Stress and the City (B): AntA?nio Horta-OsA?rio, CEO of Lloyds Banking Group SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Leadership & Managing People
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of Stress and the City (B): AntA?nio Horta-OsA?rio, CEO of Lloyds Banking Group
After announcing the sudden medical leave of absence of AntA?nio Horta OsA?rio, CEO of Lloyd's Banking Group, the challenge facing the board was unprecedented. They would have to take immediate action to ensure interim leadership, and plan for the future. Should AntA?nio Horta OsA?rio return as CEO? If so, under what conditions? The board could only begin to answer these questions by addressing the source of the problem: What had caused their highly experienced and previously successful CEO to burn out? And how could they prevent it from happening again? Their collective knowledge of finance and the vicissitudes of global markets was broad and deep, but now they would be forced to discuss the undiscussable: the taboo of senior executive stress.
Authors :: Jean-Francois Manzoni, Elizabeth Florent-Treacy
Swot Analysis of "Stress and the City (B): AntA?nio Horta-OsA?rio, CEO of Lloyds Banking Group" written by Jean-Francois Manzoni, Elizabeth Florent-Treacy includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Anta Horta facing as an external strategic factors. Some of the topics covered in Stress and the City (B): AntA?nio Horta-OsA?rio, CEO of Lloyds Banking Group case study are - Strategic Management Strategies, Stress and Leadership & Managing People.
Some of the macro environment factors that can be used to understand the Stress and the City (B): AntA?nio Horta-OsA?rio, CEO of Lloyds Banking Group casestudy better are - – cloud computing is disrupting traditional business models, increasing transportation and logistics costs, digital marketing is dominated by two big players Facebook and Google, wage bills are increasing, increasing inequality as vast percentage of new income is going to the top 1%, geopolitical disruptions, customer relationship management is fast transforming because of increasing concerns over data privacy,
increasing government debt because of Covid-19 spendings, there is increasing trade war between United States & China, etc
Introduction to SWOT Analysis of Stress and the City (B): AntA?nio Horta-OsA?rio, CEO of Lloyds Banking Group
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Stress and the City (B): AntA?nio Horta-OsA?rio, CEO of Lloyds Banking Group case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Anta Horta, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Anta Horta 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 Stress and the City (B): AntA?nio Horta-OsA?rio, CEO of Lloyds Banking Group can be done for the following purposes –
1. Strategic planning using facts provided in Stress and the City (B): AntA?nio Horta-OsA?rio, CEO of Lloyds Banking Group case study
2. Improving business portfolio management of Anta Horta
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 Anta Horta
Strengths Stress and the City (B): AntA?nio Horta-OsA?rio, CEO of Lloyds Banking Group | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Anta Horta in Stress and the City (B): AntA?nio Horta-OsA?rio, CEO of Lloyds Banking Group Harvard Business Review case study are -
Successful track record of launching new products
– Anta Horta has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Anta Horta 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.
Learning organization
- Anta Horta 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 Anta Horta is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Stress and the City (B): AntA?nio Horta-OsA?rio, CEO of Lloyds Banking Group Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Effective Research and Development (R&D)
– Anta Horta 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 Stress and the City (B): AntA?nio Horta-OsA?rio, CEO of Lloyds Banking Group - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Operational resilience
– The operational resilience strategy in the Stress and the City (B): AntA?nio Horta-OsA?rio, CEO of Lloyds Banking Group 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.
Superior customer experience
– The customer experience strategy of Anta Horta in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Cross disciplinary teams
– Horizontal connected teams at the Anta Horta 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 Anta Horta 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.
Analytics focus
– Anta Horta 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 Jean-Francois Manzoni, Elizabeth Florent-Treacy 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.
Diverse revenue streams
– Anta Horta is present in almost all the verticals within the industry. This has provided firm in Stress and the City (B): AntA?nio Horta-OsA?rio, CEO of Lloyds Banking Group 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.
High brand equity
– Anta Horta has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Anta Horta to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Strong track record of project management
– Anta Horta is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Ability to lead change in Leadership & Managing People field
– Anta Horta 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 Anta Horta in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Weaknesses Stress and the City (B): AntA?nio Horta-OsA?rio, CEO of Lloyds Banking Group | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Stress and the City (B): AntA?nio Horta-OsA?rio, CEO of Lloyds Banking Group are -
No frontier risks strategy
– After analyzing the HBR case study Stress and the City (B): AntA?nio Horta-OsA?rio, CEO of Lloyds Banking Group, 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.
Products dominated business model
– Even though Anta Horta 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 - Stress and the City (B): AntA?nio Horta-OsA?rio, CEO of Lloyds Banking Group should strive to include more intangible value offerings along with its core products and services.
