The Campaign for Bank Insurance in Antebellum New York SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Finance & Accounting
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of The Campaign for Bank Insurance in Antebellum New York
The New York State Legislature had come to a standstill in 1829 as lawmakers refused to charter any new banks or recharter any existing banks. Four of New York's forty banks had failed since 1825, and many legislatures believed that a significant change in the banking regime was needed to shore up the state's financial systems. Others, however, feared that a major change in the law was too risky, especially since over three-quarters of the state's banks held charters that were slated to expire over the next four years. On the table was a completely untested proposal to create a mandatory public insurance fund that would back the banknotes and deposits of every state bank. As bank charters throughout New York State rapidly approached expiration, lawmakers faced a tough decision: should they pass the bill and gamble with the untried insurance fund, or should they go seek a more traditional solution to the state's banking woes?
Swot Analysis of "The Campaign for Bank Insurance in Antebellum New York" written by Cole Bolton, David A. Moss includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that State's Charters facing as an external strategic factors. Some of the topics covered in The Campaign for Bank Insurance in Antebellum New York case study are - Strategic Management Strategies, Regulation and Finance & Accounting.
Some of the macro environment factors that can be used to understand the The Campaign for Bank Insurance in Antebellum New York casestudy better are - – wage bills are increasing, increasing inequality as vast percentage of new income is going to the top 1%, there is backlash against globalization, customer relationship management is fast transforming because of increasing concerns over data privacy, cloud computing is disrupting traditional business models, talent flight as more people leaving formal jobs, challanges to central banks by blockchain based private currencies,
supply chains are disrupted by pandemic , increasing energy prices, etc
Introduction to SWOT Analysis of The Campaign for Bank Insurance in Antebellum New York
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in The Campaign for Bank Insurance in Antebellum New York case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the State's Charters, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which State's Charters operates in.
According to Harvard Business Review, 75% of the managers use SWOT analysis for various purposes such as – evaluating current scenario, strategic planning, new venture feasibility, personal growth goals, new market entry, Go To market strategies, portfolio management and strategic trade-off assessment, organizational restructuring, etc.
SWOT Objectives / Importance of SWOT Analysis and SWOT Matrix
SWOT analysis of The Campaign for Bank Insurance in Antebellum New York can be done for the following purposes –
1. Strategic planning using facts provided in The Campaign for Bank Insurance in Antebellum New York case study
2. Improving business portfolio management of State's Charters
3. Assessing feasibility of the new initiative in Finance & Accounting field.
4. Making a Finance & Accounting topic specific business decision
5. Set goals for the organization
6. Organizational restructuring of State's Charters
Strengths The Campaign for Bank Insurance in Antebellum New York | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of State's Charters in The Campaign for Bank Insurance in Antebellum New York Harvard Business Review case study are -
Digital Transformation in Finance & Accounting segment
- digital transformation varies from industry to industry. For State's Charters digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. State's Charters 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
– State's Charters 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 Cole Bolton, David A. Moss 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.
Sustainable margins compare to other players in Finance & Accounting industry
– The Campaign for Bank Insurance in Antebellum New York firm has clearly differentiated products in the market place. This has enabled State's Charters to fetch slight price premium compare to the competitors in the Finance & Accounting industry. The sustainable margins have also helped State's Charters to invest into research and development (R&D) and innovation.
Ability to recruit top talent
– State's Charters is one of the leading recruiters in the industry. Managers in the The Campaign for Bank Insurance in Antebellum New York are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
High brand equity
– State's Charters has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled State's Charters to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Diverse revenue streams
– State's Charters is present in almost all the verticals within the industry. This has provided firm in The Campaign for Bank Insurance in Antebellum New York 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)
– State's Charters has innovation driven culture where significant part of the revenues are spent on the research and development activities. This has resulted in, as mentioned in case study The Campaign for Bank Insurance in Antebellum New York - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Operational resilience
– The operational resilience strategy in the The Campaign for Bank Insurance in Antebellum New York 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.
Cross disciplinary teams
– Horizontal connected teams at the State's Charters 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.
Innovation driven organization
– State's Charters is one of the most innovative firm in sector. Manager in The Campaign for Bank Insurance in Antebellum New York Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Ability to lead change in Finance & Accounting field
– State's Charters 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 State's Charters in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Low bargaining power of suppliers
– Suppliers of State's Charters in the sector have low bargaining power. The Campaign for Bank Insurance in Antebellum New York has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps State's Charters to manage not only supply disruptions but also source products at highly competitive prices.
Weaknesses The Campaign for Bank Insurance in Antebellum New York | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of The Campaign for Bank Insurance in Antebellum New York are -
Products dominated business model
– Even though State's Charters has some of the most successful products in the industry, this business model has made each new product launch extremely critical for continuous financial growth of the organization. firm in the HBR case study - The Campaign for Bank Insurance in Antebellum New York should strive to include more intangible value offerings along with its core products and services.
Aligning sales with marketing
– It come across in the case study The Campaign for Bank Insurance in Antebellum New York 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 The Campaign for Bank Insurance in Antebellum New York can leverage the sales team experience to cultivate customer relationships as State's Charters is planning to shift buying processes online.
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 State's Charters supply chain. Even after few cautionary changes mentioned in the HBR case study - The Campaign for Bank Insurance in Antebellum New York, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left State's Charters vulnerable to further global disruptions in South East Asia.
High cash cycle compare to competitors
State's Charters 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.
High operating costs
– Compare to the competitors, firm in the HBR case study The Campaign for Bank Insurance in Antebellum New York 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 State's Charters 's lucrative customers.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study The Campaign for Bank Insurance in Antebellum New York, is just above the industry average. State's Charters 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.
