Sensors Unlimited: Bringing InGaAs Technology to the Market SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Organizational Development
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of Sensors Unlimited: Bringing InGaAs Technology to the Market
Sensors Unlimited was a small start-up in short-wavelength infrared imaging. Its learning base came out of Bell Labs, RCA's Sarnoff Lab, and the Rockwell Science Center, and as it built its capabilities and ventured into new application areas, it discovered a "killer app" for optical communications which led to its acquisition at the height of the telecom bubble. After the subsequent telecom meltdown, the founders reacquired many of the assets of the company and focused it on industrial and military applications. The case focus presents a question of whether the company should sell out again, this time to a military aerospace firm.
Swot Analysis of "Sensors Unlimited: Bringing InGaAs Technology to the Market" written by Willy Shih includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Unlimited Sensors facing as an external strategic factors. Some of the topics covered in Sensors Unlimited: Bringing InGaAs Technology to the Market case study are - Strategic Management Strategies, Entrepreneurship, Innovation, Leading teams, Mergers & acquisitions, Technology and Organizational Development.
Some of the macro environment factors that can be used to understand the Sensors Unlimited: Bringing InGaAs Technology to the Market casestudy better are - – there is backlash against globalization, technology disruption, cloud computing is disrupting traditional business models, increasing commodity prices, increasing inequality as vast percentage of new income is going to the top 1%, wage bills are increasing, increasing energy prices,
digital marketing is dominated by two big players Facebook and Google, there is increasing trade war between United States & China, etc
Introduction to SWOT Analysis of Sensors Unlimited: Bringing InGaAs Technology to the Market
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Sensors Unlimited: Bringing InGaAs Technology to the Market case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Unlimited Sensors, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Unlimited Sensors 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 Sensors Unlimited: Bringing InGaAs Technology to the Market can be done for the following purposes –
1. Strategic planning using facts provided in Sensors Unlimited: Bringing InGaAs Technology to the Market case study
2. Improving business portfolio management of Unlimited Sensors
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 Unlimited Sensors
Strengths Sensors Unlimited: Bringing InGaAs Technology to the Market | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Unlimited Sensors in Sensors Unlimited: Bringing InGaAs Technology to the Market Harvard Business Review case study are -
Effective Research and Development (R&D)
– Unlimited Sensors 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 Sensors Unlimited: Bringing InGaAs Technology to the Market - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Low bargaining power of suppliers
– Suppliers of Unlimited Sensors in the sector have low bargaining power. Sensors Unlimited: Bringing InGaAs Technology to the Market has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Unlimited Sensors to manage not only supply disruptions but also source products at highly competitive prices.
Superior customer experience
– The customer experience strategy of Unlimited Sensors in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Training and development
– Unlimited Sensors has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in Sensors Unlimited: Bringing InGaAs Technology to the Market 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.
Cross disciplinary teams
– Horizontal connected teams at the Unlimited Sensors 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
– Sensors Unlimited: Bringing InGaAs Technology to the Market firm has clearly differentiated products in the market place. This has enabled Unlimited Sensors to fetch slight price premium compare to the competitors in the Organizational Development industry. The sustainable margins have also helped Unlimited Sensors to invest into research and development (R&D) and innovation.
Organizational Resilience of Unlimited Sensors
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Unlimited Sensors does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Digital Transformation in Organizational Development segment
- digital transformation varies from industry to industry. For Unlimited Sensors digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Unlimited Sensors 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.
Ability to recruit top talent
– Unlimited Sensors is one of the leading recruiters in the industry. Managers in the Sensors Unlimited: Bringing InGaAs Technology to the Market are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
Diverse revenue streams
– Unlimited Sensors is present in almost all the verticals within the industry. This has provided firm in Sensors Unlimited: Bringing InGaAs Technology to the Market 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.
Successful track record of launching new products
– Unlimited Sensors has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Unlimited Sensors 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.
High switching costs
– The high switching costs that Unlimited Sensors 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.
Weaknesses Sensors Unlimited: Bringing InGaAs Technology to the Market | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Sensors Unlimited: Bringing InGaAs Technology to the Market are -
Low market penetration in new markets
– Outside its home market of Unlimited Sensors, firm in the HBR case study Sensors Unlimited: Bringing InGaAs Technology to the Market needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
Products dominated business model
– Even though Unlimited Sensors 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 - Sensors Unlimited: Bringing InGaAs Technology to the Market should strive to include more intangible value offerings along with its core products and services.
