NASA After Challenger: Restoring an Image SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Sales & Marketing
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of NASA After Challenger: Restoring an Image
In the days following the loss of the space shuttle Challenger and its crew in January of 1986, NASA officials were unwilling to communicate with the media or the public. A siege mentality took hold, and the press and public responded with intense criticism and inquiry. The case describes NASA's harmonious relationship with the media before Challenger, and the many obstacles William Sheehan faced when he stepped in to attempt to restore NASA's image and relationship with the media after Challenger. The issues include the special problems faced by a public institution with a history of poor internal communication, and the compounded difficulties of attempting to create effective internal policy while also trying to restore credibility with the media and deal with investigative probes.
Swot Analysis of "NASA After Challenger: Restoring an Image" written by Stephen A. Greyser, Norman Klein includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Challenger Nasa's facing as an external strategic factors. Some of the topics covered in NASA After Challenger: Restoring an Image case study are - Strategic Management Strategies, Crisis management, Government, Public relations and Sales & Marketing.
Some of the macro environment factors that can be used to understand the NASA After Challenger: Restoring an Image casestudy better are - – wage bills are increasing, talent flight as more people leaving formal jobs, challanges to central banks by blockchain based private currencies, increasing government debt because of Covid-19 spendings, increasing inequality as vast percentage of new income is going to the top 1%, central banks are concerned over increasing inflation, digital marketing is dominated by two big players Facebook and Google,
supply chains are disrupted by pandemic , there is increasing trade war between United States & China, etc
Introduction to SWOT Analysis of NASA After Challenger: Restoring an Image
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in NASA After Challenger: Restoring an Image case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Challenger Nasa's, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Challenger Nasa's 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 NASA After Challenger: Restoring an Image can be done for the following purposes –
1. Strategic planning using facts provided in NASA After Challenger: Restoring an Image case study
2. Improving business portfolio management of Challenger Nasa's
3. Assessing feasibility of the new initiative in Sales & Marketing field.
4. Making a Sales & Marketing topic specific business decision
5. Set goals for the organization
6. Organizational restructuring of Challenger Nasa's
Strengths NASA After Challenger: Restoring an Image | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Challenger Nasa's in NASA After Challenger: Restoring an Image Harvard Business Review case study are -
Sustainable margins compare to other players in Sales & Marketing industry
– NASA After Challenger: Restoring an Image firm has clearly differentiated products in the market place. This has enabled Challenger Nasa's to fetch slight price premium compare to the competitors in the Sales & Marketing industry. The sustainable margins have also helped Challenger Nasa's to invest into research and development (R&D) and innovation.
Training and development
– Challenger Nasa's has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in NASA After Challenger: Restoring an Image 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.
Innovation driven organization
– Challenger Nasa's is one of the most innovative firm in sector. Manager in NASA After Challenger: Restoring an Image 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
– Challenger Nasa's 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 NASA After Challenger: Restoring an Image HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
Analytics focus
– Challenger Nasa's is putting a lot of focus on utilizing the power of analytics in business decision making. This has put it among the leading players in the industry. The technology infrastructure suggested by Stephen A. Greyser, Norman Klein can also help it to harness the power of analytics for – marketing optimization, demand forecasting, customer relationship management, inventory management, information sharing across the value chain etc.
Digital Transformation in Sales & Marketing segment
- digital transformation varies from industry to industry. For Challenger Nasa's digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Challenger Nasa's 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
– Challenger Nasa's is one of the leading recruiters in the industry. Managers in the NASA After Challenger: Restoring an Image are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
Ability to lead change in Sales & Marketing field
– Challenger Nasa's 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 Challenger Nasa's in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Diverse revenue streams
– Challenger Nasa's is present in almost all the verticals within the industry. This has provided firm in NASA After Challenger: Restoring an Image 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.
High switching costs
– The high switching costs that Challenger Nasa's 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.
Operational resilience
– The operational resilience strategy in the NASA After Challenger: Restoring an Image 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.
High brand equity
– Challenger Nasa's has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Challenger Nasa's to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Weaknesses NASA After Challenger: Restoring an Image | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of NASA After Challenger: Restoring an Image are -
Slow decision making process
– As mentioned earlier in the report, Challenger Nasa's 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. Challenger Nasa's 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 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 Challenger Nasa's supply chain. Even after few cautionary changes mentioned in the HBR case study - NASA After Challenger: Restoring an Image, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Challenger Nasa's vulnerable to further global disruptions in South East Asia.
