Telemig Cellular and the Guarantee of Children's and Adolescents' Rights, Portuguese Version SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis

Case Study SWOT Analysis Solution

Case Study Description of Telemig Cellular and the Guarantee of Children's and Adolescents' Rights, Portuguese Version

In 2002, Telemig Cellular was a mobile telephone company operating in the Brazilian state of Minas Gerais. The company had founded its operations on the "capillarity" principle: reaching to consumers spread throughout the state to cater to their needs effectively. This principle also applied to the Telemig Institute, the company's social division, which focused on children's and teenagers' rights. To uphold this mission, the institute decided to work for the creation and strengthening of Tutoring Councils (local government bodies in charge of guaranteeing children's rights) and Municipal Councils for Children's and Youths' Rights in the Minas Gerais state. For its Pro-Council Program, the institute gathered civil society organizations from every one of the 12 regions in the state to build the so-called Volunteer Support Groups. Under the institute's leadership and counseling, these groups worked with local administrations and provided operational support for council creation.

Authors :: Rosa Maria Fischer, Joao Teixeira Pires, Luciana Rocha De Mendonca, Monica Bose

Topics :: Strategy & Execution

Tags :: Social enterprise, Social responsibility, SWOT Analysis, SWOT Matrix, TOWS, Weighted SWOT Analysis

Swot Analysis of "Telemig Cellular and the Guarantee of Children's and Adolescents' Rights, Portuguese Version" written by Rosa Maria Fischer, Joao Teixeira Pires, Luciana Rocha De Mendonca, Monica Bose includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Telemig Children's facing as an external strategic factors. Some of the topics covered in Telemig Cellular and the Guarantee of Children's and Adolescents' Rights, Portuguese Version case study are - Strategic Management Strategies, Social enterprise, Social responsibility and Strategy & Execution.

Some of the macro environment factors that can be used to understand the Telemig Cellular and the Guarantee of Children's and Adolescents' Rights, Portuguese Version casestudy better are - – increasing government debt because of Covid-19 spendings, challanges to central banks by blockchain based private currencies, talent flight as more people leaving formal jobs, technology disruption, increasing transportation and logistics costs, there is increasing trade war between United States & China, increasing inequality as vast percentage of new income is going to the top 1%, central banks are concerned over increasing inflation, banking and financial system is disrupted by Bitcoin and other crypto currencies, etc

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Introduction to SWOT Analysis of Telemig Cellular and the Guarantee of Children's and Adolescents' Rights, Portuguese Version

SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Telemig Cellular and the Guarantee of Children's and Adolescents' Rights, Portuguese Version case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Telemig Children's, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Telemig Children's 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.

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SWOT Objectives / Importance of SWOT Analysis and SWOT Matrix

SWOT analysis of Telemig Cellular and the Guarantee of Children's and Adolescents' Rights, Portuguese Version can be done for the following purposes –
1. Strategic planning using facts provided in Telemig Cellular and the Guarantee of Children's and Adolescents' Rights, Portuguese Version case study
2. Improving business portfolio management of Telemig Children's
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 Telemig Children's

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Strengths Telemig Cellular and the Guarantee of Children's and Adolescents' Rights, Portuguese Version | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis

The strengths of Telemig Children's in Telemig Cellular and the Guarantee of Children's and Adolescents' Rights, Portuguese Version Harvard Business Review case study are -

Ability to recruit top talent

– Telemig Children's is one of the leading recruiters in the industry. Managers in the Telemig Cellular and the Guarantee of Children's and Adolescents' Rights, Portuguese Version 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)

– Telemig Children's 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 Telemig Cellular and the Guarantee of Children's and Adolescents' Rights, Portuguese Version - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.

Diverse revenue streams

– Telemig Children's is present in almost all the verticals within the industry. This has provided firm in Telemig Cellular and the Guarantee of Children's and Adolescents' Rights, Portuguese Version 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.

Learning organization

- Telemig Children's 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 Telemig Children's is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Telemig Cellular and the Guarantee of Children's and Adolescents' Rights, Portuguese Version Harvard Business Review case study emphasize – knowledge, initiative, and innovation.

Low bargaining power of suppliers

– Suppliers of Telemig Children's in the sector have low bargaining power. Telemig Cellular and the Guarantee of Children's and Adolescents' Rights, Portuguese Version has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Telemig Children's to manage not only supply disruptions but also source products at highly competitive prices.

Sustainable margins compare to other players in Strategy & Execution industry

– Telemig Cellular and the Guarantee of Children's and Adolescents' Rights, Portuguese Version firm has clearly differentiated products in the market place. This has enabled Telemig Children's to fetch slight price premium compare to the competitors in the Strategy & Execution industry. The sustainable margins have also helped Telemig Children's to invest into research and development (R&D) and innovation.

Innovation driven organization

– Telemig Children's is one of the most innovative firm in sector. Manager in Telemig Cellular and the Guarantee of Children's and Adolescents' Rights, Portuguese Version Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.

High switching costs

– The high switching costs that Telemig Children's 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.

Operational resilience

– The operational resilience strategy in the Telemig Cellular and the Guarantee of Children's and Adolescents' Rights, Portuguese Version 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.

Analytics focus

– Telemig Children's 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 Rosa Maria Fischer, Joao Teixeira Pires, Luciana Rocha De Mendonca, Monica Bose 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.

Organizational Resilience of Telemig Children's

– The covid-19 pandemic has put organizational resilience at the centre of everthing that Telemig Children's does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.

