An Inside Perspective on Carbon Disclosure SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Leadership & Managing People
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of An Inside Perspective on Carbon Disclosure
Part of the underlying vision of CDP (formerly the Carbon Disclosure Project) is to enhance firms' climate change strategies by encouraging them to measure their emissions and corresponding risks and opportunities. Drawing on interviews with 38 firms in seven countries that participated in CDP, we found that the benefits firms experience from the measurement and disclosure process are more diverse in nature than expected. They can be both operational and strategic, and internal as well as external. From our analysis of the firms' experiences, we draw several implications for managers. First, managers should beware of various biases that may inhibit investments in profitable emission reduction opportunities. Second, participating in a disclosure-oriented process can be beneficial, even for a firm that ultimately decides not to disclose. Third, when disclosing greenhouse gas-related information, managers need to address multiple groups of stakeholders, not just investors. Fourth, when searching for emission reduction opportunities and in organizing the disclosure process, managers should not neglect opportunities that exist elsewhere in the supply chain.
Authors :: Christian Blanco, Felipe Caro, Charles J. Corbett
Swot Analysis of "An Inside Perspective on Carbon Disclosure" written by Christian Blanco, Felipe Caro, Charles J. Corbett includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Disclosure Cdp facing as an external strategic factors. Some of the topics covered in An Inside Perspective on Carbon Disclosure case study are - Strategic Management Strategies, Strategic planning, Sustainability and Leadership & Managing People.
Some of the macro environment factors that can be used to understand the An Inside Perspective on Carbon Disclosure casestudy better are - – wage bills are increasing, geopolitical disruptions, supply chains are disrupted by pandemic , customer relationship management is fast transforming because of increasing concerns over data privacy, competitive advantages are harder to sustain because of technology dispersion, there is increasing trade war between United States & China, technology disruption,
increasing inequality as vast percentage of new income is going to the top 1%, there is backlash against globalization, etc
Introduction to SWOT Analysis of An Inside Perspective on Carbon Disclosure
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in An Inside Perspective on Carbon Disclosure case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Disclosure Cdp, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Disclosure Cdp 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 An Inside Perspective on Carbon Disclosure can be done for the following purposes –
1. Strategic planning using facts provided in An Inside Perspective on Carbon Disclosure case study
2. Improving business portfolio management of Disclosure Cdp
3. Assessing feasibility of the new initiative in Leadership & Managing People field.
4. Making a Leadership & Managing People topic specific business decision
5. Set goals for the organization
6. Organizational restructuring of Disclosure Cdp
Strengths An Inside Perspective on Carbon Disclosure | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Disclosure Cdp in An Inside Perspective on Carbon Disclosure Harvard Business Review case study are -
Training and development
– Disclosure Cdp has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in An Inside Perspective on Carbon Disclosure 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.
Digital Transformation in Leadership & Managing People segment
- digital transformation varies from industry to industry. For Disclosure Cdp digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Disclosure Cdp 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.
Ability to recruit top talent
– Disclosure Cdp is one of the leading recruiters in the industry. Managers in the An Inside Perspective on Carbon Disclosure 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 An Inside Perspective on Carbon Disclosure 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
– Disclosure Cdp is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Low bargaining power of suppliers
– Suppliers of Disclosure Cdp in the sector have low bargaining power. An Inside Perspective on Carbon Disclosure has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Disclosure Cdp to manage not only supply disruptions but also source products at highly competitive prices.
High switching costs
– The high switching costs that Disclosure Cdp 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.
Organizational Resilience of Disclosure Cdp
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Disclosure Cdp does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Ability to lead change in Leadership & Managing People field
– Disclosure Cdp 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 Disclosure Cdp in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
High brand equity
– Disclosure Cdp has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Disclosure Cdp to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Innovation driven organization
– Disclosure Cdp is one of the most innovative firm in sector. Manager in An Inside Perspective on Carbon Disclosure Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Successful track record of launching new products
– Disclosure Cdp has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Disclosure Cdp 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.
Weaknesses An Inside Perspective on Carbon Disclosure | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of An Inside Perspective on Carbon Disclosure are -
Skills based hiring
– The stress on hiring functional specialists at Disclosure Cdp 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.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Disclosure Cdp is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study An Inside Perspective on Carbon Disclosure can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
High operating costs
– Compare to the competitors, firm in the HBR case study An Inside Perspective on Carbon Disclosure 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 Disclosure Cdp 's lucrative customers.