Lack of clear differentiation of Unlimited Sensors products
– To increase the profitability and margins on the products, Unlimited Sensors needs to provide more differentiated products than what it is currently offering in the marketplace.
Capital Spending Reduction
– Even during the low interest decade, Unlimited Sensors 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.
Workers concerns about automation
– As automation is fast increasing in the segment, Unlimited Sensors needs to come up with a strategy to reduce the workers concern regarding automation. Without a clear strategy, it could lead to disruption and uncertainty within the organization.
High bargaining power of channel partners
– Because of the regulatory requirements, Willy Shih suggests that, Unlimited Sensors 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.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study Sensors Unlimited: Bringing InGaAs Technology to the Market, in the dynamic environment Unlimited Sensors has struggled to respond to the nimble upstart competition. Unlimited Sensors has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
Slow decision making process
– As mentioned earlier in the report, Unlimited Sensors 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. Unlimited Sensors 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.
Slow to strategic competitive environment developments
– As Sensors Unlimited: Bringing InGaAs Technology to the Market HBR case study mentions - Unlimited Sensors 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.
High operating costs
– Compare to the competitors, firm in the HBR case study Sensors Unlimited: Bringing InGaAs Technology to the Market 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 Unlimited Sensors 's lucrative customers.
High cash cycle compare to competitors
Unlimited Sensors 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.
Opportunities Sensors Unlimited: Bringing InGaAs Technology to the Market | 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 Sensors Unlimited: Bringing InGaAs Technology to the Market are -
Buying journey improvements
– Unlimited Sensors can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Sensors Unlimited: Bringing InGaAs Technology to the Market 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.
Manufacturing automation
– Unlimited Sensors 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 Unlimited Sensors 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.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Unlimited Sensors can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Unlimited Sensors 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, Sensors Unlimited: Bringing InGaAs Technology to the Market, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
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. Unlimited Sensors can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Leveraging digital technologies
– Unlimited Sensors 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.
Building a culture of innovation
– managers at Unlimited Sensors 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.
Loyalty marketing
– Unlimited Sensors 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.
Creating value in data economy
– The success of analytics program of Unlimited Sensors has opened avenues for new revenue streams for the organization in the industry. This can help Unlimited Sensors to build a more holistic ecosystem as suggested in the Sensors Unlimited: Bringing InGaAs Technology to the Market case study. Unlimited Sensors can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
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 Unlimited Sensors in the consumer business. Now Unlimited Sensors can target international markets with far fewer capital restrictions requirements than the existing system.
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. Unlimited Sensors can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Better consumer reach
– The expansion of the 5G network will help Unlimited Sensors to increase its market reach. Unlimited Sensors 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.
Threats Sensors Unlimited: Bringing InGaAs Technology to the Market External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Sensors Unlimited: Bringing InGaAs Technology to the Market are -
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Unlimited Sensors with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
Consumer confidence and its impact on Unlimited Sensors 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.
Increasing wage structure of Unlimited Sensors
– 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 Unlimited Sensors.
Environmental challenges
– Unlimited Sensors 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. Unlimited Sensors can take advantage of this fund but it will also bring new competitors in the Organizational Development industry.
Regulatory challenges
– Unlimited Sensors 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.
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.
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 Unlimited Sensors.
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 Unlimited Sensors business can come under increasing regulations regarding data privacy, data security, etc.
Stagnating economy with rate increase
– Unlimited Sensors 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.
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. Unlimited Sensors 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.
Shortening product life cycle
– it is one of the major threat that Unlimited Sensors is facing in Organizational Development sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, 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 Sensors Unlimited: Bringing InGaAs Technology to the Market, Unlimited Sensors may face longer learning curve for training and development of existing employees. This can open space for more nimble competitors in the field of Organizational Development .
Technology acceleration in Forth Industrial Revolution
– Unlimited Sensors has witnessed rapid integration of technology during Covid-19 in the Organizational Development industry. As one of the leading players in the industry, Unlimited Sensors 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.
Weighted SWOT Analysis of Sensors Unlimited: Bringing InGaAs Technology to the Market 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 Sensors Unlimited: Bringing InGaAs Technology to the Market 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 Sensors Unlimited: Bringing InGaAs Technology to the Market 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 Sensors Unlimited: Bringing InGaAs Technology to the Market 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 Sensors Unlimited: Bringing InGaAs Technology to the Market 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 Unlimited Sensors needs to make to build a sustainable competitive advantage.
