Swot Analysis of "Kodak's Health Imaging Division in Asia (B): The Crisis in Thailand" written by Nancy Sousa, Richard Demartino, Stanley Widrick includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Kodak's Imaging facing as an external strategic factors. Some of the topics covered in Kodak's Health Imaging Division in Asia (B): The Crisis in Thailand case study are - Strategic Management Strategies, Health, International business, Marketing, Organizational structure, Pricing and Strategy & Execution.
Some of the macro environment factors that can be used to understand the Kodak's Health Imaging Division in Asia (B): The Crisis in Thailand casestudy better are - – talent flight as more people leaving formal jobs, challanges to central banks by blockchain based private currencies, wage bills are increasing, supply chains are disrupted by pandemic , increasing energy prices, increasing inequality as vast percentage of new income is going to the top 1%, increasing government debt because of Covid-19 spendings,
customer relationship management is fast transforming because of increasing concerns over data privacy, competitive advantages are harder to sustain because of technology dispersion, etc
Introduction to SWOT Analysis of Kodak's Health Imaging Division in Asia (B): The Crisis in Thailand
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Kodak's Health Imaging Division in Asia (B): The Crisis in Thailand case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Kodak's Imaging, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Kodak's Imaging 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 Kodak's Health Imaging Division in Asia (B): The Crisis in Thailand can be done for the following purposes –
1. Strategic planning using facts provided in Kodak's Health Imaging Division in Asia (B): The Crisis in Thailand case study
2. Improving business portfolio management of Kodak's Imaging
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 Kodak's Imaging
Strengths Kodak's Health Imaging Division in Asia (B): The Crisis in Thailand | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Kodak's Imaging in Kodak's Health Imaging Division in Asia (B): The Crisis in Thailand Harvard Business Review case study are -
Low bargaining power of suppliers
– Suppliers of Kodak's Imaging in the sector have low bargaining power. Kodak's Health Imaging Division in Asia (B): The Crisis in Thailand has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Kodak's Imaging to manage not only supply disruptions but also source products at highly competitive prices.
Operational resilience
– The operational resilience strategy in the Kodak's Health Imaging Division in Asia (B): The Crisis in Thailand 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 Kodak's Imaging in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Ability to lead change in Strategy & Execution field
– Kodak's Imaging 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 Kodak's Imaging in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Effective Research and Development (R&D)
– Kodak's Imaging 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 Kodak's Health Imaging Division in Asia (B): The Crisis in Thailand - 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
– Kodak's Imaging is present in almost all the verticals within the industry. This has provided firm in Kodak's Health Imaging Division in Asia (B): The Crisis in Thailand 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.
Innovation driven organization
– Kodak's Imaging is one of the most innovative firm in sector. Manager in Kodak's Health Imaging Division in Asia (B): The Crisis in Thailand Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Sustainable margins compare to other players in Strategy & Execution industry
– Kodak's Health Imaging Division in Asia (B): The Crisis in Thailand firm has clearly differentiated products in the market place. This has enabled Kodak's Imaging to fetch slight price premium compare to the competitors in the Strategy & Execution industry. The sustainable margins have also helped Kodak's Imaging to invest into research and development (R&D) and innovation.
Organizational Resilience of Kodak's Imaging
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Kodak's Imaging does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Digital Transformation in Strategy & Execution segment
- digital transformation varies from industry to industry. For Kodak's Imaging digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Kodak's Imaging 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.
Ability to recruit top talent
– Kodak's Imaging is one of the leading recruiters in the industry. Managers in the Kodak's Health Imaging Division in Asia (B): The Crisis in Thailand are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
Learning organization
- Kodak's Imaging 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 Kodak's Imaging is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Kodak's Health Imaging Division in Asia (B): The Crisis in Thailand Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Weaknesses Kodak's Health Imaging Division in Asia (B): The Crisis in Thailand | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Kodak's Health Imaging Division in Asia (B): The Crisis in Thailand are -
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 Kodak's Imaging supply chain. Even after few cautionary changes mentioned in the HBR case study - Kodak's Health Imaging Division in Asia (B): The Crisis in Thailand, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Kodak's Imaging vulnerable to further global disruptions in South East Asia.
Workers concerns about automation
– As automation is fast increasing in the segment, Kodak's Imaging 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.
Aligning sales with marketing
– It come across in the case study Kodak's Health Imaging Division in Asia (B): The Crisis in Thailand 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 Kodak's Health Imaging Division in Asia (B): The Crisis in Thailand can leverage the sales team experience to cultivate customer relationships as Kodak's Imaging is planning to shift buying processes online.
