Swot Analysis of "B-W Footwear: Interview with Robert Siff, President, and Lawrence Siff, Video" written by David B. Yoffie includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Siff Footwear's facing as an external strategic factors. Some of the topics covered in B-W Footwear: Interview with Robert Siff, President, and Lawrence Siff, Video case study are - Strategic Management Strategies, Competitive strategy, Globalization and Global Business.
Some of the macro environment factors that can be used to understand the B-W Footwear: Interview with Robert Siff, President, and Lawrence Siff, Video casestudy better are - – increasing transportation and logistics costs, increasing household debt because of falling income levels, there is backlash against globalization, challanges to central banks by blockchain based private currencies, technology disruption, competitive advantages are harder to sustain because of technology dispersion, increasing inequality as vast percentage of new income is going to the top 1%,
geopolitical disruptions, cloud computing is disrupting traditional business models, etc
Introduction to SWOT Analysis of B-W Footwear: Interview with Robert Siff, President, and Lawrence Siff, Video
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in B-W Footwear: Interview with Robert Siff, President, and Lawrence Siff, Video case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Siff Footwear's, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Siff Footwear's 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 B-W Footwear: Interview with Robert Siff, President, and Lawrence Siff, Video can be done for the following purposes –
1. Strategic planning using facts provided in B-W Footwear: Interview with Robert Siff, President, and Lawrence Siff, Video case study
2. Improving business portfolio management of Siff Footwear's
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 Siff Footwear's
Strengths B-W Footwear: Interview with Robert Siff, President, and Lawrence Siff, Video | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Siff Footwear's in B-W Footwear: Interview with Robert Siff, President, and Lawrence Siff, Video Harvard Business Review case study are -
Ability to recruit top talent
– Siff Footwear's is one of the leading recruiters in the industry. Managers in the B-W Footwear: Interview with Robert Siff, President, and Lawrence Siff, Video are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
Diverse revenue streams
– Siff Footwear's is present in almost all the verticals within the industry. This has provided firm in B-W Footwear: Interview with Robert Siff, President, and Lawrence Siff, Video 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.
Superior customer experience
– The customer experience strategy of Siff Footwear's in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Learning organization
- Siff Footwear's 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 Siff Footwear's is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in B-W Footwear: Interview with Robert Siff, President, and Lawrence Siff, Video Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Cross disciplinary teams
– Horizontal connected teams at the Siff Footwear's 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.
High switching costs
– The high switching costs that Siff Footwear's 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.
Operational resilience
– The operational resilience strategy in the B-W Footwear: Interview with Robert Siff, President, and Lawrence Siff, Video 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.
Ability to lead change in Global Business field
– Siff Footwear's 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 Siff Footwear's in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Strong track record of project management
– Siff Footwear's is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Analytics focus
– Siff Footwear's 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 David B. Yoffie 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.
Training and development
– Siff Footwear's has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in B-W Footwear: Interview with Robert Siff, President, and Lawrence Siff, Video 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.
Digital Transformation in Global Business segment
- digital transformation varies from industry to industry. For Siff Footwear's digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Siff Footwear's 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.
Weaknesses B-W Footwear: Interview with Robert Siff, President, and Lawrence Siff, Video | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of B-W Footwear: Interview with Robert Siff, President, and Lawrence Siff, Video are -
Increasing silos among functional specialists
– The organizational structure of Siff Footwear's is dominated by functional specialists. It is not different from other players in the Global Business segment. Siff Footwear's needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Siff Footwear's to focus more on services rather than just following the product oriented approach.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study B-W Footwear: Interview with Robert Siff, President, and Lawrence Siff, Video, is just above the industry average. Siff Footwear's 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.
Aligning sales with marketing
– It come across in the case study B-W Footwear: Interview with Robert Siff, President, and Lawrence Siff, Video 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 B-W Footwear: Interview with Robert Siff, President, and Lawrence Siff, Video can leverage the sales team experience to cultivate customer relationships as Siff Footwear's is planning to shift buying processes online.
High bargaining power of channel partners
– Because of the regulatory requirements, David B. Yoffie suggests that, Siff Footwear's is facing high bargaining power of the channel partners. So far it has not able to streamline the operations to reduce the bargaining power of the value chain partners in the industry.
