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IBM Canada Ltd.: Implementing Global Strategy SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis

Case Study SWOT Analysis Solution

Case Study Description of IBM Canada Ltd.: Implementing Global Strategy


A senior manager at IBM Canada Ltd. is trying to determine how best to implement strategy developed at the global level. The Business Transformation Executive, Sales & Distribution, IBM Canada Ltd., is responsible for introducing, maintaining and retiring software programs to support IBM Canada's business needs. In October 2009, the senior manager is trying to assess if the customer relationship management (CRM) developed locally should continue to be supported or if the planned switchover to a global standard CRM should continue as scheduled. The case is intended for students to discuss the challenges of implementing global IT strategy at the local or country unit level.

Authors :: Ken Mark, Deborah Compeau

Topics :: Strategy & Execution

Tags :: IT, SWOT Analysis, SWOT Matrix, TOWS, Weighted SWOT Analysis

Swot Analysis of "IBM Canada Ltd.: Implementing Global Strategy" written by Ken Mark, Deborah Compeau includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Ibm Crm facing as an external strategic factors. Some of the topics covered in IBM Canada Ltd.: Implementing Global Strategy case study are - Strategic Management Strategies, IT and Strategy & Execution.


Some of the macro environment factors that can be used to understand the IBM Canada Ltd.: Implementing Global Strategy casestudy better are - – geopolitical disruptions, there is increasing trade war between United States & China, increasing government debt because of Covid-19 spendings, supply chains are disrupted by pandemic , there is backlash against globalization, wage bills are increasing, banking and financial system is disrupted by Bitcoin and other crypto currencies, increasing inequality as vast percentage of new income is going to the top 1%, talent flight as more people leaving formal jobs, etc



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Introduction to SWOT Analysis of IBM Canada Ltd.: Implementing Global Strategy


SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in IBM Canada Ltd.: Implementing Global Strategy case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Ibm Crm, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Ibm Crm 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 IBM Canada Ltd.: Implementing Global Strategy can be done for the following purposes –
1. Strategic planning using facts provided in IBM Canada Ltd.: Implementing Global Strategy case study
2. Improving business portfolio management of Ibm Crm
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 Ibm Crm




Strengths IBM Canada Ltd.: Implementing Global Strategy | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis

The strengths of Ibm Crm in IBM Canada Ltd.: Implementing Global Strategy Harvard Business Review case study are -

Successful track record of launching new products

– Ibm Crm has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Ibm Crm 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.

Innovation driven organization

– Ibm Crm is one of the most innovative firm in sector. Manager in IBM Canada Ltd.: Implementing Global Strategy 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 IBM Canada Ltd.: Implementing Global Strategy 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.

Diverse revenue streams

– Ibm Crm is present in almost all the verticals within the industry. This has provided firm in IBM Canada Ltd.: Implementing Global Strategy 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.

Effective Research and Development (R&D)

– Ibm Crm 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 IBM Canada Ltd.: Implementing Global Strategy - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.

Strong track record of project management

– Ibm Crm is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.

High brand equity

– Ibm Crm has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Ibm Crm to keep acquiring new customers and building profitable relationship with both the new and loyal customers.

Digital Transformation in Strategy & Execution segment

- digital transformation varies from industry to industry. For Ibm Crm digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Ibm Crm 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.

Analytics focus

– Ibm Crm 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 Ken Mark, Deborah Compeau 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

– Ibm Crm is one of the leading recruiters in the industry. Managers in the IBM Canada Ltd.: Implementing Global Strategy are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.

Organizational Resilience of Ibm Crm

– The covid-19 pandemic has put organizational resilience at the centre of everthing that Ibm Crm 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 Ibm Crm 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.






Weaknesses IBM Canada Ltd.: Implementing Global Strategy | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis

The weaknesses of IBM Canada Ltd.: Implementing Global Strategy are -

High dependence on star products

– The top 2 products and services of the firm as mentioned in the IBM Canada Ltd.: Implementing Global Strategy HBR case study still accounts for major business revenue. This dependence on star products in has resulted into insufficient focus on developing new products, even though Ibm Crm has relatively successful track record of launching new products.

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 Ibm Crm supply chain. Even after few cautionary changes mentioned in the HBR case study - IBM Canada Ltd.: Implementing Global Strategy, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Ibm Crm vulnerable to further global disruptions in South East Asia.

High cash cycle compare to competitors

Ibm Crm 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.

