We Are So Sorry: Sedang Prestige Resort SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Leadership & Managing People
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of We Are So Sorry: Sedang Prestige Resort
North American and European branded hotel chains in their quest to maximize shareholder wealth have recently shed ownership of assets and freed up capital to focus on their core businesses with the help of strenuous contracts. The ensuing pursuit of further business development has expedited the internationalization process and a new business model of franchising the brand/value proposition in international locations has evolved. Globally accepted brands hold the promise of global quality. It is widely believed that Western brands deliver more value than brands from emerging nations, such that they can charge global prices to global customers. Service delivery failure is encountered frequently in the accommodation and food services industry. Such failures can act as an important performance measurement criteria. Managers are taught how to recover from service delivery failure and address loyalty issues of existing customers. They fear losing them as the cost of acquiring new customers may exceed the cost of keeping existing customers. The case illustrates how a globally branded North American hotel chain disregarded the basic tenets of maintaining the global brand promise, ignored generally accepted North American customer service standards, failed to instigate delivery failure recovery and leveraged firm specific capabilities to maximize shareholder wealth. The reaction of the local counterpart, the reaction to countermand the imbalance in the ensuing business relationship and adaptation of the value proposition are told from the perspective of a vacationing couple that experienced the diluted brand firsthand.
Swot Analysis of "We Are So Sorry: Sedang Prestige Resort" written by Jim Kayalar includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Failure Ensuing facing as an external strategic factors. Some of the topics covered in We Are So Sorry: Sedang Prestige Resort case study are - Strategic Management Strategies, Corporate governance, Entrepreneurship, International business, Leadership, Operations management, Organizational culture, Performance measurement and Leadership & Managing People.
Some of the macro environment factors that can be used to understand the We Are So Sorry: Sedang Prestige Resort casestudy better are - – wage bills are increasing, increasing government debt because of Covid-19 spendings, digital marketing is dominated by two big players Facebook and Google, increasing transportation and logistics costs, challanges to central banks by blockchain based private currencies, technology disruption, geopolitical disruptions,
customer relationship management is fast transforming because of increasing concerns over data privacy, central banks are concerned over increasing inflation, etc
Introduction to SWOT Analysis of We Are So Sorry: Sedang Prestige Resort
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in We Are So Sorry: Sedang Prestige Resort case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Failure Ensuing, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Failure Ensuing 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 We Are So Sorry: Sedang Prestige Resort can be done for the following purposes –
1. Strategic planning using facts provided in We Are So Sorry: Sedang Prestige Resort case study
2. Improving business portfolio management of Failure Ensuing
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 Failure Ensuing
Strengths We Are So Sorry: Sedang Prestige Resort | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Failure Ensuing in We Are So Sorry: Sedang Prestige Resort Harvard Business Review case study are -
Strong track record of project management
– Failure Ensuing is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
High brand equity
– Failure Ensuing has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Failure Ensuing to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Organizational Resilience of Failure Ensuing
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Failure Ensuing does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Digital Transformation in Leadership & Managing People segment
- digital transformation varies from industry to industry. For Failure Ensuing digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Failure Ensuing 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.
Analytics focus
– Failure Ensuing 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 Jim Kayalar 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.
Innovation driven organization
– Failure Ensuing is one of the most innovative firm in sector. Manager in We Are So Sorry: Sedang Prestige Resort Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Sustainable margins compare to other players in Leadership & Managing People industry
– We Are So Sorry: Sedang Prestige Resort firm has clearly differentiated products in the market place. This has enabled Failure Ensuing to fetch slight price premium compare to the competitors in the Leadership & Managing People industry. The sustainable margins have also helped Failure Ensuing to invest into research and development (R&D) and innovation.
Ability to lead change in Leadership & Managing People field
– Failure Ensuing 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 Failure Ensuing in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Effective Research and Development (R&D)
– Failure Ensuing 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 We Are So Sorry: Sedang Prestige Resort - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Ability to recruit top talent
– Failure Ensuing is one of the leading recruiters in the industry. Managers in the We Are So Sorry: Sedang Prestige Resort are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
Successful track record of launching new products
– Failure Ensuing has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Failure Ensuing 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.
Superior customer experience
– The customer experience strategy of Failure Ensuing in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Weaknesses We Are So Sorry: Sedang Prestige Resort | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of We Are So Sorry: Sedang Prestige Resort are -
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 Failure Ensuing supply chain. Even after few cautionary changes mentioned in the HBR case study - We Are So Sorry: Sedang Prestige Resort, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Failure Ensuing vulnerable to further global disruptions in South East Asia.
