Diskit Khartsan Ltd. in 2013: Hatching a Solution SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Strategy & Execution
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of Diskit Khartsan Ltd. in 2013: Hatching a Solution
Tel Aviv-based Diskit Khartsan Ltd. sold sprays, traps, and netting to combat Blatta lateralis, the Israeli flying cockroach. The insect, slightly over one inch (2.54 cm) long and capable of flying short distances, was noisy, unsightly, and posed a risk of food contamination. Every heat wave brought more infestations, and consumers across the Mediterranean armed themselves with Diskit's HLHa?? brand products. HLH products generated nearly two-thirds of Diskit's annual revenues. During periods of low demand, local retailers resisted devoting significant shelf space to the bulky products, which meant that during periods of high demand stockouts occurred frequently and Diskit lost sales. To address this problem, the company had implemented a trust receipts program that raised prices for retailers by 3 percent but allowed them to take Diskit products onto their balance sheets without payment until the products were sold.
Swot Analysis of "Diskit Khartsan Ltd. in 2013: Hatching a Solution" written by Sarit Markovich, Evan Meagher includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Diskit Diskit's facing as an external strategic factors. Some of the topics covered in Diskit Khartsan Ltd. in 2013: Hatching a Solution case study are - Strategic Management Strategies, Competitive strategy, Decision making, Financial management, Pricing, Strategic planning and Strategy & Execution.
Some of the macro environment factors that can be used to understand the Diskit Khartsan Ltd. in 2013: Hatching a Solution casestudy better are - – increasing household debt because of falling income levels, supply chains are disrupted by pandemic , geopolitical disruptions, increasing transportation and logistics costs, increasing commodity prices, increasing energy prices, banking and financial system is disrupted by Bitcoin and other crypto currencies,
wage bills are increasing, competitive advantages are harder to sustain because of technology dispersion, etc
Introduction to SWOT Analysis of Diskit Khartsan Ltd. in 2013: Hatching a Solution
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Diskit Khartsan Ltd. in 2013: Hatching a Solution case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Diskit Diskit's, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Diskit Diskit's operates in.
According to Harvard Business Review, 75% of the managers use SWOT analysis for various purposes such as – evaluating current scenario, strategic planning, new venture feasibility, personal growth goals, new market entry, Go To market strategies, portfolio management and strategic trade-off assessment, organizational restructuring, etc.
SWOT Objectives / Importance of SWOT Analysis and SWOT Matrix
SWOT analysis of Diskit Khartsan Ltd. in 2013: Hatching a Solution can be done for the following purposes –
1. Strategic planning using facts provided in Diskit Khartsan Ltd. in 2013: Hatching a Solution case study
2. Improving business portfolio management of Diskit Diskit's
3. Assessing feasibility of the new initiative in Strategy & Execution field.
4. Making a Strategy & Execution topic specific business decision
5. Set goals for the organization
6. Organizational restructuring of Diskit Diskit's
Strengths Diskit Khartsan Ltd. in 2013: Hatching a Solution | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Diskit Diskit's in Diskit Khartsan Ltd. in 2013: Hatching a Solution Harvard Business Review case study are -
Learning organization
- Diskit Diskit's is a learning organization. It has inculcated three key characters of learning organization in its processes and operations – exploration, creativity, and expansiveness. The work place at Diskit Diskit's is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Diskit Khartsan Ltd. in 2013: Hatching a Solution Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Training and development
– Diskit Diskit's has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in Diskit Khartsan Ltd. in 2013: Hatching a Solution 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.
Ability to lead change in Strategy & Execution field
– Diskit Diskit's 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 Diskit Diskit's in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Superior customer experience
– The customer experience strategy of Diskit Diskit's in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Innovation driven organization
– Diskit Diskit's is one of the most innovative firm in sector. Manager in Diskit Khartsan Ltd. in 2013: Hatching a Solution Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Ability to recruit top talent
– Diskit Diskit's is one of the leading recruiters in the industry. Managers in the Diskit Khartsan Ltd. in 2013: Hatching a Solution are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
Successful track record of launching new products
– Diskit Diskit's has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Diskit Diskit's 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.
