Case Study Description of Chief Timothy Adeola Odutola and Nigeria's Manufacturing Sector
Chief Timothy Adeola Odutola was an important contributor to Nigeria's manufacturing sector, creating a multimillion-dollar conglomerate including three factories, a retail franchise, a cattle ranch, a 5,000-acre plantation, a sawmill, and an exporting business before the end of British colonial rule in 1960. Seizing business opportunities as he saw demand, Odutola moved between markets at every opportunity, creating companies servicing a diverse variety of needs. Odutola's keen, unwavering interest in improving the infrastructure of Nigeria allowed him to enjoy a successful career in business and politics, despite the vastly fluctuating political landscape of Nigeria. From British rule through civil war and subsequent coups and countercoups, Odutola remained a popular leader for his commitment to promoting Nigerian business ventures. Elevated to Prime Minister of his tribe--the Ijebu-Ode--in 1956, and later selected as the first President of the Manufacturers Association of Nigeria (MAN), Odutola campaigned for manufacturing interests and consulted with government officials about national fiscal policy. As a statesman and as a business leader, Odutola worked tirelessly to improve the infrastructure of his country.
Authors :: Nitin Nohria, Anthony J. Mayo, Foluke Otudeko, Mark Benson
Swot Analysis of "Chief Timothy Adeola Odutola and Nigeria's Manufacturing Sector" written by Nitin Nohria, Anthony J. Mayo, Foluke Otudeko, Mark Benson includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Odutola Nigeria facing as an external strategic factors. Some of the topics covered in Chief Timothy Adeola Odutola and Nigeria's Manufacturing Sector case study are - Strategic Management Strategies, Emerging markets, Entrepreneurship, Leadership, Manufacturing, Social responsibility and Leadership & Managing People.
Some of the macro environment factors that can be used to understand the Chief Timothy Adeola Odutola and Nigeria's Manufacturing Sector casestudy better are - – digital marketing is dominated by two big players Facebook and Google, competitive advantages are harder to sustain because of technology dispersion, supply chains are disrupted by pandemic , talent flight as more people leaving formal jobs, increasing commodity prices, customer relationship management is fast transforming because of increasing concerns over data privacy, there is increasing trade war between United States & China,
increasing government debt because of Covid-19 spendings, geopolitical disruptions, etc
Introduction to SWOT Analysis of Chief Timothy Adeola Odutola and Nigeria's Manufacturing Sector
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Chief Timothy Adeola Odutola and Nigeria's Manufacturing Sector case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Odutola Nigeria, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Odutola Nigeria 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 Chief Timothy Adeola Odutola and Nigeria's Manufacturing Sector can be done for the following purposes –
1. Strategic planning using facts provided in Chief Timothy Adeola Odutola and Nigeria's Manufacturing Sector case study
2. Improving business portfolio management of Odutola Nigeria
3. Assessing feasibility of the new initiative in Leadership & Managing People field.
4. Making a Leadership & Managing People topic specific business decision
5. Set goals for the organization
6. Organizational restructuring of Odutola Nigeria
Strengths Chief Timothy Adeola Odutola and Nigeria's Manufacturing Sector | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Odutola Nigeria in Chief Timothy Adeola Odutola and Nigeria's Manufacturing Sector Harvard Business Review case study are -
Highly skilled collaborators
– Odutola Nigeria 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 Chief Timothy Adeola Odutola and Nigeria's Manufacturing Sector HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
Ability to lead change in Leadership & Managing People field
– Odutola Nigeria 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 Odutola Nigeria in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Operational resilience
– The operational resilience strategy in the Chief Timothy Adeola Odutola and Nigeria's Manufacturing Sector 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.
Training and development
– Odutola Nigeria has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in Chief Timothy Adeola Odutola and Nigeria's Manufacturing Sector 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.
