Jaguar Comes to Halewood: The Story of a Turnaround SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Technology & Operations
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of Jaguar Comes to Halewood: The Story of a Turnaround
The case describes the turnaround process of one of the worst car assembly plants in the world to a showcase plant ready to produce the new Baby Jaguar. It focuses on managerial, people and organizational issues. A companion case describes the product, process and supply chain changes in more detail.
Swot Analysis of "Jaguar Comes to Halewood: The Story of a Turnaround" written by Ramina Samii, Luk Van Wassenhove includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Jaguar Halewood facing as an external strategic factors. Some of the topics covered in Jaguar Comes to Halewood: The Story of a Turnaround case study are - Strategic Management Strategies, Crisis management and Technology & Operations.
Some of the macro environment factors that can be used to understand the Jaguar Comes to Halewood: The Story of a Turnaround casestudy better are - – talent flight as more people leaving formal jobs, supply chains are disrupted by pandemic , cloud computing is disrupting traditional business models, banking and financial system is disrupted by Bitcoin and other crypto currencies, geopolitical disruptions, increasing household debt because of falling income levels, digital marketing is dominated by two big players Facebook and Google,
increasing government debt because of Covid-19 spendings, competitive advantages are harder to sustain because of technology dispersion, etc
Introduction to SWOT Analysis of Jaguar Comes to Halewood: The Story of a Turnaround
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Jaguar Comes to Halewood: The Story of a Turnaround case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Jaguar Halewood, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Jaguar Halewood 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 Jaguar Comes to Halewood: The Story of a Turnaround can be done for the following purposes –
1. Strategic planning using facts provided in Jaguar Comes to Halewood: The Story of a Turnaround case study
2. Improving business portfolio management of Jaguar Halewood
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 Jaguar Halewood
Strengths Jaguar Comes to Halewood: The Story of a Turnaround | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Jaguar Halewood in Jaguar Comes to Halewood: The Story of a Turnaround Harvard Business Review case study are -
Highly skilled collaborators
– Jaguar Halewood 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 Jaguar Comes to Halewood: The Story of a Turnaround HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
Superior customer experience
– The customer experience strategy of Jaguar Halewood in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Sustainable margins compare to other players in Technology & Operations industry
– Jaguar Comes to Halewood: The Story of a Turnaround firm has clearly differentiated products in the market place. This has enabled Jaguar Halewood to fetch slight price premium compare to the competitors in the Technology & Operations industry. The sustainable margins have also helped Jaguar Halewood to invest into research and development (R&D) and innovation.
Operational resilience
– The operational resilience strategy in the Jaguar Comes to Halewood: The Story of a Turnaround 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.
Learning organization
- Jaguar Halewood 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 Jaguar Halewood is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Jaguar Comes to Halewood: The Story of a Turnaround Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Low bargaining power of suppliers
– Suppliers of Jaguar Halewood in the sector have low bargaining power. Jaguar Comes to Halewood: The Story of a Turnaround has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Jaguar Halewood to manage not only supply disruptions but also source products at highly competitive prices.
Effective Research and Development (R&D)
– Jaguar Halewood 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 Jaguar Comes to Halewood: The Story of a Turnaround - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
High switching costs
– The high switching costs that Jaguar Halewood 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.
Diverse revenue streams
– Jaguar Halewood is present in almost all the verticals within the industry. This has provided firm in Jaguar Comes to Halewood: The Story of a Turnaround 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.
Ability to recruit top talent
– Jaguar Halewood is one of the leading recruiters in the industry. Managers in the Jaguar Comes to Halewood: The Story of a Turnaround are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
Strong track record of project management
– Jaguar Halewood 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
– Jaguar Halewood 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 Ramina Samii, Luk Van Wassenhove 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.
Weaknesses Jaguar Comes to Halewood: The Story of a Turnaround | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Jaguar Comes to Halewood: The Story of a Turnaround are -
Slow to strategic competitive environment developments
– As Jaguar Comes to Halewood: The Story of a Turnaround HBR case study mentions - Jaguar Halewood 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.