High bargaining power of channel partners
– Because of the regulatory requirements, Christian Blanco, Felipe Caro, Charles J. Corbett suggests that, Disclosure Cdp 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 strategic competitive environment developments
– As An Inside Perspective on Carbon Disclosure HBR case study mentions - Disclosure Cdp 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.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study An Inside Perspective on Carbon Disclosure, is just above the industry average. Disclosure Cdp 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.
High dependence on star products
– The top 2 products and services of the firm as mentioned in the An Inside Perspective on Carbon Disclosure 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 Disclosure Cdp has relatively successful track record of launching new products.
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 Disclosure Cdp supply chain. Even after few cautionary changes mentioned in the HBR case study - An Inside Perspective on Carbon Disclosure, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Disclosure Cdp vulnerable to further global disruptions in South East Asia.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study An Inside Perspective on Carbon Disclosure, in the dynamic environment Disclosure Cdp has struggled to respond to the nimble upstart competition. Disclosure Cdp 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 An Inside Perspective on Carbon Disclosure 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 An Inside Perspective on Carbon Disclosure can leverage the sales team experience to cultivate customer relationships as Disclosure Cdp is planning to shift buying processes online.
Need for greater diversity
– Disclosure Cdp 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 An Inside Perspective on Carbon Disclosure | 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 An Inside Perspective on Carbon Disclosure are -
Loyalty marketing
– Disclosure Cdp 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.
Using analytics as competitive advantage
– Disclosure Cdp 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 An Inside Perspective on Carbon Disclosure - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Disclosure Cdp to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
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 Disclosure Cdp 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.
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 Disclosure Cdp in the consumer business. Now Disclosure Cdp can target international markets with far fewer capital restrictions requirements than the existing system.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Disclosure Cdp is facing challenges because of the dominance of functional experts in the organization. An Inside Perspective on Carbon Disclosure case study suggests that firm can utilize new technology to build more coordinated teams and streamline operations and communications using tools such as CAD, Zoom, etc.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Disclosure Cdp can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Building a culture of innovation
– managers at Disclosure Cdp 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 Leadership & Managing People segment.
Developing new processes and practices
– Disclosure Cdp can develop new processes and procedures in Leadership & Managing People 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.
Better consumer reach
– The expansion of the 5G network will help Disclosure Cdp to increase its market reach. Disclosure Cdp 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.
Manufacturing automation
– Disclosure Cdp can use the latest technology developments to improve its manufacturing and designing process in Leadership & Managing People 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.
Buying journey improvements
– Disclosure Cdp can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. An Inside Perspective on Carbon Disclosure 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.
Creating value in data economy
– The success of analytics program of Disclosure Cdp has opened avenues for new revenue streams for the organization in the industry. This can help Disclosure Cdp to build a more holistic ecosystem as suggested in the An Inside Perspective on Carbon Disclosure case study. Disclosure Cdp can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
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. Disclosure Cdp can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Threats An Inside Perspective on Carbon Disclosure External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study An Inside Perspective on Carbon Disclosure are -
Regulatory challenges
– Disclosure Cdp 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 Leadership & Managing People industry regulations.
Increasing wage structure of Disclosure Cdp
– 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 Disclosure Cdp.
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. Disclosure Cdp needs to understand the core reasons impacting the Leadership & Managing People industry. This will help it in building a better workplace.
High dependence on third party suppliers
– Disclosure Cdp 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.
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 Disclosure Cdp with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
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 Disclosure Cdp business can come under increasing regulations regarding data privacy, data security, etc.
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 Disclosure Cdp in the Leadership & Managing People sector and impact the bottomline of the organization.
Consumer confidence and its impact on Disclosure Cdp 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.
Stagnating economy with rate increase
– Disclosure Cdp 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.
Technology acceleration in Forth Industrial Revolution
– Disclosure Cdp has witnessed rapid integration of technology during Covid-19 in the Leadership & Managing People industry. As one of the leading players in the industry, Disclosure Cdp needs to keep up with the evolution of technology in the Leadership & Managing People 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.
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 Disclosure Cdp.
Weighted SWOT Analysis of An Inside Perspective on Carbon Disclosure 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 An Inside Perspective on Carbon Disclosure 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 An Inside Perspective on Carbon Disclosure 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 An Inside Perspective on Carbon Disclosure 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 An Inside Perspective on Carbon Disclosure 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 Disclosure Cdp needs to make to build a sustainable competitive advantage.