The Kinetics and Michael J. Fox Foundations (B): New Directions SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Strategy & Execution
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of The Kinetics and Michael J. Fox Foundations (B): New Directions
This case describes the strategies and interaction of the Kinetics Foundation and the Michael J. Fox Foundation. In particular, it shows how these two organizations, although quite different from each other, collaborate toward a common mission of supporting research into treatments and cures for Parkinson's disease. The case also illustrates how the foundations are able to work together and work apart as the research landscape in which they operate shifts.
Swot Analysis of "The Kinetics and Michael J. Fox Foundations (B): New Directions" written by Robert A. Burgelman, Philip E. Meza includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Kinetics Fox facing as an external strategic factors. Some of the topics covered in The Kinetics and Michael J. Fox Foundations (B): New Directions case study are - Strategic Management Strategies, Social enterprise, Strategy and Strategy & Execution.
Some of the macro environment factors that can be used to understand the The Kinetics and Michael J. Fox Foundations (B): New Directions casestudy better are - – digital marketing is dominated by two big players Facebook and Google, increasing energy prices, challanges to central banks by blockchain based private currencies, increasing household debt because of falling income levels, geopolitical disruptions, there is increasing trade war between United States & China, increasing government debt because of Covid-19 spendings,
increasing inequality as vast percentage of new income is going to the top 1%, competitive advantages are harder to sustain because of technology dispersion, etc
Introduction to SWOT Analysis of The Kinetics and Michael J. Fox Foundations (B): New Directions
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in The Kinetics and Michael J. Fox Foundations (B): New Directions case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Kinetics Fox, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Kinetics Fox 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 The Kinetics and Michael J. Fox Foundations (B): New Directions can be done for the following purposes –
1. Strategic planning using facts provided in The Kinetics and Michael J. Fox Foundations (B): New Directions case study
2. Improving business portfolio management of Kinetics Fox
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 Kinetics Fox
Strengths The Kinetics and Michael J. Fox Foundations (B): New Directions | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Kinetics Fox in The Kinetics and Michael J. Fox Foundations (B): New Directions Harvard Business Review case study are -
Digital Transformation in Strategy & Execution segment
- digital transformation varies from industry to industry. For Kinetics Fox digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Kinetics Fox 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.
Diverse revenue streams
– Kinetics Fox is present in almost all the verticals within the industry. This has provided firm in The Kinetics and Michael J. Fox Foundations (B): New Directions 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.
Ability to lead change in Strategy & Execution field
– Kinetics Fox 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 Kinetics Fox in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Successful track record of launching new products
– Kinetics Fox has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Kinetics Fox 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.
Highly skilled collaborators
– Kinetics Fox 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 The Kinetics and Michael J. Fox Foundations (B): New Directions HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
Superior customer experience
– The customer experience strategy of Kinetics Fox in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
High brand equity
– Kinetics Fox has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Kinetics Fox to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Learning organization
- Kinetics Fox 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 Kinetics Fox is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in The Kinetics and Michael J. Fox Foundations (B): New Directions Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
High switching costs
– The high switching costs that Kinetics Fox 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 Kinetics Fox in the sector have low bargaining power. The Kinetics and Michael J. Fox Foundations (B): New Directions has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Kinetics Fox to manage not only supply disruptions but also source products at highly competitive prices.
Innovation driven organization
– Kinetics Fox is one of the most innovative firm in sector. Manager in The Kinetics and Michael J. Fox Foundations (B): New Directions Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Operational resilience
– The operational resilience strategy in the The Kinetics and Michael J. Fox Foundations (B): New Directions 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.
Weaknesses The Kinetics and Michael J. Fox Foundations (B): New Directions | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of The Kinetics and Michael J. Fox Foundations (B): New Directions are -
Slow to strategic competitive environment developments
– As The Kinetics and Michael J. Fox Foundations (B): New Directions HBR case study mentions - Kinetics Fox 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.
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 Kinetics Fox supply chain. Even after few cautionary changes mentioned in the HBR case study - The Kinetics and Michael J. Fox Foundations (B): New Directions, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Kinetics Fox vulnerable to further global disruptions in South East Asia.
