Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S. SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Communication
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S.
Over the next 20 years, many organizations will experience significant shortages of skilled workers. At the same time, because of longer lifespans and a gradual rise in what society has considered the traditional retirement age of 65, older workers will represent a growing proportion of the American workforce. For a variety of reasons, many of these older workers desire to continue working and, if retained and engaged, they constitute a significant labor source for mitigating the emerging shortages of skilled workers. However, many organizations are not prepared to take advantage of this demographic shift; some even generate barriers that impede the retention and engagement of older workers. In this article, we identify a variety of ways in which organizations can retain and engage older workers to meet their staffing needs and enhance organizational performance. We also discuss the relationship of these proposals to prominent theories of motivation in management.
Swot Analysis of "Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S." written by William J. Heisler, Diane Bandow includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Workers Shortages facing as an external strategic factors. Some of the topics covered in Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S. case study are - Strategic Management Strategies, Developing employees, Employee retention, Human resource management, Innovation, Motivating people and Communication.
Some of the macro environment factors that can be used to understand the Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S. casestudy better are - – supply chains are disrupted by pandemic , technology disruption, digital marketing is dominated by two big players Facebook and Google, there is backlash against globalization, increasing household debt because of falling income levels, central banks are concerned over increasing inflation, customer relationship management is fast transforming because of increasing concerns over data privacy,
increasing inequality as vast percentage of new income is going to the top 1%, there is increasing trade war between United States & China, etc
Introduction to SWOT Analysis of Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S.
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S. case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Workers Shortages, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Workers Shortages 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 Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S. can be done for the following purposes –
1. Strategic planning using facts provided in Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S. case study
2. Improving business portfolio management of Workers Shortages
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 Workers Shortages
Strengths Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S. | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Workers Shortages in Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S. Harvard Business Review case study are -
Successful track record of launching new products
– Workers Shortages has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Workers Shortages 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.
Digital Transformation in Communication segment
- digital transformation varies from industry to industry. For Workers Shortages digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Workers Shortages 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.
Diverse revenue streams
– Workers Shortages is present in almost all the verticals within the industry. This has provided firm in Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S. 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.
Effective Research and Development (R&D)
– Workers Shortages 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 Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S. - 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 Workers Shortages 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.
Learning organization
- Workers Shortages is a learning organization. It has inculcated three key characters of learning organization in its processes and operations – exploration, creativity, and expansiveness. The work place at Workers Shortages is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S. Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
High brand equity
– Workers Shortages has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Workers Shortages to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Cross disciplinary teams
– Horizontal connected teams at the Workers Shortages 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.
Ability to recruit top talent
– Workers Shortages is one of the leading recruiters in the industry. Managers in the Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S. are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
Strong track record of project management
– Workers Shortages is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Innovation driven organization
– Workers Shortages is one of the most innovative firm in sector. Manager in Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S. Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Organizational Resilience of Workers Shortages
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Workers Shortages does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Weaknesses Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S. | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S. are -
Capital Spending Reduction
– Even during the low interest decade, Workers Shortages 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.
Low market penetration in new markets
– Outside its home market of Workers Shortages, firm in the HBR case study Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S. needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
No frontier risks strategy
– After analyzing the HBR case study Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S., it seems that company is thinking about the frontier risks that can impact Communication 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.
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 Workers Shortages supply chain. Even after few cautionary changes mentioned in the HBR case study - Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S., it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Workers Shortages vulnerable to further global disruptions in South East Asia.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Workers Shortages is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S. can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S., in the dynamic environment Workers Shortages has struggled to respond to the nimble upstart competition. Workers Shortages has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
High operating costs
– Compare to the competitors, firm in the HBR case study Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S. 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 Workers Shortages 's lucrative customers.
Slow decision making process
– As mentioned earlier in the report, Workers Shortages 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. Workers Shortages 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.
Products dominated business model
– Even though Workers Shortages 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 - Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S. should strive to include more intangible value offerings along with its core products and services.
Need for greater diversity
– Workers Shortages has taken concrete steps on diversity, equity, and inclusion. But the efforts so far has resulted in limited success. It needs to expand the recruitment and selection process to hire more people from the minorities and underprivileged background.
High cash cycle compare to competitors
Workers Shortages 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.
Opportunities Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S. | 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 Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S. 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 Workers Shortages 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.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Workers Shortages can use these opportunities to build new business models that can help the communities that Workers Shortages operates in. Secondly it can use opportunities from government spending in Communication sector.
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 Workers Shortages in the consumer business. Now Workers Shortages can target international markets with far fewer capital restrictions requirements than the existing system.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Workers Shortages is facing challenges because of the dominance of functional experts in the organization. Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S. 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.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Workers Shortages 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, Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S., to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Low interest rates
– Even though inflation is raising its head in most developed economies, Workers Shortages 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.
Using analytics as competitive advantage
– Workers Shortages 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 Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S. - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Workers Shortages to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Workers Shortages can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
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. Workers Shortages can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Loyalty marketing
– Workers Shortages 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.
Buying journey improvements
– Workers Shortages can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S. 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.
Creating value in data economy
– The success of analytics program of Workers Shortages has opened avenues for new revenue streams for the organization in the industry. This can help Workers Shortages to build a more holistic ecosystem as suggested in the Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S. case study. Workers Shortages can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Changes in consumer behavior post Covid-19
– Consumer behavior has changed in the Communication industry because of Covid-19 restrictions. Some of this behavior will stay once things get back to normal. Workers Shortages 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. Workers Shortages 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.
Threats Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S. External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S. are -
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Workers Shortages 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 Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S. .
Consumer confidence and its impact on Workers Shortages 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.
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 Workers Shortages in the Communication sector and impact the bottomline of the organization.
Increasing wage structure of Workers Shortages
– Post Covid-19 there is a sharp increase in the wages especially in the jobs that require interaction with people. The increasing wages can put downward pressure on the margins of Workers Shortages.
Environmental challenges
– Workers Shortages 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. Workers Shortages can take advantage of this fund but it will also bring new competitors in the Communication industry.
Regulatory challenges
– Workers Shortages 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.
Stagnating economy with rate increase
– Workers Shortages 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.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S., Workers Shortages may face longer learning curve for training and development of existing employees. This can open space for more nimble competitors in the field of Communication .
Technology acceleration in Forth Industrial Revolution
– Workers Shortages has witnessed rapid integration of technology during Covid-19 in the Communication industry. As one of the leading players in the industry, Workers Shortages 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.
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.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Workers Shortages 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.
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. Workers Shortages 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.
Weighted SWOT Analysis of Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S. 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 Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S. 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 Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S. 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 Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S. 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 Retaining and Engaging Older Workers: A Solution to Worker Shortages in the U.S. 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 Workers Shortages needs to make to build a sustainable competitive advantage.