Ibrahim Dabdoub at the National Bank of Kuwait SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Strategy & Execution
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of Ibrahim Dabdoub at the National Bank of Kuwait
Ibrahim Dabdoub, the Group chief executive of the National Bank of Kuwait (NBK), reflects on his past 30 years at the helm of the Bank. Under his leadership, NBK grew from a small local bank to one of the preeminent financial institutions in the region. However, following the global financial crisis of 2008 and the Arab Spring, NBK had to slow its regional expansion. Dabdoub wonders if the Bank is positioned to thrive and fulfill its collective ambition to become the Arab regional bank by 2020.
Swot Analysis of "Ibrahim Dabdoub at the National Bank of Kuwait" written by Linda A. Hill, Dana M. Teppert includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Dabdoub Nbk facing as an external strategic factors. Some of the topics covered in Ibrahim Dabdoub at the National Bank of Kuwait case study are - Strategic Management Strategies, Growth strategy, Leadership, Leadership development, Leading teams, Strategy execution and Strategy & Execution.
Some of the macro environment factors that can be used to understand the Ibrahim Dabdoub at the National Bank of Kuwait casestudy better are - – wage bills are increasing, there is increasing trade war between United States & China, talent flight as more people leaving formal jobs, cloud computing is disrupting traditional business models, technology disruption, customer relationship management is fast transforming because of increasing concerns over data privacy, challanges to central banks by blockchain based private currencies,
increasing energy prices, central banks are concerned over increasing inflation, etc
Introduction to SWOT Analysis of Ibrahim Dabdoub at the National Bank of Kuwait
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Ibrahim Dabdoub at the National Bank of Kuwait case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Dabdoub Nbk, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Dabdoub Nbk 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 Ibrahim Dabdoub at the National Bank of Kuwait can be done for the following purposes –
1. Strategic planning using facts provided in Ibrahim Dabdoub at the National Bank of Kuwait case study
2. Improving business portfolio management of Dabdoub Nbk
3. Assessing feasibility of the new initiative in Strategy & Execution field.
4. Making a Strategy & Execution topic specific business decision
5. Set goals for the organization
6. Organizational restructuring of Dabdoub Nbk
Strengths Ibrahim Dabdoub at the National Bank of Kuwait | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Dabdoub Nbk in Ibrahim Dabdoub at the National Bank of Kuwait Harvard Business Review case study are -
Organizational Resilience of Dabdoub Nbk
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Dabdoub Nbk does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
High switching costs
– The high switching costs that Dabdoub Nbk 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.
Low bargaining power of suppliers
– Suppliers of Dabdoub Nbk in the sector have low bargaining power. Ibrahim Dabdoub at the National Bank of Kuwait has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Dabdoub Nbk to manage not only supply disruptions but also source products at highly competitive prices.
Training and development
– Dabdoub Nbk has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in Ibrahim Dabdoub at the National Bank of Kuwait 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.
Strong track record of project management
– Dabdoub Nbk is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Effective Research and Development (R&D)
– Dabdoub Nbk 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 Ibrahim Dabdoub at the National Bank of Kuwait - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Ability to lead change in Strategy & Execution field
– Dabdoub Nbk 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 Dabdoub Nbk in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Analytics focus
– Dabdoub Nbk 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 Linda A. Hill, Dana M. Teppert 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.
Innovation driven organization
– Dabdoub Nbk is one of the most innovative firm in sector. Manager in Ibrahim Dabdoub at the National Bank of Kuwait Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Sustainable margins compare to other players in Strategy & Execution industry
– Ibrahim Dabdoub at the National Bank of Kuwait firm has clearly differentiated products in the market place. This has enabled Dabdoub Nbk to fetch slight price premium compare to the competitors in the Strategy & Execution industry. The sustainable margins have also helped Dabdoub Nbk to invest into research and development (R&D) and innovation.
Learning organization
- Dabdoub Nbk 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 Dabdoub Nbk is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Ibrahim Dabdoub at the National Bank of Kuwait Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Cross disciplinary teams
– Horizontal connected teams at the Dabdoub Nbk 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.
Weaknesses Ibrahim Dabdoub at the National Bank of Kuwait | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Ibrahim Dabdoub at the National Bank of Kuwait are -
Increasing silos among functional specialists
– The organizational structure of Dabdoub Nbk is dominated by functional specialists. It is not different from other players in the Strategy & Execution segment. Dabdoub Nbk needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Dabdoub Nbk 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 Ibrahim Dabdoub at the National Bank of Kuwait, in the dynamic environment Dabdoub Nbk has struggled to respond to the nimble upstart competition. Dabdoub Nbk has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
Workers concerns about automation
– As automation is fast increasing in the segment, Dabdoub Nbk 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.
Products dominated business model
– Even though Dabdoub Nbk 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 - Ibrahim Dabdoub at the National Bank of Kuwait should strive to include more intangible value offerings along with its core products and services.
High cash cycle compare to competitors
Dabdoub Nbk 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.