Products dominated business model

– Even though Ibm Crm 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 - IBM Canada Ltd.: Implementing Global Strategy should strive to include more intangible value offerings along with its core products and services.

High bargaining power of channel partners

– Because of the regulatory requirements, Ken Mark, Deborah Compeau suggests that, Ibm Crm 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.

Lack of clear differentiation of Ibm Crm products

– To increase the profitability and margins on the products, Ibm Crm 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 IBM Canada Ltd.: Implementing Global Strategy 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 IBM Canada Ltd.: Implementing Global Strategy can leverage the sales team experience to cultivate customer relationships as Ibm Crm is planning to shift buying processes online.

Ability to respond to the competition

– As the decision making is very deliberative, highlighted in the case study IBM Canada Ltd.: Implementing Global Strategy, in the dynamic environment Ibm Crm has struggled to respond to the nimble upstart competition. Ibm Crm has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.

Low market penetration in new markets

– Outside its home market of Ibm Crm, firm in the HBR case study IBM Canada Ltd.: Implementing Global Strategy needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.

Compensation and incentives

– The revenue per employee as mentioned in the HBR case study IBM Canada Ltd.: Implementing Global Strategy, is just above the industry average. Ibm Crm 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.

Slow to strategic competitive environment developments

– As IBM Canada Ltd.: Implementing Global Strategy HBR case study mentions - Ibm Crm 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.




Opportunities IBM Canada Ltd.: Implementing Global Strategy | 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 IBM Canada Ltd.: Implementing Global Strategy are -

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. Ibm Crm can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.

Lowering marketing communication costs

– 5G expansion will open new opportunities for Ibm Crm 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.

Manufacturing automation

– Ibm Crm 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.

Increase in government spending

– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Ibm Crm can use these opportunities to build new business models that can help the communities that Ibm Crm operates in. Secondly it can use opportunities from government spending in Strategy & Execution sector.

Building a culture of innovation

– managers at Ibm Crm 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.

Reforming the budgeting process

- By establishing new metrics that will be used to evaluate both existing and potential projects Ibm Crm can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.

Leveraging digital technologies

– Ibm Crm 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.

Buying journey improvements

– Ibm Crm can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. IBM Canada Ltd.: Implementing Global Strategy 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.

Redefining models of collaboration and team work

– As explained in the weaknesses section, Ibm Crm is facing challenges because of the dominance of functional experts in the organization. IBM Canada Ltd.: Implementing Global Strategy 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.

Low interest rates

– Even though inflation is raising its head in most developed economies, Ibm Crm 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.

Developing new processes and practices

– Ibm Crm 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.

Remote work and new talent hiring opportunities

– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Ibm Crm 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 Ibm Crm to hire the very best people irrespective of their geographical location.

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. Ibm Crm can explore opportunities that can attract volunteers and are consistent with its mission and vision.




Threats IBM Canada Ltd.: Implementing Global Strategy External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis


The threats mentioned in the HBR case study IBM Canada Ltd.: Implementing Global Strategy are -

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. Ibm Crm 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.

Increasing wage structure of Ibm Crm

– 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 Ibm Crm.

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. Ibm Crm needs to understand the core reasons impacting the Strategy & Execution industry. This will help it in building a better workplace.

Technology acceleration in Forth Industrial Revolution

– Ibm Crm has witnessed rapid integration of technology during Covid-19 in the Strategy & Execution industry. As one of the leading players in the industry, Ibm Crm 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.

Trade war between China and United States

– The trade war between two of the biggest economies can hugely impact the opportunities for Ibm Crm 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.

Shortening product life cycle

– it is one of the major threat that Ibm Crm is facing in Strategy & Execution sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.

Barriers of entry lowering

– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Ibm Crm with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.

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 Ibm Crm business can come under increasing regulations regarding data privacy, data security, etc.

Stagnating economy with rate increase

– Ibm Crm 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.

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.

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. Ibm Crm can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.

Increasing international competition and downward pressure on margins

– Apart from technology driven competitive advantage dilution, Ibm Crm 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 IBM Canada Ltd.: Implementing Global Strategy .

High dependence on third party suppliers

– Ibm Crm 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.




Weighted SWOT Analysis of IBM Canada Ltd.: Implementing Global Strategy 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 IBM Canada Ltd.: Implementing Global Strategy 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 IBM Canada Ltd.: Implementing Global Strategy 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 IBM Canada Ltd.: Implementing Global Strategy 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 IBM Canada Ltd.: Implementing Global Strategy 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 Ibm Crm needs to make to build a sustainable competitive advantage.



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