Case Study Description of Aligning Corporate Learning with Strategy
Surveys of CEOs point to a shortage of leadership and management talent as a leading concern. It's not that companies refrain from investing in developing their people: In 2012, companies in developed economies spent nearly $400 billion on training. But, as authors Shlomo Ben-Hur, Bernard Jaworski, and David Gray argue, much of the investment and effort that organizations spend on learning is focused on the wrong things. Instead of focusing on new modes of instruction and technology, they write, corporate learning executives need to emphasize aligning learning programs with business strategy.Although learning executives such as chief learning officers must shoulder the burden of developing the company's talent capabilities and supporting strategic priorities, the authors argue that CEOs and other top executives have a critical role to play. Personal engagement and leadership on the part of the CEO can make a big difference in setting the right tone for the organization. While companies often begin with training-needs assessments, the authors recommend starting by mapping what they call the "CEO agenda"to ensure that learning gets properly aligned with strategy. This connects learning and development with the company's specific needs and cuts through the noise of multiple initiatives vying for attention -highlighting the critical "must-win battles"that the CEO has identified. The next task is to operationalize the learning agenda through a portfolio of learning and development activities. This involves doing an inventory of existing learning and development resources. Companies should repeat this on a regular basis, the authors say, to ensure that the activities in place reflect the company's learning strategy. Companies should be wary about making wholesale changes to learning portfolios and organizational structures, the authors warn, unless there are major shifts in the company's mission or business context. Reorganizations "should be limited to situations where they are warranted -for example, when the learning agenda is misaligned with corporate strategy or the strategy changes." Like the CEO agenda, the company's learning agenda should articulate the essential strategic initiatives for corporate learning. Choices about what to include or eliminate to bring learning activities in line with current priorities should not be made in isolation, and the authors say it's important to get input and buy-in from both the learning organization and business leaders -all the way to the CEO level. Although the CEO's personal involvement is valuable, a broader effort of stakeholder management is typically required to promote and gain buy-in for the learning agenda. Learning leaders should map out a concerted "campaign"to inform and gather input from key influencers and decision makers in other parts of the business. A disciplined effort of stakeholder engagement and outreach gives learning leaders an opportunity to deepen their understanding of strategic priorities and demonstrate the business value of learning interventions. This is an MIT Sloan Management Review article.
Authors :: Shlomo Ben-Hur, Bernie Jaworski, David Gray
Swot Analysis of "Aligning Corporate Learning with Strategy" written by Shlomo Ben-Hur, Bernie Jaworski, David Gray includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Learning Agenda facing as an external strategic factors. Some of the topics covered in Aligning Corporate Learning with Strategy case study are - Strategic Management Strategies, and Strategy & Execution.
Some of the macro environment factors that can be used to understand the Aligning Corporate Learning with Strategy casestudy better are - – increasing government debt because of Covid-19 spendings, technology disruption, supply chains are disrupted by pandemic , wage bills are increasing, increasing energy prices, central banks are concerned over increasing inflation, challanges to central banks by blockchain based private currencies,
customer relationship management is fast transforming because of increasing concerns over data privacy, increasing inequality as vast percentage of new income is going to the top 1%, etc
Introduction to SWOT Analysis of Aligning Corporate Learning with Strategy
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Aligning Corporate Learning with Strategy case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Learning Agenda, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Learning Agenda 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 Aligning Corporate Learning with Strategy can be done for the following purposes –
1. Strategic planning using facts provided in Aligning Corporate Learning with Strategy case study
2. Improving business portfolio management of Learning Agenda
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 Learning Agenda
Strengths Aligning Corporate Learning with Strategy | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Learning Agenda in Aligning Corporate Learning with Strategy Harvard Business Review case study are -
Digital Transformation in Strategy & Execution segment
- digital transformation varies from industry to industry. For Learning Agenda digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Learning Agenda 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.
Operational resilience
– The operational resilience strategy in the Aligning Corporate Learning with 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.
Cross disciplinary teams
– Horizontal connected teams at the Learning Agenda 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
– Learning Agenda is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Low bargaining power of suppliers
– Suppliers of Learning Agenda in the sector have low bargaining power. Aligning Corporate Learning with Strategy has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Learning Agenda to manage not only supply disruptions but also source products at highly competitive prices.
Effective Research and Development (R&D)
– Learning Agenda 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 Aligning Corporate Learning with 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.
Sustainable margins compare to other players in Strategy & Execution industry
– Aligning Corporate Learning with Strategy firm has clearly differentiated products in the market place. This has enabled Learning Agenda to fetch slight price premium compare to the competitors in the Strategy & Execution industry. The sustainable margins have also helped Learning Agenda to invest into research and development (R&D) and innovation.
Ability to recruit top talent
– Learning Agenda is one of the leading recruiters in the industry. Managers in the Aligning Corporate Learning with 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.
