Swot Analysis of "Edgcomb Metals: The Troy Plant (A) (HANDOUT)" written by Phillip E. Pfeifer includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Uv3331 Edgcomb facing as an external strategic factors. Some of the topics covered in Edgcomb Metals: The Troy Plant (A) (HANDOUT) case study are - Strategic Management Strategies, Financial analysis, Performance measurement and Leadership & Managing People.
Some of the macro environment factors that can be used to understand the Edgcomb Metals: The Troy Plant (A) (HANDOUT) casestudy better are - – challanges to central banks by blockchain based private currencies, competitive advantages are harder to sustain because of technology dispersion, technology disruption, increasing transportation and logistics costs, talent flight as more people leaving formal jobs, customer relationship management is fast transforming because of increasing concerns over data privacy, increasing energy prices,
geopolitical disruptions, increasing household debt because of falling income levels, etc
Introduction to SWOT Analysis of Edgcomb Metals: The Troy Plant (A) (HANDOUT)
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Edgcomb Metals: The Troy Plant (A) (HANDOUT) case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Uv3331 Edgcomb, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Uv3331 Edgcomb 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 Edgcomb Metals: The Troy Plant (A) (HANDOUT) can be done for the following purposes –
1. Strategic planning using facts provided in Edgcomb Metals: The Troy Plant (A) (HANDOUT) case study
2. Improving business portfolio management of Uv3331 Edgcomb
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 Uv3331 Edgcomb
Strengths Edgcomb Metals: The Troy Plant (A) (HANDOUT) | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Uv3331 Edgcomb in Edgcomb Metals: The Troy Plant (A) (HANDOUT) Harvard Business Review case study are -
Effective Research and Development (R&D)
– Uv3331 Edgcomb 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 Edgcomb Metals: The Troy Plant (A) (HANDOUT) - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
High brand equity
– Uv3331 Edgcomb has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Uv3331 Edgcomb to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Superior customer experience
– The customer experience strategy of Uv3331 Edgcomb 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 Uv3331 Edgcomb 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.
Learning organization
- Uv3331 Edgcomb 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 Uv3331 Edgcomb is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Edgcomb Metals: The Troy Plant (A) (HANDOUT) Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Innovation driven organization
– Uv3331 Edgcomb is one of the most innovative firm in sector. Manager in Edgcomb Metals: The Troy Plant (A) (HANDOUT) Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
High switching costs
– The high switching costs that Uv3331 Edgcomb 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
– Uv3331 Edgcomb 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 Phillip E. Pfeifer 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.
Digital Transformation in Leadership & Managing People segment
- digital transformation varies from industry to industry. For Uv3331 Edgcomb digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Uv3331 Edgcomb 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.
Training and development
– Uv3331 Edgcomb has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in Edgcomb Metals: The Troy Plant (A) (HANDOUT) 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.
Successful track record of launching new products
– Uv3331 Edgcomb has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Uv3331 Edgcomb 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.
Low bargaining power of suppliers
– Suppliers of Uv3331 Edgcomb in the sector have low bargaining power. Edgcomb Metals: The Troy Plant (A) (HANDOUT) has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Uv3331 Edgcomb to manage not only supply disruptions but also source products at highly competitive prices.
Weaknesses Edgcomb Metals: The Troy Plant (A) (HANDOUT) | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Edgcomb Metals: The Troy Plant (A) (HANDOUT) are -
Slow decision making process
– As mentioned earlier in the report, Uv3331 Edgcomb 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. Uv3331 Edgcomb 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.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study Edgcomb Metals: The Troy Plant (A) (HANDOUT), in the dynamic environment Uv3331 Edgcomb has struggled to respond to the nimble upstart competition. Uv3331 Edgcomb has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
No frontier risks strategy
– After analyzing the HBR case study Edgcomb Metals: The Troy Plant (A) (HANDOUT), 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.
Aligning sales with marketing
– It come across in the case study Edgcomb Metals: The Troy Plant (A) (HANDOUT) 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 Edgcomb Metals: The Troy Plant (A) (HANDOUT) can leverage the sales team experience to cultivate customer relationships as Uv3331 Edgcomb is planning to shift buying processes online.
Interest costs
– Compare to the competition, Uv3331 Edgcomb 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.