Analytics focus
– Diskit Diskit's is putting a lot of focus on utilizing the power of analytics in business decision making. This has put it among the leading players in the industry. The technology infrastructure suggested by Sarit Markovich, Evan Meagher can also help it to harness the power of analytics for – marketing optimization, demand forecasting, customer relationship management, inventory management, information sharing across the value chain etc.
Organizational Resilience of Diskit Diskit's
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Diskit Diskit's does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
High brand equity
– Diskit Diskit's has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Diskit Diskit's to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Cross disciplinary teams
– Horizontal connected teams at the Diskit Diskit's 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.
Low bargaining power of suppliers
– Suppliers of Diskit Diskit's in the sector have low bargaining power. Diskit Khartsan Ltd. in 2013: Hatching a Solution has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Diskit Diskit's to manage not only supply disruptions but also source products at highly competitive prices.
Weaknesses Diskit Khartsan Ltd. in 2013: Hatching a Solution | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Diskit Khartsan Ltd. in 2013: Hatching a Solution are -
Capital Spending Reduction
– Even during the low interest decade, Diskit Diskit's 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.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study Diskit Khartsan Ltd. in 2013: Hatching a Solution, is just above the industry average. Diskit Diskit's 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 Diskit Khartsan Ltd. in 2013: Hatching a Solution HBR case study mentions - Diskit Diskit's takes time to assess the upcoming competitions. This has led to missing out on atleast 2-3 big opportunities in the industry in last five years.
Workers concerns about automation
– As automation is fast increasing in the segment, Diskit Diskit's needs to come up with a strategy to reduce the workers concern regarding automation. Without a clear strategy, it could lead to disruption and uncertainty within the organization.
Employees’ incomplete understanding of strategy
– From the instances in the HBR case study Diskit Khartsan Ltd. in 2013: Hatching a Solution, it seems that the employees of Diskit Diskit's don’t have comprehensive understanding of the firm’s strategy. This is reflected in number of promotional campaigns over the last few years that had mixed messaging and competing priorities. Some of the strategic activities and services promoted in the promotional campaigns were not consistent with the organization’s strategy.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Diskit Diskit's is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study Diskit Khartsan Ltd. in 2013: Hatching a Solution can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
Interest costs
– Compare to the competition, Diskit Diskit's 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.
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 Diskit Diskit's supply chain. Even after few cautionary changes mentioned in the HBR case study - Diskit Khartsan Ltd. in 2013: Hatching a Solution, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Diskit Diskit's vulnerable to further global disruptions in South East Asia.
Skills based hiring
– The stress on hiring functional specialists at Diskit Diskit's has created an environment where the organization is dominated by functional specialists rather than management generalist. This has resulted into product oriented approach rather than marketing oriented approach or consumers oriented approach.
High cash cycle compare to competitors
Diskit Diskit's has a high cash cycle compare to other players in the industry. It needs to shorten the cash cycle by 12% to be more competitive in the marketplace, reduce inventory costs, and be more profitable.
High operating costs
– Compare to the competitors, firm in the HBR case study Diskit Khartsan Ltd. in 2013: Hatching a Solution 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 Diskit Diskit's 's lucrative customers.
Opportunities Diskit Khartsan Ltd. in 2013: Hatching a Solution | 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 Diskit Khartsan Ltd. in 2013: Hatching a Solution 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 Diskit Diskit's to reconfigure its entire business model. For example it can used blockchain based technologies to reduce piracy of its products in the big markets such as China. Secondly it can use the popularity of e-commerce in various developing markets to build a Direct to Customer business model rather than the current Channel Heavy distribution network.
Leveraging digital technologies
– Diskit Diskit's can leverage digital technologies such as artificial intelligence and machine learning to automate the production process, customer analytics to get better insights into consumer behavior, realtime digital dashboards to get better sales tracking, logistics and transportation, product tracking, etc.
Lowering marketing communication costs
– 5G expansion will open new opportunities for Diskit Diskit's 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.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Diskit Diskit's can use these opportunities to build new business models that can help the communities that Diskit Diskit's operates in. Secondly it can use opportunities from government spending in Strategy & Execution sector.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Diskit Diskit's is facing challenges because of the dominance of functional experts in the organization. Diskit Khartsan Ltd. in 2013: Hatching a Solution 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.
Learning at scale
– Online learning technologies has now opened space for Diskit Diskit's 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.