Slow decision making process
– As mentioned earlier in the report, Anta Horta 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. Anta Horta 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.
Employees’ incomplete understanding of strategy
– From the instances in the HBR case study Stress and the City (B): AntA?nio Horta-OsA?rio, CEO of Lloyds Banking Group, it seems that the employees of Anta Horta 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.
Capital Spending Reduction
– Even during the low interest decade, Anta Horta 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.
High cash cycle compare to competitors
Anta Horta 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.
Aligning sales with marketing
– It come across in the case study Stress and the City (B): AntA?nio Horta-OsA?rio, CEO of Lloyds Banking Group 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 Stress and the City (B): AntA?nio Horta-OsA?rio, CEO of Lloyds Banking Group can leverage the sales team experience to cultivate customer relationships as Anta Horta is planning to shift buying processes online.
Low market penetration in new markets
– Outside its home market of Anta Horta, firm in the HBR case study Stress and the City (B): AntA?nio Horta-OsA?rio, CEO of Lloyds Banking Group needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
Skills based hiring
– The stress on hiring functional specialists at Anta Horta 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 operating costs
– Compare to the competitors, firm in the HBR case study Stress and the City (B): AntA?nio Horta-OsA?rio, CEO of Lloyds Banking Group 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 Anta Horta 's lucrative customers.
Need for greater diversity
– Anta Horta 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 Stress and the City (B): AntA?nio Horta-OsA?rio, CEO of Lloyds Banking Group | 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 Stress and the City (B): AntA?nio Horta-OsA?rio, CEO of Lloyds Banking Group are -
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 Anta Horta 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.
Manufacturing automation
– Anta Horta 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.
Better consumer reach
– The expansion of the 5G network will help Anta Horta to increase its market reach. Anta Horta will be able to reach out to new customers. Secondly 5G will also provide technology framework to build new tools and products that can help more immersive consumer experience and faster consumer journey.
Buying journey improvements
– Anta Horta can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Stress and the City (B): AntA?nio Horta-OsA?rio, CEO of Lloyds Banking Group 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.
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. Anta Horta can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Developing new processes and practices
– Anta Horta 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.
Learning at scale
– Online learning technologies has now opened space for Anta Horta 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.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Anta Horta can use these opportunities to build new business models that can help the communities that Anta Horta operates in. Secondly it can use opportunities from government spending in Leadership & Managing People sector.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Anta Horta 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 Anta Horta to hire the very best people irrespective of their geographical location.
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. Anta Horta can explore opportunities that can attract volunteers and are consistent with its mission and vision.
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 Anta Horta in the consumer business. Now Anta Horta can target international markets with far fewer capital restrictions requirements than the existing system.
Low interest rates
– Even though inflation is raising its head in most developed economies, Anta Horta 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 Anta Horta can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Threats Stress and the City (B): AntA?nio Horta-OsA?rio, CEO of Lloyds Banking Group External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Stress and the City (B): AntA?nio Horta-OsA?rio, CEO of Lloyds Banking Group are -
Stagnating economy with rate increase
– Anta Horta 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.
Technology acceleration in Forth Industrial Revolution
– Anta Horta has witnessed rapid integration of technology during Covid-19 in the Leadership & Managing People industry. As one of the leading players in the industry, Anta Horta 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.
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. Anta Horta needs to understand the core reasons impacting the Leadership & Managing People industry. This will help it in building a better workplace.
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.
Regulatory challenges
– Anta Horta 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.
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. Anta Horta 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.
Increasing wage structure of Anta Horta
– 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 Anta Horta.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Anta Horta with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
Consumer confidence and its impact on Anta Horta 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.
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 Anta Horta 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 Anta Horta.
Environmental challenges
– Anta Horta 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. Anta Horta can take advantage of this fund but it will also bring new competitors in the Leadership & Managing People industry.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Anta Horta 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 Stress and the City (B): AntA?nio Horta-OsA?rio, CEO of Lloyds Banking Group .
Weighted SWOT Analysis of Stress and the City (B): AntA?nio Horta-OsA?rio, CEO of Lloyds Banking Group 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 Stress and the City (B): AntA?nio Horta-OsA?rio, CEO of Lloyds Banking Group 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 Stress and the City (B): AntA?nio Horta-OsA?rio, CEO of Lloyds Banking Group 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 Stress and the City (B): AntA?nio Horta-OsA?rio, CEO of Lloyds Banking Group 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 Stress and the City (B): AntA?nio Horta-OsA?rio, CEO of Lloyds Banking Group 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 Anta Horta needs to make to build a sustainable competitive advantage.