We Can Hear You Now (A): A Customer Survey Design for a Six Sigma Project at Crutchfield Corp. SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
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Case Study SWOT Analysis Solution
Case Study Description of We Can Hear You Now (A): A Customer Survey Design for a Six Sigma Project at Crutchfield Corp.
Appropriate for marketing and operations management courses. The director of CS at a customer-focused catalog electronics company has asked a Six Sigma Black Belt for assistance in evaluating several ideas to effectively obtain and analyze feedback from users of its CS department. A Design For Six Sigma project was run six years previously and discovering why the company used the Six Sigma project, as opposed to one of the many new customer-satisfaction-survey tools available from third-party vendors is a goal. Students are asked to discuss the Design For Six Sigma methodology as it applies to the project.
Authors :: Robert D. Landel, Laure Taylor, Alan Zimmerman
Swot Analysis of "We Can Hear You Now (A): A Customer Survey Design for a Six Sigma Project at Crutchfield Corp." written by Robert D. Landel, Laure Taylor, Alan Zimmerman includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Sigma Cs facing as an external strategic factors. Some of the topics covered in We Can Hear You Now (A): A Customer Survey Design for a Six Sigma Project at Crutchfield Corp. case study are - Strategic Management Strategies, Operations management, Sales and Technology & Operations.
Some of the macro environment factors that can be used to understand the We Can Hear You Now (A): A Customer Survey Design for a Six Sigma Project at Crutchfield Corp. casestudy better are - – there is increasing trade war between United States & China, geopolitical disruptions, increasing government debt because of Covid-19 spendings, competitive advantages are harder to sustain because of technology dispersion, central banks are concerned over increasing inflation, technology disruption, digital marketing is dominated by two big players Facebook and Google,
challanges to central banks by blockchain based private currencies, banking and financial system is disrupted by Bitcoin and other crypto currencies, etc
Introduction to SWOT Analysis of We Can Hear You Now (A): A Customer Survey Design for a Six Sigma Project at Crutchfield Corp.
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in We Can Hear You Now (A): A Customer Survey Design for a Six Sigma Project at Crutchfield Corp. case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Sigma Cs, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Sigma Cs 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 We Can Hear You Now (A): A Customer Survey Design for a Six Sigma Project at Crutchfield Corp. can be done for the following purposes –
1. Strategic planning using facts provided in We Can Hear You Now (A): A Customer Survey Design for a Six Sigma Project at Crutchfield Corp. case study
2. Improving business portfolio management of Sigma Cs
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 Sigma Cs
Strengths We Can Hear You Now (A): A Customer Survey Design for a Six Sigma Project at Crutchfield Corp. | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Sigma Cs in We Can Hear You Now (A): A Customer Survey Design for a Six Sigma Project at Crutchfield Corp. Harvard Business Review case study are -
Digital Transformation in Technology & Operations segment
- digital transformation varies from industry to industry. For Sigma Cs digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Sigma Cs 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.
Analytics focus
– Sigma Cs 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 Robert D. Landel, Laure Taylor, Alan Zimmerman 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.
Operational resilience
– The operational resilience strategy in the We Can Hear You Now (A): A Customer Survey Design for a Six Sigma Project at Crutchfield Corp. 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.
Effective Research and Development (R&D)
– Sigma Cs 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 We Can Hear You Now (A): A Customer Survey Design for a Six Sigma Project at Crutchfield Corp. - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Diverse revenue streams
– Sigma Cs is present in almost all the verticals within the industry. This has provided firm in We Can Hear You Now (A): A Customer Survey Design for a Six Sigma Project at Crutchfield Corp. 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 switching costs
– The high switching costs that Sigma Cs 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.
Training and development
– Sigma Cs has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in We Can Hear You Now (A): A Customer Survey Design for a Six Sigma Project at Crutchfield Corp. 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.
Cross disciplinary teams
– Horizontal connected teams at the Sigma Cs 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 Sigma Cs in the sector have low bargaining power. We Can Hear You Now (A): A Customer Survey Design for a Six Sigma Project at Crutchfield Corp. has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Sigma Cs to manage not only supply disruptions but also source products at highly competitive prices.
Learning organization
- Sigma Cs 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 Sigma Cs is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in We Can Hear You Now (A): A Customer Survey Design for a Six Sigma Project at Crutchfield Corp. Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Organizational Resilience of Sigma Cs
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Sigma Cs does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Sustainable margins compare to other players in Technology & Operations industry
– We Can Hear You Now (A): A Customer Survey Design for a Six Sigma Project at Crutchfield Corp. firm has clearly differentiated products in the market place. This has enabled Sigma Cs to fetch slight price premium compare to the competitors in the Technology & Operations industry. The sustainable margins have also helped Sigma Cs to invest into research and development (R&D) and innovation.
Weaknesses We Can Hear You Now (A): A Customer Survey Design for a Six Sigma Project at Crutchfield Corp. | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of We Can Hear You Now (A): A Customer Survey Design for a Six Sigma Project at Crutchfield Corp. are -
High dependence on star products
– The top 2 products and services of the firm as mentioned in the We Can Hear You Now (A): A Customer Survey Design for a Six Sigma Project at Crutchfield Corp. 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 Sigma Cs has relatively successful track record of launching new products.