Lack of clear differentiation of Siff Footwear's products
– To increase the profitability and margins on the products, Siff Footwear's needs to provide more differentiated products than what it is currently offering in the marketplace.
Interest costs
– Compare to the competition, Siff Footwear's 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.
High cash cycle compare to competitors
Siff Footwear's 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.
Slow decision making process
– As mentioned earlier in the report, Siff Footwear's 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. Siff Footwear's 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.
Workers concerns about automation
– As automation is fast increasing in the segment, Siff Footwear's 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.
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 Siff Footwear's supply chain. Even after few cautionary changes mentioned in the HBR case study - B-W Footwear: Interview with Robert Siff, President, and Lawrence Siff, Video, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Siff Footwear's vulnerable to further global disruptions in South East Asia.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Siff Footwear's is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study B-W Footwear: Interview with Robert Siff, President, and Lawrence Siff, Video can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
Opportunities B-W Footwear: Interview with Robert Siff, President, and Lawrence Siff, Video | 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 B-W Footwear: Interview with Robert Siff, President, and Lawrence Siff, Video are -
Learning at scale
– Online learning technologies has now opened space for Siff Footwear's 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.
Better consumer reach
– The expansion of the 5G network will help Siff Footwear's to increase its market reach. Siff Footwear's 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.
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 Siff Footwear's in the consumer business. Now Siff Footwear's can target international markets with far fewer capital restrictions requirements than the existing system.
Creating value in data economy
– The success of analytics program of Siff Footwear's has opened avenues for new revenue streams for the organization in the industry. This can help Siff Footwear's to build a more holistic ecosystem as suggested in the B-W Footwear: Interview with Robert Siff, President, and Lawrence Siff, Video case study. Siff Footwear's can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Manufacturing automation
– Siff Footwear's can use the latest technology developments to improve its manufacturing and designing process in Global Business 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.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Siff Footwear's is facing challenges because of the dominance of functional experts in the organization. B-W Footwear: Interview with Robert Siff, President, and Lawrence Siff, Video 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.
Leveraging digital technologies
– Siff Footwear's 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.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Siff Footwear's 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 Siff Footwear's to hire the very best people irrespective of their geographical location.
Low interest rates
– Even though inflation is raising its head in most developed economies, Siff Footwear's 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.
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. Siff Footwear's can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Developing new processes and practices
– Siff Footwear's 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.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Siff Footwear's can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
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 Siff Footwear's 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.
Threats B-W Footwear: Interview with Robert Siff, President, and Lawrence Siff, Video External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study B-W Footwear: Interview with Robert Siff, President, and Lawrence Siff, Video are -
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 Siff Footwear's business can come under increasing regulations regarding data privacy, data security, etc.
Shortening product life cycle
– it is one of the major threat that Siff Footwear's is facing in Global Business sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
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 Siff Footwear's.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Siff Footwear's with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
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. Siff Footwear's 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.
Stagnating economy with rate increase
– Siff Footwear's 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.
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. Siff Footwear's can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study B-W Footwear: Interview with Robert Siff, President, and Lawrence Siff, Video, Siff Footwear's 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 .
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Siff Footwear's in the Global Business industry. The Global Business 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.
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 Siff Footwear's in the Global Business sector and impact the bottomline of the organization.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Siff Footwear's 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 B-W Footwear: Interview with Robert Siff, President, and Lawrence Siff, Video .
Increasing wage structure of Siff Footwear's
– 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 Siff Footwear's.
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.
Weighted SWOT Analysis of B-W Footwear: Interview with Robert Siff, President, and Lawrence Siff, Video 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 B-W Footwear: Interview with Robert Siff, President, and Lawrence Siff, Video 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 B-W Footwear: Interview with Robert Siff, President, and Lawrence Siff, Video 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 B-W Footwear: Interview with Robert Siff, President, and Lawrence Siff, Video 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 B-W Footwear: Interview with Robert Siff, President, and Lawrence Siff, Video 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 Siff Footwear's needs to make to build a sustainable competitive advantage.
