Case Study Description of Jieliang Phone Home! (C)
At Precision Electro-Tek's mobile phone manufacturing facility in southern China, thousands of operators - bright and capable young men and (mostly) women like Jieliang Hao are motivated to improve line productivity through small innovations for faster assembly and have discovered many ways to increase their performance. Meanwhile a globally-networked team of manufacturing experts led by Marty Cole, the case protagonist, is trying to spread best practice from other sites around the globe. Unfortunately these two processes sometimes inadvertently clash, presenting a management challenge. The case helps students examine the implicit assumptions managers make in organizing work inside a factory. These assumptions reflect theories of worker behavior and motivation in combination with managers' beliefs of what constitutes "best practice." Students are offered an opportunity to dissect these lean manufacturing theories and recognize that in this particular implementation, implementation of best practice without sufficient consideration of the interplay of theories on motivation has led to unexpected outcomes. The case offers an opportunity to explore the link between work design and compensation, and understand the differences between compensation and motivation. The case frames the role of the general manager in setting up work structures and compensation systems in a very traditional and explicit setting, one where linkages should be clearly visible yet assumptions are often deeply buried and implicit. Our expectation is that students will see the lessons generalize to most, if not all, of the organizations where they have worked. There are three cases: the (A) case describes the management view, the (B) case describes the direct labor worker view, and the (C) case details the results of an employee survey that was conducted on two manufacturing lines.
Authors :: Willy Shih, Ethan S. Bernstein, Nina Bilimoria
Swot Analysis of "Jieliang Phone Home! (C)" written by Willy Shih, Ethan S. Bernstein, Nina Bilimoria includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Jieliang Theories facing as an external strategic factors. Some of the topics covered in Jieliang Phone Home! (C) case study are - Strategic Management Strategies, Compensation, Motivating people, Workspaces and Global Business.
Some of the macro environment factors that can be used to understand the Jieliang Phone Home! (C) casestudy better are - – competitive advantages are harder to sustain because of technology dispersion, central banks are concerned over increasing inflation, increasing household debt because of falling income levels, wage bills are increasing, banking and financial system is disrupted by Bitcoin and other crypto currencies, geopolitical disruptions, increasing inequality as vast percentage of new income is going to the top 1%,
challanges to central banks by blockchain based private currencies, cloud computing is disrupting traditional business models, etc
Introduction to SWOT Analysis of Jieliang Phone Home! (C)
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Jieliang Phone Home! (C) case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Jieliang Theories, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Jieliang Theories 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 Jieliang Phone Home! (C) can be done for the following purposes –
1. Strategic planning using facts provided in Jieliang Phone Home! (C) case study
2. Improving business portfolio management of Jieliang Theories
3. Assessing feasibility of the new initiative in Global Business field.
4. Making a Global Business topic specific business decision
5. Set goals for the organization
6. Organizational restructuring of Jieliang Theories
Strengths Jieliang Phone Home! (C) | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Jieliang Theories in Jieliang Phone Home! (C) Harvard Business Review case study are -
Operational resilience
– The operational resilience strategy in the Jieliang Phone Home! (C) 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.
Effective Research and Development (R&D)
– Jieliang Theories 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 Jieliang Phone Home! (C) - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Sustainable margins compare to other players in Global Business industry
– Jieliang Phone Home! (C) firm has clearly differentiated products in the market place. This has enabled Jieliang Theories to fetch slight price premium compare to the competitors in the Global Business industry. The sustainable margins have also helped Jieliang Theories to invest into research and development (R&D) and innovation.
Training and development
– Jieliang Theories has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in Jieliang Phone Home! (C) 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
– Jieliang Theories is one of the leading recruiters in the industry. Managers in the Jieliang Phone Home! (C) are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
Learning organization
- Jieliang Theories 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 Jieliang Theories is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Jieliang Phone Home! (C) Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Innovation driven organization
– Jieliang Theories is one of the most innovative firm in sector. Manager in Jieliang Phone Home! (C) Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
High switching costs
– The high switching costs that Jieliang Theories 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.
Superior customer experience
– The customer experience strategy of Jieliang Theories in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Digital Transformation in Global Business segment
- digital transformation varies from industry to industry. For Jieliang Theories digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Jieliang Theories 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.
Low bargaining power of suppliers
– Suppliers of Jieliang Theories in the sector have low bargaining power. Jieliang Phone Home! (C) has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Jieliang Theories to manage not only supply disruptions but also source products at highly competitive prices.
