COM DEV Xi'an: ISO 9000 Registration SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Technology & Operations
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of COM DEV Xi'an: ISO 9000 Registration
Ken Zelazny, general manager of COM DEV's Chinese facility, which assembled satellite components, was trying to decide whether the plant should seek ISO 9000 certification. Not only did ISO 9000 registration have a number of advantages and disadvantages, but also the decision in the Chinese plant would have some implications for COM DEV's other facilities in Canada and Europe. In addition, if Zelazny decided to seek ISO 9000 certification for his plant, he would have to decide which level of certification to seek. The case is intended to expose students to the ISO 9000 series of quality standards.
Swot Analysis of "COM DEV Xi'an: ISO 9000 Registration" written by John S. Haywood-Farmer, Tom Gleave includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that 9000 Iso facing as an external strategic factors. Some of the topics covered in COM DEV Xi'an: ISO 9000 Registration case study are - Strategic Management Strategies, Joint ventures, Product development and Technology & Operations.
Some of the macro environment factors that can be used to understand the COM DEV Xi'an: ISO 9000 Registration casestudy better are - – wage bills are increasing, increasing commodity prices, talent flight as more people leaving formal jobs, cloud computing is disrupting traditional business models, geopolitical disruptions, competitive advantages are harder to sustain because of technology dispersion, increasing household debt because of falling income levels,
there is backlash against globalization, increasing transportation and logistics costs, etc
Introduction to SWOT Analysis of COM DEV Xi'an: ISO 9000 Registration
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in COM DEV Xi'an: ISO 9000 Registration case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the 9000 Iso, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which 9000 Iso 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 COM DEV Xi'an: ISO 9000 Registration can be done for the following purposes –
1. Strategic planning using facts provided in COM DEV Xi'an: ISO 9000 Registration case study
2. Improving business portfolio management of 9000 Iso
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 9000 Iso
Strengths COM DEV Xi'an: ISO 9000 Registration | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of 9000 Iso in COM DEV Xi'an: ISO 9000 Registration Harvard Business Review case study are -
Successful track record of launching new products
– 9000 Iso has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. 9000 Iso 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.
Sustainable margins compare to other players in Technology & Operations industry
– COM DEV Xi'an: ISO 9000 Registration firm has clearly differentiated products in the market place. This has enabled 9000 Iso to fetch slight price premium compare to the competitors in the Technology & Operations industry. The sustainable margins have also helped 9000 Iso to invest into research and development (R&D) and innovation.
Ability to lead change in Technology & Operations field
– 9000 Iso 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 9000 Iso in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Training and development
– 9000 Iso has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in COM DEV Xi'an: ISO 9000 Registration 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.
Innovation driven organization
– 9000 Iso is one of the most innovative firm in sector. Manager in COM DEV Xi'an: ISO 9000 Registration 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 9000 Iso 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 9000 Iso in the sector have low bargaining power. COM DEV Xi'an: ISO 9000 Registration has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps 9000 Iso to manage not only supply disruptions but also source products at highly competitive prices.
Ability to recruit top talent
– 9000 Iso is one of the leading recruiters in the industry. Managers in the COM DEV Xi'an: ISO 9000 Registration are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
Operational resilience
– The operational resilience strategy in the COM DEV Xi'an: ISO 9000 Registration 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.
Organizational Resilience of 9000 Iso
– The covid-19 pandemic has put organizational resilience at the centre of everthing that 9000 Iso does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Digital Transformation in Technology & Operations segment
- digital transformation varies from industry to industry. For 9000 Iso digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. 9000 Iso 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.
High switching costs
– The high switching costs that 9000 Iso 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.
Weaknesses COM DEV Xi'an: ISO 9000 Registration | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of COM DEV Xi'an: ISO 9000 Registration are -
Aligning sales with marketing
– It come across in the case study COM DEV Xi'an: ISO 9000 Registration 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 COM DEV Xi'an: ISO 9000 Registration can leverage the sales team experience to cultivate customer relationships as 9000 Iso is planning to shift buying processes online.
Skills based hiring
– The stress on hiring functional specialists at 9000 Iso 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.
Increasing silos among functional specialists
– The organizational structure of 9000 Iso is dominated by functional specialists. It is not different from other players in the Technology & Operations segment. 9000 Iso needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help 9000 Iso to focus more on services rather than just following the product oriented approach.
