Brookfield Properties: Crisis Leadership Following September 11th, 2001 SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Organizational Development
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of Brookfield Properties: Crisis Leadership Following September 11th, 2001
Brookfield Properties is a publicly held, North American commercial real estate company focused on the ownership, management, and development of premier office properties located in the downtown core of selected North American markets. Most of Brookfield's assets are in the United States, with headquarters in New York and an executive office in Toronto. Four of the properties that Brookfield owns are adjacent to the World Trade Center site and on September 11, 2001, the terrorist attacks had an immediate impact on Brookfield employees, tenants, and physical property. With little reliable information and in the face of chaos and human tragedy, the president and CEO must develop an action plan that will ensure the safety of all employees and tenants, deal with grief and suffering, assess the damage, enable the company to return to business as usual, and reassure investors and the media of the company's commitment to restore Brookfield's position of market strength.
Authors :: Kathleen E. Slaughter, Elizabeth O'Neil
Swot Analysis of "Brookfield Properties: Crisis Leadership Following September 11th, 2001" written by Kathleen E. Slaughter, Elizabeth O'Neil includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Brookfield Properties facing as an external strategic factors. Some of the topics covered in Brookfield Properties: Crisis Leadership Following September 11th, 2001 case study are - Strategic Management Strategies, Crisis management, Leadership, Organizational culture, Strategy execution and Organizational Development.
Some of the macro environment factors that can be used to understand the Brookfield Properties: Crisis Leadership Following September 11th, 2001 casestudy better are - – there is backlash against globalization, geopolitical disruptions, competitive advantages are harder to sustain because of technology dispersion, increasing commodity prices, increasing government debt because of Covid-19 spendings, challanges to central banks by blockchain based private currencies, increasing energy prices,
increasing household debt because of falling income levels, there is increasing trade war between United States & China, etc
Introduction to SWOT Analysis of Brookfield Properties: Crisis Leadership Following September 11th, 2001
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Brookfield Properties: Crisis Leadership Following September 11th, 2001 case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Brookfield Properties, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Brookfield Properties 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 Brookfield Properties: Crisis Leadership Following September 11th, 2001 can be done for the following purposes –
1. Strategic planning using facts provided in Brookfield Properties: Crisis Leadership Following September 11th, 2001 case study
2. Improving business portfolio management of Brookfield Properties
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 Brookfield Properties
Strengths Brookfield Properties: Crisis Leadership Following September 11th, 2001 | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Brookfield Properties in Brookfield Properties: Crisis Leadership Following September 11th, 2001 Harvard Business Review case study are -
Cross disciplinary teams
– Horizontal connected teams at the Brookfield Properties 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.
Sustainable margins compare to other players in Organizational Development industry
– Brookfield Properties: Crisis Leadership Following September 11th, 2001 firm has clearly differentiated products in the market place. This has enabled Brookfield Properties to fetch slight price premium compare to the competitors in the Organizational Development industry. The sustainable margins have also helped Brookfield Properties to invest into research and development (R&D) and innovation.
Innovation driven organization
– Brookfield Properties is one of the most innovative firm in sector. Manager in Brookfield Properties: Crisis Leadership Following September 11th, 2001 Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Highly skilled collaborators
– Brookfield Properties 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 Brookfield Properties: Crisis Leadership Following September 11th, 2001 HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
Successful track record of launching new products
– Brookfield Properties has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Brookfield Properties 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.
Training and development
– Brookfield Properties has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in Brookfield Properties: Crisis Leadership Following September 11th, 2001 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.
Diverse revenue streams
– Brookfield Properties is present in almost all the verticals within the industry. This has provided firm in Brookfield Properties: Crisis Leadership Following September 11th, 2001 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.
Effective Research and Development (R&D)
– Brookfield Properties 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 Brookfield Properties: Crisis Leadership Following September 11th, 2001 - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Ability to lead change in Organizational Development field
– Brookfield Properties 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 Brookfield Properties in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
High switching costs
– The high switching costs that Brookfield Properties 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.
Ability to recruit top talent
– Brookfield Properties is one of the leading recruiters in the industry. Managers in the Brookfield Properties: Crisis Leadership Following September 11th, 2001 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 Brookfield Properties in the sector have low bargaining power. Brookfield Properties: Crisis Leadership Following September 11th, 2001 has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Brookfield Properties to manage not only supply disruptions but also source products at highly competitive prices.
Weaknesses Brookfield Properties: Crisis Leadership Following September 11th, 2001 | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Brookfield Properties: Crisis Leadership Following September 11th, 2001 are -
Lack of clear differentiation of Brookfield Properties products
– To increase the profitability and margins on the products, Brookfield Properties needs to provide more differentiated products than what it is currently offering in the marketplace.