Highly skilled collaborators
– Learning Agenda 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 Aligning Corporate Learning with Strategy HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
Diverse revenue streams
– Learning Agenda is present in almost all the verticals within the industry. This has provided firm in Aligning Corporate Learning with 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.
Learning organization
- Learning Agenda 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 Learning Agenda is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Aligning Corporate Learning with Strategy Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Innovation driven organization
– Learning Agenda is one of the most innovative firm in sector. Manager in Aligning Corporate Learning with Strategy Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Weaknesses Aligning Corporate Learning with Strategy | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Aligning Corporate Learning with Strategy are -
Slow decision making process
– As mentioned earlier in the report, Learning Agenda 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. Learning Agenda 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.
Products dominated business model
– Even though Learning Agenda 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 - Aligning Corporate Learning with Strategy should strive to include more intangible value offerings along with its core products and services.
High cash cycle compare to competitors
Learning Agenda 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.
High dependence on star products
– The top 2 products and services of the firm as mentioned in the Aligning Corporate Learning with 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 Learning Agenda has relatively successful track record of launching new products.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Learning Agenda is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study Aligning Corporate Learning with Strategy can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
No frontier risks strategy
– After analyzing the HBR case study Aligning Corporate Learning with Strategy, 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 bargaining power of channel partners
– Because of the regulatory requirements, Shlomo Ben-Hur, Bernie Jaworski, David Gray suggests that, Learning Agenda 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.
High operating costs
– Compare to the competitors, firm in the HBR case study Aligning Corporate Learning with Strategy 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 Learning Agenda 's lucrative customers.
Employees’ incomplete understanding of strategy
– From the instances in the HBR case study Aligning Corporate Learning with Strategy, it seems that the employees of Learning Agenda 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.
Workers concerns about automation
– As automation is fast increasing in the segment, Learning Agenda 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.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study Aligning Corporate Learning with Strategy, is just above the industry average. Learning Agenda needs to redesign the compensation structure and incentives to increase the revenue per employees. Some of the steps that it can take are – hiring more specialists on project basis, etc.
Opportunities Aligning Corporate Learning with 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 Aligning Corporate Learning with Strategy are -
Building a culture of innovation
– managers at Learning Agenda 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
– Learning Agenda 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.
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. Learning Agenda can explore opportunities that can attract volunteers and are consistent with its mission and vision.
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 Learning Agenda in the consumer business. Now Learning Agenda can target international markets with far fewer capital restrictions requirements than the existing system.
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. Learning Agenda 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. Learning Agenda 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.
Manufacturing automation
– Learning Agenda 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, Learning Agenda is facing challenges because of the dominance of functional experts in the organization. Aligning Corporate Learning with 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.
Buying journey improvements
– Learning Agenda can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Aligning Corporate Learning with 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.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Learning Agenda can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Creating value in data economy
– The success of analytics program of Learning Agenda has opened avenues for new revenue streams for the organization in the industry. This can help Learning Agenda to build a more holistic ecosystem as suggested in the Aligning Corporate Learning with Strategy case study. Learning Agenda can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Low interest rates
– Even though inflation is raising its head in most developed economies, Learning Agenda 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.
Leveraging digital technologies
– Learning Agenda 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.
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. Learning Agenda can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Threats Aligning Corporate Learning with Strategy External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Aligning Corporate Learning with Strategy are -
Regulatory challenges
– Learning Agenda 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.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Learning Agenda 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.
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. Learning Agenda can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Environmental challenges
– Learning Agenda 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. Learning Agenda 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 Learning Agenda is facing in Strategy & Execution sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Stagnating economy with rate increase
– Learning Agenda can face lack of demand in the market place because of Fed actions to reduce inflation. This can lead to sluggish growth in the economy, lower demands, lower investments, higher borrowing costs, and consolidation in the field.
Backlash against dominant players
– US Congress and other legislative arms of the government are getting tough on big business especially technology companies. The digital arm of Learning Agenda business can come under increasing regulations regarding data privacy, data security, etc.
Increasing wage structure of Learning Agenda
– 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 Learning Agenda.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Learning Agenda 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 Aligning Corporate Learning with Strategy .
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 Learning Agenda.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study Aligning Corporate Learning with Strategy, Learning Agenda 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
– Learning Agenda has witnessed rapid integration of technology during Covid-19 in the Strategy & Execution industry. As one of the leading players in the industry, Learning Agenda 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.
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. Learning Agenda 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.
Weighted SWOT Analysis of Aligning Corporate Learning with 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 Aligning Corporate Learning with 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 Aligning Corporate Learning with 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 Aligning Corporate Learning with 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 Aligning Corporate Learning with 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 Learning Agenda needs to make to build a sustainable competitive advantage.