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 - – increasing energy prices, talent flight as more people leaving formal jobs, competitive advantages are harder to sustain because of technology dispersion, technology disruption, there is increasing trade war between United States & China, increasing government debt because of Covid-19 spendings, central banks are concerned over increasing inflation,
increasing household debt because of falling income levels, increasing inequality as vast percentage of new income is going to the top 1%, 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 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.
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.
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.
Superior customer experience
– The customer experience strategy of Instituted Goedehoop in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
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.
Highly skilled collaborators
– Instituted Goedehoop has highly efficient outsourcing and offshoring strategy. It has resulted in greater operational flexibility and bringing down the costs in highly price sensitive segment. Secondly the value chain collaborators of the firm in Goedehoop: When Social Issues Become Strategic HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
Cross disciplinary teams
– Horizontal connected teams at the Instituted Goedehoop 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.
Learning organization
- Instituted Goedehoop 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 Instituted Goedehoop is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Goedehoop: When Social Issues Become Strategic Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
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.
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.
Successful track record of launching new products
– Instituted Goedehoop has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Instituted Goedehoop 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.
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 -
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.
Capital Spending Reduction
– Even during the low interest decade, Instituted Goedehoop 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.
Employees’ incomplete understanding of strategy
– From the instances in the HBR case study Goedehoop: When Social Issues Become Strategic, it seems that the employees of Instituted Goedehoop don’t have comprehensive understanding of the firm’s strategy. This is reflected in number of promotional campaigns over the last few years that had mixed messaging and competing priorities. Some of the strategic activities and services promoted in the promotional campaigns were not consistent with the organization’s strategy.
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.
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.
Need for greater diversity
– Instituted Goedehoop 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.
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.
No frontier risks strategy
– After analyzing the HBR case study Goedehoop: When Social Issues Become Strategic, it seems that company is thinking about the frontier risks that can impact Organizational Development strategy. But it has very little resources allocation to manage the risks emerging from events such as natural disasters, climate change, melting of permafrost, tacking the rise of artificial intelligence, opportunities and threats emerging from commercialization of space etc.
Aligning sales with marketing
– It come across in the case study Goedehoop: When Social Issues Become Strategic 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 Goedehoop: When Social Issues Become Strategic can leverage the sales team experience to cultivate customer relationships as Instituted Goedehoop is planning to shift buying processes online.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study Goedehoop: When Social Issues Become Strategic, is just above the industry average. Instituted Goedehoop needs to redesign the compensation structure and incentives to increase the revenue per employees. Some of the steps that it can take are – hiring more specialists on project basis, etc.
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 -
Identify volunteer opportunities
– Covid-19 has impacted working population in two ways – it has led to people soul searching about their professional choices, resulting in mass resignation. Secondly it has encouraged people to do things that they are passionate about. This has opened opportunities for businesses to build volunteer oriented socially driven projects. Instituted Goedehoop can explore opportunities that can attract volunteers and are consistent with its mission and vision.
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.
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.
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.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Instituted Goedehoop to expand its talent hiring zone. According to McKinsey Global Institute, 20% of the high end workforce in fields such as finance, information technology, can continously work from remote local post Covid-19. This presents a really great opportunity for Instituted Goedehoop to hire the very best people irrespective of their geographical location.
Creating value in data economy
– The success of analytics program of Instituted Goedehoop has opened avenues for new revenue streams for the organization in the industry. This can help Instituted Goedehoop to build a more holistic ecosystem as suggested in the Goedehoop: When Social Issues Become Strategic case study. Instituted Goedehoop can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Loyalty marketing
– Instituted Goedehoop 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.
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.
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.
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.
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.
Changes in consumer behavior post Covid-19
– Consumer behavior has changed in the Organizational Development industry because of Covid-19 restrictions. Some of this behavior will stay once things get back to normal. Instituted Goedehoop 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. Instituted Goedehoop 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.
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 -
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.
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.
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.
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.
Technology acceleration in Forth Industrial Revolution
– Instituted Goedehoop has witnessed rapid integration of technology during Covid-19 in the Organizational Development industry. As one of the leading players in the industry, Instituted Goedehoop needs to keep up with the evolution of technology in the Organizational Development 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.
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 Instituted Goedehoop business can come under increasing regulations regarding data privacy, data security, etc.
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 .
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.
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.
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.
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.
High dependence on third party suppliers
– Instituted Goedehoop 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.
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. Instituted Goedehoop needs to understand the core reasons impacting the Organizational Development industry. This will help it in building a better workplace.
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.