Cradle-to-Cradle Design at Herman Miller: Moving Toward Environmental Sustainability, Portuguese Version SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
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Case Study SWOT Analysis Solution
Case Study Description of Cradle-to-Cradle Design at Herman Miller: Moving Toward Environmental Sustainability, Portuguese Version
Herman Miller, an office furniture supplier, decided to implement the cradle-to-cradle (C2C) design protocol during the design of its mid-level office chair, Mirra. The C2C protocol was a set of environmentally friendly product development guidelines created by architect William McDonough and chemist Michael Braungart. The essence of this protocol was to eliminate waste and potentially harmful materials by designing the product so that, at the end of its useful life, the raw materials could be fed back into either a technical or biological cycle and used for the same or other purposes. Therefore, materials remained in a closed-loop, eliminating the need for landfill and other toxic forms of disposal such as incineration. The case describes the C2C protocol, the details of how Herman Miller implemented C2C during the design of the Mirra chair, as well as the impact of the new protocol on their internal processes: design decisions, manufacturing, and supply chain management. The proximate decision point in the case is whether the company should replace the polyvinyl chloride (PVC) material in the arm pads of the Mirra chair. PVC was a highly toxic material to manufacture and dispose of and thus violated the C2C protocol. However, it was the standard material for arm pads and many other parts in the office furniture industry as it was durable, scratch resistant, and inexpensive. To switch to thermoplastic urethane (TPU), a more environmentally friendly material, for the Mirra Chair arm pad required at least modification of a production tool, or possibly a completely new tool. In addition, the cost of TPU was higher than PVC. There was also uncertainty about how consistent the quality of the arm pad would be with TPU.
Swot Analysis of "Cradle-to-Cradle Design at Herman Miller: Moving Toward Environmental Sustainability, Portuguese Version" written by Deishin Lee, Lionel Bony includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that C2c Protocol facing as an external strategic factors. Some of the topics covered in Cradle-to-Cradle Design at Herman Miller: Moving Toward Environmental Sustainability, Portuguese Version case study are - Strategic Management Strategies, Strategy, Supply chain, Sustainability and Technology & Operations.
Some of the macro environment factors that can be used to understand the Cradle-to-Cradle Design at Herman Miller: Moving Toward Environmental Sustainability, Portuguese Version casestudy better are - – increasing household debt because of falling income levels, there is backlash against globalization, cloud computing is disrupting traditional business models, digital marketing is dominated by two big players Facebook and Google, increasing energy prices, wage bills are increasing, competitive advantages are harder to sustain because of technology dispersion,
supply chains are disrupted by pandemic , increasing government debt because of Covid-19 spendings, etc
Introduction to SWOT Analysis of Cradle-to-Cradle Design at Herman Miller: Moving Toward Environmental Sustainability, Portuguese Version
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Cradle-to-Cradle Design at Herman Miller: Moving Toward Environmental Sustainability, Portuguese Version case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the C2c Protocol, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which C2c Protocol 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 Cradle-to-Cradle Design at Herman Miller: Moving Toward Environmental Sustainability, Portuguese Version can be done for the following purposes –
1. Strategic planning using facts provided in Cradle-to-Cradle Design at Herman Miller: Moving Toward Environmental Sustainability, Portuguese Version case study
2. Improving business portfolio management of C2c Protocol
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 C2c Protocol
Strengths Cradle-to-Cradle Design at Herman Miller: Moving Toward Environmental Sustainability, Portuguese Version | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of C2c Protocol in Cradle-to-Cradle Design at Herman Miller: Moving Toward Environmental Sustainability, Portuguese Version Harvard Business Review case study are -
Ability to lead change in Technology & Operations field
– C2c Protocol is one of the leading players in its industry. Over the years it has not only transformed the business landscape in its segment but also across the whole industry. The ability to lead change has enabled C2c Protocol in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Ability to recruit top talent
– C2c Protocol is one of the leading recruiters in the industry. Managers in the Cradle-to-Cradle Design at Herman Miller: Moving Toward Environmental Sustainability, Portuguese Version are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
High switching costs
– The high switching costs that C2c Protocol 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
– C2c Protocol is present in almost all the verticals within the industry. This has provided firm in Cradle-to-Cradle Design at Herman Miller: Moving Toward Environmental Sustainability, Portuguese Version 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.
