Case Study Description of The Bridgespan Group: Chapter 2
The Bridgespan Group was launched in 2000 by management consulting group Bain & Company as a nonprofit focused on strategy consulting for nonprofits and philanthropists. Over the next eight years, Bridgespan expanded its services to include executive search, knowledge sharing, and a web-based job matching service. While its growth was welcome, Bridgespan's leaders and board wanted to strengthen Bridgespan's positive impact on the nonprofit sector as a whole.
Authors :: Allen Grossman, Naomi Greckol-Herlich, Catherine Ross
Swot Analysis of "The Bridgespan Group: Chapter 2" written by Allen Grossman, Naomi Greckol-Herlich, Catherine Ross includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Bridgespan Bridgespan's facing as an external strategic factors. Some of the topics covered in The Bridgespan Group: Chapter 2 case study are - Strategic Management Strategies, Knowledge management, Social responsibility and Leadership & Managing People.
Some of the macro environment factors that can be used to understand the The Bridgespan Group: Chapter 2 casestudy better are - – cloud computing is disrupting traditional business models, digital marketing is dominated by two big players Facebook and Google, talent flight as more people leaving formal jobs, supply chains are disrupted by pandemic , increasing household debt because of falling income levels, increasing commodity prices, increasing government debt because of Covid-19 spendings,
wage bills are increasing, challanges to central banks by blockchain based private currencies, etc
Introduction to SWOT Analysis of The Bridgespan Group: Chapter 2
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in The Bridgespan Group: Chapter 2 case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Bridgespan Bridgespan's, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Bridgespan Bridgespan's operates in.
According to Harvard Business Review, 75% of the managers use SWOT analysis for various purposes such as – evaluating current scenario, strategic planning, new venture feasibility, personal growth goals, new market entry, Go To market strategies, portfolio management and strategic trade-off assessment, organizational restructuring, etc.
SWOT Objectives / Importance of SWOT Analysis and SWOT Matrix
SWOT analysis of The Bridgespan Group: Chapter 2 can be done for the following purposes –
1. Strategic planning using facts provided in The Bridgespan Group: Chapter 2 case study
2. Improving business portfolio management of Bridgespan Bridgespan's
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 Bridgespan Bridgespan's
Strengths The Bridgespan Group: Chapter 2 | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Bridgespan Bridgespan's in The Bridgespan Group: Chapter 2 Harvard Business Review case study are -
Sustainable margins compare to other players in Leadership & Managing People industry
– The Bridgespan Group: Chapter 2 firm has clearly differentiated products in the market place. This has enabled Bridgespan Bridgespan's to fetch slight price premium compare to the competitors in the Leadership & Managing People industry. The sustainable margins have also helped Bridgespan Bridgespan's to invest into research and development (R&D) and innovation.
Digital Transformation in Leadership & Managing People segment
- digital transformation varies from industry to industry. For Bridgespan Bridgespan's digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Bridgespan Bridgespan's has successfully integrated the four key components of digital transformation – digital integration in processes, digital integration in marketing and customer relationship management, digital integration into the value chain, and using technology to explore new products and market opportunities.
Ability to recruit top talent
– Bridgespan Bridgespan's is one of the leading recruiters in the industry. Managers in the The Bridgespan Group: Chapter 2 are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
Organizational Resilience of Bridgespan Bridgespan's
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Bridgespan Bridgespan's does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
High brand equity
– Bridgespan Bridgespan's has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Bridgespan Bridgespan's to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Effective Research and Development (R&D)
– Bridgespan Bridgespan's 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 The Bridgespan Group: Chapter 2 - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Superior customer experience
– The customer experience strategy of Bridgespan Bridgespan's in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Analytics focus
– Bridgespan Bridgespan's is putting a lot of focus on utilizing the power of analytics in business decision making. This has put it among the leading players in the industry. The technology infrastructure suggested by Allen Grossman, Naomi Greckol-Herlich, Catherine Ross 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.
Successful track record of launching new products
– Bridgespan Bridgespan's has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Bridgespan Bridgespan's 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
- Bridgespan Bridgespan's is a learning organization. It has inculcated three key characters of learning organization in its processes and operations – exploration, creativity, and expansiveness. The work place at Bridgespan Bridgespan's is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in The Bridgespan Group: Chapter 2 Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Cross disciplinary teams
– Horizontal connected teams at the Bridgespan Bridgespan's are driving operational speed, building greater agility, and keeping the organization nimble to compete with new competitors. It helps are organization to ideate new ideas, and execute them swiftly in the marketplace.
Ability to lead change in Leadership & Managing People field
– Bridgespan Bridgespan's is one of the leading players in its industry. Over the years it has not only transformed the business landscape in its segment but also across the whole industry. The ability to lead change has enabled Bridgespan Bridgespan's in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Weaknesses The Bridgespan Group: Chapter 2 | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of The Bridgespan Group: Chapter 2 are -
Increasing silos among functional specialists
– The organizational structure of Bridgespan Bridgespan's is dominated by functional specialists. It is not different from other players in the Leadership & Managing People segment. Bridgespan Bridgespan's needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Bridgespan Bridgespan's to focus more on services rather than just following the product oriented approach.
Low market penetration in new markets
– Outside its home market of Bridgespan Bridgespan's, firm in the HBR case study The Bridgespan Group: Chapter 2 needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
Interest costs
– Compare to the competition, Bridgespan Bridgespan's has borrowed money from the capital market at higher rates. It needs to restructure the interest payment and costs so that it can compete better and improve profitability.
