Canada Mortgage and Housing Corporation in Motion: Video Supplement SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Organizational Development
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of Canada Mortgage and Housing Corporation in Motion: Video Supplement
Evan Siddall, newly appointed CEO of Canada Mortgage Housing Corporation, a governmental organization focused on the residential housing market, is charged with leading change at the organization. The case follows this process of change step by step and looks at the challenges Siddall faces. After two years of leading change Siddall asked himself these questions: Should he continue to push forward with a change agenda? Or should the organization pause and catch its breath? The video provides background information to be used with the paper case.
Swot Analysis of "Canada Mortgage and Housing Corporation in Motion: Video Supplement" written by Boris Groysberg, Sarah L. Abbott includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Siddall Housing facing as an external strategic factors. Some of the topics covered in Canada Mortgage and Housing Corporation in Motion: Video Supplement case study are - Strategic Management Strategies, Government, Human resource management, Leadership, Organizational culture, Reorganization, Risk management and Organizational Development.
Some of the macro environment factors that can be used to understand the Canada Mortgage and Housing Corporation in Motion: Video Supplement casestudy better are - – talent flight as more people leaving formal jobs, there is backlash against globalization, increasing transportation and logistics costs, increasing household debt because of falling income levels, cloud computing is disrupting traditional business models, competitive advantages are harder to sustain because of technology dispersion, technology disruption,
banking and financial system is disrupted by Bitcoin and other crypto currencies, there is increasing trade war between United States & China, etc
Introduction to SWOT Analysis of Canada Mortgage and Housing Corporation in Motion: Video Supplement
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Canada Mortgage and Housing Corporation in Motion: Video Supplement case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Siddall Housing, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Siddall Housing 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 Canada Mortgage and Housing Corporation in Motion: Video Supplement can be done for the following purposes –
1. Strategic planning using facts provided in Canada Mortgage and Housing Corporation in Motion: Video Supplement case study
2. Improving business portfolio management of Siddall Housing
3. Assessing feasibility of the new initiative in Organizational Development field.
4. Making a Organizational Development topic specific business decision
5. Set goals for the organization
6. Organizational restructuring of Siddall Housing
Strengths Canada Mortgage and Housing Corporation in Motion: Video Supplement | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Siddall Housing in Canada Mortgage and Housing Corporation in Motion: Video Supplement Harvard Business Review case study are -
Sustainable margins compare to other players in Organizational Development industry
– Canada Mortgage and Housing Corporation in Motion: Video Supplement firm has clearly differentiated products in the market place. This has enabled Siddall Housing to fetch slight price premium compare to the competitors in the Organizational Development industry. The sustainable margins have also helped Siddall Housing to invest into research and development (R&D) and innovation.
Training and development
– Siddall Housing has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in Canada Mortgage and Housing Corporation in Motion: Video Supplement 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.
High switching costs
– The high switching costs that Siddall Housing 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.
Ability to recruit top talent
– Siddall Housing is one of the leading recruiters in the industry. Managers in the Canada Mortgage and Housing Corporation in Motion: Video Supplement are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
Ability to lead change in Organizational Development field
– Siddall Housing 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 Siddall Housing in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Innovation driven organization
– Siddall Housing is one of the most innovative firm in sector. Manager in Canada Mortgage and Housing Corporation in Motion: Video Supplement Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Highly skilled collaborators
– Siddall Housing has highly efficient outsourcing and offshoring strategy. It has resulted in greater operational flexibility and bringing down the costs in highly price sensitive segment. Secondly the value chain collaborators of the firm in Canada Mortgage and Housing Corporation in Motion: Video Supplement HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
Effective Research and Development (R&D)
– Siddall Housing 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 Canada Mortgage and Housing Corporation in Motion: Video Supplement - 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
– Siddall Housing is present in almost all the verticals within the industry. This has provided firm in Canada Mortgage and Housing Corporation in Motion: Video Supplement 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.
Cross disciplinary teams
– Horizontal connected teams at the Siddall Housing 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.
Learning organization
- Siddall Housing 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 Siddall Housing is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Canada Mortgage and Housing Corporation in Motion: Video Supplement Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Digital Transformation in Organizational Development segment
- digital transformation varies from industry to industry. For Siddall Housing digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Siddall Housing 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 Canada Mortgage and Housing Corporation in Motion: Video Supplement | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Canada Mortgage and Housing Corporation in Motion: Video Supplement are -
Skills based hiring
– The stress on hiring functional specialists at Siddall Housing 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.
High operating costs
– Compare to the competitors, firm in the HBR case study Canada Mortgage and Housing Corporation in Motion: Video Supplement 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 Siddall Housing 's lucrative customers.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study Canada Mortgage and Housing Corporation in Motion: Video Supplement, is just above the industry average. Siddall Housing needs to redesign the compensation structure and incentives to increase the revenue per employees. Some of the steps that it can take are – hiring more specialists on project basis, etc.