Training and development
– C2c Protocol has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in Cradle-to-Cradle Design at Herman Miller: Moving Toward Environmental Sustainability, Portuguese Version 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.
Successful track record of launching new products
– C2c Protocol has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. C2c Protocol 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.
Operational resilience
– The operational resilience strategy in the Cradle-to-Cradle Design at Herman Miller: Moving Toward Environmental Sustainability, Portuguese Version 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.
Strong track record of project management
– C2c Protocol is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Learning organization
- C2c Protocol 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 C2c Protocol is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Cradle-to-Cradle Design at Herman Miller: Moving Toward Environmental Sustainability, Portuguese Version Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Cross disciplinary teams
– Horizontal connected teams at the C2c Protocol 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.
Sustainable margins compare to other players in Technology & Operations industry
– Cradle-to-Cradle Design at Herman Miller: Moving Toward Environmental Sustainability, Portuguese Version firm has clearly differentiated products in the market place. This has enabled C2c Protocol to fetch slight price premium compare to the competitors in the Technology & Operations industry. The sustainable margins have also helped C2c Protocol to invest into research and development (R&D) and innovation.
Digital Transformation in Technology & Operations segment
- digital transformation varies from industry to industry. For C2c Protocol digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. C2c Protocol 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.
Weaknesses Cradle-to-Cradle Design at Herman Miller: Moving Toward Environmental Sustainability, Portuguese Version | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Cradle-to-Cradle Design at Herman Miller: Moving Toward Environmental Sustainability, Portuguese Version are -
Products dominated business model
– Even though C2c Protocol 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 - Cradle-to-Cradle Design at Herman Miller: Moving Toward Environmental Sustainability, Portuguese Version should strive to include more intangible value offerings along with its core products and services.
Lack of clear differentiation of C2c Protocol products
– To increase the profitability and margins on the products, C2c Protocol needs to provide more differentiated products than what it is currently offering in the marketplace.
Increasing silos among functional specialists
– The organizational structure of C2c Protocol is dominated by functional specialists. It is not different from other players in the Technology & Operations segment. C2c Protocol needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help C2c Protocol to focus more on services rather than just following the product oriented approach.
No frontier risks strategy
– After analyzing the HBR case study Cradle-to-Cradle Design at Herman Miller: Moving Toward Environmental Sustainability, Portuguese Version, 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.
Interest costs
– Compare to the competition, C2c Protocol 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 C2c Protocol supply chain. Even after few cautionary changes mentioned in the HBR case study - Cradle-to-Cradle Design at Herman Miller: Moving Toward Environmental Sustainability, Portuguese Version, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left C2c Protocol vulnerable to further global disruptions in South East Asia.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, C2c Protocol is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study Cradle-to-Cradle Design at Herman Miller: Moving Toward Environmental Sustainability, Portuguese Version can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
Need for greater diversity
– C2c Protocol 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.
Capital Spending Reduction
– Even during the low interest decade, C2c Protocol has not been able to do capital spending to the tune of the competition. This has resulted into fewer innovations and company facing stiff competition from both existing competitors and new entrants who are disrupting the industry using digital technology.