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. Diskit Diskit's can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Creating value in data economy
– The success of analytics program of Diskit Diskit's has opened avenues for new revenue streams for the organization in the industry. This can help Diskit Diskit's to build a more holistic ecosystem as suggested in the Diskit Khartsan Ltd. in 2013: Hatching a Solution case study. Diskit Diskit's can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Diskit Diskit's can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Manufacturing automation
– Diskit Diskit's can use the latest technology developments to improve its manufacturing and designing process in Strategy & Execution segment. It can use CAD and 3D printing to build a quick prototype and pilot testing products. It can leverage automation using machine learning and artificial intelligence to do faster production at lowers costs, and it can leverage the growth in satellite and tracking technologies to improve inventory management, transportation, and shipping.
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. Diskit Diskit's can take advantage of these changes in consumer behavior to build a far more efficient business model. For example consumer regular ordering of products can reduce both last mile delivery costs and market penetration costs. Diskit Diskit's can further use this consumer data to build better customer loyalty, provide better products and service collection, and improve the value proposition in inflationary times.
Better consumer reach
– The expansion of the 5G network will help Diskit Diskit's to increase its market reach. Diskit Diskit's will be able to reach out to new customers. Secondly 5G will also provide technology framework to build new tools and products that can help more immersive consumer experience and faster consumer journey.
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 Diskit Diskit's in the consumer business. Now Diskit Diskit's can target international markets with far fewer capital restrictions requirements than the existing system.
Threats Diskit Khartsan Ltd. in 2013: Hatching a Solution External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Diskit Khartsan Ltd. in 2013: Hatching a Solution are -
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Diskit Diskit's 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.
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.
Regulatory challenges
– Diskit Diskit's needs to prepare for regulatory challenges as consumer protection groups and other pressure groups are vigorously advocating for more regulations on big business - to reduce inequality, to create a level playing field, to product data privacy and consumer privacy, to reduce the influence of big money on democratic institutions, etc. This can lead to significant changes in the Strategy & Execution industry regulations.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Diskit Diskit's can face downward pressure on margins from increasing competition from international players. The international players have stable revenue in their home market and can use those resources to penetrate prominent markets illustrated in HBR case study Diskit Khartsan Ltd. in 2013: Hatching a Solution .
Increasing wage structure of Diskit Diskit's
– Post Covid-19 there is a sharp increase in the wages especially in the jobs that require interaction with people. The increasing wages can put downward pressure on the margins of Diskit Diskit's.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Diskit Diskit's with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
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. Diskit Diskit's will face different problems in different parts of Europe. For example it will face inflationary pressures in UK, France, and Germany, balance sheet expansion and demand challenges in Southern European countries, and geopolitical instability in the Eastern Europe.
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 Diskit Diskit's.
Stagnating economy with rate increase
– Diskit Diskit's 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.
Technology acceleration in Forth Industrial Revolution
– Diskit Diskit's has witnessed rapid integration of technology during Covid-19 in the Strategy & Execution industry. As one of the leading players in the industry, Diskit Diskit's needs to keep up with the evolution of technology in the Strategy & Execution sector. According to Mckinsey study top managers believe that the adoption of technology in operations, communications is 20-25 times faster than what they planned in the beginning of 2019.
Shortening product life cycle
– it is one of the major threat that Diskit Diskit's is facing in Strategy & Execution sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Environmental challenges
– Diskit Diskit's needs to have a robust strategy against the disruptions arising from climate change and energy requirements. EU has identified it as key priority area and spending 30% of its 880 billion Euros European post Covid-19 recovery funds on green technology. Diskit Diskit's can take advantage of this fund but it will also bring new competitors in the Strategy & Execution industry.
Consumer confidence and its impact on Diskit Diskit's 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.
Weighted SWOT Analysis of Diskit Khartsan Ltd. in 2013: Hatching a Solution 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 Diskit Khartsan Ltd. in 2013: Hatching a Solution 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 Diskit Khartsan Ltd. in 2013: Hatching a Solution 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 Diskit Khartsan Ltd. in 2013: Hatching a Solution 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 Diskit Khartsan Ltd. in 2013: Hatching a Solution 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 Diskit Diskit's needs to make to build a sustainable competitive advantage.
