Wipro BPO: Positioning Base))) Suite as a Platform SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Strategy & Execution
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Case Study SWOT Analysis Solution
Case Study Description of Wipro BPO: Positioning Base))) Suite as a Platform
The case on Wipro BPO's Base)))TM highlights the critical decisions faced by service businesses as they develop products and platforms. This case elucidates the evolution of the Indian business process outsourcing (BPO) industry, Wipro's competitive position in the industry, and the architecture of the Base))) Suite of products. As Base))) began contributing to Wipro BPO's competitive advantage, the company had to make a few key decisions regarding product integration, verticalization, and network management in the context of Base))) Suite of products.
Authors :: Srinivasan R, Samriddhi Bhattacharya, Sumanta Pal
Swot Analysis of "Wipro BPO: Positioning Base))) Suite as a Platform" written by Srinivasan R, Samriddhi Bhattacharya, Sumanta Pal includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Wipro Bpo's facing as an external strategic factors. Some of the topics covered in Wipro BPO: Positioning Base))) Suite as a Platform case study are - Strategic Management Strategies, Innovation, IT, Operations management, Strategy and Strategy & Execution.
Some of the macro environment factors that can be used to understand the Wipro BPO: Positioning Base))) Suite as a Platform casestudy better are - – there is increasing trade war between United States & China, customer relationship management is fast transforming because of increasing concerns over data privacy, increasing commodity prices, there is backlash against globalization, geopolitical disruptions, increasing household debt because of falling income levels, increasing inequality as vast percentage of new income is going to the top 1%,
competitive advantages are harder to sustain because of technology dispersion, central banks are concerned over increasing inflation, etc
Introduction to SWOT Analysis of Wipro BPO: Positioning Base))) Suite as a Platform
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Wipro BPO: Positioning Base))) Suite as a Platform case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Wipro Bpo's, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Wipro Bpo's 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 Wipro BPO: Positioning Base))) Suite as a Platform can be done for the following purposes –
1. Strategic planning using facts provided in Wipro BPO: Positioning Base))) Suite as a Platform case study
2. Improving business portfolio management of Wipro Bpo's
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 Wipro Bpo's
Strengths Wipro BPO: Positioning Base))) Suite as a Platform | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Wipro Bpo's in Wipro BPO: Positioning Base))) Suite as a Platform Harvard Business Review case study are -
Low bargaining power of suppliers
– Suppliers of Wipro Bpo's in the sector have low bargaining power. Wipro BPO: Positioning Base))) Suite as a Platform has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Wipro Bpo's to manage not only supply disruptions but also source products at highly competitive prices.
Highly skilled collaborators
– Wipro Bpo's 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 Wipro BPO: Positioning Base))) Suite as a Platform HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
Effective Research and Development (R&D)
– Wipro Bpo's 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 Wipro BPO: Positioning Base))) Suite as a Platform - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
High switching costs
– The high switching costs that Wipro Bpo's 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 Wipro Bpo's
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Wipro Bpo's does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Analytics focus
– Wipro Bpo's 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 Srinivasan R, Samriddhi Bhattacharya, Sumanta Pal 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.
Superior customer experience
– The customer experience strategy of Wipro Bpo's in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Training and development
– Wipro Bpo's has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in Wipro BPO: Positioning Base))) Suite as a Platform 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.
Sustainable margins compare to other players in Strategy & Execution industry
– Wipro BPO: Positioning Base))) Suite as a Platform firm has clearly differentiated products in the market place. This has enabled Wipro Bpo's to fetch slight price premium compare to the competitors in the Strategy & Execution industry. The sustainable margins have also helped Wipro Bpo's to invest into research and development (R&D) and innovation.
Ability to lead change in Strategy & Execution field
– Wipro Bpo's 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 Wipro Bpo's in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Ability to recruit top talent
– Wipro Bpo's is one of the leading recruiters in the industry. Managers in the Wipro BPO: Positioning Base))) Suite as a Platform 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 Wipro BPO: Positioning Base))) Suite as a Platform 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.
Weaknesses Wipro BPO: Positioning Base))) Suite as a Platform | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Wipro BPO: Positioning Base))) Suite as a Platform are -
Increasing silos among functional specialists
– The organizational structure of Wipro Bpo's is dominated by functional specialists. It is not different from other players in the Strategy & Execution segment. Wipro Bpo's needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Wipro Bpo's to focus more on services rather than just following the product oriented approach.
No frontier risks strategy
– After analyzing the HBR case study Wipro BPO: Positioning Base))) Suite as a Platform, it seems that company is thinking about the frontier risks that can impact Strategy & Execution 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.