Employees’ incomplete understanding of strategy
– From the instances in the HBR case study Edgcomb Metals: The Troy Plant (A) (HANDOUT), it seems that the employees of Uv3331 Edgcomb 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 Edgcomb Metals: The Troy Plant (A) (HANDOUT) 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 Uv3331 Edgcomb 's lucrative customers.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study Edgcomb Metals: The Troy Plant (A) (HANDOUT), is just above the industry average. Uv3331 Edgcomb 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.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Uv3331 Edgcomb is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study Edgcomb Metals: The Troy Plant (A) (HANDOUT) 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 bargaining power of channel partners
– Because of the regulatory requirements, Phillip E. Pfeifer suggests that, Uv3331 Edgcomb 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.
Low market penetration in new markets
– Outside its home market of Uv3331 Edgcomb, firm in the HBR case study Edgcomb Metals: The Troy Plant (A) (HANDOUT) needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
Opportunities Edgcomb Metals: The Troy Plant (A) (HANDOUT) | 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 Edgcomb Metals: The Troy Plant (A) (HANDOUT) are -
Developing new processes and practices
– Uv3331 Edgcomb 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.
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. Uv3331 Edgcomb 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. Uv3331 Edgcomb 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.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Uv3331 Edgcomb 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, Edgcomb Metals: The Troy Plant (A) (HANDOUT), to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Buying journey improvements
– Uv3331 Edgcomb can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Edgcomb Metals: The Troy Plant (A) (HANDOUT) 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.
Using analytics as competitive advantage
– Uv3331 Edgcomb 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 Edgcomb Metals: The Troy Plant (A) (HANDOUT) - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Uv3331 Edgcomb to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
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 Uv3331 Edgcomb in the consumer business. Now Uv3331 Edgcomb can target international markets with far fewer capital restrictions requirements than the existing system.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Uv3331 Edgcomb can use these opportunities to build new business models that can help the communities that Uv3331 Edgcomb operates in. Secondly it can use opportunities from government spending in Leadership & Managing People sector.
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 Uv3331 Edgcomb 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.
Loyalty marketing
– Uv3331 Edgcomb 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.
Low interest rates
– Even though inflation is raising its head in most developed economies, Uv3331 Edgcomb 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.
Building a culture of innovation
– managers at Uv3331 Edgcomb 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.
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. Uv3331 Edgcomb can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Leveraging digital technologies
– Uv3331 Edgcomb 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.
Threats Edgcomb Metals: The Troy Plant (A) (HANDOUT) External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Edgcomb Metals: The Troy Plant (A) (HANDOUT) are -
Technology acceleration in Forth Industrial Revolution
– Uv3331 Edgcomb has witnessed rapid integration of technology during Covid-19 in the Leadership & Managing People industry. As one of the leading players in the industry, Uv3331 Edgcomb 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. Uv3331 Edgcomb 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 Uv3331 Edgcomb with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study Edgcomb Metals: The Troy Plant (A) (HANDOUT), Uv3331 Edgcomb 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 .
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Uv3331 Edgcomb 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.
Environmental challenges
– Uv3331 Edgcomb 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. Uv3331 Edgcomb can take advantage of this fund but it will also bring new competitors in the Leadership & Managing People industry.
Stagnating economy with rate increase
– Uv3331 Edgcomb 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.
High dependence on third party suppliers
– Uv3331 Edgcomb 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, Uv3331 Edgcomb 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 Edgcomb Metals: The Troy Plant (A) (HANDOUT) .
Consumer confidence and its impact on Uv3331 Edgcomb 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.
Increasing wage structure of Uv3331 Edgcomb
– 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 Uv3331 Edgcomb.
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. Uv3331 Edgcomb 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.
Weighted SWOT Analysis of Edgcomb Metals: The Troy Plant (A) (HANDOUT) 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 Edgcomb Metals: The Troy Plant (A) (HANDOUT) 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 Edgcomb Metals: The Troy Plant (A) (HANDOUT) 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 Edgcomb Metals: The Troy Plant (A) (HANDOUT) 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 Edgcomb Metals: The Troy Plant (A) (HANDOUT) 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 Uv3331 Edgcomb needs to make to build a sustainable competitive advantage.