Slow decision making process
– As mentioned earlier in the report, Kinetics Fox 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. Kinetics Fox 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 The Kinetics and Michael J. Fox Foundations (B): New Directions 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 The Kinetics and Michael J. Fox Foundations (B): New Directions can leverage the sales team experience to cultivate customer relationships as Kinetics Fox is planning to shift buying processes online.
High operating costs
– Compare to the competitors, firm in the HBR case study The Kinetics and Michael J. Fox Foundations (B): New Directions 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 Kinetics Fox 's lucrative customers.
Skills based hiring
– The stress on hiring functional specialists at Kinetics Fox 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.
Capital Spending Reduction
– Even during the low interest decade, Kinetics Fox 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.
Workers concerns about automation
– As automation is fast increasing in the segment, Kinetics Fox 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.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Kinetics Fox is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study The Kinetics and Michael J. Fox Foundations (B): New Directions can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
High bargaining power of channel partners
– Because of the regulatory requirements, Robert A. Burgelman, Philip E. Meza suggests that, Kinetics Fox 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.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study The Kinetics and Michael J. Fox Foundations (B): New Directions, is just above the industry average. Kinetics Fox 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.
Opportunities The Kinetics and Michael J. Fox Foundations (B): New Directions | 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 The Kinetics and Michael J. Fox Foundations (B): New Directions are -
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Kinetics Fox can use these opportunities to build new business models that can help the communities that Kinetics Fox operates in. Secondly it can use opportunities from government spending in Strategy & Execution sector.
Manufacturing automation
– Kinetics Fox 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.
Learning at scale
– Online learning technologies has now opened space for Kinetics Fox to conduct training and development for its employees across the world. This will result in not only reducing the cost of training but also help employees in different part of the world to integrate with the headquarter work culture, ethos, and standards.
Developing new processes and practices
– Kinetics Fox 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.
Buying journey improvements
– Kinetics Fox can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. The Kinetics and Michael J. Fox Foundations (B): New Directions 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.
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. Kinetics Fox can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
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. Kinetics Fox 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. Kinetics Fox 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.
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. Kinetics Fox can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Lowering marketing communication costs
– 5G expansion will open new opportunities for Kinetics Fox in the field of marketing communication. It will bring down the cost of doing business, provide technology platform to build new products in the Strategy & Execution segment, and it will provide faster access to the consumers.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Kinetics Fox 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 Kinetics Fox to hire the very best people irrespective of their geographical location.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Kinetics Fox is facing challenges because of the dominance of functional experts in the organization. The Kinetics and Michael J. Fox Foundations (B): New Directions 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.
Loyalty marketing
– Kinetics Fox 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.
Better consumer reach
– The expansion of the 5G network will help Kinetics Fox to increase its market reach. Kinetics Fox 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.
Threats The Kinetics and Michael J. Fox Foundations (B): New Directions External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study The Kinetics and Michael J. Fox Foundations (B): New Directions are -
Shortening product life cycle
– it is one of the major threat that Kinetics Fox is facing in Strategy & Execution sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
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.
High dependence on third party suppliers
– Kinetics Fox 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
– Kinetics Fox 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.
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 Kinetics Fox in the Strategy & Execution sector and impact the bottomline 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. Kinetics Fox 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 Kinetics Fox 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.
Stagnating economy with rate increase
– Kinetics Fox 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.
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 Kinetics Fox business can come under increasing regulations regarding data privacy, data security, etc.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study The Kinetics and Michael J. Fox Foundations (B): New Directions, Kinetics Fox 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
– Kinetics Fox has witnessed rapid integration of technology during Covid-19 in the Strategy & Execution industry. As one of the leading players in the industry, Kinetics Fox 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.
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.
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. Kinetics Fox can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Weighted SWOT Analysis of The Kinetics and Michael J. Fox Foundations (B): New Directions 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 The Kinetics and Michael J. Fox Foundations (B): New Directions 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 The Kinetics and Michael J. Fox Foundations (B): New Directions 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 The Kinetics and Michael J. Fox Foundations (B): New Directions 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 The Kinetics and Michael J. Fox Foundations (B): New Directions 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 Kinetics Fox needs to make to build a sustainable competitive advantage.