Strong track record of project management

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

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Weaknesses Telemig Cellular and the Guarantee of Children's and Adolescents' Rights, Portuguese Version | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis

The weaknesses of Telemig Cellular and the Guarantee of Children's and Adolescents' Rights, Portuguese Version are -

Employees’ incomplete understanding of strategy

– From the instances in the HBR case study Telemig Cellular and the Guarantee of Children's and Adolescents' Rights, Portuguese Version, it seems that the employees of Telemig Children's 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 to harness new channels of communication

– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Telemig Children's is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study Telemig Cellular and the Guarantee of Children's and Adolescents' Rights, Portuguese Version can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.

Workers concerns about automation

– As automation is fast increasing in the segment, Telemig Children's 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.

Low market penetration in new markets

– Outside its home market of Telemig Children's, firm in the HBR case study Telemig Cellular and the Guarantee of Children's and Adolescents' Rights, Portuguese Version needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.

Lack of clear differentiation of Telemig Children's products

– To increase the profitability and margins on the products, Telemig Children's needs to provide more differentiated products than what it is currently offering in the marketplace.

Skills based hiring

– The stress on hiring functional specialists at Telemig Children's 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.

Increasing silos among functional specialists

– The organizational structure of Telemig Children's is dominated by functional specialists. It is not different from other players in the Strategy & Execution segment. Telemig Children's needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Telemig Children's to focus more on services rather than just following the product oriented approach.

Slow to strategic competitive environment developments

– As Telemig Cellular and the Guarantee of Children's and Adolescents' Rights, Portuguese Version HBR case study mentions - Telemig Children's 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.

Products dominated business model

– Even though Telemig Children's 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 - Telemig Cellular and the Guarantee of Children's and Adolescents' Rights, Portuguese Version should strive to include more intangible value offerings along with its core products and services.

Ability to respond to the competition

– As the decision making is very deliberative, highlighted in the case study Telemig Cellular and the Guarantee of Children's and Adolescents' Rights, Portuguese Version, in the dynamic environment Telemig Children's has struggled to respond to the nimble upstart competition. Telemig Children's has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.

High cash cycle compare to competitors

Telemig Children's 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.

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Opportunities Telemig Cellular and the Guarantee of Children's and Adolescents' Rights, Portuguese Version | 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 Telemig Cellular and the Guarantee of Children's and Adolescents' Rights, Portuguese Version are -

Low interest rates

– Even though inflation is raising its head in most developed economies, Telemig Children's 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.

Building a culture of innovation

– managers at Telemig Children's 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.

Manufacturing automation

– Telemig Children's 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.

Leveraging digital technologies

– Telemig Children's 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.

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 Telemig Children's in the consumer business. Now Telemig Children's can target international markets with far fewer capital restrictions requirements than the existing system.

Increase in government spending

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

Better consumer reach

– The expansion of the 5G network will help Telemig Children's to increase its market reach. Telemig Children's 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.

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. Telemig Children's 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. Telemig Children's 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.

Reforming the budgeting process

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

Reconfiguring business model

– The expansion of digital payment system, the bringing down of international transactions costs using Bitcoin and other blockchain based currencies, etc can help Telemig Children's to reconfigure its entire business model. For example it can used blockchain based technologies to reduce piracy of its products in the big markets such as China. Secondly it can use the popularity of e-commerce in various developing markets to build a Direct to Customer business model rather than the current Channel Heavy distribution network.

Harnessing reconfiguration of the global supply chains

– As the trade war between US and China heats up in the coming years, Telemig Children's 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, Telemig Cellular and the Guarantee of Children's and Adolescents' Rights, Portuguese Version, 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. Telemig Children's can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.

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. Telemig Children's can explore opportunities that can attract volunteers and are consistent with its mission and vision.

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Threats Telemig Cellular and the Guarantee of Children's and Adolescents' Rights, Portuguese Version External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis

The threats mentioned in the HBR case study Telemig Cellular and the Guarantee of Children's and Adolescents' Rights, Portuguese Version are -

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.

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. Telemig Children's 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.

Environmental challenges

– Telemig Children's 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. Telemig Children's can take advantage of this fund but it will also bring new competitors in the Strategy & Execution industry.

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.

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 Telemig Children's business can come under increasing regulations regarding data privacy, data security, etc.

High dependence on third party suppliers

– Telemig Children's 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.

Learning curve for new practices

– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study Telemig Cellular and the Guarantee of Children's and Adolescents' Rights, Portuguese Version, Telemig Children's 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

– Telemig Children's has witnessed rapid integration of technology during Covid-19 in the Strategy & Execution industry. As one of the leading players in the industry, Telemig Children's 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.

Regulatory challenges

– Telemig Children's 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.

Shortening product life cycle

– it is one of the major threat that Telemig Children's 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 Telemig Children's with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.

Increasing international competition and downward pressure on margins

– Apart from technology driven competitive advantage dilution, Telemig Children's 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 Telemig Cellular and the Guarantee of Children's and Adolescents' Rights, Portuguese Version .

Increasing wage structure of Telemig Children's

– 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 Telemig Children's.

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Weighted SWOT Analysis of Telemig Cellular and the Guarantee of Children's and Adolescents' Rights, Portuguese Version 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 Telemig Cellular and the Guarantee of Children's and Adolescents' Rights, Portuguese Version 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 Telemig Cellular and the Guarantee of Children's and Adolescents' Rights, Portuguese Version 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 Telemig Cellular and the Guarantee of Children's and Adolescents' Rights, Portuguese Version 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 Telemig Cellular and the Guarantee of Children's and Adolescents' Rights, Portuguese Version 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 Telemig Children's needs to make to build a sustainable competitive advantage.

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