Corporate Solutions at Jones Lang LaSalle 2001 A SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Strategy & Execution
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of Corporate Solutions at Jones Lang LaSalle 2001 A
This case describes the strategic and organizational challenges that Jones Lang LaSalle (JLL) faced at the turn of the millennium. Until then, JLL sold piecemeal commercial real estate services to its corporate clients, who maintained relationships with a variety of vendors. In 2000, JLL's large corporate clients started globalizing their activities and seeking to outsource their real estate needs. They were looking for integrated solutions delivered through a single point of contact, and they cut their providers to a few strategic vendors. JLL's organizational structure, configured around largely autonomous service lines, was not well suited to supporting the development of integrated services. Executive Peter Barge was put in charge of a new team, called Corporate Solutions, whose mission was to draw connections between the service lines in order to foster integration. How should Barge structure Corporate Solutions to make sure it succeeds in its mission? And how should he configure the group's ties to the service lines to ensure their collaboration? The retention of JLL's most profitable clients was at stake. This case is the first in a series that also comprises cases B, C, and D and collectively covers JLL's evolution between the years 1999 and 2012.
Swot Analysis of "Corporate Solutions at Jones Lang LaSalle 2001 A" written by Ranjay Gulati, Luciana Silvestri includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Jll's Barge facing as an external strategic factors. Some of the topics covered in Corporate Solutions at Jones Lang LaSalle 2001 A case study are - Strategic Management Strategies, Organizational culture, Organizational structure and Strategy & Execution.
Some of the macro environment factors that can be used to understand the Corporate Solutions at Jones Lang LaSalle 2001 A casestudy better are - – banking and financial system is disrupted by Bitcoin and other crypto currencies, challanges to central banks by blockchain based private currencies, technology disruption, wage bills are increasing, there is increasing trade war between United States & China, competitive advantages are harder to sustain because of technology dispersion, cloud computing is disrupting traditional business models,
there is backlash against globalization, central banks are concerned over increasing inflation, etc
Introduction to SWOT Analysis of Corporate Solutions at Jones Lang LaSalle 2001 A
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Corporate Solutions at Jones Lang LaSalle 2001 A case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Jll's Barge, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Jll's Barge 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 Corporate Solutions at Jones Lang LaSalle 2001 A can be done for the following purposes –
1. Strategic planning using facts provided in Corporate Solutions at Jones Lang LaSalle 2001 A case study
2. Improving business portfolio management of Jll's Barge
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 Jll's Barge
Strengths Corporate Solutions at Jones Lang LaSalle 2001 A | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Jll's Barge in Corporate Solutions at Jones Lang LaSalle 2001 A Harvard Business Review case study are -
Highly skilled collaborators
– Jll's Barge 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 Corporate Solutions at Jones Lang LaSalle 2001 A 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 Jll's Barge in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Training and development
– Jll's Barge has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in Corporate Solutions at Jones Lang LaSalle 2001 A 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
– Jll's Barge 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 Jll's Barge in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Diverse revenue streams
– Jll's Barge is present in almost all the verticals within the industry. This has provided firm in Corporate Solutions at Jones Lang LaSalle 2001 A 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.
Operational resilience
– The operational resilience strategy in the Corporate Solutions at Jones Lang LaSalle 2001 A 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.
Learning organization
- Jll's Barge 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 Jll's Barge is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Corporate Solutions at Jones Lang LaSalle 2001 A Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Analytics focus
– Jll's Barge 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 Ranjay Gulati, Luciana Silvestri 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.
Ability to recruit top talent
– Jll's Barge is one of the leading recruiters in the industry. Managers in the Corporate Solutions at Jones Lang LaSalle 2001 A are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
Effective Research and Development (R&D)
– Jll's Barge 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 Corporate Solutions at Jones Lang LaSalle 2001 A - 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
– Corporate Solutions at Jones Lang LaSalle 2001 A firm has clearly differentiated products in the market place. This has enabled Jll's Barge to fetch slight price premium compare to the competitors in the Strategy & Execution industry. The sustainable margins have also helped Jll's Barge to invest into research and development (R&D) and innovation.
High brand equity
– Jll's Barge has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Jll's Barge to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Weaknesses Corporate Solutions at Jones Lang LaSalle 2001 A | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Corporate Solutions at Jones Lang LaSalle 2001 A are -
Slow decision making process
– As mentioned earlier in the report, Jll's Barge 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. Jll's Barge 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.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study Corporate Solutions at Jones Lang LaSalle 2001 A, is just above the industry average. Jll's Barge 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.
