Calgary Drop-In Centre: Donor Information System SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Technology & Operations
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of Calgary Drop-In Centre: Donor Information System
In the spring of 2016, the director of finance and administration for the Calgary Drop-In & Rehab Centre was frustrated with the organization's legacy donor and volunteer information system. The technology platform was outdated, data integrity was out of control, costs were spiralling, and most importantly, required information was not available on demand. The director was concerned that these issues with the organization's information systems would interfere with its ability to maintain positive relationships with existing donors and to secure new financial supporters-ultimately, that it could have an impact on the agency's efforts to achieve more good in the community. He was contemplating three options to solve this problem: build a new in-house system to replace the current Microsoft Access database system; purchase customer relationship management software specifically developed for non-profit fundraising and relationship management and install this on personal computers and servers in the offices; or adopt a cloud-based fundraising solution, where the organization's data would be stored on a secure, shared platform administered by the vendor.
Authors :: Derrick Neufeld, Deb Elkink, Michelle Woo, Dennis Dupuis
Swot Analysis of "Calgary Drop-In Centre: Donor Information System" written by Derrick Neufeld, Deb Elkink, Michelle Woo, Dennis Dupuis includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Donor Organization's facing as an external strategic factors. Some of the topics covered in Calgary Drop-In Centre: Donor Information System case study are - Strategic Management Strategies, Managing people, Social enterprise and Technology & Operations.
Some of the macro environment factors that can be used to understand the Calgary Drop-In Centre: Donor Information System casestudy better are - – increasing household debt because of falling income levels, banking and financial system is disrupted by Bitcoin and other crypto currencies, customer relationship management is fast transforming because of increasing concerns over data privacy, digital marketing is dominated by two big players Facebook and Google, increasing energy prices, increasing commodity prices, wage bills are increasing,
there is backlash against globalization, geopolitical disruptions, etc
Introduction to SWOT Analysis of Calgary Drop-In Centre: Donor Information System
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Calgary Drop-In Centre: Donor Information System case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Donor Organization's, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Donor Organization'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 Calgary Drop-In Centre: Donor Information System can be done for the following purposes –
1. Strategic planning using facts provided in Calgary Drop-In Centre: Donor Information System case study
2. Improving business portfolio management of Donor Organization's
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 Donor Organization's
Strengths Calgary Drop-In Centre: Donor Information System | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Donor Organization's in Calgary Drop-In Centre: Donor Information System Harvard Business Review case study are -
Effective Research and Development (R&D)
– Donor Organization's 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 Calgary Drop-In Centre: Donor Information System - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Cross disciplinary teams
– Horizontal connected teams at the Donor Organization'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.
Analytics focus
– Donor Organization'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 Derrick Neufeld, Deb Elkink, Michelle Woo, Dennis Dupuis 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.
Diverse revenue streams
– Donor Organization's is present in almost all the verticals within the industry. This has provided firm in Calgary Drop-In Centre: Donor Information System 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.
Highly skilled collaborators
– Donor Organization's 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 Calgary Drop-In Centre: Donor Information System HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
High switching costs
– The high switching costs that Donor Organization's has built up over years in its products and services combo offer has resulted in high retention of customers, lower marketing costs, and greater ability of the firm to focus on its customers.
Ability to recruit top talent
– Donor Organization's is one of the leading recruiters in the industry. Managers in the Calgary Drop-In Centre: Donor Information System 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
– Donor Organization's has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Donor Organization'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.
Superior customer experience
– The customer experience strategy of Donor Organization's in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Training and development
– Donor Organization's has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in Calgary Drop-In Centre: Donor Information System 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.
Digital Transformation in Technology & Operations segment
- digital transformation varies from industry to industry. For Donor Organization's digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Donor Organization's 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.
Sustainable margins compare to other players in Technology & Operations industry
– Calgary Drop-In Centre: Donor Information System firm has clearly differentiated products in the market place. This has enabled Donor Organization's to fetch slight price premium compare to the competitors in the Technology & Operations industry. The sustainable margins have also helped Donor Organization's to invest into research and development (R&D) and innovation.
Weaknesses Calgary Drop-In Centre: Donor Information System | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Calgary Drop-In Centre: Donor Information System are -
Aligning sales with marketing
– It come across in the case study Calgary Drop-In Centre: Donor Information System 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 Calgary Drop-In Centre: Donor Information System can leverage the sales team experience to cultivate customer relationships as Donor Organization's is planning to shift buying processes online.
