Taking Charge: JA?rgen Klinsmann at FC Bayern Munich SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Leadership & Managing People
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of Taking Charge: JA?rgen Klinsmann at FC Bayern Munich
The case opens with a brief overview of the successful past of the soccer club FC Bayern. It introduces the major members of its leadership team, gives an insight into their aspirations for the European Champions League, and illustrates the club's indispensable demand for short-term success. It continues describing the many changes that Klinsmann introduced to the club and team leading to Klinsmann's dismissal and the club management's return to the exact same philosophies that were valid before Klinsmann's arrival.
Swot Analysis of "Taking Charge: JA?rgen Klinsmann at FC Bayern Munich" written by Ulf Schaefer, Christoph Burger includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Klinsmann's Bayern facing as an external strategic factors. Some of the topics covered in Taking Charge: JA?rgen Klinsmann at FC Bayern Munich case study are - Strategic Management Strategies, Leadership and Leadership & Managing People.
Some of the macro environment factors that can be used to understand the Taking Charge: JA?rgen Klinsmann at FC Bayern Munich casestudy better are - – increasing commodity prices, increasing transportation and logistics costs, customer relationship management is fast transforming because of increasing concerns over data privacy, increasing household debt because of falling income levels, supply chains are disrupted by pandemic , increasing inequality as vast percentage of new income is going to the top 1%, central banks are concerned over increasing inflation,
banking and financial system is disrupted by Bitcoin and other crypto currencies, geopolitical disruptions, etc
Introduction to SWOT Analysis of Taking Charge: JA?rgen Klinsmann at FC Bayern Munich
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Taking Charge: JA?rgen Klinsmann at FC Bayern Munich case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Klinsmann's Bayern, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Klinsmann's Bayern 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 Taking Charge: JA?rgen Klinsmann at FC Bayern Munich can be done for the following purposes –
1. Strategic planning using facts provided in Taking Charge: JA?rgen Klinsmann at FC Bayern Munich case study
2. Improving business portfolio management of Klinsmann's Bayern
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 Klinsmann's Bayern
Strengths Taking Charge: JA?rgen Klinsmann at FC Bayern Munich | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Klinsmann's Bayern in Taking Charge: JA?rgen Klinsmann at FC Bayern Munich Harvard Business Review case study are -
Training and development
– Klinsmann's Bayern has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in Taking Charge: JA?rgen Klinsmann at FC Bayern Munich 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.
Strong track record of project management
– Klinsmann's Bayern is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Highly skilled collaborators
– Klinsmann's Bayern has highly efficient outsourcing and offshoring strategy. It has resulted in greater operational flexibility and bringing down the costs in highly price sensitive segment. Secondly the value chain collaborators of the firm in Taking Charge: JA?rgen Klinsmann at FC Bayern Munich HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
Diverse revenue streams
– Klinsmann's Bayern is present in almost all the verticals within the industry. This has provided firm in Taking Charge: JA?rgen Klinsmann at FC Bayern Munich 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.
Low bargaining power of suppliers
– Suppliers of Klinsmann's Bayern in the sector have low bargaining power. Taking Charge: JA?rgen Klinsmann at FC Bayern Munich has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Klinsmann's Bayern to manage not only supply disruptions but also source products at highly competitive prices.
Ability to lead change in Leadership & Managing People field
– Klinsmann's Bayern 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 Klinsmann's Bayern in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Digital Transformation in Leadership & Managing People segment
- digital transformation varies from industry to industry. For Klinsmann's Bayern digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Klinsmann's Bayern 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
– Klinsmann's Bayern 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 Ulf Schaefer, Christoph Burger 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
– Klinsmann's Bayern is one of the most innovative firm in sector. Manager in Taking Charge: JA?rgen Klinsmann at FC Bayern Munich Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Learning organization
- Klinsmann's Bayern 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 Klinsmann's Bayern is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Taking Charge: JA?rgen Klinsmann at FC Bayern Munich Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
High switching costs
– The high switching costs that Klinsmann's Bayern 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.
Ability to recruit top talent
– Klinsmann's Bayern is one of the leading recruiters in the industry. Managers in the Taking Charge: JA?rgen Klinsmann at FC Bayern Munich are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
Weaknesses Taking Charge: JA?rgen Klinsmann at FC Bayern Munich | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Taking Charge: JA?rgen Klinsmann at FC Bayern Munich are -
Employees’ incomplete understanding of strategy
– From the instances in the HBR case study Taking Charge: JA?rgen Klinsmann at FC Bayern Munich, it seems that the employees of Klinsmann's Bayern 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 Taking Charge: JA?rgen Klinsmann at FC Bayern Munich 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 Klinsmann's Bayern 's lucrative customers.