Increasing silos among functional specialists
– The organizational structure of Challenger Nasa's is dominated by functional specialists. It is not different from other players in the Sales & Marketing segment. Challenger Nasa's needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Challenger Nasa's 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 NASA After Challenger: Restoring an Image 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 Challenger Nasa's 's lucrative customers.
Capital Spending Reduction
– Even during the low interest decade, Challenger Nasa's 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.
High dependence on star products
– The top 2 products and services of the firm as mentioned in the NASA After Challenger: Restoring an Image 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 Challenger Nasa's has relatively successful track record of launching new products.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Challenger Nasa's is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study NASA After Challenger: Restoring an Image can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
Employees’ incomplete understanding of strategy
– From the instances in the HBR case study NASA After Challenger: Restoring an Image, it seems that the employees of Challenger Nasa's 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.
Products dominated business model
– Even though Challenger Nasa's 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 - NASA After Challenger: Restoring an Image should strive to include more intangible value offerings along with its core products and services.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study NASA After Challenger: Restoring an Image, in the dynamic environment Challenger Nasa's has struggled to respond to the nimble upstart competition. Challenger Nasa's has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
No frontier risks strategy
– After analyzing the HBR case study NASA After Challenger: Restoring an Image, it seems that company is thinking about the frontier risks that can impact Sales & Marketing 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 NASA After Challenger: Restoring an Image | 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 NASA After Challenger: Restoring an Image are -
Building a culture of innovation
– managers at Challenger Nasa's 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 Sales & Marketing segment.
Creating value in data economy
– The success of analytics program of Challenger Nasa's has opened avenues for new revenue streams for the organization in the industry. This can help Challenger Nasa's to build a more holistic ecosystem as suggested in the NASA After Challenger: Restoring an Image case study. Challenger Nasa's 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 Challenger Nasa's in the consumer business. Now Challenger Nasa's can target international markets with far fewer capital restrictions requirements than the existing system.
Leveraging digital technologies
– Challenger Nasa's 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.
Finding new ways to collaborate
– Covid-19 has not only transformed business models of companies in Sales & Marketing industry, but it has also influenced the consumer preferences. Challenger Nasa's can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Challenger Nasa's can use these opportunities to build new business models that can help the communities that Challenger Nasa's operates in. Secondly it can use opportunities from government spending in Sales & Marketing sector.
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 Challenger Nasa's 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.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Challenger Nasa's is facing challenges because of the dominance of functional experts in the organization. NASA After Challenger: Restoring an Image 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.
Developing new processes and practices
– Challenger Nasa's can develop new processes and procedures in Sales & Marketing 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.
Learning at scale
– Online learning technologies has now opened space for Challenger Nasa's 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.
Better consumer reach
– The expansion of the 5G network will help Challenger Nasa's to increase its market reach. Challenger Nasa's 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.
Buying journey improvements
– Challenger Nasa's can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. NASA After Challenger: Restoring an Image 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.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Challenger Nasa's can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Threats NASA After Challenger: Restoring an Image External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study NASA After Challenger: Restoring an Image are -
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 Challenger Nasa's business can come under increasing regulations regarding data privacy, data security, etc.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study NASA After Challenger: Restoring an Image, Challenger Nasa's may face longer learning curve for training and development of existing employees. This can open space for more nimble competitors in the field of Sales & Marketing .
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 Challenger Nasa's.
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. Challenger Nasa's 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.
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.
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.
Consumer confidence and its impact on Challenger Nasa's 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.
Regulatory challenges
– Challenger Nasa's 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 Sales & Marketing industry regulations.
Environmental challenges
– Challenger Nasa's 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. Challenger Nasa's can take advantage of this fund but it will also bring new competitors in the Sales & Marketing industry.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Challenger Nasa's with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
Easy access to finance
– Easy access to finance in Sales & Marketing field will also reduce the barriers to entry in the industry, thus putting downward pressure on the prices because of increasing competition. Challenger Nasa's can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Challenger Nasa's 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 NASA After Challenger: Restoring an Image .
High dependence on third party suppliers
– Challenger Nasa's 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.
Weighted SWOT Analysis of NASA After Challenger: Restoring an Image 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 NASA After Challenger: Restoring an Image 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 NASA After Challenger: Restoring an Image 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 NASA After Challenger: Restoring an Image 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 NASA After Challenger: Restoring an Image 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 Challenger Nasa's needs to make to build a sustainable competitive advantage.
