Titan Products, Inc.: Acquisition of Franz Schuler GMBH (B-1) SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Strategy & Execution
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of Titan Products, Inc.: Acquisition of Franz Schuler GMBH (B-1)
This case follows UV4253, which is designed to allow two integration teams, each representing one of two very different companies, to construct a joint post-acquisition-integration plan. Some of the issues addressed by UV4253 included (1) organization of Schuler, (2) staffing of management positions, (3) joint-distribution channels, (4) resolution of culture conflicts, (5) focus of strategic and operational decisions, and (6) performance metrics for assessing the success of the acquisition. The confidential background about one of the companies is provided in this case for one of the teams.
Swot Analysis of "Titan Products, Inc.: Acquisition of Franz Schuler GMBH (B-1)" written by Dan Watson, William G. Bowen includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Uv4253 Schuler facing as an external strategic factors. Some of the topics covered in Titan Products, Inc.: Acquisition of Franz Schuler GMBH (B-1) case study are - Strategic Management Strategies, Cross-cultural management, Mergers & acquisitions, Organizational structure and Strategy & Execution.
Some of the macro environment factors that can be used to understand the Titan Products, Inc.: Acquisition of Franz Schuler GMBH (B-1) casestudy better are - – there is increasing trade war between United States & China, increasing energy prices, increasing inequality as vast percentage of new income is going to the top 1%, technology disruption, cloud computing is disrupting traditional business models, increasing commodity prices, increasing household debt because of falling income levels,
supply chains are disrupted by pandemic , there is backlash against globalization, etc
Introduction to SWOT Analysis of Titan Products, Inc.: Acquisition of Franz Schuler GMBH (B-1)
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Titan Products, Inc.: Acquisition of Franz Schuler GMBH (B-1) case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Uv4253 Schuler, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Uv4253 Schuler 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 Titan Products, Inc.: Acquisition of Franz Schuler GMBH (B-1) can be done for the following purposes –
1. Strategic planning using facts provided in Titan Products, Inc.: Acquisition of Franz Schuler GMBH (B-1) case study
2. Improving business portfolio management of Uv4253 Schuler
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 Uv4253 Schuler
Strengths Titan Products, Inc.: Acquisition of Franz Schuler GMBH (B-1) | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Uv4253 Schuler in Titan Products, Inc.: Acquisition of Franz Schuler GMBH (B-1) Harvard Business Review case study are -
Low bargaining power of suppliers
– Suppliers of Uv4253 Schuler in the sector have low bargaining power. Titan Products, Inc.: Acquisition of Franz Schuler GMBH (B-1) has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Uv4253 Schuler to manage not only supply disruptions but also source products at highly competitive prices.
Analytics focus
– Uv4253 Schuler 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 Dan Watson, William G. Bowen 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 lead change in Strategy & Execution field
– Uv4253 Schuler 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 Uv4253 Schuler in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Cross disciplinary teams
– Horizontal connected teams at the Uv4253 Schuler are driving operational speed, building greater agility, and keeping the organization nimble to compete with new competitors. It helps are organization to ideate new ideas, and execute them swiftly in the marketplace.
Strong track record of project management
– Uv4253 Schuler is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Effective Research and Development (R&D)
– Uv4253 Schuler 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 Titan Products, Inc.: Acquisition of Franz Schuler GMBH (B-1) - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Training and development
– Uv4253 Schuler has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in Titan Products, Inc.: Acquisition of Franz Schuler GMBH (B-1) 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.
Superior customer experience
– The customer experience strategy of Uv4253 Schuler in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Innovation driven organization
– Uv4253 Schuler is one of the most innovative firm in sector. Manager in Titan Products, Inc.: Acquisition of Franz Schuler GMBH (B-1) Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Highly skilled collaborators
– Uv4253 Schuler 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 Titan Products, Inc.: Acquisition of Franz Schuler GMBH (B-1) HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
High switching costs
– The high switching costs that Uv4253 Schuler 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.
Successful track record of launching new products
– Uv4253 Schuler has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Uv4253 Schuler 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.
Weaknesses Titan Products, Inc.: Acquisition of Franz Schuler GMBH (B-1) | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Titan Products, Inc.: Acquisition of Franz Schuler GMBH (B-1) are -
Employees’ incomplete understanding of strategy
– From the instances in the HBR case study Titan Products, Inc.: Acquisition of Franz Schuler GMBH (B-1), it seems that the employees of Uv4253 Schuler 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 strategic competitive environment developments
– As Titan Products, Inc.: Acquisition of Franz Schuler GMBH (B-1) HBR case study mentions - Uv4253 Schuler 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.
Interest costs
– Compare to the competition, Uv4253 Schuler 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.
Skills based hiring
– The stress on hiring functional specialists at Uv4253 Schuler 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.
