Goedehoop: When Social Issues Become Strategic SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Organizational Development
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of Goedehoop: When Social Issues Become Strategic
This case chronicles a change process to counteract the epidemic of HIV/AIDS on a coal mine in South Africa that impacts the sustainability of the organization. The case describes the business case for dealing with the problem and the sequence of events that were instituted. It illustrates the type of leadership activities needed to deal with a compelling environmental force impacting business. It shows how a wide range of stakeholders needs to be involved and systems and practices instituted for sustainable change to be implemented. It raises the question of the role of business in society. The case also provides insights into doing business in emerging economies. The challenge at the end of the case is how to roll out (replicate) the intervention into other divisions of a large multinational.
Swot Analysis of "Goedehoop: When Social Issues Become Strategic" written by Margie Sutherland, Verity Hawarden includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Instituted Goedehoop facing as an external strategic factors. Some of the topics covered in Goedehoop: When Social Issues Become Strategic case study are - Strategic Management Strategies, Emerging markets, Ethics, Financial analysis, Health, Human resource management, Social responsibility and Organizational Development.
Some of the macro environment factors that can be used to understand the Goedehoop: When Social Issues Become Strategic casestudy better are - – digital marketing is dominated by two big players Facebook and Google, challanges to central banks by blockchain based private currencies, increasing government debt because of Covid-19 spendings, increasing inequality as vast percentage of new income is going to the top 1%, increasing commodity prices, there is increasing trade war between United States & China, increasing energy prices,
geopolitical disruptions, cloud computing is disrupting traditional business models, etc
Introduction to SWOT Analysis of Goedehoop: When Social Issues Become Strategic
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Goedehoop: When Social Issues Become Strategic case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Instituted Goedehoop, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Instituted Goedehoop 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 Goedehoop: When Social Issues Become Strategic can be done for the following purposes –
1. Strategic planning using facts provided in Goedehoop: When Social Issues Become Strategic case study
2. Improving business portfolio management of Instituted Goedehoop
3. Assessing feasibility of the new initiative in Organizational Development field.
4. Making a Organizational Development topic specific business decision
5. Set goals for the organization
6. Organizational restructuring of Instituted Goedehoop
Strengths Goedehoop: When Social Issues Become Strategic | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Instituted Goedehoop in Goedehoop: When Social Issues Become Strategic Harvard Business Review case study are -
High brand equity
– Instituted Goedehoop has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Instituted Goedehoop to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Ability to lead change in Organizational Development field
– Instituted Goedehoop is one of the leading players in its industry. Over the years it has not only transformed the business landscape in its segment but also across the whole industry. The ability to lead change has enabled Instituted Goedehoop in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Diverse revenue streams
– Instituted Goedehoop is present in almost all the verticals within the industry. This has provided firm in Goedehoop: When Social Issues Become Strategic case study a diverse revenue stream that has helped it to survive disruptions such as global pandemic in Covid-19, financial disruption of 2008, and supply chain disruption of 2021.
Organizational Resilience of Instituted Goedehoop
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Instituted Goedehoop does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
High switching costs
– The high switching costs that Instituted Goedehoop 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.
Digital Transformation in Organizational Development segment
- digital transformation varies from industry to industry. For Instituted Goedehoop digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Instituted Goedehoop 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.
Innovation driven organization
– Instituted Goedehoop is one of the most innovative firm in sector. Manager in Goedehoop: When Social Issues Become Strategic Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Strong track record of project management
– Instituted Goedehoop is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Operational resilience
– The operational resilience strategy in the Goedehoop: When Social Issues Become Strategic 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.
Low bargaining power of suppliers
– Suppliers of Instituted Goedehoop in the sector have low bargaining power. Goedehoop: When Social Issues Become Strategic has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Instituted Goedehoop to manage not only supply disruptions but also source products at highly competitive prices.
Sustainable margins compare to other players in Organizational Development industry
– Goedehoop: When Social Issues Become Strategic firm has clearly differentiated products in the market place. This has enabled Instituted Goedehoop to fetch slight price premium compare to the competitors in the Organizational Development industry. The sustainable margins have also helped Instituted Goedehoop to invest into research and development (R&D) and innovation.
Ability to recruit top talent
– Instituted Goedehoop is one of the leading recruiters in the industry. Managers in the Goedehoop: When Social Issues Become Strategic are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
Weaknesses Goedehoop: When Social Issues Become Strategic | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Goedehoop: When Social Issues Become Strategic are -
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study Goedehoop: When Social Issues Become Strategic, in the dynamic environment Instituted Goedehoop has struggled to respond to the nimble upstart competition. Instituted Goedehoop has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
Lack of clear differentiation of Instituted Goedehoop products
– To increase the profitability and margins on the products, Instituted Goedehoop needs to provide more differentiated products than what it is currently offering in the marketplace.
High operating costs
– Compare to the competitors, firm in the HBR case study Goedehoop: When Social Issues Become Strategic 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 Instituted Goedehoop 's lucrative customers.
