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, geopolitical disruptions, supply chains are disrupted by pandemic , there is backlash against globalization, competitive advantages are harder to sustain because of technology dispersion, cloud computing is disrupting traditional business models, increasing transportation and logistics costs,
increasing inequality as vast percentage of new income is going to the top 1%, talent flight as more people leaving formal jobs, 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 -
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.
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.
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.
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.
Digital Transformation in Technology & Operations segment
- digital transformation varies from industry to industry. For Biogen Mullen digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Biogen Mullen 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.
Strong track record of project management
– Biogen Mullen is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Cross disciplinary teams
– Horizontal connected teams at the Biogen Mullen 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.
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.
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.
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.
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 -
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.
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.
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.
Need for greater diversity
– Biogen Mullen 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.
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.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Biogen Mullen is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
Lack of clear differentiation of Biogen Mullen products
– To increase the profitability and margins on the products, Biogen Mullen needs to provide more differentiated products than what it is currently offering in the marketplace.
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.
Workers concerns about automation
– As automation is fast increasing in the segment, Biogen Mullen 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.
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.
Employees’ incomplete understanding of strategy
– From the instances in the HBR case study In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen, it seems that the employees of Biogen Mullen 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.
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 -
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.
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 Biogen Mullen 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
– 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.
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.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Biogen Mullen can use these opportunities to build new business models that can help the communities that Biogen Mullen operates in. Secondly it can use opportunities from government spending in Technology & Operations sector.
Changes in consumer behavior post Covid-19
– Consumer behavior has changed in the Technology & Operations industry because of Covid-19 restrictions. Some of this behavior will stay once things get back to normal. Biogen Mullen 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. Biogen Mullen can further use this consumer data to build better customer loyalty, provide better products and service collection, and improve the value proposition in inflationary times.
Manufacturing automation
– 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.
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.
Finding new ways to collaborate
– Covid-19 has not only transformed business models of companies in Technology & Operations industry, but it has also influenced the consumer preferences. Biogen Mullen can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
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.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Biogen Mullen is facing challenges because of the dominance of functional experts in the organization. In Vivo to in Vitro to in Silico: Coping with Tidal Waves of Data at Biogen 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.
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.
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.
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 -
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.
Stagnating economy with rate increase
– Biogen Mullen 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.
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.
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.
Easy access to finance
– Easy access to finance in Technology & Operations field will also reduce the barriers to entry in the industry, thus putting downward pressure on the prices because of increasing competition. Biogen Mullen can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
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 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.
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.
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 .
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.
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.
Backlash against dominant players
– US Congress and other legislative arms of the government are getting tough on big business especially technology companies. The digital arm of Biogen Mullen business can come under increasing regulations regarding data privacy, data security, etc.
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.
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.
