1995 Release of the Institutional Investor Research Report: The Impact of New Information SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Organizational Development
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of 1995 Release of the Institutional Investor Research Report: The Impact of New Information
In 1995, Institutional Investor magazine began selling a complete ranking of the best equity research analysts. This report allowed research firms to assess the relative quality of each analyst across the industry, and this enabled firms to know nearly as much about the quality of analysts at other firms as they knew about the quality of their own analysts. Ponders the impact that increased transparency of performance will have on the labor market for equity research analysts, and asks how the directors of three different research firms ought to respond given each firm's competitive situation.
Authors :: Boris Groysberg, Nitin Nohria, Derek Haas
Swot Analysis of "1995 Release of the Institutional Investor Research Report: The Impact of New Information" written by Boris Groysberg, Nitin Nohria, Derek Haas includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Analysts Research facing as an external strategic factors. Some of the topics covered in 1995 Release of the Institutional Investor Research Report: The Impact of New Information case study are - Strategic Management Strategies, Organizational culture and Organizational Development.
Some of the macro environment factors that can be used to understand the 1995 Release of the Institutional Investor Research Report: The Impact of New Information casestudy better are - – there is backlash against globalization, central banks are concerned over increasing inflation, increasing government debt because of Covid-19 spendings, increasing inequality as vast percentage of new income is going to the top 1%, customer relationship management is fast transforming because of increasing concerns over data privacy, wage bills are increasing, talent flight as more people leaving formal jobs,
digital marketing is dominated by two big players Facebook and Google, geopolitical disruptions, etc
Introduction to SWOT Analysis of 1995 Release of the Institutional Investor Research Report: The Impact of New Information
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in 1995 Release of the Institutional Investor Research Report: The Impact of New Information case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Analysts Research, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Analysts Research 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 1995 Release of the Institutional Investor Research Report: The Impact of New Information can be done for the following purposes –
1. Strategic planning using facts provided in 1995 Release of the Institutional Investor Research Report: The Impact of New Information case study
2. Improving business portfolio management of Analysts Research
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 Analysts Research
Strengths 1995 Release of the Institutional Investor Research Report: The Impact of New Information | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Analysts Research in 1995 Release of the Institutional Investor Research Report: The Impact of New Information Harvard Business Review case study are -
Superior customer experience
– The customer experience strategy of Analysts Research in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Effective Research and Development (R&D)
– Analysts Research 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 1995 Release of the Institutional Investor Research Report: The Impact of New Information - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Innovation driven organization
– Analysts Research is one of the most innovative firm in sector. Manager in 1995 Release of the Institutional Investor Research Report: The Impact of New Information Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Training and development
– Analysts Research has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in 1995 Release of the Institutional Investor Research Report: The Impact of New Information 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
– Analysts Research has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Analysts Research 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.
Strong track record of project management
– Analysts Research is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Learning organization
- Analysts Research 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 Analysts Research is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in 1995 Release of the Institutional Investor Research Report: The Impact of New Information Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Digital Transformation in Organizational Development segment
- digital transformation varies from industry to industry. For Analysts Research digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Analysts Research 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.
High brand equity
– Analysts Research has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Analysts Research to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Ability to recruit top talent
– Analysts Research is one of the leading recruiters in the industry. Managers in the 1995 Release of the Institutional Investor Research Report: The Impact of New Information are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
Organizational Resilience of Analysts Research
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Analysts Research 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 Analysts Research 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.
Weaknesses 1995 Release of the Institutional Investor Research Report: The Impact of New Information | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of 1995 Release of the Institutional Investor Research Report: The Impact of New Information are -
Interest costs
– Compare to the competition, Analysts Research 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 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 Analysts Research supply chain. Even after few cautionary changes mentioned in the HBR case study - 1995 Release of the Institutional Investor Research Report: The Impact of New Information, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Analysts Research vulnerable to further global disruptions in South East Asia.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study 1995 Release of the Institutional Investor Research Report: The Impact of New Information, is just above the industry average. Analysts Research 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.
Slow decision making process
– As mentioned earlier in the report, Analysts Research 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. Analysts Research 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
Analysts Research 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.
