Swot Analysis of "Ncc Construction Danmark (B): Transforming The Industry" written by Bala Chakravarthy, Sophie Coughlan includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Imd588 Danmark facing as an external strategic factors. Some of the topics covered in Ncc Construction Danmark (B): Transforming The Industry case study are - Strategic Management Strategies, and Leadership & Managing People.
Some of the macro environment factors that can be used to understand the Ncc Construction Danmark (B): Transforming The Industry casestudy better are - – there is backlash against globalization, there is increasing trade war between United States & China, customer relationship management is fast transforming because of increasing concerns over data privacy, competitive advantages are harder to sustain because of technology dispersion, increasing commodity prices, digital marketing is dominated by two big players Facebook and Google, challanges to central banks by blockchain based private currencies,
cloud computing is disrupting traditional business models, increasing energy prices, etc
Introduction to SWOT Analysis of Ncc Construction Danmark (B): Transforming The Industry
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Ncc Construction Danmark (B): Transforming The Industry case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Imd588 Danmark, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Imd588 Danmark 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 Ncc Construction Danmark (B): Transforming The Industry can be done for the following purposes –
1. Strategic planning using facts provided in Ncc Construction Danmark (B): Transforming The Industry case study
2. Improving business portfolio management of Imd588 Danmark
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 Imd588 Danmark
Strengths Ncc Construction Danmark (B): Transforming The Industry | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Imd588 Danmark in Ncc Construction Danmark (B): Transforming The Industry Harvard Business Review case study are -
Effective Research and Development (R&D)
– Imd588 Danmark 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 Ncc Construction Danmark (B): Transforming The Industry - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Cross disciplinary teams
– Horizontal connected teams at the Imd588 Danmark 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 Imd588 Danmark 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
- Imd588 Danmark 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 Imd588 Danmark is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Ncc Construction Danmark (B): Transforming The Industry Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Operational resilience
– The operational resilience strategy in the Ncc Construction Danmark (B): Transforming The Industry 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.
Successful track record of launching new products
– Imd588 Danmark has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Imd588 Danmark 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.
Ability to lead change in Leadership & Managing People field
– Imd588 Danmark 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 Imd588 Danmark in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Low bargaining power of suppliers
– Suppliers of Imd588 Danmark in the sector have low bargaining power. Ncc Construction Danmark (B): Transforming The Industry has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Imd588 Danmark to manage not only supply disruptions but also source products at highly competitive prices.
Innovation driven organization
– Imd588 Danmark is one of the most innovative firm in sector. Manager in Ncc Construction Danmark (B): Transforming The Industry 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
– Imd588 Danmark has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in Ncc Construction Danmark (B): Transforming The Industry 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.
High brand equity
– Imd588 Danmark has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Imd588 Danmark to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Organizational Resilience of Imd588 Danmark
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Imd588 Danmark does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Weaknesses Ncc Construction Danmark (B): Transforming The Industry | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Ncc Construction Danmark (B): Transforming The Industry are -
High cash cycle compare to competitors
Imd588 Danmark 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.
Interest costs
– Compare to the competition, Imd588 Danmark 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 bargaining power of channel partners
– Because of the regulatory requirements, Bala Chakravarthy, Sophie Coughlan suggests that, Imd588 Danmark 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.
Increasing silos among functional specialists
– The organizational structure of Imd588 Danmark is dominated by functional specialists. It is not different from other players in the Leadership & Managing People segment. Imd588 Danmark needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Imd588 Danmark to focus more on services rather than just following the product oriented approach.
Low market penetration in new markets
– Outside its home market of Imd588 Danmark, firm in the HBR case study Ncc Construction Danmark (B): Transforming The Industry needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Imd588 Danmark is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study Ncc Construction Danmark (B): Transforming The Industry 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 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 Imd588 Danmark supply chain. Even after few cautionary changes mentioned in the HBR case study - Ncc Construction Danmark (B): Transforming The Industry, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Imd588 Danmark vulnerable to further global disruptions in South East Asia.
