How to Make the Matrix Work: Answering to Multiple Bosses SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Strategy & Execution
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of How to Make the Matrix Work: Answering to Multiple Bosses
Managing a multibusiness enterprise on a global scale brings a level of complexity that is virtually impossible to handle with a simple straight-line, top-down hierarchy. A matrix offers a solution -- yet it is tricky to manage. In a matrix organization, senior managers have overlapping responsibilities, frequently answering to two bosses: one with a remit for a certain region, another for a business group or product family, with solid-line and dotted-line reporting relationships to each. Based on the authors' experiences of matrix organizations, they identify five keys to successful matrix management: a strong and positive corporate culture; the right people in the right places; clear roles and responsibilities in decision processes; shared performance measures and rewards; and extraordinary communications. This article analyzes each of these keys, stressing how all five must work in concert if they are to enable the smooth functioning of a matrix organization. As the globalization of markets continues apace, the need for matrix management will only intensify, demanding that leaders adopt the right mind-set and commit the time and effort required to make the matrix work.
Swot Analysis of "How to Make the Matrix Work: Answering to Multiple Bosses" written by Nick Shreiber, Mike Rosenberg includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Matrix Bosses facing as an external strategic factors. Some of the topics covered in How to Make the Matrix Work: Answering to Multiple Bosses case study are - Strategic Management Strategies, and Strategy & Execution.
Some of the macro environment factors that can be used to understand the How to Make the Matrix Work: Answering to Multiple Bosses casestudy better are - – challanges to central banks by blockchain based private currencies, talent flight as more people leaving formal jobs, increasing energy prices, increasing inequality as vast percentage of new income is going to the top 1%, banking and financial system is disrupted by Bitcoin and other crypto currencies, there is backlash against globalization, increasing transportation and logistics costs,
there is increasing trade war between United States & China, central banks are concerned over increasing inflation, etc
Introduction to SWOT Analysis of How to Make the Matrix Work: Answering to Multiple Bosses
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in How to Make the Matrix Work: Answering to Multiple Bosses case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Matrix Bosses, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Matrix Bosses 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 How to Make the Matrix Work: Answering to Multiple Bosses can be done for the following purposes –
1. Strategic planning using facts provided in How to Make the Matrix Work: Answering to Multiple Bosses case study
2. Improving business portfolio management of Matrix Bosses
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 Matrix Bosses
Strengths How to Make the Matrix Work: Answering to Multiple Bosses | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Matrix Bosses in How to Make the Matrix Work: Answering to Multiple Bosses Harvard Business Review case study are -
Ability to lead change in Strategy & Execution field
– Matrix Bosses 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 Matrix Bosses in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
High switching costs
– The high switching costs that Matrix Bosses 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.
Digital Transformation in Strategy & Execution segment
- digital transformation varies from industry to industry. For Matrix Bosses digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Matrix Bosses 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.
Low bargaining power of suppliers
– Suppliers of Matrix Bosses in the sector have low bargaining power. How to Make the Matrix Work: Answering to Multiple Bosses has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Matrix Bosses to manage not only supply disruptions but also source products at highly competitive prices.
Sustainable margins compare to other players in Strategy & Execution industry
– How to Make the Matrix Work: Answering to Multiple Bosses firm has clearly differentiated products in the market place. This has enabled Matrix Bosses to fetch slight price premium compare to the competitors in the Strategy & Execution industry. The sustainable margins have also helped Matrix Bosses to invest into research and development (R&D) and innovation.
Innovation driven organization
– Matrix Bosses is one of the most innovative firm in sector. Manager in How to Make the Matrix Work: Answering to Multiple Bosses Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Analytics focus
– Matrix Bosses 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 Nick Shreiber, Mike Rosenberg 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.
Operational resilience
– The operational resilience strategy in the How to Make the Matrix Work: Answering to Multiple Bosses 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.
Superior customer experience
– The customer experience strategy of Matrix Bosses in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Diverse revenue streams
– Matrix Bosses is present in almost all the verticals within the industry. This has provided firm in How to Make the Matrix Work: Answering to Multiple Bosses 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
- Matrix Bosses 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 Matrix Bosses is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in How to Make the Matrix Work: Answering to Multiple Bosses Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Training and development
– Matrix Bosses has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in How to Make the Matrix Work: Answering to Multiple Bosses 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.
Weaknesses How to Make the Matrix Work: Answering to Multiple Bosses | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of How to Make the Matrix Work: Answering to Multiple Bosses are -
Capital Spending Reduction
– Even during the low interest decade, Matrix Bosses 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.
