Assessing Your Organization's Capabilities: Resources, Processes, and Priorities SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Organizational Development
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of Assessing Your Organization's Capabilities: Resources, Processes, and Priorities
Summarizes a model that helps managers determine what sorts of initiatives an organization is capable and incapable of managing successfully. The factors that affect what an organizational unit can and cannot accomplish can be grouped as resources, processes, and the priorities embedded in the business model. Demonstrates what kinds of changes are required in an organization and team structure for each different type of innovation.
Authors :: Clayton M. Christensen, Stephen P. Kaufman
Swot Analysis of "Assessing Your Organization's Capabilities: Resources, Processes, and Priorities" written by Clayton M. Christensen, Stephen P. Kaufman includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Priorities Incapable facing as an external strategic factors. Some of the topics covered in Assessing Your Organization's Capabilities: Resources, Processes, and Priorities case study are - Strategic Management Strategies, Business processes, Change management, Innovation, Leading teams, Organizational structure, Strategic planning and Organizational Development.
Some of the macro environment factors that can be used to understand the Assessing Your Organization's Capabilities: Resources, Processes, and Priorities casestudy better are - – increasing transportation and logistics costs, 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, competitive advantages are harder to sustain because of technology dispersion, increasing commodity prices, cloud computing is disrupting traditional business models, banking and financial system is disrupted by Bitcoin and other crypto currencies,
geopolitical disruptions, wage bills are increasing, etc
Introduction to SWOT Analysis of Assessing Your Organization's Capabilities: Resources, Processes, and Priorities
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Assessing Your Organization's Capabilities: Resources, Processes, and Priorities case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Priorities Incapable, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Priorities Incapable 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 Assessing Your Organization's Capabilities: Resources, Processes, and Priorities can be done for the following purposes –
1. Strategic planning using facts provided in Assessing Your Organization's Capabilities: Resources, Processes, and Priorities case study
2. Improving business portfolio management of Priorities Incapable
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 Priorities Incapable
Strengths Assessing Your Organization's Capabilities: Resources, Processes, and Priorities | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Priorities Incapable in Assessing Your Organization's Capabilities: Resources, Processes, and Priorities Harvard Business Review case study are -
Digital Transformation in Organizational Development segment
- digital transformation varies from industry to industry. For Priorities Incapable digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Priorities Incapable 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.
Training and development
– Priorities Incapable has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in Assessing Your Organization's Capabilities: Resources, Processes, and Priorities 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.
High brand equity
– Priorities Incapable has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Priorities Incapable to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Low bargaining power of suppliers
– Suppliers of Priorities Incapable in the sector have low bargaining power. Assessing Your Organization's Capabilities: Resources, Processes, and Priorities has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Priorities Incapable to manage not only supply disruptions but also source products at highly competitive prices.
Organizational Resilience of Priorities Incapable
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Priorities Incapable does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Sustainable margins compare to other players in Organizational Development industry
– Assessing Your Organization's Capabilities: Resources, Processes, and Priorities firm has clearly differentiated products in the market place. This has enabled Priorities Incapable to fetch slight price premium compare to the competitors in the Organizational Development industry. The sustainable margins have also helped Priorities Incapable to invest into research and development (R&D) and innovation.
Successful track record of launching new products
– Priorities Incapable has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Priorities Incapable 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.
Ability to recruit top talent
– Priorities Incapable is one of the leading recruiters in the industry. Managers in the Assessing Your Organization's Capabilities: Resources, Processes, and Priorities are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
Cross disciplinary teams
– Horizontal connected teams at the Priorities Incapable 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.
Highly skilled collaborators
– Priorities Incapable 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 Assessing Your Organization's Capabilities: Resources, Processes, and Priorities HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
Diverse revenue streams
– Priorities Incapable is present in almost all the verticals within the industry. This has provided firm in Assessing Your Organization's Capabilities: Resources, Processes, and Priorities 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.
Operational resilience
– The operational resilience strategy in the Assessing Your Organization's Capabilities: Resources, Processes, and Priorities 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.
Weaknesses Assessing Your Organization's Capabilities: Resources, Processes, and Priorities | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Assessing Your Organization's Capabilities: Resources, Processes, and Priorities are -
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 Priorities Incapable supply chain. Even after few cautionary changes mentioned in the HBR case study - Assessing Your Organization's Capabilities: Resources, Processes, and Priorities, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Priorities Incapable vulnerable to further global disruptions in South East Asia.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Priorities Incapable is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study Assessing Your Organization's Capabilities: Resources, Processes, and Priorities can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
High bargaining power of channel partners
– Because of the regulatory requirements, Clayton M. Christensen, Stephen P. Kaufman suggests that, Priorities Incapable 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.