Highly skilled collaborators
– Jieliang Theories 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 Jieliang Phone Home! (C) HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
Weaknesses Jieliang Phone Home! (C) | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Jieliang Phone Home! (C) are -
Lack of clear differentiation of Jieliang Theories products
– To increase the profitability and margins on the products, Jieliang Theories needs to provide more differentiated products than what it is currently offering in the marketplace.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Jieliang Theories is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study Jieliang Phone Home! (C) can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
Low market penetration in new markets
– Outside its home market of Jieliang Theories, firm in the HBR case study Jieliang Phone Home! (C) needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
Workers concerns about automation
– As automation is fast increasing in the segment, Jieliang Theories 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.
Capital Spending Reduction
– Even during the low interest decade, Jieliang Theories 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.
Slow decision making process
– As mentioned earlier in the report, Jieliang Theories 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. Jieliang Theories 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.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study Jieliang Phone Home! (C), in the dynamic environment Jieliang Theories has struggled to respond to the nimble upstart competition. Jieliang Theories has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
Skills based hiring
– The stress on hiring functional specialists at Jieliang Theories 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.
High dependence on star products
– The top 2 products and services of the firm as mentioned in the Jieliang Phone Home! (C) 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 Jieliang Theories has relatively successful track record of launching new products.
Products dominated business model
– Even though Jieliang Theories 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 - Jieliang Phone Home! (C) should strive to include more intangible value offerings along with its core products and services.
Need for greater diversity
– Jieliang Theories 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.
Opportunities Jieliang Phone Home! (C) | 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 Jieliang Phone Home! (C) are -
Better consumer reach
– The expansion of the 5G network will help Jieliang Theories to increase its market reach. Jieliang Theories 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.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Jieliang Theories 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 Jieliang Theories to hire the very best people irrespective of their geographical location.
Loyalty marketing
– Jieliang Theories 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.
Creating value in data economy
– The success of analytics program of Jieliang Theories has opened avenues for new revenue streams for the organization in the industry. This can help Jieliang Theories to build a more holistic ecosystem as suggested in the Jieliang Phone Home! (C) case study. Jieliang Theories can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Developing new processes and practices
– Jieliang Theories can develop new processes and procedures in Global Business 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.
Lowering marketing communication costs
– 5G expansion will open new opportunities for Jieliang Theories in the field of marketing communication. It will bring down the cost of doing business, provide technology platform to build new products in the Global Business segment, and it will provide faster access to the consumers.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Jieliang Theories can use these opportunities to build new business models that can help the communities that Jieliang Theories operates in. Secondly it can use opportunities from government spending in Global Business sector.
Using analytics as competitive advantage
– Jieliang Theories 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 Jieliang Phone Home! (C) - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Jieliang Theories to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Finding new ways to collaborate
– Covid-19 has not only transformed business models of companies in Global Business industry, but it has also influenced the consumer preferences. Jieliang Theories can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
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 Jieliang Theories 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.
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 Jieliang Theories in the consumer business. Now Jieliang Theories can target international markets with far fewer capital restrictions requirements than the existing system.
Buying journey improvements
– Jieliang Theories can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Jieliang Phone Home! (C) 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.
Low interest rates
– Even though inflation is raising its head in most developed economies, Jieliang Theories 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.
Threats Jieliang Phone Home! (C) External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Jieliang Phone Home! (C) are -
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. Jieliang Theories needs to understand the core reasons impacting the Global Business industry. This will help it in building a better workplace.
Easy access to finance
– Easy access to finance in Global Business field will also reduce the barriers to entry in the industry, thus putting downward pressure on the prices because of increasing competition. Jieliang Theories can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Technology acceleration in Forth Industrial Revolution
– Jieliang Theories has witnessed rapid integration of technology during Covid-19 in the Global Business industry. As one of the leading players in the industry, Jieliang Theories needs to keep up with the evolution of technology in the Global Business 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.
Regulatory challenges
– Jieliang Theories 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 Global Business industry regulations.
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 Jieliang Theories in the Global Business sector and impact the bottomline of the organization.
Shortening product life cycle
– it is one of the major threat that Jieliang Theories is facing in Global Business sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
High dependence on third party suppliers
– Jieliang Theories 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.
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 Jieliang Theories business can come under increasing regulations regarding data privacy, data security, etc.
Stagnating economy with rate increase
– Jieliang Theories 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 Jieliang Phone Home! (C), Jieliang Theories may face longer learning curve for training and development of existing employees. This can open space for more nimble competitors in the field of Global Business .
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.
Increasing wage structure of Jieliang Theories
– 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 Jieliang Theories.
Environmental challenges
– Jieliang Theories 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. Jieliang Theories can take advantage of this fund but it will also bring new competitors in the Global Business industry.
Weighted SWOT Analysis of Jieliang Phone Home! (C) 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 Jieliang Phone Home! (C) 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 Jieliang Phone Home! (C) 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 Jieliang Phone Home! (C) 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 Jieliang Phone Home! (C) 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 Jieliang Theories needs to make to build a sustainable competitive advantage.