No frontier risks strategy
– After analyzing the HBR case study Ncc Construction Danmark (B): Transforming The Industry, 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.
Employees’ incomplete understanding of strategy
– From the instances in the HBR case study Ncc Construction Danmark (B): Transforming The Industry, it seems that the employees of Imd588 Danmark 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.
Products dominated business model
– Even though Imd588 Danmark 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 - Ncc Construction Danmark (B): Transforming The Industry should strive to include more intangible value offerings along with its core products and services.
Aligning sales with marketing
– It come across in the case study Ncc Construction Danmark (B): Transforming The Industry 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 Ncc Construction Danmark (B): Transforming The Industry can leverage the sales team experience to cultivate customer relationships as Imd588 Danmark is planning to shift buying processes online.
Opportunities Ncc Construction Danmark (B): Transforming The Industry | 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 Ncc Construction Danmark (B): Transforming The Industry are -
Low interest rates
– Even though inflation is raising its head in most developed economies, Imd588 Danmark 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.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Imd588 Danmark can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
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 Imd588 Danmark in the consumer business. Now Imd588 Danmark can target international markets with far fewer capital restrictions requirements than the existing system.
Using analytics as competitive advantage
– Imd588 Danmark 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 Ncc Construction Danmark (B): Transforming The Industry - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Imd588 Danmark to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Imd588 Danmark 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, Ncc Construction Danmark (B): Transforming The Industry, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Manufacturing automation
– Imd588 Danmark 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.
Changes in consumer behavior post Covid-19
– Consumer behavior has changed in the Leadership & Managing People industry because of Covid-19 restrictions. Some of this behavior will stay once things get back to normal. Imd588 Danmark 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. Imd588 Danmark 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.
Creating value in data economy
– The success of analytics program of Imd588 Danmark has opened avenues for new revenue streams for the organization in the industry. This can help Imd588 Danmark to build a more holistic ecosystem as suggested in the Ncc Construction Danmark (B): Transforming The Industry case study. Imd588 Danmark can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Imd588 Danmark is facing challenges because of the dominance of functional experts in the organization. Ncc Construction Danmark (B): Transforming The Industry 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.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Imd588 Danmark can use these opportunities to build new business models that can help the communities that Imd588 Danmark operates in. Secondly it can use opportunities from government spending in Leadership & Managing People sector.
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. Imd588 Danmark can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Building a culture of innovation
– managers at Imd588 Danmark 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.
Better consumer reach
– The expansion of the 5G network will help Imd588 Danmark to increase its market reach. Imd588 Danmark 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.
Threats Ncc Construction Danmark (B): Transforming The Industry External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Ncc Construction Danmark (B): Transforming The Industry are -
High dependence on third party suppliers
– Imd588 Danmark 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.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Imd588 Danmark 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 Ncc Construction Danmark (B): Transforming The Industry .
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.
Easy access to finance
– Easy access to finance in Leadership & Managing People field will also reduce the barriers to entry in the industry, thus putting downward pressure on the prices because of increasing competition. Imd588 Danmark can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Imd588 Danmark 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.
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 Imd588 Danmark business can come under increasing regulations regarding data privacy, data security, 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 Imd588 Danmark.
Technology acceleration in Forth Industrial Revolution
– Imd588 Danmark has witnessed rapid integration of technology during Covid-19 in the Leadership & Managing People industry. As one of the leading players in the industry, Imd588 Danmark 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.
Regulatory challenges
– Imd588 Danmark 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.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Imd588 Danmark 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 Imd588 Danmark
– 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 Imd588 Danmark.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study Ncc Construction Danmark (B): Transforming The Industry, Imd588 Danmark 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. Imd588 Danmark 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 Ncc Construction Danmark (B): Transforming The Industry 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 Ncc Construction Danmark (B): Transforming The Industry 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 Ncc Construction Danmark (B): Transforming The Industry 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 Ncc Construction Danmark (B): Transforming The Industry 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 Ncc Construction Danmark (B): Transforming The Industry 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 Imd588 Danmark needs to make to build a sustainable competitive advantage.