Low bargaining power of suppliers
– Suppliers of Odutola Nigeria in the sector have low bargaining power. Chief Timothy Adeola Odutola and Nigeria's Manufacturing Sector has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Odutola Nigeria to manage not only supply disruptions but also source products at highly competitive prices.
Organizational Resilience of Odutola Nigeria
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Odutola Nigeria does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Cross disciplinary teams
– Horizontal connected teams at the Odutola Nigeria 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.
Strong track record of project management
– Odutola Nigeria is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Sustainable margins compare to other players in Leadership & Managing People industry
– Chief Timothy Adeola Odutola and Nigeria's Manufacturing Sector firm has clearly differentiated products in the market place. This has enabled Odutola Nigeria to fetch slight price premium compare to the competitors in the Leadership & Managing People industry. The sustainable margins have also helped Odutola Nigeria to invest into research and development (R&D) and innovation.
Successful track record of launching new products
– Odutola Nigeria has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Odutola Nigeria 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.
High switching costs
– The high switching costs that Odutola Nigeria 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.
Effective Research and Development (R&D)
– Odutola Nigeria 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 Chief Timothy Adeola Odutola and Nigeria's Manufacturing Sector - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Weaknesses Chief Timothy Adeola Odutola and Nigeria's Manufacturing Sector | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Chief Timothy Adeola Odutola and Nigeria's Manufacturing Sector are -
Products dominated business model
– Even though Odutola Nigeria 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 - Chief Timothy Adeola Odutola and Nigeria's Manufacturing Sector should strive to include more intangible value offerings along with its core products and services.
Capital Spending Reduction
– Even during the low interest decade, Odutola Nigeria 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.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study Chief Timothy Adeola Odutola and Nigeria's Manufacturing Sector, is just above the industry average. Odutola Nigeria 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.
No frontier risks strategy
– After analyzing the HBR case study Chief Timothy Adeola Odutola and Nigeria's Manufacturing Sector, it seems that company is thinking about the frontier risks that can impact Leadership & Managing People 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.
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 Odutola Nigeria supply chain. Even after few cautionary changes mentioned in the HBR case study - Chief Timothy Adeola Odutola and Nigeria's Manufacturing Sector, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Odutola Nigeria vulnerable to further global disruptions in South East Asia.
Aligning sales with marketing
– It come across in the case study Chief Timothy Adeola Odutola and Nigeria's Manufacturing Sector 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 Chief Timothy Adeola Odutola and Nigeria's Manufacturing Sector can leverage the sales team experience to cultivate customer relationships as Odutola Nigeria is planning to shift buying processes online.
High operating costs
– Compare to the competitors, firm in the HBR case study Chief Timothy Adeola Odutola and Nigeria's Manufacturing Sector 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 Odutola Nigeria 's lucrative customers.
High cash cycle compare to competitors
Odutola Nigeria 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.
Need for greater diversity
– Odutola Nigeria 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.
Increasing silos among functional specialists
– The organizational structure of Odutola Nigeria is dominated by functional specialists. It is not different from other players in the Leadership & Managing People segment. Odutola Nigeria needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Odutola Nigeria to focus more on services rather than just following the product oriented approach.
Workers concerns about automation
– As automation is fast increasing in the segment, Odutola Nigeria 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 Chief Timothy Adeola Odutola and Nigeria's Manufacturing Sector | 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 Chief Timothy Adeola Odutola and Nigeria's Manufacturing Sector are -
Developing new processes and practices
– Odutola Nigeria can develop new processes and procedures in Leadership & Managing People 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.
Building a culture of innovation
– managers at Odutola Nigeria can make experimentation a productive activity and build a culture of innovation using approaches such as – mining transaction data, A/B testing of websites and selling platforms, engaging potential customers over various needs, and building on small ideas in the Leadership & Managing People segment.
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 Odutola Nigeria in the consumer business. Now Odutola Nigeria can target international markets with far fewer capital restrictions requirements than the existing system.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Odutola Nigeria can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Loyalty marketing
– Odutola Nigeria 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.
