Swot Analysis of "Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video" written by Raffaella Sadun includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Rosenfeld Mondelez facing as an external strategic factors. Some of the topics covered in Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video case study are - Strategic Management Strategies, Change management, Customers, Economy, Growth strategy, Leadership, Managing people, Strategic planning and Strategy & Execution.
Some of the macro environment factors that can be used to understand the Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video casestudy better are - – wage bills are increasing, banking and financial system is disrupted by Bitcoin and other crypto currencies, increasing inequality as vast percentage of new income is going to the top 1%, competitive advantages are harder to sustain because of technology dispersion, there is backlash against globalization, digital marketing is dominated by two big players Facebook and Google, increasing transportation and logistics costs,
increasing household debt because of falling income levels, technology disruption, etc
Introduction to SWOT Analysis of Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Rosenfeld Mondelez, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Rosenfeld Mondelez 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 Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video can be done for the following purposes –
1. Strategic planning using facts provided in Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video case study
2. Improving business portfolio management of Rosenfeld Mondelez
3. Assessing feasibility of the new initiative in Strategy & Execution field.
4. Making a Strategy & Execution topic specific business decision
5. Set goals for the organization
6. Organizational restructuring of Rosenfeld Mondelez
Strengths Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Rosenfeld Mondelez in Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video Harvard Business Review case study are -
Highly skilled collaborators
– Rosenfeld Mondelez 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 Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
Operational resilience
– The operational resilience strategy in the Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video Harvard Business Review case study comprises – understanding the underlying the factors in the industry, building diversified operations across different geographies so that disruption in one part of the world doesn’t impact the overall performance of the firm, and integrating the various business operations and processes through its digital transformation drive.
Effective Research and Development (R&D)
– Rosenfeld Mondelez 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 Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Analytics focus
– Rosenfeld Mondelez is putting a lot of focus on utilizing the power of analytics in business decision making. This has put it among the leading players in the industry. The technology infrastructure suggested by Raffaella Sadun can also help it to harness the power of analytics for – marketing optimization, demand forecasting, customer relationship management, inventory management, information sharing across the value chain etc.
Organizational Resilience of Rosenfeld Mondelez
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Rosenfeld Mondelez does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
High switching costs
– The high switching costs that Rosenfeld Mondelez has built up over years in its products and services combo offer has resulted in high retention of customers, lower marketing costs, and greater ability of the firm to focus on its customers.
Training and development
– Rosenfeld Mondelez has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video 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.
Low bargaining power of suppliers
– Suppliers of Rosenfeld Mondelez in the sector have low bargaining power. Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Rosenfeld Mondelez to manage not only supply disruptions but also source products at highly competitive prices.
Innovation driven organization
– Rosenfeld Mondelez is one of the most innovative firm in sector. Manager in Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Sustainable margins compare to other players in Strategy & Execution industry
– Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video firm has clearly differentiated products in the market place. This has enabled Rosenfeld Mondelez to fetch slight price premium compare to the competitors in the Strategy & Execution industry. The sustainable margins have also helped Rosenfeld Mondelez to invest into research and development (R&D) and innovation.
Superior customer experience
– The customer experience strategy of Rosenfeld Mondelez in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Digital Transformation in Strategy & Execution segment
- digital transformation varies from industry to industry. For Rosenfeld Mondelez digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Rosenfeld Mondelez 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 Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video are -
Lack of clear differentiation of Rosenfeld Mondelez products
– To increase the profitability and margins on the products, Rosenfeld Mondelez needs to provide more differentiated products than what it is currently offering in the marketplace.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video, is just above the industry average. Rosenfeld Mondelez 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.
Aligning sales with marketing
– It come across in the case study Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video 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 Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video can leverage the sales team experience to cultivate customer relationships as Rosenfeld Mondelez is planning to shift buying processes online.
Capital Spending Reduction
– Even during the low interest decade, Rosenfeld Mondelez 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.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Rosenfeld Mondelez is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video 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 Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video 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 Rosenfeld Mondelez 's lucrative customers.