Aligning sales with marketing
– It come across in the case study Assessing Your Organization's Capabilities: Resources, Processes, and Priorities 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 Assessing Your Organization's Capabilities: Resources, Processes, and Priorities can leverage the sales team experience to cultivate customer relationships as Priorities Incapable is planning to shift buying processes online.
Employees’ incomplete understanding of strategy
– From the instances in the HBR case study Assessing Your Organization's Capabilities: Resources, Processes, and Priorities, it seems that the employees of Priorities Incapable 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.
Slow to strategic competitive environment developments
– As Assessing Your Organization's Capabilities: Resources, Processes, and Priorities HBR case study mentions - Priorities Incapable 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.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study Assessing Your Organization's Capabilities: Resources, Processes, and Priorities, in the dynamic environment Priorities Incapable has struggled to respond to the nimble upstart competition. Priorities Incapable has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
Need for greater diversity
– Priorities Incapable 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.
High dependence on star products
– The top 2 products and services of the firm as mentioned in the Assessing Your Organization's Capabilities: Resources, Processes, and Priorities 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 Priorities Incapable has relatively successful track record of launching new products.
Interest costs
– Compare to the competition, Priorities Incapable 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.
No frontier risks strategy
– After analyzing the HBR case study Assessing Your Organization's Capabilities: Resources, Processes, and Priorities, 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.
Opportunities Assessing Your Organization's Capabilities: Resources, Processes, and Priorities | 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 Assessing Your Organization's Capabilities: Resources, Processes, and Priorities are -
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 Priorities Incapable 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.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Priorities Incapable 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, Assessing Your Organization's Capabilities: Resources, Processes, and Priorities, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Better consumer reach
– The expansion of the 5G network will help Priorities Incapable to increase its market reach. Priorities Incapable 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.
Building a culture of innovation
– managers at Priorities Incapable 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.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Priorities Incapable is facing challenges because of the dominance of functional experts in the organization. Assessing Your Organization's Capabilities: Resources, Processes, and Priorities 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.
Manufacturing automation
– Priorities Incapable 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.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Priorities Incapable 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 Priorities Incapable to hire the very best people irrespective of their geographical location.
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. Priorities Incapable can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Priorities Incapable can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Use of Bitcoin and other crypto currencies for transactions
– The popularity of Bitcoin and other crypto currencies as asset class and medium of transaction has opened new opportunities for Priorities Incapable in the consumer business. Now Priorities Incapable can target international markets with far fewer capital restrictions requirements than the existing system.
Loyalty marketing
– Priorities Incapable 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.
Buying journey improvements
– Priorities Incapable can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Assessing Your Organization's Capabilities: Resources, Processes, and Priorities 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.
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. Priorities Incapable can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Threats Assessing Your Organization's Capabilities: Resources, Processes, and Priorities External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Assessing Your Organization's Capabilities: Resources, Processes, and Priorities 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 Priorities Incapable.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study Assessing Your Organization's Capabilities: Resources, Processes, and Priorities, Priorities Incapable 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 .
Regulatory challenges
– Priorities Incapable 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.
Technology acceleration in Forth Industrial Revolution
– Priorities Incapable has witnessed rapid integration of technology during Covid-19 in the Organizational Development industry. As one of the leading players in the industry, Priorities Incapable 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.
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.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Priorities Incapable 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 Assessing Your Organization's Capabilities: Resources, Processes, and Priorities .
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Priorities Incapable with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
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. Priorities Incapable needs to understand the core reasons impacting the Organizational Development industry. This will help it in building a better workplace.
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. Priorities Incapable 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 Priorities Incapable 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.
Technology disruption because of hacks, piracy etc
– The colonial pipeline illustrated, how vulnerable modern organization are to international hackers, miscreants, and disruptors. The cyber security interruption, data leaks, etc can seriously jeopardize the future growth of the organization.
High dependence on third party suppliers
– Priorities Incapable 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.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Priorities Incapable 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.
Weighted SWOT Analysis of Assessing Your Organization's Capabilities: Resources, Processes, and Priorities 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 Assessing Your Organization's Capabilities: Resources, Processes, and Priorities 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 Assessing Your Organization's Capabilities: Resources, Processes, and Priorities 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 Assessing Your Organization's Capabilities: Resources, Processes, and Priorities 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 Assessing Your Organization's Capabilities: Resources, Processes, and Priorities 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 Priorities Incapable needs to make to build a sustainable competitive advantage.
