3R Framework: Improving EStrategy Across Reach, Richness, and Range SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Technology & Operations
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of 3R Framework: Improving EStrategy Across Reach, Richness, and Range
Identifying effective strategies for designing and implementing e-business initiatives has been a persistent challenge for both practitioners and academicians. A conceptual framework is needed for leveraging digital attributes based on three dimensions: reach, richness, and range. By defining and combining these three dimensions to create such an integrated e-business strategic framework, this article provides managers with a way to assess their current strategy, as well as a prescriptive direction for strengthening it.
Authors :: John R. Wells, John D. Wells, David H. Gobeli
Swot Analysis of "3R Framework: Improving EStrategy Across Reach, Richness, and Range" written by John R. Wells, John D. Wells, David H. Gobeli includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Richness Framework facing as an external strategic factors. Some of the topics covered in 3R Framework: Improving EStrategy Across Reach, Richness, and Range case study are - Strategic Management Strategies, Technology and Technology & Operations.
Some of the macro environment factors that can be used to understand the 3R Framework: Improving EStrategy Across Reach, Richness, and Range casestudy better are - – customer relationship management is fast transforming because of increasing concerns over data privacy, cloud computing is disrupting traditional business models, challanges to central banks by blockchain based private currencies, competitive advantages are harder to sustain because of technology dispersion, increasing commodity prices, central banks are concerned over increasing inflation, geopolitical disruptions,
technology disruption, increasing household debt because of falling income levels, etc
Introduction to SWOT Analysis of 3R Framework: Improving EStrategy Across Reach, Richness, and Range
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in 3R Framework: Improving EStrategy Across Reach, Richness, and Range case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Richness Framework, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Richness Framework 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 3R Framework: Improving EStrategy Across Reach, Richness, and Range can be done for the following purposes –
1. Strategic planning using facts provided in 3R Framework: Improving EStrategy Across Reach, Richness, and Range case study
2. Improving business portfolio management of Richness Framework
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 Richness Framework
Strengths 3R Framework: Improving EStrategy Across Reach, Richness, and Range | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Richness Framework in 3R Framework: Improving EStrategy Across Reach, Richness, and Range Harvard Business Review case study are -
Organizational Resilience of Richness Framework
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Richness Framework does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Effective Research and Development (R&D)
– Richness Framework 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 3R Framework: Improving EStrategy Across Reach, Richness, and Range - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Ability to recruit top talent
– Richness Framework is one of the leading recruiters in the industry. Managers in the 3R Framework: Improving EStrategy Across Reach, Richness, and Range 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
– Richness Framework has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Richness Framework 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.
Highly skilled collaborators
– Richness Framework 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 3R Framework: Improving EStrategy Across Reach, Richness, and Range HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
Low bargaining power of suppliers
– Suppliers of Richness Framework in the sector have low bargaining power. 3R Framework: Improving EStrategy Across Reach, Richness, and Range has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Richness Framework to manage not only supply disruptions but also source products at highly competitive prices.
Operational resilience
– The operational resilience strategy in the 3R Framework: Improving EStrategy Across Reach, Richness, and Range 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.
Diverse revenue streams
– Richness Framework is present in almost all the verticals within the industry. This has provided firm in 3R Framework: Improving EStrategy Across Reach, Richness, and Range 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.
High brand equity
– Richness Framework has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Richness Framework to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Strong track record of project management
– Richness Framework is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Analytics focus
– Richness Framework 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 John R. Wells, John D. Wells, David H. Gobeli 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.
Learning organization
- Richness Framework 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 Richness Framework is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in 3R Framework: Improving EStrategy Across Reach, Richness, and Range Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Weaknesses 3R Framework: Improving EStrategy Across Reach, Richness, and Range | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of 3R Framework: Improving EStrategy Across Reach, Richness, and Range are -
Slow to strategic competitive environment developments
– As 3R Framework: Improving EStrategy Across Reach, Richness, and Range HBR case study mentions - Richness Framework 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.
Products dominated business model
– Even though Richness Framework has some of the most successful products in the industry, this business model has made each new product launch extremely critical for continuous financial growth of the organization. firm in the HBR case study - 3R Framework: Improving EStrategy Across Reach, Richness, and Range should strive to include more intangible value offerings along with its core products and services.
Low market penetration in new markets
– Outside its home market of Richness Framework, firm in the HBR case study 3R Framework: Improving EStrategy Across Reach, Richness, and Range needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
Aligning sales with marketing
– It come across in the case study 3R Framework: Improving EStrategy Across Reach, Richness, and Range 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 3R Framework: Improving EStrategy Across Reach, Richness, and Range can leverage the sales team experience to cultivate customer relationships as Richness Framework is planning to shift buying processes online.
