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The New Leadership Imperative: Embracing Digital Transformation SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis

Case Study SWOT Analysis Solution

Case Study Description of The New Leadership Imperative: Embracing Digital Transformation


All of the things that allowed companies to build massively- valuable, industrial-scale businesses in the 20th century are now 'for rent': You can rent 'scale' from companies like Foxconn (as Apple does); communication infrastructure from Trillium; computing capacity from Amazon; and logistics capacity from FedEx or UPS. So, what matters today? Data, says the author, an executive at SAS. He provides three reasons why 'data is the new oil': it is scalable, reinforcable and defensible. He then describes three key challenges for today's leaders and provides five principles for moving forward on your organization's digital transformation.

Authors :: Maxwell Wessel

Topics :: Strategy & Execution

Tags :: Strategy, Technology, SWOT Analysis, SWOT Matrix, TOWS, Weighted SWOT Analysis

Swot Analysis of "The New Leadership Imperative: Embracing Digital Transformation" written by Maxwell Wessel includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Rent Reinforcable facing as an external strategic factors. Some of the topics covered in The New Leadership Imperative: Embracing Digital Transformation case study are - Strategic Management Strategies, Strategy, Technology and Strategy & Execution.


Some of the macro environment factors that can be used to understand the The New Leadership Imperative: Embracing Digital Transformation casestudy better are - – increasing transportation and logistics costs, increasing commodity prices, supply chains are disrupted by pandemic , increasing government debt because of Covid-19 spendings, increasing household debt because of falling income levels, central banks are concerned over increasing inflation, digital marketing is dominated by two big players Facebook and Google, increasing energy prices, increasing inequality as vast percentage of new income is going to the top 1%, etc



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Introduction to SWOT Analysis of The New Leadership Imperative: Embracing Digital Transformation


SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in The New Leadership Imperative: Embracing Digital Transformation case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Rent Reinforcable, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Rent Reinforcable 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 The New Leadership Imperative: Embracing Digital Transformation can be done for the following purposes –
1. Strategic planning using facts provided in The New Leadership Imperative: Embracing Digital Transformation case study
2. Improving business portfolio management of Rent Reinforcable
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 Rent Reinforcable




Strengths The New Leadership Imperative: Embracing Digital Transformation | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis

The strengths of Rent Reinforcable in The New Leadership Imperative: Embracing Digital Transformation Harvard Business Review case study are -

High brand equity

– Rent Reinforcable has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Rent Reinforcable to keep acquiring new customers and building profitable relationship with both the new and loyal customers.

Innovation driven organization

– Rent Reinforcable is one of the most innovative firm in sector. Manager in The New Leadership Imperative: Embracing Digital Transformation Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.

Digital Transformation in Strategy & Execution segment

- digital transformation varies from industry to industry. For Rent Reinforcable digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Rent Reinforcable 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.

Effective Research and Development (R&D)

– Rent Reinforcable 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 The New Leadership Imperative: Embracing Digital Transformation - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.

Training and development

– Rent Reinforcable has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in The New Leadership Imperative: Embracing Digital Transformation 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.

Ability to recruit top talent

– Rent Reinforcable is one of the leading recruiters in the industry. Managers in the The New Leadership Imperative: Embracing Digital Transformation are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.

Low bargaining power of suppliers

– Suppliers of Rent Reinforcable in the sector have low bargaining power. The New Leadership Imperative: Embracing Digital Transformation has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Rent Reinforcable to manage not only supply disruptions but also source products at highly competitive prices.

Analytics focus

– Rent Reinforcable 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 Maxwell Wessel 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.

Diverse revenue streams

– Rent Reinforcable is present in almost all the verticals within the industry. This has provided firm in The New Leadership Imperative: Embracing Digital Transformation 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.

Strong track record of project management

– Rent Reinforcable is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.

Superior customer experience

– The customer experience strategy of Rent Reinforcable in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.

Cross disciplinary teams

– Horizontal connected teams at the Rent Reinforcable 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.






Weaknesses The New Leadership Imperative: Embracing Digital Transformation | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis

The weaknesses of The New Leadership Imperative: Embracing Digital Transformation are -

Slow to strategic competitive environment developments

– As The New Leadership Imperative: Embracing Digital Transformation HBR case study mentions - Rent Reinforcable 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.

Lack of clear differentiation of Rent Reinforcable products

– To increase the profitability and margins on the products, Rent Reinforcable needs to provide more differentiated products than what it is currently offering in the marketplace.

High dependence on star products

– The top 2 products and services of the firm as mentioned in the The New Leadership Imperative: Embracing Digital Transformation 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 Rent Reinforcable has relatively successful track record of launching new products.