Increasing silos among functional specialists
– The organizational structure of Instituted Goedehoop is dominated by functional specialists. It is not different from other players in the Organizational Development segment. Instituted Goedehoop needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Instituted Goedehoop to focus more on services rather than just following the product oriented approach.
Products dominated business model
– Even though Instituted Goedehoop 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 - Goedehoop: When Social Issues Become Strategic 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, Instituted Goedehoop 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. Instituted Goedehoop 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.
High cash cycle compare to competitors
Instituted Goedehoop 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.
Interest costs
– Compare to the competition, Instituted Goedehoop 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.
High bargaining power of channel partners
– Because of the regulatory requirements, Margie Sutherland, Verity Hawarden suggests that, Instituted Goedehoop 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.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Instituted Goedehoop is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study Goedehoop: When Social Issues Become Strategic can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
Skills based hiring
– The stress on hiring functional specialists at Instituted Goedehoop 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.
Opportunities Goedehoop: When Social Issues Become Strategic | 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 Goedehoop: When Social Issues Become Strategic are -
Building a culture of innovation
– managers at Instituted Goedehoop 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 Organizational Development segment.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Instituted Goedehoop can use these opportunities to build new business models that can help the communities that Instituted Goedehoop operates in. Secondly it can use opportunities from government spending in Organizational Development sector.
Better consumer reach
– The expansion of the 5G network will help Instituted Goedehoop to increase its market reach. Instituted Goedehoop 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.
Developing new processes and practices
– Instituted Goedehoop can develop new processes and procedures in Organizational Development 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.
Using analytics as competitive advantage
– Instituted Goedehoop 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 Goedehoop: When Social Issues Become Strategic - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Instituted Goedehoop to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Instituted Goedehoop can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Learning at scale
– Online learning technologies has now opened space for Instituted Goedehoop 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, Instituted Goedehoop 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 Instituted Goedehoop in the field of marketing communication. It will bring down the cost of doing business, provide technology platform to build new products in the Organizational Development segment, and it will provide faster access to the consumers.
Reconfiguring business model
– The expansion of digital payment system, the bringing down of international transactions costs using Bitcoin and other blockchain based currencies, etc can help Instituted Goedehoop to reconfigure its entire business model. For example it can used blockchain based technologies to reduce piracy of its products in the big markets such as China. Secondly it can use the popularity of e-commerce in various developing markets to build a Direct to Customer business model rather than the current Channel Heavy distribution network.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Instituted Goedehoop is facing challenges because of the dominance of functional experts in the organization. Goedehoop: When Social Issues Become Strategic 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.
Finding new ways to collaborate
– Covid-19 has not only transformed business models of companies in Organizational Development industry, but it has also influenced the consumer preferences. Instituted Goedehoop can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
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 Instituted Goedehoop in the consumer business. Now Instituted Goedehoop can target international markets with far fewer capital restrictions requirements than the existing system.
Threats Goedehoop: When Social Issues Become Strategic External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Goedehoop: When Social Issues Become Strategic are -
Consumer confidence and its impact on Instituted Goedehoop 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.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study Goedehoop: When Social Issues Become Strategic, Instituted Goedehoop may face longer learning curve for training and development of existing employees. This can open space for more nimble competitors in the field of Organizational Development .
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.
Easy access to finance
– Easy access to finance in Organizational Development field will also reduce the barriers to entry in the industry, thus putting downward pressure on the prices because of increasing competition. Instituted Goedehoop can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Instability in the European markets
– European Union markets are facing three big challenges post Covid – expanded balance sheets, Brexit related business disruption, and aggressive Russia looking to distract the existing security mechanism. Instituted Goedehoop will face different problems in different parts of Europe. For example it will face inflationary pressures in UK, France, and Germany, balance sheet expansion and demand challenges in Southern European countries, and geopolitical instability in the Eastern Europe.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Instituted Goedehoop with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Instituted Goedehoop 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 Goedehoop: When Social Issues Become Strategic .
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 Instituted Goedehoop.
Regulatory challenges
– Instituted Goedehoop needs to prepare for regulatory challenges as consumer protection groups and other pressure groups are vigorously advocating for more regulations on big business - to reduce inequality, to create a level playing field, to product data privacy and consumer privacy, to reduce the influence of big money on democratic institutions, etc. This can lead to significant changes in the Organizational Development industry regulations.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Instituted Goedehoop in the Organizational Development industry. The Organizational Development 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.
Environmental challenges
– Instituted Goedehoop 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. Instituted Goedehoop can take advantage of this fund but it will also bring new competitors in the Organizational Development 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 Instituted Goedehoop in the Organizational Development sector and impact the bottomline of the organization.
Shortening product life cycle
– it is one of the major threat that Instituted Goedehoop is facing in Organizational Development sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Weighted SWOT Analysis of Goedehoop: When Social Issues Become Strategic 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 Goedehoop: When Social Issues Become Strategic 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 Goedehoop: When Social Issues Become Strategic 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 Goedehoop: When Social Issues Become Strategic 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 Goedehoop: When Social Issues Become Strategic 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 Instituted Goedehoop needs to make to build a sustainable competitive advantage.