Interest costs
– Compare to the competition, Jll's Barge 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.
Capital Spending Reduction
– Even during the low interest decade, Jll's Barge 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.
Employees’ incomplete understanding of strategy
– From the instances in the HBR case study Corporate Solutions at Jones Lang LaSalle 2001 A, it seems that the employees of Jll's Barge 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.
Low market penetration in new markets
– Outside its home market of Jll's Barge, firm in the HBR case study Corporate Solutions at Jones Lang LaSalle 2001 A needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
Lack of clear differentiation of Jll's Barge products
– To increase the profitability and margins on the products, Jll's Barge needs to provide more differentiated products than what it is currently offering in the marketplace.
Aligning sales with marketing
– It come across in the case study Corporate Solutions at Jones Lang LaSalle 2001 A 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 Corporate Solutions at Jones Lang LaSalle 2001 A can leverage the sales team experience to cultivate customer relationships as Jll's Barge is planning to shift buying processes online.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Jll's Barge is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study Corporate Solutions at Jones Lang LaSalle 2001 A can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
Skills based hiring
– The stress on hiring functional specialists at Jll's Barge 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.
High operating costs
– Compare to the competitors, firm in the HBR case study Corporate Solutions at Jones Lang LaSalle 2001 A 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 Jll's Barge 's lucrative customers.
Opportunities Corporate Solutions at Jones Lang LaSalle 2001 A | 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 Corporate Solutions at Jones Lang LaSalle 2001 A are -
Learning at scale
– Online learning technologies has now opened space for Jll's Barge 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.
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. Jll's Barge 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. Jll's Barge 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. Jll's Barge 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.
Creating value in data economy
– The success of analytics program of Jll's Barge has opened avenues for new revenue streams for the organization in the industry. This can help Jll's Barge to build a more holistic ecosystem as suggested in the Corporate Solutions at Jones Lang LaSalle 2001 A case study. Jll's Barge can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Buying journey improvements
– Jll's Barge can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Corporate Solutions at Jones Lang LaSalle 2001 A 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
– Jll's Barge 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.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Jll's Barge is facing challenges because of the dominance of functional experts in the organization. Corporate Solutions at Jones Lang LaSalle 2001 A case study suggests that firm can utilize new technology to build more coordinated teams and streamline operations and communications using tools such as CAD, Zoom, etc.
Leveraging digital technologies
– Jll's Barge 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.
Low interest rates
– Even though inflation is raising its head in most developed economies, Jll's Barge 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.
Lowering marketing communication costs
– 5G expansion will open new opportunities for Jll's Barge 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.
Building a culture of innovation
– managers at Jll's Barge 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.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Jll's Barge 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, Corporate Solutions at Jones Lang LaSalle 2001 A, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Loyalty marketing
– Jll's Barge 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.
Threats Corporate Solutions at Jones Lang LaSalle 2001 A External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Corporate Solutions at Jones Lang LaSalle 2001 A are -
Stagnating economy with rate increase
– Jll's Barge 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.
Increasing wage structure of Jll's Barge
– 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 Jll's Barge.
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 Jll's Barge.
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. Jll's Barge can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Consumer confidence and its impact on Jll's Barge 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.
High dependence on third party suppliers
– Jll's Barge 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.
Technology acceleration in Forth Industrial Revolution
– Jll's Barge has witnessed rapid integration of technology during Covid-19 in the Strategy & Execution industry. As one of the leading players in the industry, Jll's Barge 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.
Environmental challenges
– Jll's Barge 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. Jll's Barge can take advantage of this fund but it will also bring new competitors in the Strategy & Execution industry.
Shortening product life cycle
– it is one of the major threat that Jll's Barge is facing in Strategy & Execution sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
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. Jll's Barge needs to understand the core reasons impacting the Strategy & Execution industry. This will help it in building a better workplace.
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 Jll's Barge business can come under increasing regulations regarding data privacy, data security, etc.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Jll's Barge 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.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Jll's Barge 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 Corporate Solutions at Jones Lang LaSalle 2001 A 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 Corporate Solutions at Jones Lang LaSalle 2001 A 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 Corporate Solutions at Jones Lang LaSalle 2001 A 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 Corporate Solutions at Jones Lang LaSalle 2001 A 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 Corporate Solutions at Jones Lang LaSalle 2001 A 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 Jll's Barge needs to make to build a sustainable competitive advantage.