Employees’ incomplete understanding of strategy
– From the instances in the HBR case study We Can Hear You Now (A): A Customer Survey Design for a Six Sigma Project at Crutchfield Corp., it seems that the employees of Sigma Cs 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.
Skills based hiring
– The stress on hiring functional specialists at Sigma Cs 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.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study We Can Hear You Now (A): A Customer Survey Design for a Six Sigma Project at Crutchfield Corp., in the dynamic environment Sigma Cs has struggled to respond to the nimble upstart competition. Sigma Cs has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
Interest costs
– Compare to the competition, Sigma Cs 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 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 Sigma Cs supply chain. Even after few cautionary changes mentioned in the HBR case study - We Can Hear You Now (A): A Customer Survey Design for a Six Sigma Project at Crutchfield Corp., it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Sigma Cs vulnerable to further global disruptions in South East Asia.
High cash cycle compare to competitors
Sigma Cs 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.
No frontier risks strategy
– After analyzing the HBR case study We Can Hear You Now (A): A Customer Survey Design for a Six Sigma Project at Crutchfield Corp., 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.
Slow decision making process
– As mentioned earlier in the report, Sigma Cs 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. Sigma Cs 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.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study We Can Hear You Now (A): A Customer Survey Design for a Six Sigma Project at Crutchfield Corp., is just above the industry average. Sigma Cs 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.
Need for greater diversity
– Sigma Cs 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.
Opportunities We Can Hear You Now (A): A Customer Survey Design for a Six Sigma Project at Crutchfield Corp. | 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 We Can Hear You Now (A): A Customer Survey Design for a Six Sigma Project at Crutchfield Corp. are -
Buying journey improvements
– Sigma Cs can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. We Can Hear You Now (A): A Customer Survey Design for a Six Sigma Project at Crutchfield Corp. 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.
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 Sigma Cs in the consumer business. Now Sigma Cs can target international markets with far fewer capital restrictions requirements than the existing system.
Low interest rates
– Even though inflation is raising its head in most developed economies, Sigma Cs 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. Sigma Cs 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. Sigma Cs can further use this consumer data to build better customer loyalty, provide better products and service collection, and improve the value proposition in inflationary times.
Manufacturing automation
– Sigma Cs 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 Sigma Cs can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Learning at scale
– Online learning technologies has now opened space for Sigma Cs 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.
Using analytics as competitive advantage
– Sigma Cs 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 We Can Hear You Now (A): A Customer Survey Design for a Six Sigma Project at Crutchfield Corp. - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Sigma Cs to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Identify volunteer opportunities
– Covid-19 has impacted working population in two ways – it has led to people soul searching about their professional choices, resulting in mass resignation. Secondly it has encouraged people to do things that they are passionate about. This has opened opportunities for businesses to build volunteer oriented socially driven projects. Sigma Cs can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Sigma Cs can use these opportunities to build new business models that can help the communities that Sigma Cs operates in. Secondly it can use opportunities from government spending in Technology & Operations sector.
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 Sigma Cs 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.
Loyalty marketing
– Sigma Cs 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.
Building a culture of innovation
– managers at Sigma Cs 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 We Can Hear You Now (A): A Customer Survey Design for a Six Sigma Project at Crutchfield Corp. External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study We Can Hear You Now (A): A Customer Survey Design for a Six Sigma Project at Crutchfield Corp. are -
Shortening product life cycle
– it is one of the major threat that Sigma Cs is facing in Technology & Operations sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
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. Sigma Cs needs to understand the core reasons impacting the Technology & Operations industry. This will help it in building a better workplace.
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 Sigma Cs business can come under increasing regulations regarding data privacy, data security, etc.
Stagnating economy with rate increase
– Sigma Cs 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.
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. Sigma Cs 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.
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.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Sigma Cs 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.
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 Sigma Cs.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study We Can Hear You Now (A): A Customer Survey Design for a Six Sigma Project at Crutchfield Corp., Sigma Cs 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 .
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Sigma Cs with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
Technology acceleration in Forth Industrial Revolution
– Sigma Cs has witnessed rapid integration of technology during Covid-19 in the Technology & Operations industry. As one of the leading players in the industry, Sigma Cs 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.
Environmental challenges
– Sigma Cs 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. Sigma Cs can take advantage of this fund but it will also bring new competitors in the Technology & Operations industry.
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. Sigma Cs can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Weighted SWOT Analysis of We Can Hear You Now (A): A Customer Survey Design for a Six Sigma Project at Crutchfield Corp. 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 We Can Hear You Now (A): A Customer Survey Design for a Six Sigma Project at Crutchfield Corp. 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 We Can Hear You Now (A): A Customer Survey Design for a Six Sigma Project at Crutchfield Corp. 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 We Can Hear You Now (A): A Customer Survey Design for a Six Sigma Project at Crutchfield Corp. 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 We Can Hear You Now (A): A Customer Survey Design for a Six Sigma Project at Crutchfield Corp. 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 Sigma Cs needs to make to build a sustainable competitive advantage.
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