The Secrets to Managing Business Analytics Projects SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Technology & Operations
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of The Secrets to Managing Business Analytics Projects
This is an MIT Sloan Management Review article. Managers have used business analytics to inform their decision making for years. And while few companies would qualify as being what management innovation and strategy expert Thomas H. Davenport has dubbed 'A?A?analytic competitors,'more and more businesses are moving in that direction. Which best practices do the most experienced project managers involved in business analytics projects employ, and how would they advise their less experienced peers? The authors found that the most important qualities could be sorted into five areas: having a delivery orientation and a bias towards execution; seeing value in use and value of learning; working to gain commitment; relying on intelligent experimentation; and promoting smart use of information technology. Although many of the business analytics project managers the authors interviewed report to the IT department, they identify with the business side of their organizations. Best-in-class CIOs realize that IT and business can't afford to continue to be at loggerheads with one another. IT should pursue opportunities to deliver faster implementation cycles, maintaining just enough process and architectural hygiene to ensure quality and professional support.
Swot Analysis of "The Secrets to Managing Business Analytics Projects" written by Stijn Viaene, Annabel Van den Bunder includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Analytics A facing as an external strategic factors. Some of the topics covered in The Secrets to Managing Business Analytics Projects case study are - Strategic Management Strategies, IT and Technology & Operations.
Some of the macro environment factors that can be used to understand the The Secrets to Managing Business Analytics Projects casestudy better are - – increasing inequality as vast percentage of new income is going to the top 1%, increasing household debt because of falling income levels, increasing government debt because of Covid-19 spendings, central banks are concerned over increasing inflation, talent flight as more people leaving formal jobs, customer relationship management is fast transforming because of increasing concerns over data privacy, competitive advantages are harder to sustain because of technology dispersion,
geopolitical disruptions, increasing commodity prices, etc
Introduction to SWOT Analysis of The Secrets to Managing Business Analytics Projects
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in The Secrets to Managing Business Analytics Projects case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Analytics A, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Analytics A 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 The Secrets to Managing Business Analytics Projects can be done for the following purposes –
1. Strategic planning using facts provided in The Secrets to Managing Business Analytics Projects case study
2. Improving business portfolio management of Analytics A
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 Analytics A
Strengths The Secrets to Managing Business Analytics Projects | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Analytics A in The Secrets to Managing Business Analytics Projects Harvard Business Review case study are -
Sustainable margins compare to other players in Technology & Operations industry
– The Secrets to Managing Business Analytics Projects firm has clearly differentiated products in the market place. This has enabled Analytics A to fetch slight price premium compare to the competitors in the Technology & Operations industry. The sustainable margins have also helped Analytics A to invest into research and development (R&D) and innovation.
Learning organization
- Analytics A 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 Analytics A is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in The Secrets to Managing Business Analytics Projects Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Highly skilled collaborators
– Analytics A 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 The Secrets to Managing Business Analytics Projects HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
Training and development
– Analytics A has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in The Secrets to Managing Business Analytics Projects 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.
Organizational Resilience of Analytics A
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Analytics A does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Innovation driven organization
– Analytics A is one of the most innovative firm in sector. Manager in The Secrets to Managing Business Analytics Projects Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Cross disciplinary teams
– Horizontal connected teams at the Analytics A are driving operational speed, building greater agility, and keeping the organization nimble to compete with new competitors. It helps are organization to ideate new ideas, and execute them swiftly in the marketplace.
Low bargaining power of suppliers
– Suppliers of Analytics A in the sector have low bargaining power. The Secrets to Managing Business Analytics Projects has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Analytics A to manage not only supply disruptions but also source products at highly competitive prices.
High switching costs
– The high switching costs that Analytics A 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.
Successful track record of launching new products
– Analytics A has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Analytics A 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.
High brand equity
– Analytics A has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Analytics A to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Strong track record of project management
– Analytics A is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Weaknesses The Secrets to Managing Business Analytics Projects | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of The Secrets to Managing Business Analytics Projects are -
High dependence on star products
– The top 2 products and services of the firm as mentioned in the The Secrets to Managing Business Analytics Projects 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 Analytics A has relatively successful track record of launching new products.