Slow decision making process
– As mentioned earlier in the report, Siddall Housing 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. Siddall Housing 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.
Aligning sales with marketing
– It come across in the case study Canada Mortgage and Housing Corporation in Motion: Video Supplement 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 Canada Mortgage and Housing Corporation in Motion: Video Supplement can leverage the sales team experience to cultivate customer relationships as Siddall Housing is planning to shift buying processes online.
Interest costs
– Compare to the competition, Siddall Housing 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 star products
– The top 2 products and services of the firm as mentioned in the Canada Mortgage and Housing Corporation in Motion: Video Supplement 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 Siddall Housing has relatively successful track record of launching new products.
No frontier risks strategy
– After analyzing the HBR case study Canada Mortgage and Housing Corporation in Motion: Video Supplement, it seems that company is thinking about the frontier risks that can impact Organizational Development 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.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study Canada Mortgage and Housing Corporation in Motion: Video Supplement, in the dynamic environment Siddall Housing has struggled to respond to the nimble upstart competition. Siddall Housing has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
Need for greater diversity
– Siddall Housing 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.
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 Siddall Housing supply chain. Even after few cautionary changes mentioned in the HBR case study - Canada Mortgage and Housing Corporation in Motion: Video Supplement, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Siddall Housing vulnerable to further global disruptions in South East Asia.
Opportunities Canada Mortgage and Housing Corporation in Motion: Video Supplement | 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 Canada Mortgage and Housing Corporation in Motion: Video Supplement are -
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Siddall Housing 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 Siddall Housing to hire the very best people irrespective of their geographical location.
Lowering marketing communication costs
– 5G expansion will open new opportunities for Siddall Housing in the field of marketing communication. It will bring down the cost of doing business, provide technology platform to build new products in the Organizational Development segment, and it will provide faster access to the consumers.
Low interest rates
– Even though inflation is raising its head in most developed economies, Siddall Housing 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.
Building a culture of innovation
– managers at Siddall Housing 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 Organizational Development segment.
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 Siddall Housing in the consumer business. Now Siddall Housing can target international markets with far fewer capital restrictions requirements than the existing system.
Creating value in data economy
– The success of analytics program of Siddall Housing has opened avenues for new revenue streams for the organization in the industry. This can help Siddall Housing to build a more holistic ecosystem as suggested in the Canada Mortgage and Housing Corporation in Motion: Video Supplement case study. Siddall Housing can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
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 Siddall Housing 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.
Finding new ways to collaborate
– Covid-19 has not only transformed business models of companies in Organizational Development industry, but it has also influenced the consumer preferences. Siddall Housing can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Buying journey improvements
– Siddall Housing can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Canada Mortgage and Housing Corporation in Motion: Video Supplement 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.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Siddall Housing can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Using analytics as competitive advantage
– Siddall Housing 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 Canada Mortgage and Housing Corporation in Motion: Video Supplement - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Siddall Housing to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Changes in consumer behavior post Covid-19
– Consumer behavior has changed in the Organizational Development industry because of Covid-19 restrictions. Some of this behavior will stay once things get back to normal. Siddall Housing 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. Siddall Housing 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.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Siddall Housing is facing challenges because of the dominance of functional experts in the organization. Canada Mortgage and Housing Corporation in Motion: Video Supplement 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.
Threats Canada Mortgage and Housing Corporation in Motion: Video Supplement External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Canada Mortgage and Housing Corporation in Motion: Video Supplement are -
High dependence on third party suppliers
– Siddall Housing 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.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Siddall Housing 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 Canada Mortgage and Housing Corporation in Motion: Video Supplement .
Easy access to finance
– Easy access to finance in Organizational Development field will also reduce the barriers to entry in the industry, thus putting downward pressure on the prices because of increasing competition. Siddall Housing can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Increasing wage structure of Siddall Housing
– 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 Siddall Housing.
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. Siddall Housing needs to understand the core reasons impacting the Organizational Development industry. This will help it in building a better workplace.
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. Siddall Housing 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.
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 Siddall Housing.
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 Siddall Housing business can come under increasing regulations regarding data privacy, data security, etc.
Consumer confidence and its impact on Siddall Housing 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.
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.
Stagnating economy with rate increase
– Siddall Housing 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.
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.
Technology acceleration in Forth Industrial Revolution
– Siddall Housing has witnessed rapid integration of technology during Covid-19 in the Organizational Development industry. As one of the leading players in the industry, Siddall Housing needs to keep up with the evolution of technology in the Organizational Development 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.
Weighted SWOT Analysis of Canada Mortgage and Housing Corporation in Motion: Video Supplement 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 Canada Mortgage and Housing Corporation in Motion: Video Supplement 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 Canada Mortgage and Housing Corporation in Motion: Video Supplement 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 Canada Mortgage and Housing Corporation in Motion: Video Supplement 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 Canada Mortgage and Housing Corporation in Motion: Video Supplement 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 Siddall Housing needs to make to build a sustainable competitive advantage.