Capital Spending Reduction
– Even during the low interest decade, Wipro Bpo's 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 decision making process
– As mentioned earlier in the report, Wipro Bpo's 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. Wipro Bpo's 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.
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 Wipro Bpo's supply chain. Even after few cautionary changes mentioned in the HBR case study - Wipro BPO: Positioning Base))) Suite as a Platform, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Wipro Bpo's vulnerable to further global disruptions in South East Asia.
Aligning sales with marketing
– It come across in the case study Wipro BPO: Positioning Base))) Suite as a Platform 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 Wipro BPO: Positioning Base))) Suite as a Platform can leverage the sales team experience to cultivate customer relationships as Wipro Bpo's is planning to shift buying processes online.
Need for greater diversity
– Wipro Bpo's 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.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study Wipro BPO: Positioning Base))) Suite as a Platform, in the dynamic environment Wipro Bpo's has struggled to respond to the nimble upstart competition. Wipro Bpo's has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
High dependence on star products
– The top 2 products and services of the firm as mentioned in the Wipro BPO: Positioning Base))) Suite as a Platform 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 Wipro Bpo's has relatively successful track record of launching new products.
Low market penetration in new markets
– Outside its home market of Wipro Bpo's, firm in the HBR case study Wipro BPO: Positioning Base))) Suite as a Platform needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
High bargaining power of channel partners
– Because of the regulatory requirements, Srinivasan R, Samriddhi Bhattacharya, Sumanta Pal suggests that, Wipro Bpo's 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.
Opportunities Wipro BPO: Positioning Base))) Suite as a Platform | 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 Wipro BPO: Positioning Base))) Suite as a Platform are -
Building a culture of innovation
– managers at Wipro Bpo's 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 Strategy & Execution segment.
Buying journey improvements
– Wipro Bpo's can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Wipro BPO: Positioning Base))) Suite as a Platform 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.
Using analytics as competitive advantage
– Wipro Bpo's 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 Wipro BPO: Positioning Base))) Suite as a Platform - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Wipro Bpo's 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 Wipro Bpo's in the consumer business. Now Wipro Bpo's can target international markets with far fewer capital restrictions requirements than the existing system.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Wipro Bpo's can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Wipro Bpo's is facing challenges because of the dominance of functional experts in the organization. Wipro BPO: Positioning Base))) Suite as a Platform 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.
Changes in consumer behavior post Covid-19
– Consumer behavior has changed in the Strategy & Execution industry because of Covid-19 restrictions. Some of this behavior will stay once things get back to normal. Wipro Bpo's 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. Wipro Bpo's 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.
Low interest rates
– Even though inflation is raising its head in most developed economies, Wipro Bpo's 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 Wipro Bpo's 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 Wipro Bpo's to hire the very best people irrespective of their geographical location.
Creating value in data economy
– The success of analytics program of Wipro Bpo's has opened avenues for new revenue streams for the organization in the industry. This can help Wipro Bpo's to build a more holistic ecosystem as suggested in the Wipro BPO: Positioning Base))) Suite as a Platform case study. Wipro Bpo's 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. Wipro Bpo's can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Developing new processes and practices
– Wipro Bpo's 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.
Manufacturing automation
– Wipro Bpo's 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.
Threats Wipro BPO: Positioning Base))) Suite as a Platform External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Wipro BPO: Positioning Base))) Suite as a Platform are -
Stagnating economy with rate increase
– Wipro Bpo's 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.
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. Wipro Bpo's 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.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Wipro Bpo's with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
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. Wipro Bpo's needs to understand the core reasons impacting the Strategy & Execution industry. This will help it in building a better workplace.
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.
Shortening product life cycle
– it is one of the major threat that Wipro Bpo's is facing in Strategy & Execution sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Environmental challenges
– Wipro Bpo's 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. Wipro Bpo's can take advantage of this fund but it will also bring new competitors in the Strategy & Execution industry.
Consumer confidence and its impact on Wipro Bpo's 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.
High dependence on third party suppliers
– Wipro Bpo's 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.
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.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Wipro Bpo's 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.
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 Wipro Bpo's in the Strategy & Execution sector and impact the bottomline of the organization.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study Wipro BPO: Positioning Base))) Suite as a Platform, Wipro Bpo's 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 Wipro BPO: Positioning Base))) Suite as a Platform 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 Wipro BPO: Positioning Base))) Suite as a Platform 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 Wipro BPO: Positioning Base))) Suite as a Platform 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 Wipro BPO: Positioning Base))) Suite as a Platform 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 Wipro BPO: Positioning Base))) Suite as a Platform 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 Wipro Bpo's needs to make to build a sustainable competitive advantage.