A Strategic Risk Approach to Knowledge Management SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Strategy & Execution
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of A Strategic Risk Approach to Knowledge Management
In today's business environment, strong forces of competition and globalization have created an urgency to focus how an organization controls and nurtures its intellectual capital. The concept of knowledge and its management has gained currency and momentum as technology has enabled thoughts and ideas to be more easily generated and distributed. With an increased application of technologies such as Internet, customer relationship management (CRM), and advanced software capabilities, it has been suggested the time has come for discussion of a new paradigm for knowledge management. Toward that end, this article examines the knowledge literature and reviews the experience of a leading private health care group, with the objective of gaining a better understanding of the issues that confront effective knowledge management in contemporary organizations. Finally, a tentative knowledge process model is developed herein, one which is intended to guide future discussion in the ongoing knowledge debate.
Swot Analysis of "A Strategic Risk Approach to Knowledge Management" written by Bruce E Perrott includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Knowledge Nurtures facing as an external strategic factors. Some of the topics covered in A Strategic Risk Approach to Knowledge Management case study are - Strategic Management Strategies, Knowledge management, Risk management and Strategy & Execution.
Some of the macro environment factors that can be used to understand the A Strategic Risk Approach to Knowledge Management casestudy better are - – technology disruption, digital marketing is dominated by two big players Facebook and Google, there is backlash against globalization, customer relationship management is fast transforming because of increasing concerns over data privacy, competitive advantages are harder to sustain because of technology dispersion, cloud computing is disrupting traditional business models, increasing government debt because of Covid-19 spendings,
supply chains are disrupted by pandemic , talent flight as more people leaving formal jobs, etc
Introduction to SWOT Analysis of A Strategic Risk Approach to Knowledge Management
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in A Strategic Risk Approach to Knowledge Management case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Knowledge Nurtures, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Knowledge Nurtures 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 A Strategic Risk Approach to Knowledge Management can be done for the following purposes –
1. Strategic planning using facts provided in A Strategic Risk Approach to Knowledge Management case study
2. Improving business portfolio management of Knowledge Nurtures
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 Knowledge Nurtures
Strengths A Strategic Risk Approach to Knowledge Management | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Knowledge Nurtures in A Strategic Risk Approach to Knowledge Management Harvard Business Review case study are -
Training and development
– Knowledge Nurtures has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in A Strategic Risk Approach to Knowledge Management 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.
Ability to lead change in Strategy & Execution field
– Knowledge Nurtures 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 Knowledge Nurtures in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Ability to recruit top talent
– Knowledge Nurtures is one of the leading recruiters in the industry. Managers in the A Strategic Risk Approach to Knowledge Management are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
High brand equity
– Knowledge Nurtures has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Knowledge Nurtures to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Diverse revenue streams
– Knowledge Nurtures is present in almost all the verticals within the industry. This has provided firm in A Strategic Risk Approach to Knowledge Management 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.
Innovation driven organization
– Knowledge Nurtures is one of the most innovative firm in sector. Manager in A Strategic Risk Approach to Knowledge Management Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Low bargaining power of suppliers
– Suppliers of Knowledge Nurtures in the sector have low bargaining power. A Strategic Risk Approach to Knowledge Management has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Knowledge Nurtures to manage not only supply disruptions but also source products at highly competitive prices.
Digital Transformation in Strategy & Execution segment
- digital transformation varies from industry to industry. For Knowledge Nurtures digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Knowledge Nurtures 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.
Strong track record of project management
– Knowledge Nurtures 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)
– Knowledge Nurtures 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 A Strategic Risk Approach to Knowledge Management - 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 Strategy & Execution industry
– A Strategic Risk Approach to Knowledge Management firm has clearly differentiated products in the market place. This has enabled Knowledge Nurtures to fetch slight price premium compare to the competitors in the Strategy & Execution industry. The sustainable margins have also helped Knowledge Nurtures to invest into research and development (R&D) and innovation.
Learning organization
- Knowledge Nurtures 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 Knowledge Nurtures is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in A Strategic Risk Approach to Knowledge Management Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Weaknesses A Strategic Risk Approach to Knowledge Management | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of A Strategic Risk Approach to Knowledge Management are -
No frontier risks strategy
– After analyzing the HBR case study A Strategic Risk Approach to Knowledge Management, 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.
High operating costs
– Compare to the competitors, firm in the HBR case study A Strategic Risk Approach to Knowledge Management 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 Knowledge Nurtures 's lucrative customers.
Products dominated business model
– Even though Knowledge Nurtures 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 - A Strategic Risk Approach to Knowledge Management should strive to include more intangible value offerings along with its core products and services.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study A Strategic Risk Approach to Knowledge Management, is just above the industry average. Knowledge Nurtures needs to redesign the compensation structure and incentives to increase the revenue per employees. Some of the steps that it can take are – hiring more specialists on project basis, etc.