Slow to strategic competitive environment developments
– As Calgary Drop-In Centre: Donor Information System HBR case study mentions - Donor Organization'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.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study Calgary Drop-In Centre: Donor Information System, in the dynamic environment Donor Organization's has struggled to respond to the nimble upstart competition. Donor Organization's has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
Workers concerns about automation
– As automation is fast increasing in the segment, Donor Organization'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.
Need for greater diversity
– Donor Organization's 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.
High cash cycle compare to competitors
Donor Organization'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.
Lack of clear differentiation of Donor Organization's products
– To increase the profitability and margins on the products, Donor Organization's needs to provide more differentiated products than what it is currently offering in the marketplace.
High operating costs
– Compare to the competitors, firm in the HBR case study Calgary Drop-In Centre: Donor Information System 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 Donor Organization's 's lucrative customers.
Slow decision making process
– As mentioned earlier in the report, Donor Organization's has a very deliberative decision making approach. This approach has resulted in prudent decisions, but it has also resulted in missing opportunities in the industry over the last five years. Donor Organization's even though has strong showing on digital transformation primary two stages, it has struggled to capitalize the power of digital transformation in marketing efforts and new venture efforts.
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 Donor Organization's supply chain. Even after few cautionary changes mentioned in the HBR case study - Calgary Drop-In Centre: Donor Information System, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Donor Organization's vulnerable to further global disruptions in South East Asia.
Interest costs
– Compare to the competition, Donor Organization'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.
Opportunities Calgary Drop-In Centre: Donor Information System | 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 Calgary Drop-In Centre: Donor Information System 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 Donor Organization'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.
Developing new processes and practices
– Donor Organization's 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.
Loyalty marketing
– Donor Organization's has focused on building a highly responsive customer relationship management platform. This platform is built on in-house data and driven by analytics and artificial intelligence. The customer analytics can help the organization to fine tune its loyalty marketing efforts, increase the wallet share of the organization, reduce wastage on mainstream advertising spending, build better pricing strategies using personalization, etc.
Creating value in data economy
– The success of analytics program of Donor Organization's has opened avenues for new revenue streams for the organization in the industry. This can help Donor Organization's to build a more holistic ecosystem as suggested in the Calgary Drop-In Centre: Donor Information System case study. Donor Organization's can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Learning at scale
– Online learning technologies has now opened space for Donor Organization'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.
Better consumer reach
– The expansion of the 5G network will help Donor Organization's to increase its market reach. Donor Organization'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 Donor Organization's in the consumer business. Now Donor Organization's can target international markets with far fewer capital restrictions requirements than the existing system.
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. Donor Organization'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. Donor Organization'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.
Building a culture of innovation
– managers at Donor Organization's 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.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Donor Organization's 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, Calgary Drop-In Centre: Donor Information System, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Buying journey improvements
– Donor Organization's can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Calgary Drop-In Centre: Donor Information System 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.
Lowering marketing communication costs
– 5G expansion will open new opportunities for Donor Organization'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 Technology & Operations segment, and it will provide faster access to the consumers.
Using analytics as competitive advantage
– Donor Organization's 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 Calgary Drop-In Centre: Donor Information System - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Donor Organization's to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Threats Calgary Drop-In Centre: Donor Information System External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Calgary Drop-In Centre: Donor Information System are -
Environmental challenges
– Donor Organization'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. Donor Organization's can take advantage of this fund but it will also bring new competitors in the Technology & Operations industry.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study Calgary Drop-In Centre: Donor Information System, Donor Organization's 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 .
Consumer confidence and its impact on Donor Organization'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.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Donor Organization's with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
Shortening product life cycle
– it is one of the major threat that Donor Organization's is facing in Technology & Operations sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Technology acceleration in Forth Industrial Revolution
– Donor Organization's has witnessed rapid integration of technology during Covid-19 in the Technology & Operations industry. As one of the leading players in the industry, Donor Organization's 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 Donor Organization's.
High dependence on third party suppliers
– Donor Organization's 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.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Donor Organization'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 Calgary Drop-In Centre: Donor Information System .
Stagnating economy with rate increase
– Donor Organization'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.
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. Donor Organization's can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
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 Donor Organization's in the Technology & Operations sector and impact the bottomline of the organization.
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. Donor Organization's needs to understand the core reasons impacting the Technology & Operations industry. This will help it in building a better workplace.
Weighted SWOT Analysis of Calgary Drop-In Centre: Donor Information System 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 Calgary Drop-In Centre: Donor Information System 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 Calgary Drop-In Centre: Donor Information System 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 Calgary Drop-In Centre: Donor Information System 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 Calgary Drop-In Centre: Donor Information System 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 Donor Organization's needs to make to build a sustainable competitive advantage.