High dependence on star products
– The top 2 products and services of the firm as mentioned in the The Campaign for Bank Insurance in Antebellum New York 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 State's Charters has relatively successful track record of launching new products.
Increasing silos among functional specialists
– The organizational structure of State's Charters is dominated by functional specialists. It is not different from other players in the Finance & Accounting segment. State's Charters needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help State's Charters to focus more on services rather than just following the product oriented approach.
Employees’ incomplete understanding of strategy
– From the instances in the HBR case study The Campaign for Bank Insurance in Antebellum New York, it seems that the employees of State's Charters 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.
Lack of clear differentiation of State's Charters products
– To increase the profitability and margins on the products, State's Charters needs to provide more differentiated products than what it is currently offering in the marketplace.
Workers concerns about automation
– As automation is fast increasing in the segment, State's Charters 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.
Opportunities The Campaign for Bank Insurance in Antebellum New York | External Strategic Factors
What are Opportunities in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The opportunities highlighted in the Harvard Business Review case study The Campaign for Bank Insurance in Antebellum New York are -
Learning at scale
– Online learning technologies has now opened space for State's Charters 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.
Developing new processes and practices
– State's Charters can develop new processes and procedures in Finance & Accounting 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.
Changes in consumer behavior post Covid-19
– Consumer behavior has changed in the Finance & Accounting industry because of Covid-19 restrictions. Some of this behavior will stay once things get back to normal. State's Charters 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. State's Charters 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.
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. State's Charters can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Loyalty marketing
– State's Charters 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.
Redefining models of collaboration and team work
– As explained in the weaknesses section, State's Charters is facing challenges because of the dominance of functional experts in the organization. The Campaign for Bank Insurance in Antebellum New York 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.
Manufacturing automation
– State's Charters can use the latest technology developments to improve its manufacturing and designing process in Finance & Accounting 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.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects State's Charters can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Finding new ways to collaborate
– Covid-19 has not only transformed business models of companies in Finance & Accounting industry, but it has also influenced the consumer preferences. State's Charters can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Using analytics as competitive advantage
– State's Charters has spent a significant amount of money and effort to integrate analytics and machine learning into its operations in the sector. This continuous investment in analytics has enabled, as illustrated in the Harvard case study The Campaign for Bank Insurance in Antebellum New York - to build a competitive advantage using analytics. The analytics driven competitive advantage can help State's Charters to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Use of Bitcoin and other crypto currencies for transactions
– The popularity of Bitcoin and other crypto currencies as asset class and medium of transaction has opened new opportunities for State's Charters in the consumer business. Now State's Charters can target international markets with far fewer capital restrictions requirements than the existing system.
Buying journey improvements
– State's Charters can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. The Campaign for Bank Insurance in Antebellum New York 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 State's Charters has opened avenues for new revenue streams for the organization in the industry. This can help State's Charters to build a more holistic ecosystem as suggested in the The Campaign for Bank Insurance in Antebellum New York case study. State's Charters can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Threats The Campaign for Bank Insurance in Antebellum New York External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study The Campaign for Bank Insurance in Antebellum New York are -
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, State's Charters can face downward pressure on margins from increasing competition from international players. The international players have stable revenue in their home market and can use those resources to penetrate prominent markets illustrated in HBR case study The Campaign for Bank Insurance in Antebellum New York .
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 State's Charters business can come under increasing regulations regarding data privacy, data security, etc.
Increasing wage structure of State's Charters
– 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 State's Charters.
Environmental challenges
– State's Charters 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. State's Charters can take advantage of this fund but it will also bring new competitors in the Finance & Accounting industry.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study The Campaign for Bank Insurance in Antebellum New York, State's Charters may face longer learning curve for training and development of existing employees. This can open space for more nimble competitors in the field of Finance & Accounting .
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents State's Charters with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
Consumer confidence and its impact on State's Charters 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.
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. State's Charters needs to understand the core reasons impacting the Finance & Accounting industry. This will help it in building a better workplace.
High dependence on third party suppliers
– State's Charters 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.
Regulatory challenges
– State's Charters 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 Finance & Accounting industry regulations.
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. State's Charters 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.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for State's Charters in the Finance & Accounting industry. The Finance & Accounting 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 Finance & Accounting field will also reduce the barriers to entry in the industry, thus putting downward pressure on the prices because of increasing competition. State's Charters 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 The Campaign for Bank Insurance in Antebellum New York Template, Example
Not all factors mentioned under the Strengths, Weakness, Opportunities, and Threats quadrants in the SWOT Analysis are equal. Managers in the HBR case study The Campaign for Bank Insurance in Antebellum New York needs to zero down on the relative importance of each factor mentioned in the Strengths, Weakness, Opportunities, and Threats quadrants.
We can provide the relative importance to each factor by assigning relative weights. Weighted SWOT analysis process is a three stage process –
First stage for doing weighted SWOT analysis of the case study The Campaign for Bank Insurance in Antebellum New York is to rank the strengths and weaknesses of the organization. This will help you to assess the most important strengths and weaknesses of the firm and which one of the strengths and weaknesses mentioned in the initial lists are marginal and can be left out.
Second stage for conducting weighted SWOT analysis of the Harvard case study The Campaign for Bank Insurance in Antebellum New York is to give probabilities to the external strategic factors thus better understanding the opportunities and threats arising out of macro environment changes and developments.
Third stage of constructing weighted SWOT analysis of The Campaign for Bank Insurance in Antebellum New York 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 State's Charters needs to make to build a sustainable competitive advantage.
