managing People industry. The Leadership & Managing People industry is already at various protected from local competition in China, with the rise of trade war the protection levels may go up. This presents a clear threat of current business model in Chinese market.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Manuel Cmm can face downward pressure on margins from increasing competition from international players. The international players have stable revenue in their home market and can use those resources to penetrate prominent markets illustrated in HBR case study Business Leader's Involvement in the Improvement of Education .
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 Manuel Cmm in the Leadership & Managing People sector and impact the bottomline of the organization.
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.
Shortening product life cycle
– it is one of the major threat that Manuel Cmm is facing in Leadership & Managing People sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
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 Manuel Cmm business can come under increasing regulations regarding data privacy, data security, etc.
Weighted SWOT Analysis of Business Leader's Involvement in the Improvement of Education 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 Business Leader's Involvement in the Improvement of Education 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 Business Leader's Involvement in the Improvement of Education 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 Business Leader's Involvement in the Improvement of Education 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 Business Leader's Involvement in the Improvement of Education 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 Manuel Cmm needs to make to build a sustainable competitive advantage.
