Case Study Description of AT&T Resource Link: Revisioning the Managerial Workforce
Resource Link is an in-house temporary firm, supplying managers and technical workers to the 26 business units of AT&T on a contract basis. The challenge facing Resource Link is how to grow, since an increasing number of managers are eager to use variable workers to staff their businesses. Resource Link must decide whether to bring outsiders into the pool or to continue to rely on AT&T employees who choose this way of working.
Swot Analysis of "AT&T Resource Link: Revisioning the Managerial Workforce" written by Jeffrey L. Bradach, Nicole Sackley includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Link Resource facing as an external strategic factors. Some of the topics covered in AT&T Resource Link: Revisioning the Managerial Workforce case study are - Strategic Management Strategies, Human resource management, Organizational structure and Leadership & Managing People.
Some of the macro environment factors that can be used to understand the AT&T Resource Link: Revisioning the Managerial Workforce casestudy better are - – geopolitical disruptions, increasing transportation and logistics costs, increasing commodity prices, increasing government debt because of Covid-19 spendings, challanges to central banks by blockchain based private currencies, supply chains are disrupted by pandemic , digital marketing is dominated by two big players Facebook and Google,
central banks are concerned over increasing inflation, customer relationship management is fast transforming because of increasing concerns over data privacy, etc
Introduction to SWOT Analysis of AT&T Resource Link: Revisioning the Managerial Workforce
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in AT&T Resource Link: Revisioning the Managerial Workforce case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Link Resource, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Link Resource 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 AT&T Resource Link: Revisioning the Managerial Workforce can be done for the following purposes –
1. Strategic planning using facts provided in AT&T Resource Link: Revisioning the Managerial Workforce case study
2. Improving business portfolio management of Link Resource
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 Link Resource
Strengths AT&T Resource Link: Revisioning the Managerial Workforce | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Link Resource in AT&T Resource Link: Revisioning the Managerial Workforce Harvard Business Review case study are -
High brand equity
– Link Resource has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Link Resource to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Ability to recruit top talent
– Link Resource is one of the leading recruiters in the industry. Managers in the AT&T Resource Link: Revisioning the Managerial Workforce 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 Link Resource
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Link Resource does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Effective Research and Development (R&D)
– Link Resource 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 AT&T Resource Link: Revisioning the Managerial Workforce - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Highly skilled collaborators
– Link Resource 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 AT&T Resource Link: Revisioning the Managerial Workforce HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
Sustainable margins compare to other players in Leadership & Managing People industry
– AT&T Resource Link: Revisioning the Managerial Workforce firm has clearly differentiated products in the market place. This has enabled Link Resource to fetch slight price premium compare to the competitors in the Leadership & Managing People industry. The sustainable margins have also helped Link Resource to invest into research and development (R&D) and innovation.
Ability to lead change in Leadership & Managing People field
– Link Resource 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 Link Resource in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Low bargaining power of suppliers
– Suppliers of Link Resource in the sector have low bargaining power. AT&T Resource Link: Revisioning the Managerial Workforce has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Link Resource to manage not only supply disruptions but also source products at highly competitive prices.
Diverse revenue streams
– Link Resource is present in almost all the verticals within the industry. This has provided firm in AT&T Resource Link: Revisioning the Managerial Workforce 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.
Learning organization
- Link Resource 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 Link Resource is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in AT&T Resource Link: Revisioning the Managerial Workforce Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Training and development
– Link Resource has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in AT&T Resource Link: Revisioning the Managerial Workforce 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.
Digital Transformation in Leadership & Managing People segment
- digital transformation varies from industry to industry. For Link Resource digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Link Resource 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.
Weaknesses AT&T Resource Link: Revisioning the Managerial Workforce | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of AT&T Resource Link: Revisioning the Managerial Workforce are -
Skills based hiring
– The stress on hiring functional specialists at Link Resource 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.