Slow to strategic competitive environment developments
– As We Are So Sorry: Sedang Prestige Resort HBR case study mentions - Failure Ensuing takes time to assess the upcoming competitions. This has led to missing out on atleast 2-3 big opportunities in the industry in last five years.
Increasing silos among functional specialists
– The organizational structure of Failure Ensuing is dominated by functional specialists. It is not different from other players in the Leadership & Managing People segment. Failure Ensuing needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Failure Ensuing to focus more on services rather than just following the product oriented approach.
Products dominated business model
– Even though Failure Ensuing 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 - We Are So Sorry: Sedang Prestige Resort 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, Failure Ensuing 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. Failure Ensuing 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.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study We Are So Sorry: Sedang Prestige Resort, is just above the industry average. Failure Ensuing 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.
Employees’ incomplete understanding of strategy
– From the instances in the HBR case study We Are So Sorry: Sedang Prestige Resort, it seems that the employees of Failure Ensuing 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.
High operating costs
– Compare to the competitors, firm in the HBR case study We Are So Sorry: Sedang Prestige Resort 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 Failure Ensuing 's lucrative customers.
Workers concerns about automation
– As automation is fast increasing in the segment, Failure Ensuing 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 star products
– The top 2 products and services of the firm as mentioned in the We Are So Sorry: Sedang Prestige Resort HBR case study still accounts for major business revenue. This dependence on star products in has resulted into insufficient focus on developing new products, even though Failure Ensuing has relatively successful track record of launching new products.
Capital Spending Reduction
– Even during the low interest decade, Failure Ensuing 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.
Opportunities We Are So Sorry: Sedang Prestige Resort | 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 We Are So Sorry: Sedang Prestige Resort are -
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Failure Ensuing 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 Failure Ensuing to hire the very best people irrespective of their geographical location.
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 Failure Ensuing in the consumer business. Now Failure Ensuing can target international markets with far fewer capital restrictions requirements than the existing system.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Failure Ensuing 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, We Are So Sorry: Sedang Prestige Resort, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Failure Ensuing can use these opportunities to build new business models that can help the communities that Failure Ensuing operates in. Secondly it can use opportunities from government spending in Leadership & Managing People sector.
Loyalty marketing
– Failure Ensuing 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.
Leveraging digital technologies
– Failure Ensuing 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.
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. Failure Ensuing can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Manufacturing automation
– Failure Ensuing 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.
Using analytics as competitive advantage
– Failure Ensuing 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 We Are So Sorry: Sedang Prestige Resort - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Failure Ensuing to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Low interest rates
– Even though inflation is raising its head in most developed economies, Failure Ensuing 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.
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 Failure Ensuing 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.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Failure Ensuing is facing challenges because of the dominance of functional experts in the organization. We Are So Sorry: Sedang Prestige Resort 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.
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. Failure Ensuing can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Threats We Are So Sorry: Sedang Prestige Resort External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study We Are So Sorry: Sedang Prestige Resort are -
Technology acceleration in Forth Industrial Revolution
– Failure Ensuing has witnessed rapid integration of technology during Covid-19 in the Leadership & Managing People industry. As one of the leading players in the industry, Failure Ensuing 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.
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. Failure Ensuing 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.
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 Failure Ensuing in the Leadership & Managing People sector and impact the bottomline of the organization.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study We Are So Sorry: Sedang Prestige Resort, Failure Ensuing 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 .
Stagnating economy with rate increase
– Failure Ensuing 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 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. Failure Ensuing can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
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.
Regulatory challenges
– Failure Ensuing 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.
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 Failure Ensuing 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 Failure Ensuing.
High dependence on third party suppliers
– Failure Ensuing 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.
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. Failure Ensuing needs to understand the core reasons impacting the Leadership & Managing People industry. This will help it in building a better workplace.
Consumer confidence and its impact on Failure Ensuing 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.
Weighted SWOT Analysis of We Are So Sorry: Sedang Prestige Resort 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 We Are So Sorry: Sedang Prestige Resort 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 We Are So Sorry: Sedang Prestige Resort 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 We Are So Sorry: Sedang Prestige Resort 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 We Are So Sorry: Sedang Prestige Resort 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 Failure Ensuing needs to make to build a sustainable competitive advantage.