Interest costs
– Compare to the competition, Analytics A has borrowed money from the capital market at higher rates. It needs to restructure the interest payment and costs so that it can compete better and improve profitability.
High operating costs
– Compare to the competitors, firm in the HBR case study The Secrets to Managing Business Analytics Projects 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 Analytics A 's lucrative customers.
High cash cycle compare to competitors
Analytics A 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 Analytics A products
– To increase the profitability and margins on the products, Analytics A needs to provide more differentiated products than what it is currently offering in the marketplace.
Increasing silos among functional specialists
– The organizational structure of Analytics A is dominated by functional specialists. It is not different from other players in the Technology & Operations segment. Analytics A needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Analytics A to focus more on services rather than just following the product oriented approach.
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 Analytics A supply chain. Even after few cautionary changes mentioned in the HBR case study - The Secrets to Managing Business Analytics Projects, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Analytics A vulnerable to further global disruptions in South East Asia.
Slow decision making process
– As mentioned earlier in the report, Analytics A 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. Analytics A 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.
No frontier risks strategy
– After analyzing the HBR case study The Secrets to Managing Business Analytics Projects, 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.
Employees’ incomplete understanding of strategy
– From the instances in the HBR case study The Secrets to Managing Business Analytics Projects, it seems that the employees of Analytics A 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.
Products dominated business model
– Even though Analytics A 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 - The Secrets to Managing Business Analytics Projects should strive to include more intangible value offerings along with its core products and services.
Opportunities The Secrets to Managing Business Analytics Projects | 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 The Secrets to Managing Business Analytics Projects are -
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Analytics A can use these opportunities to build new business models that can help the communities that Analytics A operates in. Secondly it can use opportunities from government spending in Technology & Operations sector.
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 Analytics A in the consumer business. Now Analytics A can target international markets with far fewer capital restrictions requirements than the existing system.
Buying journey improvements
– Analytics A can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. The Secrets to Managing Business Analytics Projects 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.
Manufacturing automation
– Analytics A 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 Analytics A can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Lowering marketing communication costs
– 5G expansion will open new opportunities for Analytics A 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
– Analytics A 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 The Secrets to Managing Business Analytics Projects - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Analytics A to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
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. Analytics A can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Low interest rates
– Even though inflation is raising its head in most developed economies, Analytics A 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.
Building a culture of innovation
– managers at Analytics A 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.
Better consumer reach
– The expansion of the 5G network will help Analytics A to increase its market reach. Analytics A 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.
Leveraging digital technologies
– Analytics A 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.
Creating value in data economy
– The success of analytics program of Analytics A has opened avenues for new revenue streams for the organization in the industry. This can help Analytics A to build a more holistic ecosystem as suggested in the The Secrets to Managing Business Analytics Projects case study. Analytics A can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Threats The Secrets to Managing Business Analytics Projects External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study The Secrets to Managing Business Analytics Projects are -
Technology acceleration in Forth Industrial Revolution
– Analytics A has witnessed rapid integration of technology during Covid-19 in the Technology & Operations industry. As one of the leading players in the industry, Analytics A 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.
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 Analytics A business can come under increasing regulations regarding data privacy, data security, etc.
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. Analytics A 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.
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. Analytics A needs to understand the core reasons impacting the Technology & Operations industry. This will help it in building a better workplace.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Analytics A 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 The Secrets to Managing Business Analytics Projects .
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 Analytics A.
Stagnating economy with rate increase
– Analytics A 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.
Environmental challenges
– Analytics A 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. Analytics A can take advantage of this fund but it will also bring new competitors in the Technology & Operations industry.
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. Analytics A can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Analytics A with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
Increasing wage structure of Analytics A
– 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 Analytics A.
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 Analytics A in the Technology & Operations sector and impact the bottomline of the organization.
Weighted SWOT Analysis of The Secrets to Managing Business Analytics Projects 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 The Secrets to Managing Business Analytics Projects 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 The Secrets to Managing Business Analytics Projects 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 The Secrets to Managing Business Analytics Projects 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 The Secrets to Managing Business Analytics Projects 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 Analytics A needs to make to build a sustainable competitive advantage.