High cash cycle compare to competitors
Brookfield Properties 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 to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Brookfield Properties is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study Brookfield Properties: Crisis Leadership Following September 11th, 2001 can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
Slow decision making process
– As mentioned earlier in the report, Brookfield Properties 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. Brookfield Properties 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 operating costs
– Compare to the competitors, firm in the HBR case study Brookfield Properties: Crisis Leadership Following September 11th, 2001 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 Brookfield Properties 's lucrative customers.
Interest costs
– Compare to the competition, Brookfield Properties 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, Kathleen E. Slaughter, Elizabeth O'Neil suggests that, Brookfield Properties is facing high bargaining power of the channel partners. So far it has not able to streamline the operations to reduce the bargaining power of the value chain partners in the industry.
High dependence on star products
– The top 2 products and services of the firm as mentioned in the Brookfield Properties: Crisis Leadership Following September 11th, 2001 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 Brookfield Properties has relatively successful track record of launching new products.
Aligning sales with marketing
– It come across in the case study Brookfield Properties: Crisis Leadership Following September 11th, 2001 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 Brookfield Properties: Crisis Leadership Following September 11th, 2001 can leverage the sales team experience to cultivate customer relationships as Brookfield Properties is planning to shift buying processes online.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study Brookfield Properties: Crisis Leadership Following September 11th, 2001, in the dynamic environment Brookfield Properties has struggled to respond to the nimble upstart competition. Brookfield Properties has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
Increasing silos among functional specialists
– The organizational structure of Brookfield Properties is dominated by functional specialists. It is not different from other players in the Organizational Development segment. Brookfield Properties needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Brookfield Properties to focus more on services rather than just following the product oriented approach.
Opportunities Brookfield Properties: Crisis Leadership Following September 11th, 2001 | 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 Brookfield Properties: Crisis Leadership Following September 11th, 2001 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. Brookfield Properties can explore opportunities that can attract volunteers and are consistent with its mission and vision.
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 Brookfield Properties 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.
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. Brookfield Properties can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Brookfield Properties 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 Brookfield Properties to hire the very best people irrespective of their geographical location.
Lowering marketing communication costs
– 5G expansion will open new opportunities for Brookfield Properties 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.
Creating value in data economy
– The success of analytics program of Brookfield Properties has opened avenues for new revenue streams for the organization in the industry. This can help Brookfield Properties to build a more holistic ecosystem as suggested in the Brookfield Properties: Crisis Leadership Following September 11th, 2001 case study. Brookfield Properties can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Better consumer reach
– The expansion of the 5G network will help Brookfield Properties to increase its market reach. Brookfield Properties 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.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Brookfield Properties is facing challenges because of the dominance of functional experts in the organization. Brookfield Properties: Crisis Leadership Following September 11th, 2001 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.
Leveraging digital technologies
– Brookfield Properties can leverage digital technologies such as artificial intelligence and machine learning to automate the production process, customer analytics to get better insights into consumer behavior, realtime digital dashboards to get better sales tracking, logistics and transportation, product tracking, etc.
Manufacturing automation
– Brookfield Properties 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.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Brookfield Properties 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, Brookfield Properties: Crisis Leadership Following September 11th, 2001, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Developing new processes and practices
– Brookfield Properties 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.
Low interest rates
– Even though inflation is raising its head in most developed economies, Brookfield Properties 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.
Threats Brookfield Properties: Crisis Leadership Following September 11th, 2001 External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Brookfield Properties: Crisis Leadership Following September 11th, 2001 are -
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Brookfield Properties 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 Brookfield Properties 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.
Regulatory challenges
– Brookfield Properties 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.
Shortening product life cycle
– it is one of the major threat that Brookfield Properties is facing in Organizational Development sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Stagnating economy with rate increase
– Brookfield Properties 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.
Environmental challenges
– Brookfield Properties 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. Brookfield Properties can take advantage of this fund but it will also bring new competitors in the Organizational Development industry.
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. Brookfield Properties can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
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 Brookfield Properties.
High dependence on third party suppliers
– Brookfield Properties 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.
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.
Consumer confidence and its impact on Brookfield Properties 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.
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. Brookfield Properties 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.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study Brookfield Properties: Crisis Leadership Following September 11th, 2001, Brookfield Properties 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 .
Weighted SWOT Analysis of Brookfield Properties: Crisis Leadership Following September 11th, 2001 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 Brookfield Properties: Crisis Leadership Following September 11th, 2001 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 Brookfield Properties: Crisis Leadership Following September 11th, 2001 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 Brookfield Properties: Crisis Leadership Following September 11th, 2001 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 Brookfield Properties: Crisis Leadership Following September 11th, 2001 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 Brookfield Properties needs to make to build a sustainable competitive advantage.
