In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Technology & Operations
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen
Biogen is a successful biotech company facing a critical juncture. CEO John Mullen ponders how technological changes introduced into the research function will shape larger corporate decisions. This world in which biotechnology companies operated had changed dramatically over the past few years. Parts of biology were rapidly evolving from being an individualistic, wet lab, bench-science driven field toward one where scientists manipulated huge amounts of data and divided up research steps into a factorylike production process. At the same time, the cost of developing a drug and bringing it to market had ballooned, from an estimated $231 million in 1991 to $802 million in 2000. Biogen was conservative in adopting new genomics tools. This case describes how the company decided to bring in house the latest genomics in silico tools and applied them to the discovery and research phase for drug development. The company also then restructured its research strategy. As the new tools and early-phase research began to bear fruit, Mullen realized that they implied significant changes down the road for other parts of Biogen.
Authors :: Juan Enriquez, Gary P. Pisano, Gaye L. Bok
Swot Analysis of "In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen" written by Juan Enriquez, Gary P. Pisano, Gaye L. Bok includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Biogen Mullen facing as an external strategic factors. Some of the topics covered in In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen case study are - Strategic Management Strategies, Research & development, Technology and Technology & Operations.
Some of the macro environment factors that can be used to understand the In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen casestudy better are - – increasing energy prices, there is increasing trade war between United States & China, central banks are concerned over increasing inflation, digital marketing is dominated by two big players Facebook and Google, talent flight as more people leaving formal jobs, challanges to central banks by blockchain based private currencies, increasing commodity prices,
banking and financial system is disrupted by Bitcoin and other crypto currencies, increasing inequality as vast percentage of new income is going to the top 1%, etc
Introduction to SWOT Analysis of In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Biogen Mullen, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Biogen Mullen 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 In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen can be done for the following purposes –
1. Strategic planning using facts provided in In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen case study
2. Improving business portfolio management of Biogen Mullen
3. Assessing feasibility of the new initiative in Technology & Operations field.
4. Making a Technology & Operations topic specific business decision
5. Set goals for the organization
6. Organizational restructuring of Biogen Mullen
Strengths In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Biogen Mullen in In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen Harvard Business Review case study are -
Highly skilled collaborators
– Biogen Mullen 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 In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
Analytics focus
– Biogen Mullen 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 Juan Enriquez, Gary P. Pisano, Gaye L. Bok 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 Biogen Mullen
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Biogen Mullen does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Operational resilience
– The operational resilience strategy in the In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen 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.
Effective Research and Development (R&D)
– Biogen Mullen 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 In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Training and development
– Biogen Mullen has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen 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.
Learning organization
- Biogen Mullen 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 Biogen Mullen is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
High brand equity
– Biogen Mullen has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Biogen Mullen to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Low bargaining power of suppliers
– Suppliers of Biogen Mullen in the sector have low bargaining power. In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Biogen Mullen to manage not only supply disruptions but also source products at highly competitive prices.
Ability to recruit top talent
– Biogen Mullen is one of the leading recruiters in the industry. Managers in the In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
Sustainable margins compare to other players in Technology & Operations industry
– In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen firm has clearly differentiated products in the market place. This has enabled Biogen Mullen to fetch slight price premium compare to the competitors in the Technology & Operations industry. The sustainable margins have also helped Biogen Mullen to invest into research and development (R&D) and innovation.
Diverse revenue streams
– Biogen Mullen is present in almost all the verticals within the industry. This has provided firm in In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen 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.
Weaknesses In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen are -
Capital Spending Reduction
– Even during the low interest decade, Biogen Mullen 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.
Skills based hiring
– The stress on hiring functional specialists at Biogen Mullen 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 bargaining power of channel partners
– Because of the regulatory requirements, Juan Enriquez, Gary P. Pisano, Gaye L. Bok suggests that, Biogen Mullen 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 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 Biogen Mullen supply chain. Even after few cautionary changes mentioned in the HBR case study - In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Biogen Mullen vulnerable to further global disruptions in South East Asia.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen, in the dynamic environment Biogen Mullen has struggled to respond to the nimble upstart competition. Biogen Mullen has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
Interest costs
– Compare to the competition, Biogen Mullen 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.
Increasing silos among functional specialists
– The organizational structure of Biogen Mullen is dominated by functional specialists. It is not different from other players in the Technology & Operations segment. Biogen Mullen needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Biogen Mullen to focus more on services rather than just following the product oriented approach.
High operating costs
– Compare to the competitors, firm in the HBR case study In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen 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 Biogen Mullen 's lucrative customers.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen, is just above the industry average. Biogen Mullen 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.
Aligning sales with marketing
– It come across in the case study In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen 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 In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen can leverage the sales team experience to cultivate customer relationships as Biogen Mullen is planning to shift buying processes online.
No frontier risks strategy
– After analyzing the HBR case study In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen, it seems that company is thinking about the frontier risks that can impact Technology & Operations 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.
Opportunities In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen | 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 In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen are -
Learning at scale
– Online learning technologies has now opened space for Biogen Mullen 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.
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 Biogen Mullen in the consumer business. Now Biogen Mullen can target international markets with far fewer capital restrictions requirements than the existing system.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Biogen Mullen 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, In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Creating value in data economy
– The success of analytics program of Biogen Mullen has opened avenues for new revenue streams for the organization in the industry. This can help Biogen Mullen to build a more holistic ecosystem as suggested in the In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen case study. Biogen Mullen can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Developing new processes and practices
– Biogen Mullen can develop new processes and procedures in Technology & Operations 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.
Low interest rates
– Even though inflation is raising its head in most developed economies, Biogen Mullen 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.
Manufacturing automation
– Biogen Mullen can use the latest technology developments to improve its manufacturing and designing process in Technology & Operations 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.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Biogen Mullen can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Building a culture of innovation
– managers at Biogen Mullen 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 Technology & Operations segment.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Biogen Mullen 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 Biogen Mullen to hire the very best people irrespective of their geographical location.
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. Biogen Mullen can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Buying journey improvements
– Biogen Mullen can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen 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.
Leveraging digital technologies
– Biogen Mullen 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.
Threats In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen are -
Regulatory challenges
– Biogen Mullen 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 Technology & Operations industry regulations.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Biogen Mullen with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
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 Biogen Mullen in the Technology & Operations sector and impact the bottomline of the organization.
Consumer confidence and its impact on Biogen Mullen 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.
Environmental challenges
– Biogen Mullen 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. Biogen Mullen can take advantage of this fund but it will also bring new competitors in the Technology & Operations industry.
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. Biogen Mullen needs to understand the core reasons impacting the Technology & Operations industry. This will help it in building a better workplace.
Shortening product life cycle
– it is one of the major threat that Biogen Mullen is facing in Technology & Operations 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 In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen, Biogen Mullen may face longer learning curve for training and development of existing employees. This can open space for more nimble competitors in the field of Technology & Operations .
High dependence on third party suppliers
– Biogen Mullen 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.
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. Biogen Mullen 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.
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.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Biogen Mullen 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 In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen .
Increasing wage structure of Biogen Mullen
– 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 Biogen Mullen.
Weighted SWOT Analysis of In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen 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 In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen 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 In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen 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 In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen 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 In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen 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 Biogen Mullen needs to make to build a sustainable competitive advantage.