Slow to harness new channels of communication

– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Rent Reinforcable is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study The New Leadership Imperative: Embracing Digital Transformation 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 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 Rent Reinforcable supply chain. Even after few cautionary changes mentioned in the HBR case study - The New Leadership Imperative: Embracing Digital Transformation, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Rent Reinforcable vulnerable to further global disruptions in South East Asia.

Increasing silos among functional specialists

– The organizational structure of Rent Reinforcable is dominated by functional specialists. It is not different from other players in the Strategy & Execution segment. Rent Reinforcable needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Rent Reinforcable to focus more on services rather than just following the product oriented approach.

Need for greater diversity

– Rent Reinforcable 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 The New Leadership Imperative: Embracing Digital Transformation, in the dynamic environment Rent Reinforcable has struggled to respond to the nimble upstart competition. Rent Reinforcable has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.

Skills based hiring

– The stress on hiring functional specialists at Rent Reinforcable 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.

Compensation and incentives

– The revenue per employee as mentioned in the HBR case study The New Leadership Imperative: Embracing Digital Transformation, is just above the industry average. Rent Reinforcable 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.

Products dominated business model

– Even though Rent Reinforcable has some of the most successful products in the industry, this business model has made each new product launch extremely critical for continuous financial growth of the organization. firm in the HBR case study - The New Leadership Imperative: Embracing Digital Transformation should strive to include more intangible value offerings along with its core products and services.




Opportunities The New Leadership Imperative: Embracing Digital Transformation | 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 The New Leadership Imperative: Embracing Digital Transformation are -

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 Rent Reinforcable 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 Strategy & Execution industry, but it has also influenced the consumer preferences. Rent Reinforcable can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.

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. Rent Reinforcable can explore opportunities that can attract volunteers and are consistent with its mission and vision.

Better consumer reach

– The expansion of the 5G network will help Rent Reinforcable to increase its market reach. Rent Reinforcable 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.

Increase in government spending

– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Rent Reinforcable can use these opportunities to build new business models that can help the communities that Rent Reinforcable operates in. Secondly it can use opportunities from government spending in Strategy & Execution sector.

Redefining models of collaboration and team work

– As explained in the weaknesses section, Rent Reinforcable is facing challenges because of the dominance of functional experts in the organization. The New Leadership Imperative: Embracing Digital Transformation 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.

Developing new processes and practices

– Rent Reinforcable 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.

Using analytics as competitive advantage

– Rent Reinforcable 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 The New Leadership Imperative: Embracing Digital Transformation - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Rent Reinforcable 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 Rent Reinforcable in the consumer business. Now Rent Reinforcable can target international markets with far fewer capital restrictions requirements than the existing system.

Manufacturing automation

– Rent Reinforcable 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.

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. Rent Reinforcable 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. Rent Reinforcable 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.

Loyalty marketing

– Rent Reinforcable 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.

Reforming the budgeting process

- By establishing new metrics that will be used to evaluate both existing and potential projects Rent Reinforcable can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.




Threats The New Leadership Imperative: Embracing Digital Transformation External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis


The threats mentioned in the HBR case study The New Leadership Imperative: Embracing Digital Transformation are -

Regulatory challenges

– Rent Reinforcable 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.

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 Rent Reinforcable business can come under increasing regulations regarding data privacy, data security, etc.

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. Rent Reinforcable can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.

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 Rent Reinforcable in the Strategy & Execution sector and impact the bottomline of the organization.

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.

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 Rent Reinforcable.

Environmental challenges

– Rent Reinforcable 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. Rent Reinforcable can take advantage of this fund but it will also bring new competitors in the Strategy & Execution industry.

High dependence on third party suppliers

– Rent Reinforcable 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, Rent Reinforcable 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 The New Leadership Imperative: Embracing Digital Transformation .

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 Rent Reinforcable is facing in Strategy & Execution sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.

Technology acceleration in Forth Industrial Revolution

– Rent Reinforcable has witnessed rapid integration of technology during Covid-19 in the Strategy & Execution industry. As one of the leading players in the industry, Rent Reinforcable 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.

Consumer confidence and its impact on Rent Reinforcable 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.




Weighted SWOT Analysis of The New Leadership Imperative: Embracing Digital Transformation 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 The New Leadership Imperative: Embracing Digital Transformation 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 The New Leadership Imperative: Embracing Digital Transformation 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 The New Leadership Imperative: Embracing Digital Transformation 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 The New Leadership Imperative: Embracing Digital Transformation 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 Rent Reinforcable needs to make to build a sustainable competitive advantage.



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