High operating costs
– Compare to the competitors, firm in the HBR case study How to Make the Matrix Work: Answering to Multiple Bosses 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 Matrix Bosses 's lucrative customers.
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 Matrix Bosses supply chain. Even after few cautionary changes mentioned in the HBR case study - How to Make the Matrix Work: Answering to Multiple Bosses, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Matrix Bosses vulnerable to further global disruptions in South East Asia.
Low market penetration in new markets
– Outside its home market of Matrix Bosses, firm in the HBR case study How to Make the Matrix Work: Answering to Multiple Bosses 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 How to Make the Matrix Work: Answering to Multiple Bosses, is just above the industry average. Matrix Bosses 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.
Lack of clear differentiation of Matrix Bosses products
– To increase the profitability and margins on the products, Matrix Bosses needs to provide more differentiated products than what it is currently offering in the marketplace.
Workers concerns about automation
– As automation is fast increasing in the segment, Matrix Bosses 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.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Matrix Bosses is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study How to Make the Matrix Work: Answering to Multiple Bosses can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study How to Make the Matrix Work: Answering to Multiple Bosses, in the dynamic environment Matrix Bosses has struggled to respond to the nimble upstart competition. Matrix Bosses has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
No frontier risks strategy
– After analyzing the HBR case study How to Make the Matrix Work: Answering to Multiple Bosses, 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.
Increasing silos among functional specialists
– The organizational structure of Matrix Bosses is dominated by functional specialists. It is not different from other players in the Strategy & Execution segment. Matrix Bosses needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Matrix Bosses to focus more on services rather than just following the product oriented approach.
Opportunities How to Make the Matrix Work: Answering to Multiple Bosses | 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 How to Make the Matrix Work: Answering to Multiple Bosses are -
Better consumer reach
– The expansion of the 5G network will help Matrix Bosses to increase its market reach. Matrix Bosses 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.
Buying journey improvements
– Matrix Bosses can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. How to Make the Matrix Work: Answering to Multiple Bosses 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.
Low interest rates
– Even though inflation is raising its head in most developed economies, Matrix Bosses 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.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Matrix Bosses 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 Matrix Bosses to hire the very best people irrespective of their geographical location.
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 Matrix Bosses 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.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Matrix Bosses is facing challenges because of the dominance of functional experts in the organization. How to Make the Matrix Work: Answering to Multiple Bosses 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.
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. Matrix Bosses can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Learning at scale
– Online learning technologies has now opened space for Matrix Bosses 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.
Loyalty marketing
– Matrix Bosses has focused on building a highly responsive customer relationship management platform. This platform is built on in-house data and driven by analytics and artificial intelligence. The customer analytics can help the organization to fine tune its loyalty marketing efforts, increase the wallet share of the organization, reduce wastage on mainstream advertising spending, build better pricing strategies using personalization, etc.
Building a culture of innovation
– managers at Matrix Bosses 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.
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. Matrix Bosses can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Matrix Bosses can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Matrix Bosses 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, How to Make the Matrix Work: Answering to Multiple Bosses, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Threats How to Make the Matrix Work: Answering to Multiple Bosses External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study How to Make the Matrix Work: Answering to Multiple Bosses are -
Technology acceleration in Forth Industrial Revolution
– Matrix Bosses has witnessed rapid integration of technology during Covid-19 in the Strategy & Execution industry. As one of the leading players in the industry, Matrix Bosses 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.
Shortening product life cycle
– it is one of the major threat that Matrix Bosses is facing in Strategy & Execution sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study How to Make the Matrix Work: Answering to Multiple Bosses, Matrix Bosses 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 .
High dependence on third party suppliers
– Matrix Bosses 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.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Matrix Bosses 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 How to Make the Matrix Work: Answering to Multiple Bosses .
Consumer confidence and its impact on Matrix Bosses 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
– Matrix Bosses 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.
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. Matrix Bosses can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Increasing wage structure of Matrix Bosses
– 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 Matrix Bosses.
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 Matrix Bosses.
Environmental challenges
– Matrix Bosses 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. Matrix Bosses can take advantage of this fund but it will also bring new competitors in the Strategy & Execution industry.
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.
Stagnating economy with rate increase
– Matrix Bosses 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.
Weighted SWOT Analysis of How to Make the Matrix Work: Answering to Multiple Bosses 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 How to Make the Matrix Work: Answering to Multiple Bosses 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 How to Make the Matrix Work: Answering to Multiple Bosses 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 How to Make the Matrix Work: Answering to Multiple Bosses 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 How to Make the Matrix Work: Answering to Multiple Bosses 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 Matrix Bosses needs to make to build a sustainable competitive advantage.
