UIT: Business Ethics and Compliance SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Organizational Development
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of UIT: Business Ethics and Compliance
On December 30, 2013, an account manager in the sales department of UIT India (UIT) filed a complaint with the company's Ethics & Compliance Cell (ECC). UIT was the Indian branch of a leading U.S. multinational corporation. In his complaint to the ECC, the account manager alleged that he had suffered discrimination by his superior. He was called to a meeting with the ECC where he learned that his superior had received complaints from other employees and was already under investigation. That information made him feel hopeful that his complaint would be resolved quickly and favourably. However, his hopes were shattered when he was placed on a performance improvement plan the next day by the company's human resource department. According to the plan, he would be terminated if he failed to deliver the set targets within two months. The account manager was furious and felt he was being treated unfairly. However, he was required to accept or refuse the improvement plan within 48 hours. His decision would not only determine his survival at UIT, but also impact his career prospects in the industry. Pratibha Wasan is affiliated with Jaipuria Institute of Management.
Swot Analysis of "UIT: Business Ethics and Compliance" written by Pratibha Wasan includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Uit Ecc facing as an external strategic factors. Some of the topics covered in UIT: Business Ethics and Compliance case study are - Strategic Management Strategies, Auditing, Customers, Ethics and Organizational Development.
Some of the macro environment factors that can be used to understand the UIT: Business Ethics and Compliance casestudy better are - – increasing household debt because of falling income levels, geopolitical disruptions, there is increasing trade war between United States & China, increasing government debt because of Covid-19 spendings, central banks are concerned over increasing inflation, wage bills are increasing, challanges to central banks by blockchain based private currencies,
competitive advantages are harder to sustain because of technology dispersion, increasing transportation and logistics costs, etc
Introduction to SWOT Analysis of UIT: Business Ethics and Compliance
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in UIT: Business Ethics and Compliance case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Uit Ecc, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Uit Ecc 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 UIT: Business Ethics and Compliance can be done for the following purposes –
1. Strategic planning using facts provided in UIT: Business Ethics and Compliance case study
2. Improving business portfolio management of Uit Ecc
3. Assessing feasibility of the new initiative in Organizational Development field.
4. Making a Organizational Development topic specific business decision
5. Set goals for the organization
6. Organizational restructuring of Uit Ecc
Strengths UIT: Business Ethics and Compliance | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Uit Ecc in UIT: Business Ethics and Compliance Harvard Business Review case study are -
Operational resilience
– The operational resilience strategy in the UIT: Business Ethics and Compliance 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
– Uit Ecc has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Uit Ecc to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Organizational Resilience of Uit Ecc
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Uit Ecc does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Digital Transformation in Organizational Development segment
- digital transformation varies from industry to industry. For Uit Ecc digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Uit Ecc 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.
Analytics focus
– Uit Ecc 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 Pratibha Wasan 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.
Learning organization
- Uit Ecc 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 Uit Ecc is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in UIT: Business Ethics and Compliance Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Diverse revenue streams
– Uit Ecc is present in almost all the verticals within the industry. This has provided firm in UIT: Business Ethics and Compliance 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.
Innovation driven organization
– Uit Ecc is one of the most innovative firm in sector. Manager in UIT: Business Ethics and Compliance Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Successful track record of launching new products
– Uit Ecc has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Uit Ecc 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.
Sustainable margins compare to other players in Organizational Development industry
– UIT: Business Ethics and Compliance firm has clearly differentiated products in the market place. This has enabled Uit Ecc to fetch slight price premium compare to the competitors in the Organizational Development industry. The sustainable margins have also helped Uit Ecc to invest into research and development (R&D) and innovation.
Superior customer experience
– The customer experience strategy of Uit Ecc in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Ability to lead change in Organizational Development field
– Uit Ecc 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 Uit Ecc in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Weaknesses UIT: Business Ethics and Compliance | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of UIT: Business Ethics and Compliance are -
Workers concerns about automation
– As automation is fast increasing in the segment, Uit Ecc 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.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study UIT: Business Ethics and Compliance, in the dynamic environment Uit Ecc has struggled to respond to the nimble upstart competition. Uit Ecc has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
Interest costs
– Compare to the competition, Uit Ecc 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.
Slow to strategic competitive environment developments
– As UIT: Business Ethics and Compliance HBR case study mentions - Uit Ecc 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.