Lack of clear differentiation of Link Resource products
– To increase the profitability and margins on the products, Link Resource needs to provide more differentiated products than what it is currently offering in the marketplace.
Workers concerns about automation
– As automation is fast increasing in the segment, Link Resource 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.
Need for greater diversity
– Link Resource 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.
Capital Spending Reduction
– Even during the low interest decade, Link Resource 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.
Products dominated business model
– Even though Link Resource 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 - AT&T Resource Link: Revisioning the Managerial Workforce should strive to include more intangible value offerings along with its core products and services.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Link Resource is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study AT&T Resource Link: Revisioning the Managerial Workforce can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
Slow to strategic competitive environment developments
– As AT&T Resource Link: Revisioning the Managerial Workforce HBR case study mentions - Link Resource 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.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study AT&T Resource Link: Revisioning the Managerial Workforce, in the dynamic environment Link Resource has struggled to respond to the nimble upstart competition. Link Resource has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
Low market penetration in new markets
– Outside its home market of Link Resource, firm in the HBR case study AT&T Resource Link: Revisioning the Managerial Workforce needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
Increasing silos among functional specialists
– The organizational structure of Link Resource is dominated by functional specialists. It is not different from other players in the Leadership & Managing People segment. Link Resource needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Link Resource to focus more on services rather than just following the product oriented approach.
Opportunities AT&T Resource Link: Revisioning the Managerial Workforce | 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 AT&T Resource Link: Revisioning the Managerial Workforce are -
Developing new processes and practices
– Link Resource 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.
Leveraging digital technologies
– Link Resource 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.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Link Resource can use these opportunities to build new business models that can help the communities that Link Resource 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 Link Resource 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.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Link Resource can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Creating value in data economy
– The success of analytics program of Link Resource has opened avenues for new revenue streams for the organization in the industry. This can help Link Resource to build a more holistic ecosystem as suggested in the AT&T Resource Link: Revisioning the Managerial Workforce case study. Link Resource can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Buying journey improvements
– Link Resource can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. AT&T Resource Link: Revisioning the Managerial Workforce 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.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Link Resource 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, AT&T Resource Link: Revisioning the Managerial Workforce, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Learning at scale
– Online learning technologies has now opened space for Link Resource 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.
Manufacturing automation
– Link Resource 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.
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. Link Resource can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Loyalty marketing
– Link Resource 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.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Link Resource is facing challenges because of the dominance of functional experts in the organization. AT&T Resource Link: Revisioning the Managerial Workforce 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.
Threats AT&T Resource Link: Revisioning the Managerial Workforce External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study AT&T Resource Link: Revisioning the Managerial Workforce are -
Consumer confidence and its impact on Link Resource 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.
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. Link Resource 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.
Regulatory challenges
– Link Resource 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
– Link Resource 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. Link Resource can take advantage of this fund but it will also bring new competitors in the Leadership & Managing People industry.
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 Link Resource in the Leadership & Managing People sector and impact the bottomline of the organization.
High dependence on third party suppliers
– Link Resource 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.
Technology acceleration in Forth Industrial Revolution
– Link Resource has witnessed rapid integration of technology during Covid-19 in the Leadership & Managing People industry. As one of the leading players in the industry, Link Resource 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.
Shortening product life cycle
– it is one of the major threat that Link Resource is facing in Leadership & Managing People sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Stagnating economy with rate increase
– Link Resource 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. Link Resource can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
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 Link Resource business can come under increasing regulations regarding data privacy, data security, etc.
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.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Link Resource with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
Weighted SWOT Analysis of AT&T Resource Link: Revisioning the Managerial Workforce 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 AT&T Resource Link: Revisioning the Managerial Workforce 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 AT&T Resource Link: Revisioning the Managerial Workforce 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 AT&T Resource Link: Revisioning the Managerial Workforce 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 AT&T Resource Link: Revisioning the Managerial Workforce 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 Link Resource needs to make to build a sustainable competitive advantage.