High cash cycle compare to competitors
Rosenfeld Mondelez has a high cash cycle compare to other players in the industry. It needs to shorten the cash cycle by 12% to be more competitive in the marketplace, reduce inventory costs, and be more profitable.
High dependence on star products
– The top 2 products and services of the firm as mentioned in the Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video 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 Rosenfeld Mondelez has relatively successful track record of launching new products.
Slow to strategic competitive environment developments
– As Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video HBR case study mentions - Rosenfeld Mondelez 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.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video, in the dynamic environment Rosenfeld Mondelez has struggled to respond to the nimble upstart competition. Rosenfeld Mondelez has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
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 Rosenfeld Mondelez supply chain. Even after few cautionary changes mentioned in the HBR case study - Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Rosenfeld Mondelez vulnerable to further global disruptions in South East Asia.
Opportunities Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video | 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 Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video are -
Loyalty marketing
– Rosenfeld Mondelez 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.
Manufacturing automation
– Rosenfeld Mondelez can use the latest technology developments to improve its manufacturing and designing process in Strategy & Execution 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.
Using analytics as competitive advantage
– Rosenfeld Mondelez 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 Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Rosenfeld Mondelez to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Rosenfeld Mondelez can use these opportunities to build new business models that can help the communities that Rosenfeld Mondelez operates in. Secondly it can use opportunities from government spending in Strategy & Execution sector.
Finding new ways to collaborate
– Covid-19 has not only transformed business models of companies in Strategy & Execution industry, but it has also influenced the consumer preferences. Rosenfeld Mondelez can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Rosenfeld Mondelez 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, Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Lowering marketing communication costs
– 5G expansion will open new opportunities for Rosenfeld Mondelez in the field of marketing communication. It will bring down the cost of doing business, provide technology platform to build new products in the Strategy & Execution segment, and it will provide faster access to the consumers.
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 Rosenfeld Mondelez 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 Rosenfeld Mondelez in the consumer business. Now Rosenfeld Mondelez 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 Rosenfeld Mondelez 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 Rosenfeld Mondelez to hire the very best people irrespective of their geographical location.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Rosenfeld Mondelez can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Buying journey improvements
– Rosenfeld Mondelez can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video 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.
Developing new processes and practices
– Rosenfeld Mondelez can develop new processes and procedures in Strategy & Execution 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.
Threats Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video are -
Easy access to finance
– Easy access to finance in Strategy & Execution field will also reduce the barriers to entry in the industry, thus putting downward pressure on the prices because of increasing competition. Rosenfeld Mondelez can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
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. Rosenfeld Mondelez 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.
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. Rosenfeld Mondelez needs to understand the core reasons impacting the Strategy & Execution industry. This will help it in building a better workplace.
Technology acceleration in Forth Industrial Revolution
– Rosenfeld Mondelez has witnessed rapid integration of technology during Covid-19 in the Strategy & Execution industry. As one of the leading players in the industry, Rosenfeld Mondelez needs to keep up with the evolution of technology in the Strategy & Execution 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.
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 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.
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 Rosenfeld Mondelez.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Rosenfeld Mondelez in the Strategy & Execution industry. The Strategy & Execution 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.
Shortening product life cycle
– it is one of the major threat that Rosenfeld Mondelez is facing in Strategy & Execution sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Consumer confidence and its impact on Rosenfeld Mondelez 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.
Regulatory challenges
– Rosenfeld Mondelez 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 Strategy & Execution industry regulations.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Rosenfeld Mondelez 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 Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video .
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video, Rosenfeld Mondelez may face longer learning curve for training and development of existing employees. This can open space for more nimble competitors in the field of Strategy & Execution .
Weighted SWOT Analysis of Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video 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 Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video 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 Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video 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 Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video 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 Irene Rosenfeld at Mondelez International: Crafting a Corporate Strategy, Video 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 Rosenfeld Mondelez needs to make to build a sustainable competitive advantage.