High dependence on star products
– The top 2 products and services of the firm as mentioned in the Cradle-to-Cradle Design at Herman Miller: Moving Toward Environmental Sustainability, Portuguese Version 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 C2c Protocol has relatively successful track record of launching new products.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study Cradle-to-Cradle Design at Herman Miller: Moving Toward Environmental Sustainability, Portuguese Version, in the dynamic environment C2c Protocol has struggled to respond to the nimble upstart competition. C2c Protocol has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
Opportunities Cradle-to-Cradle Design at Herman Miller: Moving Toward Environmental Sustainability, Portuguese Version | 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 Cradle-to-Cradle Design at Herman Miller: Moving Toward Environmental Sustainability, Portuguese Version are -
Using analytics as competitive advantage
– C2c Protocol 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 Cradle-to-Cradle Design at Herman Miller: Moving Toward Environmental Sustainability, Portuguese Version - to build a competitive advantage using analytics. The analytics driven competitive advantage can help C2c Protocol to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Building a culture of innovation
– managers at C2c Protocol 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 C2c Protocol to increase its market reach. C2c Protocol 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.
Lowering marketing communication costs
– 5G expansion will open new opportunities for C2c Protocol 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.
Developing new processes and practices
– C2c Protocol 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.
Leveraging digital technologies
– C2c Protocol 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.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects C2c Protocol can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Loyalty marketing
– C2c Protocol 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.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, C2c Protocol can use these opportunities to build new business models that can help the communities that C2c Protocol operates in. Secondly it can use opportunities from government spending in Technology & Operations sector.
Creating value in data economy
– The success of analytics program of C2c Protocol has opened avenues for new revenue streams for the organization in the industry. This can help C2c Protocol to build a more holistic ecosystem as suggested in the Cradle-to-Cradle Design at Herman Miller: Moving Toward Environmental Sustainability, Portuguese Version case study. C2c Protocol can build new products and services such as - data insight services, data privacy related products, data based consulting services, 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 C2c Protocol in the consumer business. Now C2c Protocol can target international markets with far fewer capital restrictions requirements than the existing system.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for C2c Protocol 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 C2c Protocol to hire the very best people irrespective of their geographical location.
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 C2c Protocol 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.
Threats Cradle-to-Cradle Design at Herman Miller: Moving Toward Environmental Sustainability, Portuguese Version External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Cradle-to-Cradle Design at Herman Miller: Moving Toward Environmental Sustainability, Portuguese Version are -
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, C2c Protocol 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 Cradle-to-Cradle Design at Herman Miller: Moving Toward Environmental Sustainability, Portuguese Version .
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 C2c Protocol.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents C2c Protocol 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
– C2c Protocol has witnessed rapid integration of technology during Covid-19 in the Technology & Operations industry. As one of the leading players in the industry, C2c Protocol 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.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study Cradle-to-Cradle Design at Herman Miller: Moving Toward Environmental Sustainability, Portuguese Version, C2c Protocol 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 .
High dependence on third party suppliers
– C2c Protocol 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.
Regulatory challenges
– C2c Protocol 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.
Environmental challenges
– C2c Protocol 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. C2c Protocol can take advantage of this fund but it will also bring new competitors in the Technology & Operations industry.
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.
Consumer confidence and its impact on C2c Protocol 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.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for C2c Protocol 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.
Increasing wage structure of C2c Protocol
– 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 C2c Protocol.
Technology disruption because of hacks, piracy etc
– The colonial pipeline illustrated, how vulnerable modern organization are to international hackers, miscreants, and disruptors. The cyber security interruption, data leaks, etc can seriously jeopardize the future growth of the organization.
Weighted SWOT Analysis of Cradle-to-Cradle Design at Herman Miller: Moving Toward Environmental Sustainability, Portuguese Version 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 Cradle-to-Cradle Design at Herman Miller: Moving Toward Environmental Sustainability, Portuguese Version 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 Cradle-to-Cradle Design at Herman Miller: Moving Toward Environmental Sustainability, Portuguese Version 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 Cradle-to-Cradle Design at Herman Miller: Moving Toward Environmental Sustainability, Portuguese Version 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 Cradle-to-Cradle Design at Herman Miller: Moving Toward Environmental Sustainability, Portuguese Version 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 C2c Protocol needs to make to build a sustainable competitive advantage.
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