Aligning sales with marketing
– It come across in the case study Taking Charge: JA?rgen Klinsmann at FC Bayern Munich 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 Taking Charge: JA?rgen Klinsmann at FC Bayern Munich can leverage the sales team experience to cultivate customer relationships as Klinsmann's Bayern is planning to shift buying processes online.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study Taking Charge: JA?rgen Klinsmann at FC Bayern Munich, is just above the industry average. Klinsmann's Bayern 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 dependence on star products
– The top 2 products and services of the firm as mentioned in the Taking Charge: JA?rgen Klinsmann at FC Bayern Munich 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 Klinsmann's Bayern has relatively successful track record of launching new products.
Need for greater diversity
– Klinsmann's Bayern 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.
Low market penetration in new markets
– Outside its home market of Klinsmann's Bayern, firm in the HBR case study Taking Charge: JA?rgen Klinsmann at FC Bayern Munich needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
Interest costs
– Compare to the competition, Klinsmann's Bayern has borrowed money from the capital market at higher rates. It needs to restructure the interest payment and costs so that it can compete better and improve profitability.
High bargaining power of channel partners
– Because of the regulatory requirements, Ulf Schaefer, Christoph Burger suggests that, Klinsmann's Bayern 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.
No frontier risks strategy
– After analyzing the HBR case study Taking Charge: JA?rgen Klinsmann at FC Bayern Munich, 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.
Slow decision making process
– As mentioned earlier in the report, Klinsmann's Bayern 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. Klinsmann's Bayern 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.
Opportunities Taking Charge: JA?rgen Klinsmann at FC Bayern Munich | 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 Taking Charge: JA?rgen Klinsmann at FC Bayern Munich are -
Leveraging digital technologies
– Klinsmann's Bayern 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.
Low interest rates
– Even though inflation is raising its head in most developed economies, Klinsmann's Bayern 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 Klinsmann's Bayern to increase its market reach. Klinsmann's Bayern 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.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Klinsmann's Bayern 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 Klinsmann's Bayern to hire the very best people irrespective of their geographical location.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Klinsmann's Bayern 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, Taking Charge: JA?rgen Klinsmann at FC Bayern Munich, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
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. Klinsmann's Bayern can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Manufacturing automation
– Klinsmann's Bayern 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.
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 Klinsmann's Bayern 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.
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. Klinsmann's Bayern 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. Klinsmann's Bayern 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.
Lowering marketing communication costs
– 5G expansion will open new opportunities for Klinsmann's Bayern 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.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Klinsmann's Bayern can use these opportunities to build new business models that can help the communities that Klinsmann's Bayern operates in. Secondly it can use opportunities from government spending in Leadership & Managing People sector.
Buying journey improvements
– Klinsmann's Bayern can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Taking Charge: JA?rgen Klinsmann at FC Bayern Munich 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
– Klinsmann's Bayern 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 Taking Charge: JA?rgen Klinsmann at FC Bayern Munich - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Klinsmann's Bayern to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Threats Taking Charge: JA?rgen Klinsmann at FC Bayern Munich External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Taking Charge: JA?rgen Klinsmann at FC Bayern Munich are -
Technology acceleration in Forth Industrial Revolution
– Klinsmann's Bayern has witnessed rapid integration of technology during Covid-19 in the Leadership & Managing People industry. As one of the leading players in the industry, Klinsmann's Bayern 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.
Consumer confidence and its impact on Klinsmann's Bayern 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.
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. Klinsmann's Bayern can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
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 Klinsmann's Bayern in the Leadership & Managing People sector and impact the bottomline of the organization.
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 Klinsmann's Bayern.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Klinsmann's Bayern 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.
Stagnating economy with rate increase
– Klinsmann's Bayern 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.
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 Klinsmann's Bayern business can come under increasing regulations regarding data privacy, data security, etc.
Shortening product life cycle
– it is one of the major threat that Klinsmann's Bayern is facing in Leadership & Managing People sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study Taking Charge: JA?rgen Klinsmann at FC Bayern Munich, Klinsmann's Bayern 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 .
High dependence on third party suppliers
– Klinsmann's Bayern 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.
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. Klinsmann's Bayern 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.
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.
Weighted SWOT Analysis of Taking Charge: JA?rgen Klinsmann at FC Bayern Munich 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 Taking Charge: JA?rgen Klinsmann at FC Bayern Munich 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 Taking Charge: JA?rgen Klinsmann at FC Bayern Munich 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 Taking Charge: JA?rgen Klinsmann at FC Bayern Munich 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 Taking Charge: JA?rgen Klinsmann at FC Bayern Munich 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 Klinsmann's Bayern needs to make to build a sustainable competitive advantage.