High bargaining power of channel partners
– Because of the regulatory requirements, Ramina Samii, Luk Van Wassenhove suggests that, Jaguar Halewood 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.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Jaguar Halewood is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study Jaguar Comes to Halewood: The Story of a Turnaround can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
Low market penetration in new markets
– Outside its home market of Jaguar Halewood, firm in the HBR case study Jaguar Comes to Halewood: The Story of a Turnaround needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study Jaguar Comes to Halewood: The Story of a Turnaround, in the dynamic environment Jaguar Halewood has struggled to respond to the nimble upstart competition. Jaguar Halewood has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
Aligning sales with marketing
– It come across in the case study Jaguar Comes to Halewood: The Story of a Turnaround 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 Jaguar Comes to Halewood: The Story of a Turnaround can leverage the sales team experience to cultivate customer relationships as Jaguar Halewood is planning to shift buying processes online.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study Jaguar Comes to Halewood: The Story of a Turnaround, is just above the industry average. Jaguar Halewood 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.
Slow decision making process
– As mentioned earlier in the report, Jaguar Halewood 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. Jaguar Halewood 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.
Skills based hiring
– The stress on hiring functional specialists at Jaguar Halewood 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.
Lack of clear differentiation of Jaguar Halewood products
– To increase the profitability and margins on the products, Jaguar Halewood needs to provide more differentiated products than what it is currently offering in the marketplace.
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 Jaguar Halewood supply chain. Even after few cautionary changes mentioned in the HBR case study - Jaguar Comes to Halewood: The Story of a Turnaround, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Jaguar Halewood vulnerable to further global disruptions in South East Asia.
Opportunities Jaguar Comes to Halewood: The Story of a Turnaround | 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 Jaguar Comes to Halewood: The Story of a Turnaround are -
Using analytics as competitive advantage
– Jaguar Halewood 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 Jaguar Comes to Halewood: The Story of a Turnaround - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Jaguar Halewood to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Buying journey improvements
– Jaguar Halewood can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Jaguar Comes to Halewood: The Story of a Turnaround 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. Jaguar Halewood can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Building a culture of innovation
– managers at Jaguar Halewood 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.
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. Jaguar Halewood 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. Jaguar Halewood 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.
Creating value in data economy
– The success of analytics program of Jaguar Halewood has opened avenues for new revenue streams for the organization in the industry. This can help Jaguar Halewood to build a more holistic ecosystem as suggested in the Jaguar Comes to Halewood: The Story of a Turnaround case study. Jaguar Halewood can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Manufacturing automation
– Jaguar Halewood 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.
Loyalty marketing
– Jaguar Halewood 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.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Jaguar Halewood 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 Jaguar Halewood to hire the very best people irrespective of their geographical location.
Better consumer reach
– The expansion of the 5G network will help Jaguar Halewood to increase its market reach. Jaguar Halewood 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.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Jaguar Halewood can use these opportunities to build new business models that can help the communities that Jaguar Halewood operates in. Secondly it can use opportunities from government spending in Technology & Operations sector.
Leveraging digital technologies
– Jaguar Halewood 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.
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 Jaguar Halewood in the consumer business. Now Jaguar Halewood can target international markets with far fewer capital restrictions requirements than the existing system.
Threats Jaguar Comes to Halewood: The Story of a Turnaround External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Jaguar Comes to Halewood: The Story of a Turnaround are -
High dependence on third party suppliers
– Jaguar Halewood 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.
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. Jaguar Halewood can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
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. Jaguar Halewood 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
– Jaguar Halewood 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.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Jaguar Halewood 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 Jaguar Comes to Halewood: The Story of a Turnaround .
Shortening product life cycle
– it is one of the major threat that Jaguar Halewood is facing in Technology & Operations sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
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 Jaguar Halewood.
Consumer confidence and its impact on Jaguar Halewood 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.
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 Jaguar Halewood
– 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 Jaguar Halewood.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study Jaguar Comes to Halewood: The Story of a Turnaround, Jaguar Halewood 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 .
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.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Jaguar Halewood with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
Weighted SWOT Analysis of Jaguar Comes to Halewood: The Story of a Turnaround 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 Jaguar Comes to Halewood: The Story of a Turnaround 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 Jaguar Comes to Halewood: The Story of a Turnaround 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 Jaguar Comes to Halewood: The Story of a Turnaround 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 Jaguar Comes to Halewood: The Story of a Turnaround 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 Jaguar Halewood needs to make to build a sustainable competitive advantage.