Aligning sales with marketing
– It come across in the case study Titan Products, Inc.: Acquisition of Franz Schuler GMBH (B-1) 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 Titan Products, Inc.: Acquisition of Franz Schuler GMBH (B-1) can leverage the sales team experience to cultivate customer relationships as Uv4253 Schuler is planning to shift buying processes online.
Increasing silos among functional specialists
– The organizational structure of Uv4253 Schuler is dominated by functional specialists. It is not different from other players in the Strategy & Execution segment. Uv4253 Schuler needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Uv4253 Schuler to focus more on services rather than just following the product oriented approach.
Need for greater diversity
– Uv4253 Schuler has taken concrete steps on diversity, equity, and inclusion. But the efforts so far has resulted in limited success. It needs to expand the recruitment and selection process to hire more people from the minorities and underprivileged background.
No frontier risks strategy
– After analyzing the HBR case study Titan Products, Inc.: Acquisition of Franz Schuler GMBH (B-1), it seems that company is thinking about the frontier risks that can impact Strategy & Execution strategy. But it has very little resources allocation to manage the risks emerging from events such as natural disasters, climate change, melting of permafrost, tacking the rise of artificial intelligence, opportunities and threats emerging from commercialization of space etc.
High operating costs
– Compare to the competitors, firm in the HBR case study Titan Products, Inc.: Acquisition of Franz Schuler GMBH (B-1) 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 Uv4253 Schuler 's lucrative customers.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Uv4253 Schuler is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study Titan Products, Inc.: Acquisition of Franz Schuler GMBH (B-1) can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
Capital Spending Reduction
– Even during the low interest decade, Uv4253 Schuler 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.
Opportunities Titan Products, Inc.: Acquisition of Franz Schuler GMBH (B-1) | 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 Titan Products, Inc.: Acquisition of Franz Schuler GMBH (B-1) are -
Building a culture of innovation
– managers at Uv4253 Schuler 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.
Developing new processes and practices
– Uv4253 Schuler 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.
Manufacturing automation
– Uv4253 Schuler 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, Uv4253 Schuler is facing challenges because of the dominance of functional experts in the organization. Titan Products, Inc.: Acquisition of Franz Schuler GMBH (B-1) 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.
Buying journey improvements
– Uv4253 Schuler can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Titan Products, Inc.: Acquisition of Franz Schuler GMBH (B-1) 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.
Using analytics as competitive advantage
– Uv4253 Schuler has spent a significant amount of money and effort to integrate analytics and machine learning into its operations in the sector. This continuous investment in analytics has enabled, as illustrated in the Harvard case study Titan Products, Inc.: Acquisition of Franz Schuler GMBH (B-1) - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Uv4253 Schuler to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
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 Uv4253 Schuler 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.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Uv4253 Schuler 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 Uv4253 Schuler to hire the very best people irrespective of their geographical location.
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. Uv4253 Schuler 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. Uv4253 Schuler 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.
Learning at scale
– Online learning technologies has now opened space for Uv4253 Schuler 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.
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. Uv4253 Schuler can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Better consumer reach
– The expansion of the 5G network will help Uv4253 Schuler to increase its market reach. Uv4253 Schuler 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.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Uv4253 Schuler can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Threats Titan Products, Inc.: Acquisition of Franz Schuler GMBH (B-1) External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Titan Products, Inc.: Acquisition of Franz Schuler GMBH (B-1) are -
Technology acceleration in Forth Industrial Revolution
– Uv4253 Schuler has witnessed rapid integration of technology during Covid-19 in the Strategy & Execution industry. As one of the leading players in the industry, Uv4253 Schuler 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.
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 Uv4253 Schuler in the Strategy & Execution sector and impact the bottomline of the organization.
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.
Environmental challenges
– Uv4253 Schuler 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. Uv4253 Schuler can take advantage of this fund but it will also bring new competitors in the Strategy & Execution industry.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Uv4253 Schuler 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 Titan Products, Inc.: Acquisition of Franz Schuler GMBH (B-1) .
High dependence on third party suppliers
– Uv4253 Schuler 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.
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.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Uv4253 Schuler with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
Shortening product life cycle
– it is one of the major threat that Uv4253 Schuler is facing in Strategy & Execution sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
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 Uv4253 Schuler 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 Uv4253 Schuler 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.
Consumer confidence and its impact on Uv4253 Schuler 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.
Regulatory challenges
– Uv4253 Schuler 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.
Weighted SWOT Analysis of Titan Products, Inc.: Acquisition of Franz Schuler GMBH (B-1) 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 Titan Products, Inc.: Acquisition of Franz Schuler GMBH (B-1) 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 Titan Products, Inc.: Acquisition of Franz Schuler GMBH (B-1) 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 Titan Products, Inc.: Acquisition of Franz Schuler GMBH (B-1) 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 Titan Products, Inc.: Acquisition of Franz Schuler GMBH (B-1) 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 Uv4253 Schuler needs to make to build a sustainable competitive advantage.
