. Maria Gonzalez, a unionized employee of Global Communications, was arrested in an off-duty incident involving drugs, guns, and possible pornography. The news account published the names of those arrested, including Maria, but listed her name as Yvonne Gonzalez. Maria, as she was known in the office, was a customer service representative (CSR) at Global. She had access to private information about Global's customers and was the point of contact for them. Gonzalez reported out sick following the arrest and her immediate boss, unaware of the drug bust and Gonzalez's associated arrest, simply thought this was a typical sick-day call-out. Subsequently and quite by accident, Gonzalez's managers learned that her absences were directly related to events at the drug bust. In turn, when she wanted to report back to work, the managers became concerned about what the appropriate course of action should be regarding Gonzalez's behavior. They were troubled by the potential customer and employee impact, as well as negative publicity that could tarnish Global's overall reputation.
Swot Analysis of "Maria Gonzalez" written by Karen E. Boroff includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Gonzalez Gonzalez's facing as an external strategic factors. Some of the topics covered in Maria Gonzalez case study are - Strategic Management Strategies, Corporate communications, Labor and Leadership & Managing People.
Some of the macro environment factors that can be used to understand the Maria Gonzalez casestudy better are - – customer relationship management is fast transforming because of increasing concerns over data privacy, wage bills are increasing, there is increasing trade war between United States & China, increasing commodity prices, increasing government debt because of Covid-19 spendings, talent flight as more people leaving formal jobs, challanges to central banks by blockchain based private currencies,
banking and financial system is disrupted by Bitcoin and other crypto currencies, digital marketing is dominated by two big players Facebook and Google, etc
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Maria Gonzalez case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Gonzalez Gonzalez's, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Gonzalez Gonzalez'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 Maria Gonzalez can be done for the following purposes –
1. Strategic planning using facts provided in Maria Gonzalez case study
2. Improving business portfolio management of Gonzalez Gonzalez'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 Gonzalez Gonzalez's
Strengths Maria Gonzalez | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Gonzalez Gonzalez's in Maria Gonzalez Harvard Business Review case study are -
Superior customer experience
– The customer experience strategy of Gonzalez Gonzalez's in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Analytics focus
– Gonzalez Gonzalez'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 Karen E. Boroff 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.
High switching costs
– The high switching costs that Gonzalez Gonzalez's 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.
Organizational Resilience of Gonzalez Gonzalez's
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Gonzalez Gonzalez's does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Strong track record of project management
– Gonzalez Gonzalez's is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Learning organization
- Gonzalez Gonzalez'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 Gonzalez Gonzalez's is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Maria Gonzalez Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Diverse revenue streams
– Gonzalez Gonzalez's is present in almost all the verticals within the industry. This has provided firm in Maria Gonzalez 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.
Sustainable margins compare to other players in Leadership & Managing People industry
– Maria Gonzalez firm has clearly differentiated products in the market place. This has enabled Gonzalez Gonzalez's to fetch slight price premium compare to the competitors in the Leadership & Managing People industry. The sustainable margins have also helped Gonzalez Gonzalez's to invest into research and development (R&D) and innovation.
Innovation driven organization
– Gonzalez Gonzalez's is one of the most innovative firm in sector. Manager in Maria Gonzalez Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Ability to lead change in Leadership & Managing People field
– Gonzalez Gonzalez'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 Gonzalez Gonzalez's in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Successful track record of launching new products
– Gonzalez Gonzalez's has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Gonzalez Gonzalez'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.
Operational resilience
– The operational resilience strategy in the Maria Gonzalez Harvard Business Review case study comprises – understanding the underlying the factors in the industry, building diversified operations across different geographies so that disruption in one part of the world doesn’t impact the overall performance of the firm, and integrating the various business operations and processes through its digital transformation drive.
Weaknesses Maria Gonzalez | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Maria Gonzalez are -
Capital Spending Reduction
– Even during the low interest decade, Gonzalez Gonzalez'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.
High bargaining power of channel partners
– Because of the regulatory requirements, Karen E. Boroff suggests that, Gonzalez Gonzalez's 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 Maria Gonzalez, 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 to strategic competitive environment developments
– As Maria Gonzalez HBR case study mentions - Gonzalez Gonzalez's 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.
