A Strategic Approach to Workforce Analytics: Integrating Science and Agility SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Communication
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of A Strategic Approach to Workforce Analytics: Integrating Science and Agility
Workforce analytics is a major emerging trend in human resource management. Yet, despite the enthusiasm, there exists a misunderstanding of how organizations can successfully use workforce analytics to achieve important organizational outcomes. This article proposes ways to overcome this execution dilemma and achieve organizational success with workforce analytics through the integration of agile development with scientific research. We use a number of company examples to outline five key parts of an agile workforce analytics process: (1) prioritizing issues, (2) integrating deductive and inductive approaches, (3) preparing and validating data, (4) applying multiple methods in concert to support decisions, and (5) transforming insight into action to improve business outcomes.
Authors :: Derrick McIver, Mark L. Lengnick-Hall, Cynthia A. Lengnick-Hall
Swot Analysis of "A Strategic Approach to Workforce Analytics: Integrating Science and Agility" written by Derrick McIver, Mark L. Lengnick-Hall, Cynthia A. Lengnick-Hall includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Workforce Analytics facing as an external strategic factors. Some of the topics covered in A Strategic Approach to Workforce Analytics: Integrating Science and Agility case study are - Strategic Management Strategies, Human resource management and Communication.
Some of the macro environment factors that can be used to understand the A Strategic Approach to Workforce Analytics: Integrating Science and Agility casestudy better are - – increasing commodity prices, wage bills are increasing, competitive advantages are harder to sustain because of technology dispersion, increasing transportation and logistics costs, cloud computing is disrupting traditional business models, there is increasing trade war between United States & China, geopolitical disruptions,
there is backlash against globalization, banking and financial system is disrupted by Bitcoin and other crypto currencies, etc
Introduction to SWOT Analysis of A Strategic Approach to Workforce Analytics: Integrating Science and Agility
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in A Strategic Approach to Workforce Analytics: Integrating Science and Agility case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Workforce Analytics, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Workforce Analytics 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 A Strategic Approach to Workforce Analytics: Integrating Science and Agility can be done for the following purposes –
1. Strategic planning using facts provided in A Strategic Approach to Workforce Analytics: Integrating Science and Agility case study
2. Improving business portfolio management of Workforce Analytics
3. Assessing feasibility of the new initiative in Communication field.
4. Making a Communication topic specific business decision
5. Set goals for the organization
6. Organizational restructuring of Workforce Analytics
Strengths A Strategic Approach to Workforce Analytics: Integrating Science and Agility | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Workforce Analytics in A Strategic Approach to Workforce Analytics: Integrating Science and Agility Harvard Business Review case study are -
Digital Transformation in Communication segment
- digital transformation varies from industry to industry. For Workforce Analytics digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Workforce Analytics 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.
Highly skilled collaborators
– Workforce Analytics 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 A Strategic Approach to Workforce Analytics: Integrating Science and Agility HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
Innovation driven organization
– Workforce Analytics is one of the most innovative firm in sector. Manager in A Strategic Approach to Workforce Analytics: Integrating Science and Agility Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
High brand equity
– Workforce Analytics has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Workforce Analytics to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Analytics focus
– Workforce Analytics 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 Derrick McIver, Mark L. Lengnick-Hall, Cynthia A. Lengnick-Hall 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
– Workforce Analytics is present in almost all the verticals within the industry. This has provided firm in A Strategic Approach to Workforce Analytics: Integrating Science and Agility 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.
Ability to recruit top talent
– Workforce Analytics is one of the leading recruiters in the industry. Managers in the A Strategic Approach to Workforce Analytics: Integrating Science and Agility are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
Successful track record of launching new products
– Workforce Analytics has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Workforce Analytics has effective processes in place that helps in exploring new product needs, doing quick pilot testing, and then launching the products quickly using its extensive distribution network.
Operational resilience
– The operational resilience strategy in the A Strategic Approach to Workforce Analytics: Integrating Science and Agility 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)
– Workforce Analytics 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 A Strategic Approach to Workforce Analytics: Integrating Science and Agility - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Low bargaining power of suppliers
– Suppliers of Workforce Analytics in the sector have low bargaining power. A Strategic Approach to Workforce Analytics: Integrating Science and Agility has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Workforce Analytics to manage not only supply disruptions but also source products at highly competitive prices.
Strong track record of project management
– Workforce Analytics is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Weaknesses A Strategic Approach to Workforce Analytics: Integrating Science and Agility | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of A Strategic Approach to Workforce Analytics: Integrating Science and Agility are -
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Workforce Analytics is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study A Strategic Approach to Workforce Analytics: Integrating Science and Agility 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 Workforce Analytics supply chain. Even after few cautionary changes mentioned in the HBR case study - A Strategic Approach to Workforce Analytics: Integrating Science and Agility, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Workforce Analytics vulnerable to further global disruptions in South East Asia.