No frontier risks strategy
– After analyzing the HBR case study 3R Framework: Improving EStrategy Across Reach, Richness, and Range, 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.
High bargaining power of channel partners
– Because of the regulatory requirements, John R. Wells, John D. Wells, David H. Gobeli suggests that, Richness Framework 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 star products
– The top 2 products and services of the firm as mentioned in the 3R Framework: Improving EStrategy Across Reach, Richness, and Range 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 Richness Framework has relatively successful track record of launching new products.
High operating costs
– Compare to the competitors, firm in the HBR case study 3R Framework: Improving EStrategy Across Reach, Richness, and Range 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 Richness Framework 's lucrative customers.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study 3R Framework: Improving EStrategy Across Reach, Richness, and Range, in the dynamic environment Richness Framework has struggled to respond to the nimble upstart competition. Richness Framework has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Richness Framework is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study 3R Framework: Improving EStrategy Across Reach, Richness, and Range can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
High dependence on existing supply chain
– The disruption in the global supply chains because of the Covid-19 pandemic and blockage of the Suez Canal illustrated the fragile nature of Richness Framework supply chain. Even after few cautionary changes mentioned in the HBR case study - 3R Framework: Improving EStrategy Across Reach, Richness, and Range, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Richness Framework vulnerable to further global disruptions in South East Asia.
Opportunities 3R Framework: Improving EStrategy Across Reach, Richness, and Range | 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 3R Framework: Improving EStrategy Across Reach, Richness, and Range are -
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 Richness Framework in the consumer business. Now Richness Framework can target international markets with far fewer capital restrictions requirements than the existing system.
Learning at scale
– Online learning technologies has now opened space for Richness Framework 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.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Richness Framework can use these opportunities to build new business models that can help the communities that Richness Framework operates in. Secondly it can use opportunities from government spending in Technology & Operations sector.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Richness Framework 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
– Richness Framework 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.
Low interest rates
– Even though inflation is raising its head in most developed economies, Richness Framework 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.
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. Richness Framework 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. Richness Framework 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.
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 Richness Framework 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.
Using analytics as competitive advantage
– Richness Framework has spent a significant amount of money and effort to integrate analytics and machine learning into its operations in the sector. This continuous investment in analytics has enabled, as illustrated in the Harvard case study 3R Framework: Improving EStrategy Across Reach, Richness, and Range - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Richness Framework to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Richness Framework is facing challenges because of the dominance of functional experts in the organization. 3R Framework: Improving EStrategy Across Reach, Richness, and Range 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.
Leveraging digital technologies
– Richness Framework 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.
Buying journey improvements
– Richness Framework can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. 3R Framework: Improving EStrategy Across Reach, Richness, and Range 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.
Building a culture of innovation
– managers at Richness Framework 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.
Threats 3R Framework: Improving EStrategy Across Reach, Richness, and Range External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study 3R Framework: Improving EStrategy Across Reach, Richness, and Range are -
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 Richness Framework business can come under increasing regulations regarding data privacy, data security, etc.
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. Richness Framework can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Regulatory challenges
– Richness Framework 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.
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 Richness Framework in the Technology & Operations sector and impact the bottomline of the organization.
Consumer confidence and its impact on Richness Framework 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.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study 3R Framework: Improving EStrategy Across Reach, Richness, and Range, Richness Framework 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 .
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. Richness Framework 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.
Stagnating economy with rate increase
– Richness Framework 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.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Richness Framework 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 3R Framework: Improving EStrategy Across Reach, Richness, and Range .
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Richness Framework in the Technology & Operations industry. The Technology & Operations 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.
Technology acceleration in Forth Industrial Revolution
– Richness Framework has witnessed rapid integration of technology during Covid-19 in the Technology & Operations industry. As one of the leading players in the industry, Richness Framework needs to keep up with the evolution of technology in the Technology & Operations 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.
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 Richness Framework.
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.
Weighted SWOT Analysis of 3R Framework: Improving EStrategy Across Reach, Richness, and Range 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 3R Framework: Improving EStrategy Across Reach, Richness, and Range 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 3R Framework: Improving EStrategy Across Reach, Richness, and Range 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 3R Framework: Improving EStrategy Across Reach, Richness, and Range 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 3R Framework: Improving EStrategy Across Reach, Richness, and Range 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 Richness Framework needs to make to build a sustainable competitive advantage.