Lack of clear differentiation of Kodak's Imaging products
– To increase the profitability and margins on the products, Kodak's Imaging needs to provide more differentiated products than what it is currently offering in the marketplace.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study Kodak's Health Imaging Division in Asia (B): The Crisis in Thailand, in the dynamic environment Kodak's Imaging has struggled to respond to the nimble upstart competition. Kodak's Imaging has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
High dependence on star products
– The top 2 products and services of the firm as mentioned in the Kodak's Health Imaging Division in Asia (B): The Crisis in Thailand 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 Kodak's Imaging has relatively successful track record of launching new products.
Employees’ incomplete understanding of strategy
– From the instances in the HBR case study Kodak's Health Imaging Division in Asia (B): The Crisis in Thailand, it seems that the employees of Kodak's Imaging 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.
Interest costs
– Compare to the competition, Kodak's Imaging 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.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study Kodak's Health Imaging Division in Asia (B): The Crisis in Thailand, is just above the industry average. Kodak's Imaging needs to redesign the compensation structure and incentives to increase the revenue per employees. Some of the steps that it can take are – hiring more specialists on project basis, etc.
Slow to strategic competitive environment developments
– As Kodak's Health Imaging Division in Asia (B): The Crisis in Thailand HBR case study mentions - Kodak's Imaging 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.
Need for greater diversity
– Kodak's Imaging 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.
Opportunities Kodak's Health Imaging Division in Asia (B): The Crisis in Thailand | 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 Kodak's Health Imaging Division in Asia (B): The Crisis in Thailand are -
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 Kodak's Imaging 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.
Building a culture of innovation
– managers at Kodak's Imaging 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.
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. Kodak's Imaging can explore opportunities that can attract volunteers and are consistent with its mission and vision.
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. Kodak's Imaging can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Leveraging digital technologies
– Kodak's Imaging 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.
Low interest rates
– Even though inflation is raising its head in most developed economies, Kodak's Imaging 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.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Kodak's Imaging 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, Kodak's Health Imaging Division in Asia (B): The Crisis in Thailand, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Manufacturing automation
– Kodak's Imaging 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.
Better consumer reach
– The expansion of the 5G network will help Kodak's Imaging to increase its market reach. Kodak's Imaging 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.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Kodak's Imaging is facing challenges because of the dominance of functional experts in the organization. Kodak's Health Imaging Division in Asia (B): The Crisis in Thailand 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.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Kodak's Imaging can use these opportunities to build new business models that can help the communities that Kodak's Imaging operates in. Secondly it can use opportunities from government spending in Strategy & Execution sector.
Lowering marketing communication costs
– 5G expansion will open new opportunities for Kodak's Imaging in the field of marketing communication. It will bring down the cost of doing business, provide technology platform to build new products in the Strategy & Execution segment, and it will provide faster access to the consumers.
Developing new processes and practices
– Kodak's Imaging 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.
Threats Kodak's Health Imaging Division in Asia (B): The Crisis in Thailand External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Kodak's Health Imaging Division in Asia (B): The Crisis in Thailand are -
Stagnating economy with rate increase
– Kodak's Imaging 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.
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. Kodak's Imaging 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.
Technology acceleration in Forth Industrial Revolution
– Kodak's Imaging has witnessed rapid integration of technology during Covid-19 in the Strategy & Execution industry. As one of the leading players in the industry, Kodak's Imaging 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.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Kodak's Imaging 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 Kodak's Health Imaging Division in Asia (B): The Crisis in Thailand .
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. Kodak's Imaging 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
– Kodak's Imaging 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. Kodak's Imaging 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.
High dependence on third party suppliers
– Kodak's Imaging 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 Kodak's Health Imaging Division in Asia (B): The Crisis in Thailand, Kodak's Imaging 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 .
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Kodak's Imaging 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.
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 Kodak's Imaging in the Strategy & Execution sector and impact the bottomline of the organization.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Kodak's Imaging with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
High level of anxiety and lack of motivation
– the Great Resignation in United States is the sign of broader dissatisfaction among the workforce in United States. Kodak's Imaging needs to understand the core reasons impacting the Strategy & Execution industry. This will help it in building a better workplace.
Weighted SWOT Analysis of Kodak's Health Imaging Division in Asia (B): The Crisis in Thailand 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 Kodak's Health Imaging Division in Asia (B): The Crisis in Thailand 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 Kodak's Health Imaging Division in Asia (B): The Crisis in Thailand 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 Kodak's Health Imaging Division in Asia (B): The Crisis in Thailand 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 Kodak's Health Imaging Division in Asia (B): The Crisis in Thailand 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 Kodak's Imaging needs to make to build a sustainable competitive advantage.