Case Study Description of Lebanon Mountain Trail Association: Aiming for Sustainability
In December 2016, the president of the Lebanon Mountain Trail Association (LMTA) was getting ready for a board of directors meeting during which the members had to vote on whether to hire an executive director-a first for the association. If hired, the association would face a new financial hurdle that could threaten its sustainability. The LMTA was a non-profit mountain trail association that was implementing socially responsible tourism practices on and around a 470 kilometre trail. The association was struggling to sustain itself financially, to protect and maintain the trail, and to secure the succession of its board. Mira Thoumy is affiliated with Notre Dame University-Louaize. Omar Sakr is affiliated with Notre Dame University-Louaize.
Swot Analysis of "Lebanon Mountain Trail Association: Aiming for Sustainability" written by Mira Thoumy, Omar Sakr includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Trail Association facing as an external strategic factors. Some of the topics covered in Lebanon Mountain Trail Association: Aiming for Sustainability case study are - Strategic Management Strategies, Corporate governance, Sustainability and Strategy & Execution.
Some of the macro environment factors that can be used to understand the Lebanon Mountain Trail Association: Aiming for Sustainability casestudy better are - – challanges to central banks by blockchain based private currencies, increasing inequality as vast percentage of new income is going to the top 1%, increasing government debt because of Covid-19 spendings, talent flight as more people leaving formal jobs, wage bills are increasing, there is backlash against globalization, technology disruption,
geopolitical disruptions, increasing energy prices, etc
Introduction to SWOT Analysis of Lebanon Mountain Trail Association: Aiming for Sustainability
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Lebanon Mountain Trail Association: Aiming for Sustainability case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Trail Association, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Trail Association 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 Lebanon Mountain Trail Association: Aiming for Sustainability can be done for the following purposes –
1. Strategic planning using facts provided in Lebanon Mountain Trail Association: Aiming for Sustainability case study
2. Improving business portfolio management of Trail Association
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 Trail Association
Strengths Lebanon Mountain Trail Association: Aiming for Sustainability | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Trail Association in Lebanon Mountain Trail Association: Aiming for Sustainability Harvard Business Review case study are -
Strong track record of project management
– Trail Association is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Digital Transformation in Strategy & Execution segment
- digital transformation varies from industry to industry. For Trail Association digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Trail Association 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.
Learning organization
- Trail Association 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 Trail Association is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Lebanon Mountain Trail Association: Aiming for Sustainability Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Cross disciplinary teams
– Horizontal connected teams at the Trail Association 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.
Training and development
– Trail Association has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in Lebanon Mountain Trail Association: Aiming for Sustainability 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
– Trail Association is one of the leading recruiters in the industry. Managers in the Lebanon Mountain Trail Association: Aiming for Sustainability 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 Trail Association in the sector have low bargaining power. Lebanon Mountain Trail Association: Aiming for Sustainability has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Trail Association to manage not only supply disruptions but also source products at highly competitive prices.
Superior customer experience
– The customer experience strategy of Trail Association in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Organizational Resilience of Trail Association
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Trail Association does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Operational resilience
– The operational resilience strategy in the Lebanon Mountain Trail Association: Aiming for Sustainability 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.
High brand equity
– Trail Association has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Trail Association to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Ability to lead change in Strategy & Execution field
– Trail Association 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 Trail Association in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Weaknesses Lebanon Mountain Trail Association: Aiming for Sustainability | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Lebanon Mountain Trail Association: Aiming for Sustainability are -
High operating costs
– Compare to the competitors, firm in the HBR case study Lebanon Mountain Trail Association: Aiming for Sustainability 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 Trail Association 's lucrative customers.
High dependence on star products
– The top 2 products and services of the firm as mentioned in the Lebanon Mountain Trail Association: Aiming for Sustainability 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 Trail Association has relatively successful track record of launching new products.
Interest costs
– Compare to the competition, Trail Association 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.
Need for greater diversity
– Trail Association 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.