Slow to strategic competitive environment developments
– As COM DEV Xi'an: ISO 9000 Registration HBR case study mentions - 9000 Iso 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 operating costs
– Compare to the competitors, firm in the HBR case study COM DEV Xi'an: ISO 9000 Registration 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 9000 Iso 's lucrative customers.
Employees’ incomplete understanding of strategy
– From the instances in the HBR case study COM DEV Xi'an: ISO 9000 Registration, it seems that the employees of 9000 Iso 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.
High bargaining power of channel partners
– Because of the regulatory requirements, John S. Haywood-Farmer, Tom Gleave suggests that, 9000 Iso 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.
Lack of clear differentiation of 9000 Iso products
– To increase the profitability and margins on the products, 9000 Iso needs to provide more differentiated products than what it is currently offering in the marketplace.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study COM DEV Xi'an: ISO 9000 Registration, in the dynamic environment 9000 Iso has struggled to respond to the nimble upstart competition. 9000 Iso has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
Slow decision making process
– As mentioned earlier in the report, 9000 Iso 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. 9000 Iso 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 COM DEV Xi'an: ISO 9000 Registration, is just above the industry average. 9000 Iso 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.
Opportunities COM DEV Xi'an: ISO 9000 Registration | 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 COM DEV Xi'an: ISO 9000 Registration are -
Creating value in data economy
– The success of analytics program of 9000 Iso has opened avenues for new revenue streams for the organization in the industry. This can help 9000 Iso to build a more holistic ecosystem as suggested in the COM DEV Xi'an: ISO 9000 Registration case study. 9000 Iso can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Buying journey improvements
– 9000 Iso can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. COM DEV Xi'an: ISO 9000 Registration 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.
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 9000 Iso 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.
Manufacturing automation
– 9000 Iso 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
– 9000 Iso 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, 9000 Iso can use these opportunities to build new business models that can help the communities that 9000 Iso operates in. Secondly it can use opportunities from government spending in Technology & Operations sector.
Using analytics as competitive advantage
– 9000 Iso 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 COM DEV Xi'an: ISO 9000 Registration - to build a competitive advantage using analytics. The analytics driven competitive advantage can help 9000 Iso to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
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 9000 Iso in the consumer business. Now 9000 Iso can target international markets with far fewer capital restrictions requirements than the existing system.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, 9000 Iso can build a diversified supply chain model across various countries in - South East Asia, India, and other parts of the world. This reconfiguration of global supply chain can help, as suggested in case study, COM DEV Xi'an: ISO 9000 Registration, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Developing new processes and practices
– 9000 Iso 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.
Low interest rates
– Even though inflation is raising its head in most developed economies, 9000 Iso 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.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for 9000 Iso 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 9000 Iso to hire the very best people irrespective of their geographical location.
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. 9000 Iso can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Threats COM DEV Xi'an: ISO 9000 Registration External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study COM DEV Xi'an: ISO 9000 Registration are -
Regulatory challenges
– 9000 Iso 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.
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 9000 Iso.
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 9000 Iso business can come under increasing regulations regarding data privacy, data security, etc.
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. 9000 Iso can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
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 9000 Iso
– 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 9000 Iso.
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.
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. 9000 Iso needs to understand the core reasons impacting the Technology & Operations industry. This will help it in building a better workplace.
Technology acceleration in Forth Industrial Revolution
– 9000 Iso has witnessed rapid integration of technology during Covid-19 in the Technology & Operations industry. As one of the leading players in the industry, 9000 Iso 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.
Stagnating economy with rate increase
– 9000 Iso 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.
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 9000 Iso in the Technology & Operations sector and impact the bottomline of the organization.
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. 9000 Iso 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.
Environmental challenges
– 9000 Iso 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. 9000 Iso can take advantage of this fund but it will also bring new competitors in the Technology & Operations industry.
Weighted SWOT Analysis of COM DEV Xi'an: ISO 9000 Registration 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 COM DEV Xi'an: ISO 9000 Registration 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 COM DEV Xi'an: ISO 9000 Registration 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 COM DEV Xi'an: ISO 9000 Registration 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 COM DEV Xi'an: ISO 9000 Registration 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 9000 Iso needs to make to build a sustainable competitive advantage.