No frontier risks strategy
– After analyzing the HBR case study Ibrahim Dabdoub at the National Bank of Kuwait, it seems that company is thinking about the frontier risks that can impact Strategy & Execution 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.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Dabdoub Nbk is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study Ibrahim Dabdoub at the National Bank of Kuwait can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
Lack of clear differentiation of Dabdoub Nbk products
– To increase the profitability and margins on the products, Dabdoub Nbk needs to provide more differentiated products than what it is currently offering in the marketplace.
Skills based hiring
– The stress on hiring functional specialists at Dabdoub Nbk has created an environment where the organization is dominated by functional specialists rather than management generalist. This has resulted into product oriented approach rather than marketing oriented approach or consumers oriented approach.
Aligning sales with marketing
– It come across in the case study Ibrahim Dabdoub at the National Bank of Kuwait 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 Ibrahim Dabdoub at the National Bank of Kuwait can leverage the sales team experience to cultivate customer relationships as Dabdoub Nbk is planning to shift buying processes online.
High operating costs
– Compare to the competitors, firm in the HBR case study Ibrahim Dabdoub at the National Bank of Kuwait 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 Dabdoub Nbk 's lucrative customers.
Opportunities Ibrahim Dabdoub at the National Bank of Kuwait | 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 Ibrahim Dabdoub at the National Bank of Kuwait are -
Creating value in data economy
– The success of analytics program of Dabdoub Nbk has opened avenues for new revenue streams for the organization in the industry. This can help Dabdoub Nbk to build a more holistic ecosystem as suggested in the Ibrahim Dabdoub at the National Bank of Kuwait case study. Dabdoub Nbk can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Low interest rates
– Even though inflation is raising its head in most developed economies, Dabdoub Nbk 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.
Leveraging digital technologies
– Dabdoub Nbk can leverage digital technologies such as artificial intelligence and machine learning to automate the production process, customer analytics to get better insights into consumer behavior, realtime digital dashboards to get better sales tracking, logistics and transportation, product tracking, etc.
Manufacturing automation
– Dabdoub Nbk can use the latest technology developments to improve its manufacturing and designing process in Strategy & Execution 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.
Changes in consumer behavior post Covid-19
– Consumer behavior has changed in the Strategy & Execution industry because of Covid-19 restrictions. Some of this behavior will stay once things get back to normal. Dabdoub Nbk 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. Dabdoub Nbk 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.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Dabdoub Nbk 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 Dabdoub Nbk to hire the very best people irrespective of their geographical location.
Developing new processes and practices
– Dabdoub Nbk can develop new processes and procedures in Strategy & Execution 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.
Better consumer reach
– The expansion of the 5G network will help Dabdoub Nbk to increase its market reach. Dabdoub Nbk 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.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Dabdoub Nbk can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Buying journey improvements
– Dabdoub Nbk can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Ibrahim Dabdoub at the National Bank of Kuwait 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.
Using analytics as competitive advantage
– Dabdoub Nbk has spent a significant amount of money and effort to integrate analytics and machine learning into its operations in the sector. This continuous investment in analytics has enabled, as illustrated in the Harvard case study Ibrahim Dabdoub at the National Bank of Kuwait - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Dabdoub Nbk to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Loyalty marketing
– Dabdoub Nbk 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.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Dabdoub Nbk can use these opportunities to build new business models that can help the communities that Dabdoub Nbk operates in. Secondly it can use opportunities from government spending in Strategy & Execution sector.
Threats Ibrahim Dabdoub at the National Bank of Kuwait External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Ibrahim Dabdoub at the National Bank of Kuwait are -
Shortening product life cycle
– it is one of the major threat that Dabdoub Nbk is facing in Strategy & Execution sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Consumer confidence and its impact on Dabdoub Nbk 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.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study Ibrahim Dabdoub at the National Bank of Kuwait, Dabdoub Nbk may face longer learning curve for training and development of existing employees. This can open space for more nimble competitors in the field of Strategy & Execution .
Technology acceleration in Forth Industrial Revolution
– Dabdoub Nbk has witnessed rapid integration of technology during Covid-19 in the Strategy & Execution industry. As one of the leading players in the industry, Dabdoub Nbk needs to keep up with the evolution of technology in the Strategy & Execution 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.
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 Dabdoub Nbk in the Strategy & Execution sector and impact the bottomline of the organization.
Environmental challenges
– Dabdoub Nbk 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. Dabdoub Nbk can take advantage of this fund but it will also bring new competitors in the Strategy & Execution industry.
Increasing wage structure of Dabdoub Nbk
– 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 Dabdoub Nbk.
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 Dabdoub Nbk.
High dependence on third party suppliers
– Dabdoub Nbk 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.
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 Dabdoub Nbk 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. Dabdoub Nbk 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.
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. Dabdoub Nbk needs to understand the core reasons impacting the Strategy & Execution industry. This will help it in building a better workplace.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Dabdoub Nbk 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 Ibrahim Dabdoub at the National Bank of Kuwait .
Weighted SWOT Analysis of Ibrahim Dabdoub at the National Bank of Kuwait 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 Ibrahim Dabdoub at the National Bank of Kuwait 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 Ibrahim Dabdoub at the National Bank of Kuwait 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 Ibrahim Dabdoub at the National Bank of Kuwait 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 Ibrahim Dabdoub at the National Bank of Kuwait 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 Dabdoub Nbk needs to make to build a sustainable competitive advantage.