Lack of clear differentiation of Gonzalez Gonzalez's products
– To increase the profitability and margins on the products, Gonzalez Gonzalez's needs to provide more differentiated products than what it is currently offering in the marketplace.
High operating costs
– Compare to the competitors, firm in the HBR case study Maria Gonzalez 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 Gonzalez Gonzalez's 's lucrative customers.
Slow decision making process
– As mentioned earlier in the report, Gonzalez Gonzalez's 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. Gonzalez Gonzalez's 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.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Gonzalez Gonzalez's is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study Maria Gonzalez can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
Products dominated business model
– Even though Gonzalez Gonzalez'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 - Maria Gonzalez should strive to include more intangible value offerings along with its core products and services.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study Maria Gonzalez, is just above the industry average. Gonzalez Gonzalez'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.
Aligning sales with marketing
– It come across in the case study Maria Gonzalez 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 Maria Gonzalez can leverage the sales team experience to cultivate customer relationships as Gonzalez Gonzalez's is planning to shift buying processes online.
Opportunities Maria Gonzalez | 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 Maria Gonzalez are -
Low interest rates
– Even though inflation is raising its head in most developed economies, Gonzalez Gonzalez'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.
Manufacturing automation
– Gonzalez Gonzalez'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.
Learning at scale
– Online learning technologies has now opened space for Gonzalez Gonzalez'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.
Lowering marketing communication costs
– 5G expansion will open new opportunities for Gonzalez Gonzalez'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, Gonzalez Gonzalez's is facing challenges because of the dominance of functional experts in the organization. Maria Gonzalez 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.
Creating value in data economy
– The success of analytics program of Gonzalez Gonzalez's has opened avenues for new revenue streams for the organization in the industry. This can help Gonzalez Gonzalez's to build a more holistic ecosystem as suggested in the Maria Gonzalez case study. Gonzalez Gonzalez's can build new products and services such as - data insight services, data privacy related products, data based consulting services, 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. Gonzalez Gonzalez'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. Gonzalez Gonzalez'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.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Gonzalez Gonzalez's can use these opportunities to build new business models that can help the communities that Gonzalez Gonzalez's operates in. Secondly it can use opportunities from government spending in Leadership & Managing People sector.
Using analytics as competitive advantage
– Gonzalez Gonzalez's 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 Maria Gonzalez - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Gonzalez Gonzalez's to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Gonzalez Gonzalez'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 Gonzalez Gonzalez's to hire the very best people irrespective of their geographical location.
Buying journey improvements
– Gonzalez Gonzalez's can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Maria Gonzalez 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.
Better consumer reach
– The expansion of the 5G network will help Gonzalez Gonzalez's to increase its market reach. Gonzalez Gonzalez'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.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Gonzalez Gonzalez'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, Maria Gonzalez, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Threats Maria Gonzalez External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Maria Gonzalez are -
Increasing wage structure of Gonzalez Gonzalez'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 Gonzalez Gonzalez's.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Gonzalez Gonzalez'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.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Gonzalez Gonzalez'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 Maria Gonzalez .
Shortening product life cycle
– it is one of the major threat that Gonzalez Gonzalez's is facing in Leadership & Managing People sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Capital market disruption
– During the Covid-19, Dow Jones has touched record high. The valuations of a number of companies are way beyond their existing business model potential. This can lead to capital market correction which can put a number of suppliers, collaborators, value chain partners in great financial difficulty. It will directly impact the business of Gonzalez Gonzalez's.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study Maria Gonzalez, Gonzalez Gonzalez's 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 .
Consumer confidence and its impact on Gonzalez Gonzalez'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.
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. Gonzalez Gonzalez's 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.
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 Gonzalez Gonzalez's business can come under increasing regulations regarding data privacy, data security, etc.
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. Gonzalez Gonzalez's can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Technology acceleration in Forth Industrial Revolution
– Gonzalez Gonzalez'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, Gonzalez Gonzalez'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.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Gonzalez Gonzalez's with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
High dependence on third party suppliers
– Gonzalez Gonzalez'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.
Weighted SWOT Analysis of Maria Gonzalez 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 Maria Gonzalez 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 Maria Gonzalez 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 Maria Gonzalez 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 Maria Gonzalez 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 Gonzalez Gonzalez's needs to make to build a sustainable competitive advantage.
