NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Sales & Marketing
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project
This case tells a series of schedule delay issues that CBMI Construction Co., Ltd., encountered during the implementation of the NOC project of transnational cooperation. Under triple pressures including industry winter, group merger and industry chain continuation, CBMI signed the cement plant construction project in the Republic of Benin with demanding schedule through active exploration of overseas markets and EPC project management model. As the first cement plant construction project carried out in the Republic of Benin and the first project signed after a year of zero project signing, CBMI has attached great importance and coordinated all departments' resources to be fully engaged in the operation of the project. However, the factors including harsh natural environment, complexity of project management organization, resource conflicts and differences between Chinese and Western cultures have seriously affected the smooth progress of the project, making the NOC project schedule fall into the dilemma. This case demonstrates the methods and measures to crack the NOC project progress puzzle with the use of critical chain technique through in-depth analysis of influencing factors on project progress.
Authors :: Ning Zhou, Xiaoting Han, Jinyong Shen, Tingting Hu
Swot Analysis of "NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project" written by Ning Zhou, Xiaoting Han, Jinyong Shen, Tingting Hu includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Project Noc facing as an external strategic factors. Some of the topics covered in NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project case study are - Strategic Management Strategies, and Sales & Marketing.
Some of the macro environment factors that can be used to understand the NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project casestudy better are - – central banks are concerned over increasing inflation, increasing household debt because of falling income levels, increasing commodity prices, there is backlash against globalization, geopolitical disruptions, banking and financial system is disrupted by Bitcoin and other crypto currencies, challanges to central banks by blockchain based private currencies,
increasing transportation and logistics costs, technology disruption, etc
Introduction to SWOT Analysis of NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Project Noc, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Project Noc 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 NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project can be done for the following purposes –
1. Strategic planning using facts provided in NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project case study
2. Improving business portfolio management of Project Noc
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 Project Noc
Strengths NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Project Noc in NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project Harvard Business Review case study are -
Training and development
– Project Noc has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project 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 Project Noc 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.
Low bargaining power of suppliers
– Suppliers of Project Noc in the sector have low bargaining power. NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Project Noc to manage not only supply disruptions but also source products at highly competitive prices.
Effective Research and Development (R&D)
– Project Noc 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 NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Sustainable margins compare to other players in Sales & Marketing industry
– NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project firm has clearly differentiated products in the market place. This has enabled Project Noc to fetch slight price premium compare to the competitors in the Sales & Marketing industry. The sustainable margins have also helped Project Noc to invest into research and development (R&D) and innovation.
Strong track record of project management
– Project Noc is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Analytics focus
– Project Noc 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 Ning Zhou, Xiaoting Han, Jinyong Shen, Tingting Hu 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.
Superior customer experience
– The customer experience strategy of Project Noc in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Successful track record of launching new products
– Project Noc has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Project Noc 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 Project Noc 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.
Organizational Resilience of Project Noc
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Project Noc does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Highly skilled collaborators
– Project Noc 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 NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
Weaknesses NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project are -
Products dominated business model
– Even though Project Noc 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 - NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project should strive to include more intangible value offerings along with its core products and services.
High bargaining power of channel partners
– Because of the regulatory requirements, Ning Zhou, Xiaoting Han, Jinyong Shen, Tingting Hu suggests that, Project Noc 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 operating costs
– Compare to the competitors, firm in the HBR case study NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project 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 Project Noc 's lucrative customers.
Low market penetration in new markets
– Outside its home market of Project Noc, firm in the HBR case study NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
Employees’ incomplete understanding of strategy
– From the instances in the HBR case study NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project, it seems that the employees of Project Noc 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.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project, in the dynamic environment Project Noc has struggled to respond to the nimble upstart competition. Project Noc has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
Slow to strategic competitive environment developments
– As NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project HBR case study mentions - Project Noc 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.
Capital Spending Reduction
– Even during the low interest decade, Project Noc 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.
Slow decision making process
– As mentioned earlier in the report, Project Noc 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. Project Noc 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.
Aligning sales with marketing
– It come across in the case study NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project 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 NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project can leverage the sales team experience to cultivate customer relationships as Project Noc is planning to shift buying processes online.
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 Project Noc supply chain. Even after few cautionary changes mentioned in the HBR case study - NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Project Noc vulnerable to further global disruptions in South East Asia.
Opportunities NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project | 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 NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project are -
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Project Noc 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, NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Project Noc 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 Project Noc to hire the very best people irrespective of their geographical location.
Manufacturing automation
– Project Noc can use the latest technology developments to improve its manufacturing and designing process in Sales & Marketing 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.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Project Noc is facing challenges because of the dominance of functional experts in the organization. NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project 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
– Project Noc 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.
Changes in consumer behavior post Covid-19
– Consumer behavior has changed in the Sales & Marketing industry because of Covid-19 restrictions. Some of this behavior will stay once things get back to normal. Project Noc can take advantage of these changes in consumer behavior to build a far more efficient business model. For example consumer regular ordering of products can reduce both last mile delivery costs and market penetration costs. Project Noc can further use this consumer data to build better customer loyalty, provide better products and service collection, and improve the value proposition in inflationary times.
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 Project Noc 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.
Creating value in data economy
– The success of analytics program of Project Noc has opened avenues for new revenue streams for the organization in the industry. This can help Project Noc to build a more holistic ecosystem as suggested in the NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project case study. Project Noc can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Project Noc can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Lowering marketing communication costs
– 5G expansion will open new opportunities for Project Noc in the field of marketing communication. It will bring down the cost of doing business, provide technology platform to build new products in the Sales & Marketing segment, and it will provide faster access to the consumers.
Better consumer reach
– The expansion of the 5G network will help Project Noc to increase its market reach. Project Noc 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
– Project Noc can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project 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.
Low interest rates
– Even though inflation is raising its head in most developed economies, Project Noc 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 NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project are -
Consumer confidence and its impact on Project Noc 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 Project Noc
– 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 Project Noc.
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. Project Noc can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Shortening product life cycle
– it is one of the major threat that Project Noc is facing in Sales & Marketing sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
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.
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 Project Noc business can come under increasing regulations regarding data privacy, data security, etc.
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. Project Noc 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 acceleration in Forth Industrial Revolution
– Project Noc has witnessed rapid integration of technology during Covid-19 in the Sales & Marketing industry. As one of the leading players in the industry, Project Noc needs to keep up with the evolution of technology in the Sales & Marketing 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.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Project Noc 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 NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project .
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 Project Noc.
Stagnating economy with rate increase
– Project Noc 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.
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.
Regulatory challenges
– Project Noc 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.
Weighted SWOT Analysis of NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project 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 NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project 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 NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project 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 NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project 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 NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project 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 Project Noc needs to make to build a sustainable competitive advantage.