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. Odutola Nigeria can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Creating value in data economy
– The success of analytics program of Odutola Nigeria has opened avenues for new revenue streams for the organization in the industry. This can help Odutola Nigeria to build a more holistic ecosystem as suggested in the Chief Timothy Adeola Odutola and Nigeria's Manufacturing Sector case study. Odutola Nigeria can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Odutola Nigeria can build a diversified supply chain model across various countries in - South East Asia, India, and other parts of the world. This reconfiguration of global supply chain can help, as suggested in case study, Chief Timothy Adeola Odutola and Nigeria's Manufacturing Sector, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Using analytics as competitive advantage
– Odutola Nigeria 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 Chief Timothy Adeola Odutola and Nigeria's Manufacturing Sector - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Odutola Nigeria to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Buying journey improvements
– Odutola Nigeria can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Chief Timothy Adeola Odutola and Nigeria's Manufacturing Sector 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.
Lowering marketing communication costs
– 5G expansion will open new opportunities for Odutola Nigeria in the field of marketing communication. It will bring down the cost of doing business, provide technology platform to build new products in the Leadership & Managing People segment, and it will provide faster access to the consumers.
Manufacturing automation
– Odutola Nigeria can use the latest technology developments to improve its manufacturing and designing process in Leadership & Managing People 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.
Finding new ways to collaborate
– Covid-19 has not only transformed business models of companies in Leadership & Managing People industry, but it has also influenced the consumer preferences. Odutola Nigeria can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Threats Chief Timothy Adeola Odutola and Nigeria's Manufacturing Sector External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Chief Timothy Adeola Odutola and Nigeria's Manufacturing Sector are -
Regulatory challenges
– Odutola Nigeria 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 Leadership & Managing People industry regulations.
High dependence on third party suppliers
– Odutola Nigeria 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.
Technology acceleration in Forth Industrial Revolution
– Odutola Nigeria has witnessed rapid integration of technology during Covid-19 in the Leadership & Managing People industry. As one of the leading players in the industry, Odutola Nigeria needs to keep up with the evolution of technology in the Leadership & Managing People sector. According to Mckinsey study top managers believe that the adoption of technology in operations, communications is 20-25 times faster than what they planned in the beginning of 2019.
Aging population
– As the populations of most advanced economies are aging, it will lead to high social security costs, higher savings among population, and lower demand for goods and services in the economy. The household savings in US, France, UK, Germany, and Japan are growing faster than predicted because of uncertainty caused by pandemic.
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. Odutola Nigeria needs to understand the core reasons impacting the Leadership & Managing People industry. This will help it in building a better workplace.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Odutola Nigeria in the Leadership & Managing People industry. The Leadership & Managing People 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.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Odutola Nigeria 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 Chief Timothy Adeola Odutola and Nigeria's Manufacturing Sector .
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 Odutola Nigeria business can come under increasing regulations regarding data privacy, data security, etc.
Consumer confidence and its impact on Odutola Nigeria 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.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study Chief Timothy Adeola Odutola and Nigeria's Manufacturing Sector, Odutola Nigeria may face longer learning curve for training and development of existing employees. This can open space for more nimble competitors in the field of Leadership & Managing People .
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. Odutola Nigeria 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.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Odutola Nigeria 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 Odutola Nigeria
– 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 Odutola Nigeria.
Weighted SWOT Analysis of Chief Timothy Adeola Odutola and Nigeria's Manufacturing Sector 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 Chief Timothy Adeola Odutola and Nigeria's Manufacturing Sector 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 Chief Timothy Adeola Odutola and Nigeria's Manufacturing Sector 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 Chief Timothy Adeola Odutola and Nigeria's Manufacturing Sector 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 Chief Timothy Adeola Odutola and Nigeria's Manufacturing Sector 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 Odutola Nigeria needs to make to build a sustainable competitive advantage.
