Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
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Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time
In an era of rapidly evolving systems of health care delivery, the impact on patients, physicians, hospitals, medical device manufacturers and small business owners are often conflicting. This case highlights these conflicts and stressors from all perspectives, providing unique insights and offering potential options.
Authors :: Srikant M. Datar, Michael R. Jaff, Caitlin N. Bowler
Swot Analysis of "Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time" written by Srikant M. Datar, Michael R. Jaff, Caitlin N. Bowler includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Contempo Sievers facing as an external strategic factors. Some of the topics covered in Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time case study are - Strategic Management Strategies, and Finance & Accounting.
Some of the macro environment factors that can be used to understand the Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time casestudy better are - – central banks are concerned over increasing inflation, customer relationship management is fast transforming because of increasing concerns over data privacy, competitive advantages are harder to sustain because of technology dispersion, increasing inequality as vast percentage of new income is going to the top 1%, there is backlash against globalization, digital marketing is dominated by two big players Facebook and Google, wage bills are increasing,
there is increasing trade war between United States & China, talent flight as more people leaving formal jobs, etc
Introduction to SWOT Analysis of Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Contempo Sievers, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Contempo Sievers 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 Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time can be done for the following purposes –
1. Strategic planning using facts provided in Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time case study
2. Improving business portfolio management of Contempo Sievers
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 Contempo Sievers
Strengths Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Contempo Sievers in Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time Harvard Business Review case study are -
Digital Transformation in Finance & Accounting segment
- digital transformation varies from industry to industry. For Contempo Sievers digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Contempo Sievers 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
– Contempo Sievers 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 Srikant M. Datar, Michael R. Jaff, Caitlin N. Bowler 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.
Innovation driven organization
– Contempo Sievers is one of the most innovative firm in sector. Manager in Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Training and development
– Contempo Sievers has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time 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.
Highly skilled collaborators
– Contempo Sievers has highly efficient outsourcing and offshoring strategy. It has resulted in greater operational flexibility and bringing down the costs in highly price sensitive segment. Secondly the value chain collaborators of the firm in Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
Successful track record of launching new products
– Contempo Sievers has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Contempo Sievers 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.
Low bargaining power of suppliers
– Suppliers of Contempo Sievers in the sector have low bargaining power. Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Contempo Sievers to manage not only supply disruptions but also source products at highly competitive prices.
Cross disciplinary teams
– Horizontal connected teams at the Contempo Sievers 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
– Contempo Sievers is one of the leading recruiters in the industry. Managers in the Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
Operational resilience
– The operational resilience strategy in the Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time 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 switching costs
– The high switching costs that Contempo Sievers 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
- Contempo Sievers 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 Contempo Sievers is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Weaknesses Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time are -
Products dominated business model
– Even though Contempo Sievers 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 - Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time should strive to include more intangible value offerings along with its core products and services.
Capital Spending Reduction
– Even during the low interest decade, Contempo Sievers 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 Contempo Sievers products
– To increase the profitability and margins on the products, Contempo Sievers needs to provide more differentiated products than what it is currently offering in the marketplace.
Employees’ incomplete understanding of strategy
– From the instances in the HBR case study Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time, it seems that the employees of Contempo Sievers 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.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Contempo Sievers is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
High dependence on star products
– The top 2 products and services of the firm as mentioned in the Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time 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 Contempo Sievers has relatively successful track record of launching new products.
Slow decision making process
– As mentioned earlier in the report, Contempo Sievers 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. Contempo Sievers 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.
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 Contempo Sievers supply chain. Even after few cautionary changes mentioned in the HBR case study - Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Contempo Sievers vulnerable to further global disruptions in South East Asia.
Increasing silos among functional specialists
– The organizational structure of Contempo Sievers is dominated by functional specialists. It is not different from other players in the Finance & Accounting segment. Contempo Sievers needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Contempo Sievers to focus more on services rather than just following the product oriented approach.
Skills based hiring
– The stress on hiring functional specialists at Contempo Sievers has created an environment where the organization is dominated by functional specialists rather than management generalist. This has resulted into product oriented approach rather than marketing oriented approach or consumers oriented approach.
No frontier risks strategy
– After analyzing the HBR case study Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time, it seems that company is thinking about the frontier risks that can impact Finance & Accounting 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.
Opportunities Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time | 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 Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time are -
Learning at scale
– Online learning technologies has now opened space for Contempo Sievers 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.
Creating value in data economy
– The success of analytics program of Contempo Sievers has opened avenues for new revenue streams for the organization in the industry. This can help Contempo Sievers to build a more holistic ecosystem as suggested in the Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time case study. Contempo Sievers 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 Finance & Accounting industry because of Covid-19 restrictions. Some of this behavior will stay once things get back to normal. Contempo Sievers 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. Contempo Sievers 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.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Contempo Sievers 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. Contempo Sievers can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Developing new processes and practices
– Contempo Sievers 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.
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 Contempo Sievers in the consumer business. Now Contempo Sievers can target international markets with far fewer capital restrictions requirements than the existing system.
Leveraging digital technologies
– Contempo Sievers 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.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Contempo Sievers can use these opportunities to build new business models that can help the communities that Contempo Sievers operates in. Secondly it can use opportunities from government spending in Finance & Accounting sector.
Manufacturing automation
– Contempo Sievers 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.
Better consumer reach
– The expansion of the 5G network will help Contempo Sievers to increase its market reach. Contempo Sievers 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.
Buying journey improvements
– Contempo Sievers can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time 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.
Loyalty marketing
– Contempo Sievers 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.
Threats Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time are -
Shortening product life cycle
– it is one of the major threat that Contempo Sievers is facing in Finance & Accounting sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
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.
Stagnating economy with rate increase
– Contempo Sievers 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.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Contempo Sievers 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.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Contempo Sievers with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
Increasing wage structure of Contempo Sievers
– 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 Contempo Sievers.
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. Contempo Sievers needs to understand the core reasons impacting the Finance & Accounting industry. This will help it in building a better workplace.
Regulatory challenges
– Contempo Sievers 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.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Contempo Sievers 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 Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time .
Capital market disruption
– During the Covid-19, Dow Jones has touched record high. The valuations of a number of companies are way beyond their existing business model potential. This can lead to capital market correction which can put a number of suppliers, collaborators, value chain partners in great financial difficulty. It will directly impact the business of Contempo Sievers.
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. Contempo Sievers can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Consumer confidence and its impact on Contempo Sievers 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.
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. Contempo Sievers 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 Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time 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 Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time 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 Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time 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 Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time 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 Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time 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 Contempo Sievers needs to make to build a sustainable competitive advantage.
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