High cash cycle compare to competitors
Workforce Analytics 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.
Aligning sales with marketing
– It come across in the case study A Strategic Approach to Workforce Analytics: Integrating Science and Agility 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 A Strategic Approach to Workforce Analytics: Integrating Science and Agility can leverage the sales team experience to cultivate customer relationships as Workforce Analytics is planning to shift buying processes online.
High operating costs
– Compare to the competitors, firm in the HBR case study A Strategic Approach to Workforce Analytics: Integrating Science and Agility 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 Workforce Analytics 's lucrative customers.
Need for greater diversity
– Workforce Analytics 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.
Low market penetration in new markets
– Outside its home market of Workforce Analytics, firm in the HBR case study A Strategic Approach to Workforce Analytics: Integrating Science and Agility needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
Interest costs
– Compare to the competition, Workforce Analytics 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.
Skills based hiring
– The stress on hiring functional specialists at Workforce Analytics 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.
Increasing silos among functional specialists
– The organizational structure of Workforce Analytics is dominated by functional specialists. It is not different from other players in the Communication segment. Workforce Analytics needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Workforce Analytics to focus more on services rather than just following the product oriented approach.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study A Strategic Approach to Workforce Analytics: Integrating Science and Agility, is just above the industry average. Workforce Analytics 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.
Opportunities A Strategic Approach to Workforce Analytics: Integrating Science and Agility | 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 A Strategic Approach to Workforce Analytics: Integrating Science and Agility are -
Using analytics as competitive advantage
– Workforce Analytics 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 A Strategic Approach to Workforce Analytics: Integrating Science and Agility - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Workforce Analytics to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Developing new processes and practices
– Workforce Analytics can develop new processes and procedures in Communication 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.
Buying journey improvements
– Workforce Analytics can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. A Strategic Approach to Workforce Analytics: Integrating Science and Agility 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.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Workforce Analytics 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 Workforce Analytics to hire the very best people irrespective of their geographical location.
Loyalty marketing
– Workforce Analytics 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.
Finding new ways to collaborate
– Covid-19 has not only transformed business models of companies in Communication industry, but it has also influenced the consumer preferences. Workforce Analytics 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. Workforce Analytics can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Workforce Analytics is facing challenges because of the dominance of functional experts in the organization. A Strategic Approach to Workforce Analytics: Integrating Science and Agility 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.
Low interest rates
– Even though inflation is raising its head in most developed economies, Workforce Analytics 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.
Learning at scale
– Online learning technologies has now opened space for Workforce Analytics to conduct training and development for its employees across the world. This will result in not only reducing the cost of training but also help employees in different part of the world to integrate with the headquarter work culture, ethos, and standards.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Workforce Analytics 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, A Strategic Approach to Workforce Analytics: Integrating Science and Agility, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Workforce Analytics can use these opportunities to build new business models that can help the communities that Workforce Analytics operates in. Secondly it can use opportunities from government spending in Communication sector.
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 Workforce Analytics 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.
Threats A Strategic Approach to Workforce Analytics: Integrating Science and Agility External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study A Strategic Approach to Workforce Analytics: Integrating Science and Agility are -
Consumer confidence and its impact on Workforce Analytics 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 acceleration in Forth Industrial Revolution
– Workforce Analytics has witnessed rapid integration of technology during Covid-19 in the Communication industry. As one of the leading players in the industry, Workforce Analytics needs to keep up with the evolution of technology in the Communication 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.
Regulatory challenges
– Workforce Analytics 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 Communication industry regulations.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Workforce Analytics in the Communication industry. The Communication 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 Workforce Analytics is facing in Communication sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Workforce Analytics with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Workforce Analytics 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 A Strategic Approach to Workforce Analytics: Integrating Science and Agility .
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. Workforce Analytics needs to understand the core reasons impacting the Communication industry. This will help it in building a better workplace.
Stagnating economy with rate increase
– Workforce Analytics 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.
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 Workforce Analytics in the Communication sector and impact the bottomline of the organization.
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 Workforce Analytics.
Easy access to finance
– Easy access to finance in Communication field will also reduce the barriers to entry in the industry, thus putting downward pressure on the prices because of increasing competition. Workforce Analytics can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Weighted SWOT Analysis of A Strategic Approach to Workforce Analytics: Integrating Science and Agility 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 A Strategic Approach to Workforce Analytics: Integrating Science and Agility 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 A Strategic Approach to Workforce Analytics: Integrating Science and Agility 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 A Strategic Approach to Workforce Analytics: Integrating Science and Agility 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 A Strategic Approach to Workforce Analytics: Integrating Science and Agility 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 Workforce Analytics needs to make to build a sustainable competitive advantage.