Employees’ incomplete understanding of strategy
– From the instances in the HBR case study A Strategic Risk Approach to Knowledge Management, it seems that the employees of Knowledge Nurtures 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.
Slow decision making process
– As mentioned earlier in the report, Knowledge Nurtures 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. Knowledge Nurtures 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.
Increasing silos among functional specialists
– The organizational structure of Knowledge Nurtures is dominated by functional specialists. It is not different from other players in the Strategy & Execution segment. Knowledge Nurtures needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Knowledge Nurtures to focus more on services rather than just following the product oriented approach.
Interest costs
– Compare to the competition, Knowledge Nurtures 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 to strategic competitive environment developments
– As A Strategic Risk Approach to Knowledge Management HBR case study mentions - Knowledge Nurtures 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.
Low market penetration in new markets
– Outside its home market of Knowledge Nurtures, firm in the HBR case study A Strategic Risk Approach to Knowledge Management needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
Workers concerns about automation
– As automation is fast increasing in the segment, Knowledge Nurtures 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.
Opportunities A Strategic Risk Approach to Knowledge Management | 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 A Strategic Risk Approach to Knowledge Management are -
Buying journey improvements
– Knowledge Nurtures can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. A Strategic Risk Approach to Knowledge Management suggest that firm can provide automated chats to help consumers solve their own problems, provide online suggestions to get maximum out of the products and services, and help consumers to build a community where they can interact with each other to develop new features and uses.
Manufacturing automation
– Knowledge Nurtures 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.
Using analytics as competitive advantage
– Knowledge Nurtures 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 A Strategic Risk Approach to Knowledge Management - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Knowledge Nurtures to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
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. Knowledge Nurtures 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. Knowledge Nurtures 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.
Building a culture of innovation
– managers at Knowledge Nurtures 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 Strategy & Execution segment.
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 Knowledge Nurtures in the consumer business. Now Knowledge Nurtures can target international markets with far fewer capital restrictions requirements than the existing system.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Knowledge Nurtures 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, A Strategic Risk Approach to Knowledge Management, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Finding new ways to collaborate
– Covid-19 has not only transformed business models of companies in Strategy & Execution industry, but it has also influenced the consumer preferences. Knowledge Nurtures can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Developing new processes and practices
– Knowledge Nurtures 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 Knowledge Nurtures to increase its market reach. Knowledge Nurtures 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.
Identify volunteer opportunities
– Covid-19 has impacted working population in two ways – it has led to people soul searching about their professional choices, resulting in mass resignation. Secondly it has encouraged people to do things that they are passionate about. This has opened opportunities for businesses to build volunteer oriented socially driven projects. Knowledge Nurtures can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Knowledge Nurtures is facing challenges because of the dominance of functional experts in the organization. A Strategic Risk Approach to Knowledge Management 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.
Creating value in data economy
– The success of analytics program of Knowledge Nurtures has opened avenues for new revenue streams for the organization in the industry. This can help Knowledge Nurtures to build a more holistic ecosystem as suggested in the A Strategic Risk Approach to Knowledge Management case study. Knowledge Nurtures can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Threats A Strategic Risk Approach to Knowledge Management External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study A Strategic Risk Approach to Knowledge Management are -
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Knowledge Nurtures in the Strategy & Execution industry. The Strategy & Execution industry is already at various protected from local competition in China, with the rise of trade war the protection levels may go up. This presents a clear threat of current business model in Chinese market.
Environmental challenges
– Knowledge Nurtures 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. Knowledge Nurtures can take advantage of this fund but it will also bring new competitors in the Strategy & Execution industry.
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 Knowledge Nurtures 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. Knowledge Nurtures 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.
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 Knowledge Nurtures in the Strategy & Execution sector and impact the bottomline of the organization.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Knowledge Nurtures 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 A Strategic Risk Approach to Knowledge Management .
High dependence on third party suppliers
– Knowledge Nurtures 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.
Regulatory challenges
– Knowledge Nurtures 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 Strategy & Execution industry regulations.
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.
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. Knowledge Nurtures needs to understand the core reasons impacting the Strategy & Execution industry. This will help it in building a better workplace.
Consumer confidence and its impact on Knowledge Nurtures 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.
Easy access to finance
– Easy access to finance in Strategy & Execution field will also reduce the barriers to entry in the industry, thus putting downward pressure on the prices because of increasing competition. Knowledge Nurtures can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Knowledge Nurtures with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
Weighted SWOT Analysis of A Strategic Risk Approach to Knowledge Management 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 A Strategic Risk Approach to Knowledge Management 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 A Strategic Risk Approach to Knowledge Management 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 A Strategic Risk Approach to Knowledge Management 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 A Strategic Risk Approach to Knowledge Management 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 Knowledge Nurtures needs to make to build a sustainable competitive advantage.