High dependence on star products
– The top 2 products and services of the firm as mentioned in the The Bridgespan Group: Chapter 2 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 Bridgespan Bridgespan's has relatively successful track record of launching new products.
Skills based hiring
– The stress on hiring functional specialists at Bridgespan Bridgespan's 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.
Capital Spending Reduction
– Even during the low interest decade, Bridgespan Bridgespan's 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.
Aligning sales with marketing
– It come across in the case study The Bridgespan Group: Chapter 2 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 The Bridgespan Group: Chapter 2 can leverage the sales team experience to cultivate customer relationships as Bridgespan Bridgespan's is planning to shift buying processes online.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study The Bridgespan Group: Chapter 2, is just above the industry average. Bridgespan Bridgespan's needs to redesign the compensation structure and incentives to increase the revenue per employees. Some of the steps that it can take are – hiring more specialists on project basis, etc.
High operating costs
– Compare to the competitors, firm in the HBR case study The Bridgespan Group: Chapter 2 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 Bridgespan Bridgespan's 's lucrative customers.
High cash cycle compare to competitors
Bridgespan Bridgespan's has a high cash cycle compare to other players in the industry. It needs to shorten the cash cycle by 12% to be more competitive in the marketplace, reduce inventory costs, and be more profitable.
Products dominated business model
– Even though Bridgespan Bridgespan's 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 - The Bridgespan Group: Chapter 2 should strive to include more intangible value offerings along with its core products and services.
Opportunities The Bridgespan Group: Chapter 2 | 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 The Bridgespan Group: Chapter 2 are -
Learning at scale
– Online learning technologies has now opened space for Bridgespan Bridgespan's to conduct training and development for its employees across the world. This will result in not only reducing the cost of training but also help employees in different part of the world to integrate with the headquarter work culture, ethos, and standards.
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. Bridgespan Bridgespan's 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. Bridgespan Bridgespan's 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.
Low interest rates
– Even though inflation is raising its head in most developed economies, Bridgespan Bridgespan's can still utilize the low interest rates to borrow money for capital investment. Secondly it can also use the increase of government spending in infrastructure projects to get new business.
Better consumer reach
– The expansion of the 5G network will help Bridgespan Bridgespan's to increase its market reach. Bridgespan Bridgespan's will be able to reach out to new customers. Secondly 5G will also provide technology framework to build new tools and products that can help more immersive consumer experience and faster consumer journey.
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. Bridgespan Bridgespan's can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Developing new processes and practices
– Bridgespan Bridgespan's 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.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Bridgespan Bridgespan's 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, The Bridgespan Group: Chapter 2, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Bridgespan Bridgespan's to expand its talent hiring zone. According to McKinsey Global Institute, 20% of the high end workforce in fields such as finance, information technology, can continously work from remote local post Covid-19. This presents a really great opportunity for Bridgespan Bridgespan's to hire the very best people irrespective of their geographical location.
Manufacturing automation
– Bridgespan Bridgespan's 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.
Lowering marketing communication costs
– 5G expansion will open new opportunities for Bridgespan Bridgespan's 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.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Bridgespan Bridgespan's is facing challenges because of the dominance of functional experts in the organization. The Bridgespan Group: Chapter 2 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.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Bridgespan Bridgespan's can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Building a culture of innovation
– managers at Bridgespan Bridgespan's 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.
Threats The Bridgespan Group: Chapter 2 External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study The Bridgespan Group: Chapter 2 are -
Technology acceleration in Forth Industrial Revolution
– Bridgespan Bridgespan's has witnessed rapid integration of technology during Covid-19 in the Leadership & Managing People industry. As one of the leading players in the industry, Bridgespan Bridgespan's 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.
Stagnating economy with rate increase
– Bridgespan Bridgespan's can face lack of demand in the market place because of Fed actions to reduce inflation. This can lead to sluggish growth in the economy, lower demands, lower investments, higher borrowing costs, and consolidation in the field.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Bridgespan Bridgespan's can face downward pressure on margins from increasing competition from international players. The international players have stable revenue in their home market and can use those resources to penetrate prominent markets illustrated in HBR case study The Bridgespan Group: Chapter 2 .
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. Bridgespan Bridgespan's needs to understand the core reasons impacting the Leadership & Managing People industry. This will help it in building a better workplace.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Bridgespan Bridgespan's with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Bridgespan Bridgespan's 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.
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.
Increasing wage structure of Bridgespan Bridgespan's
– Post Covid-19 there is a sharp increase in the wages especially in the jobs that require interaction with people. The increasing wages can put downward pressure on the margins of Bridgespan Bridgespan's.
Regulatory challenges
– Bridgespan Bridgespan's 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.
Environmental challenges
– Bridgespan Bridgespan's 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. Bridgespan Bridgespan's can take advantage of this fund but it will also bring new competitors in the Leadership & Managing People industry.
Consumer confidence and its impact on Bridgespan Bridgespan's 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.
High dependence on third party suppliers
– Bridgespan Bridgespan's 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.
Shortening product life cycle
– it is one of the major threat that Bridgespan Bridgespan's is facing in Leadership & Managing People sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Weighted SWOT Analysis of The Bridgespan Group: Chapter 2 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 The Bridgespan Group: Chapter 2 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 The Bridgespan Group: Chapter 2 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 The Bridgespan Group: Chapter 2 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 The Bridgespan Group: Chapter 2 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 Bridgespan Bridgespan's needs to make to build a sustainable competitive advantage.