Workers concerns about automation
– As automation is fast increasing in the segment, Trail Association needs to come up with a strategy to reduce the workers concern regarding automation. Without a clear strategy, it could lead to disruption and uncertainty within the organization.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Trail Association is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study Lebanon Mountain Trail Association: Aiming for Sustainability can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
No frontier risks strategy
– After analyzing the HBR case study Lebanon Mountain Trail Association: Aiming for Sustainability, 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, Trail Association 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.
Lack of clear differentiation of Trail Association products
– To increase the profitability and margins on the products, Trail Association needs to provide more differentiated products than what it is currently offering in the marketplace.
Slow to strategic competitive environment developments
– As Lebanon Mountain Trail Association: Aiming for Sustainability HBR case study mentions - Trail Association 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.
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 Trail Association supply chain. Even after few cautionary changes mentioned in the HBR case study - Lebanon Mountain Trail Association: Aiming for Sustainability, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Trail Association vulnerable to further global disruptions in South East Asia.
Opportunities Lebanon Mountain Trail Association: Aiming for Sustainability | 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 Lebanon Mountain Trail Association: Aiming for Sustainability are -
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Trail Association can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Creating value in data economy
– The success of analytics program of Trail Association has opened avenues for new revenue streams for the organization in the industry. This can help Trail Association to build a more holistic ecosystem as suggested in the Lebanon Mountain Trail Association: Aiming for Sustainability case study. Trail Association can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Loyalty marketing
– Trail Association 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.
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. Trail Association 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. Trail Association 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.
Leveraging digital technologies
– Trail Association can leverage digital technologies such as artificial intelligence and machine learning to automate the production process, customer analytics to get better insights into consumer behavior, realtime digital dashboards to get better sales tracking, logistics and transportation, product tracking, 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. Trail Association can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Developing new processes and practices
– Trail Association 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
– Trail Association can use the latest technology developments to improve its manufacturing and designing process in Strategy & Execution segment. It can use CAD and 3D printing to build a quick prototype and pilot testing products. It can leverage automation using machine learning and artificial intelligence to do faster production at lowers costs, and it can leverage the growth in satellite and tracking technologies to improve inventory management, transportation, and shipping.
Using analytics as competitive advantage
– Trail Association 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 Lebanon Mountain Trail Association: Aiming for Sustainability - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Trail Association to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Trail Association 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, Lebanon Mountain Trail Association: Aiming for Sustainability, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Lowering marketing communication costs
– 5G expansion will open new opportunities for Trail Association in the field of marketing communication. It will bring down the cost of doing business, provide technology platform to build new products in the Strategy & Execution segment, and it will provide faster access to the consumers.
Low interest rates
– Even though inflation is raising its head in most developed economies, Trail Association 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.
Better consumer reach
– The expansion of the 5G network will help Trail Association to increase its market reach. Trail Association 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.
Threats Lebanon Mountain Trail Association: Aiming for Sustainability External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Lebanon Mountain Trail Association: Aiming for Sustainability are -
Regulatory challenges
– Trail Association 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.
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. Trail Association needs to understand the core reasons impacting the Strategy & Execution industry. This will help it in building a better workplace.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study Lebanon Mountain Trail Association: Aiming for Sustainability, Trail Association 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 .
Shortening product life cycle
– it is one of the major threat that Trail Association is facing in Strategy & Execution sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
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 Trail Association in the Strategy & Execution sector and impact the bottomline of the organization.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Trail Association 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 Lebanon Mountain Trail Association: Aiming for Sustainability .
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Trail Association with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
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.
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 Trail Association business can come under increasing regulations regarding data privacy, data security, etc.
Technology acceleration in Forth Industrial Revolution
– Trail Association has witnessed rapid integration of technology during Covid-19 in the Strategy & Execution industry. As one of the leading players in the industry, Trail Association 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.
High dependence on third party suppliers
– Trail Association 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.
Stagnating economy with rate increase
– Trail Association 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. Trail Association 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 Lebanon Mountain Trail Association: Aiming for Sustainability 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 Lebanon Mountain Trail Association: Aiming for Sustainability 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 Lebanon Mountain Trail Association: Aiming for Sustainability 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 Lebanon Mountain Trail Association: Aiming for Sustainability 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 Lebanon Mountain Trail Association: Aiming for Sustainability 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 Trail Association needs to make to build a sustainable competitive advantage.