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 - – wage bills are increasing, increasing transportation and logistics costs, increasing commodity prices, increasing household debt because of falling income levels, technology disruption, talent flight as more people leaving formal jobs, increasing energy prices,
digital marketing is dominated by two big players Facebook and Google, competitive advantages are harder to sustain because of technology dispersion, 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 -
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.
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.
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.
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.
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.
Learning organization
- Project Noc is a learning organization. It has inculcated three key characters of learning organization in its processes and operations – exploration, creativity, and expansiveness. The work place at Project Noc is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
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.
Operational resilience
– The operational resilience strategy in the NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project 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.
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.
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.
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.
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.
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 -
Lack of clear differentiation of Project Noc products
– To increase the profitability and margins on the products, Project Noc needs to provide more differentiated products than what it is currently offering in the marketplace.
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.
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.
Need for greater diversity
– Project Noc has taken concrete steps on diversity, equity, and inclusion. But the efforts so far has resulted in limited success. It needs to expand the recruitment and selection process to hire more people from the minorities and underprivileged background.
Workers concerns about automation
– As automation is fast increasing in the segment, Project Noc 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.
Interest costs
– Compare to the competition, Project Noc 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.
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.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Project Noc is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study NOC Project in Dilemma: Plight of Schedule Control of an Overseas EPC Project 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 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.
Increasing silos among functional specialists
– The organizational structure of Project Noc is dominated by functional specialists. It is not different from other players in the Sales & Marketing segment. Project Noc needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Project Noc to focus more on services rather than just following the product oriented approach.
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.
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.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Project Noc can use these opportunities to build new business models that can help the communities that Project Noc operates in. Secondly it can use opportunities from government spending in Sales & Marketing sector.
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.
Loyalty marketing
– Project Noc 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.
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.
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.
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. Project Noc can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Building a culture of innovation
– managers at Project Noc 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.
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.
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.
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.
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.
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.
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 -
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.
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.
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.
New competition
– After the dotcom bust of 2001, financial crisis of 2008-09, the business formation in US economy had declined. But in 2020 alone, there are more than 1.5 million new business applications in United States. This can lead to greater competition for Project Noc in the Sales & Marketing sector and impact the bottomline of the organization.
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.
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.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Project Noc 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. 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.
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.
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.
High dependence on third party suppliers
– Project Noc 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.
High level of anxiety and lack of motivation
– the Great Resignation in United States is the sign of broader dissatisfaction among the workforce in United States. Project Noc needs to understand the core reasons impacting the Sales & Marketing industry. This will help it in building a better workplace.
Environmental challenges
– Project Noc 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. Project Noc can take advantage of this fund but it will also bring new competitors in the Sales & Marketing industry.
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.