Slow decision making process
– As mentioned earlier in the report, Uit Ecc 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. Uit Ecc 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 Uit Ecc 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 - UIT: Business Ethics and Compliance should strive to include more intangible value offerings along with its core products and services.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Uit Ecc is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study UIT: Business Ethics and Compliance can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
Aligning sales with marketing
– It come across in the case study UIT: Business Ethics and Compliance 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 UIT: Business Ethics and Compliance can leverage the sales team experience to cultivate customer relationships as Uit Ecc is planning to shift buying processes online.
Need for greater diversity
– Uit Ecc 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.
Employees’ incomplete understanding of strategy
– From the instances in the HBR case study UIT: Business Ethics and Compliance, it seems that the employees of Uit Ecc don’t have comprehensive understanding of the firm’s strategy. This is reflected in number of promotional campaigns over the last few years that had mixed messaging and competing priorities. Some of the strategic activities and services promoted in the promotional campaigns were not consistent with the organization’s strategy.
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 Uit Ecc supply chain. Even after few cautionary changes mentioned in the HBR case study - UIT: Business Ethics and Compliance, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Uit Ecc vulnerable to further global disruptions in South East Asia.
Opportunities UIT: Business Ethics and Compliance | 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 UIT: Business Ethics and Compliance are -
Loyalty marketing
– Uit Ecc 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 Organizational Development industry, but it has also influenced the consumer preferences. Uit Ecc can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
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 Uit Ecc in the consumer business. Now Uit Ecc can target international markets with far fewer capital restrictions requirements than the existing system.
Using analytics as competitive advantage
– Uit Ecc 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 UIT: Business Ethics and Compliance - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Uit Ecc to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Creating value in data economy
– The success of analytics program of Uit Ecc has opened avenues for new revenue streams for the organization in the industry. This can help Uit Ecc to build a more holistic ecosystem as suggested in the UIT: Business Ethics and Compliance case study. Uit Ecc can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Lowering marketing communication costs
– 5G expansion will open new opportunities for Uit Ecc in the field of marketing communication. It will bring down the cost of doing business, provide technology platform to build new products in the Organizational Development segment, and it will provide faster access to the consumers.
Manufacturing automation
– Uit Ecc can use the latest technology developments to improve its manufacturing and designing process in Organizational Development 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.
Better consumer reach
– The expansion of the 5G network will help Uit Ecc to increase its market reach. Uit Ecc 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.
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. Uit Ecc can explore opportunities that can attract volunteers and are consistent with its mission and vision.
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 Uit Ecc 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.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Uit Ecc 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 Uit Ecc to hire the very best people irrespective of their geographical location.
Building a culture of innovation
– managers at Uit Ecc can make experimentation a productive activity and build a culture of innovation using approaches such as – mining transaction data, A/B testing of websites and selling platforms, engaging potential customers over various needs, and building on small ideas in the Organizational Development segment.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Uit Ecc 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, UIT: Business Ethics and Compliance, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Threats UIT: Business Ethics and Compliance External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study UIT: Business Ethics and Compliance are -
Shortening product life cycle
– it is one of the major threat that Uit Ecc is facing in Organizational Development sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Environmental challenges
– Uit Ecc 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. Uit Ecc can take advantage of this fund but it will also bring new competitors in the Organizational Development industry.
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 Uit Ecc in the Organizational Development sector and impact the bottomline 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 Uit Ecc in the Organizational Development industry. The Organizational Development 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.
Easy access to finance
– Easy access to finance in Organizational Development field will also reduce the barriers to entry in the industry, thus putting downward pressure on the prices because of increasing competition. Uit Ecc can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Regulatory challenges
– Uit Ecc 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 Organizational Development industry regulations.
Increasing wage structure of Uit Ecc
– 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 Uit Ecc.
Stagnating economy with rate increase
– Uit Ecc 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 UIT: Business Ethics and Compliance, Uit Ecc may face longer learning curve for training and development of existing employees. This can open space for more nimble competitors in the field of Organizational Development .
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. Uit Ecc needs to understand the core reasons impacting the Organizational Development industry. This will help it in building a better workplace.
Technology acceleration in Forth Industrial Revolution
– Uit Ecc has witnessed rapid integration of technology during Covid-19 in the Organizational Development industry. As one of the leading players in the industry, Uit Ecc needs to keep up with the evolution of technology in the Organizational Development 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.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Uit Ecc 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 UIT: Business Ethics and Compliance .
Weighted SWOT Analysis of UIT: Business Ethics and Compliance 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 UIT: Business Ethics and Compliance 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 UIT: Business Ethics and Compliance 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 UIT: Business Ethics and Compliance 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 UIT: Business Ethics and Compliance 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 Uit Ecc needs to make to build a sustainable competitive advantage.