High dependence on star products
– The top 2 products and services of the firm as mentioned in the 1995 Release of the Institutional Investor Research Report: The Impact of New Information 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 Analysts Research has relatively successful track record of launching new products.
Increasing silos among functional specialists
– The organizational structure of Analysts Research is dominated by functional specialists. It is not different from other players in the Organizational Development segment. Analysts Research needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Analysts Research to focus more on services rather than just following the product oriented approach.
High operating costs
– Compare to the competitors, firm in the HBR case study 1995 Release of the Institutional Investor Research Report: The Impact of New Information 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 Analysts Research 's lucrative customers.
Employees’ incomplete understanding of strategy
– From the instances in the HBR case study 1995 Release of the Institutional Investor Research Report: The Impact of New Information, it seems that the employees of Analysts Research 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.
No frontier risks strategy
– After analyzing the HBR case study 1995 Release of the Institutional Investor Research Report: The Impact of New Information, 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.
Products dominated business model
– Even though Analysts Research 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 - 1995 Release of the Institutional Investor Research Report: The Impact of New Information should strive to include more intangible value offerings along with its core products and services.
Opportunities 1995 Release of the Institutional Investor Research Report: The Impact of New Information | 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 1995 Release of the Institutional Investor Research Report: The Impact of New Information are -
Better consumer reach
– The expansion of the 5G network will help Analysts Research to increase its market reach. Analysts Research 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.
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. Analysts Research can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Using analytics as competitive advantage
– Analysts Research 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 1995 Release of the Institutional Investor Research Report: The Impact of New Information - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Analysts Research to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Creating value in data economy
– The success of analytics program of Analysts Research has opened avenues for new revenue streams for the organization in the industry. This can help Analysts Research to build a more holistic ecosystem as suggested in the 1995 Release of the Institutional Investor Research Report: The Impact of New Information case study. Analysts Research can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Manufacturing automation
– Analysts Research can use the latest technology developments to improve its manufacturing and designing process in Organizational Development 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.
Lowering marketing communication costs
– 5G expansion will open new opportunities for Analysts Research 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.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Analysts Research 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 Analysts Research to hire the very best people irrespective of their geographical location.
Buying journey improvements
– Analysts Research can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. 1995 Release of the Institutional Investor Research Report: The Impact of New Information 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, Analysts Research is facing challenges because of the dominance of functional experts in the organization. 1995 Release of the Institutional Investor Research Report: The Impact of New Information 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 Analysts Research can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Low interest rates
– Even though inflation is raising its head in most developed economies, Analysts Research 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.
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 Analysts Research 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.
Learning at scale
– Online learning technologies has now opened space for Analysts Research 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.
Threats 1995 Release of the Institutional Investor Research Report: The Impact of New Information External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study 1995 Release of the Institutional Investor Research Report: The Impact of New Information are -
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Analysts Research with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Analysts Research 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.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Analysts Research 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 1995 Release of the Institutional Investor Research Report: The Impact of New Information .
Regulatory challenges
– Analysts Research 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.
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. Analysts Research can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
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.
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 Analysts Research in the Organizational Development sector and impact the bottomline of the organization.
High dependence on third party suppliers
– Analysts Research 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.
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. Analysts Research 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
– Analysts Research 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. Analysts Research can take advantage of this fund but it will also bring new competitors in the Organizational Development industry.
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 Analysts Research.
Increasing wage structure of Analysts Research
– 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 Analysts Research.
Stagnating economy with rate increase
– Analysts Research can face lack of demand in the market place because of Fed actions to reduce inflation. This can lead to sluggish growth in the economy, lower demands, lower investments, higher borrowing costs, and consolidation in the field.
Weighted SWOT Analysis of 1995 Release of the Institutional Investor Research Report: The Impact of New Information 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 1995 Release of the Institutional Investor Research Report: The Impact of New Information 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 1995 Release of the Institutional Investor Research Report: The Impact of New Information 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 1995 Release of the Institutional Investor Research Report: The Impact of New Information 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 1995 Release of the Institutional Investor Research Report: The Impact of New Information 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 Analysts Research needs to make to build a sustainable competitive advantage.
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