Measuring the Results of the HR Function: The Case of the SociA?tA? de transport de MontrA?al's Staffing and Workforce Planning Division SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Leadership & Managing People
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of Measuring the Results of the HR Function: The Case of the SociA?tA? de transport de MontrA?al's Staffing and Workforce Planning Division
If the HR function is to become a strategic partner within an organization, it must be able to measure the results of its activities and programs. But how? The case places students in the position of an external consultant who is mandated to identify and develop indicators that will be used to establish a balanced scorecard for the head of the Staffing and Workforce Planning Division of the SociA?tA? de transport de MontrA?al (STM). This is a decision-making case, since it asks students to decide on the relevant indicators to be selected for the balanced scorecard. At the same time, it can also be regarded as an analytical case, in that the solutions/indicators must be based on an exhaustive analysis of the situation and information conveyed in the case and its appendices.
Swot Analysis of "Measuring the Results of the HR Function: The Case of the SociA?tA? de transport de MontrA?al's Staffing and Workforce Planning Division" written by Cedric Lepine, Michel Cossette includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Montra De facing as an external strategic factors. Some of the topics covered in Measuring the Results of the HR Function: The Case of the SociA?tA? de transport de MontrA?al's Staffing and Workforce Planning Division case study are - Strategic Management Strategies, and Leadership & Managing People.
Some of the macro environment factors that can be used to understand the Measuring the Results of the HR Function: The Case of the SociA?tA? de transport de MontrA?al's Staffing and Workforce Planning Division casestudy better are - – customer relationship management is fast transforming because of increasing concerns over data privacy, challanges to central banks by blockchain based private currencies, increasing inequality as vast percentage of new income is going to the top 1%, supply chains are disrupted by pandemic , increasing commodity prices, talent flight as more people leaving formal jobs, geopolitical disruptions,
increasing energy prices, there is backlash against globalization, etc
Introduction to SWOT Analysis of Measuring the Results of the HR Function: The Case of the SociA?tA? de transport de MontrA?al's Staffing and Workforce Planning Division
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Measuring the Results of the HR Function: The Case of the SociA?tA? de transport de MontrA?al's Staffing and Workforce Planning Division case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Montra De, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Montra De 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 Measuring the Results of the HR Function: The Case of the SociA?tA? de transport de MontrA?al's Staffing and Workforce Planning Division can be done for the following purposes –
1. Strategic planning using facts provided in Measuring the Results of the HR Function: The Case of the SociA?tA? de transport de MontrA?al's Staffing and Workforce Planning Division case study
2. Improving business portfolio management of Montra De
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 Montra De
Strengths Measuring the Results of the HR Function: The Case of the SociA?tA? de transport de MontrA?al's Staffing and Workforce Planning Division | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Montra De in Measuring the Results of the HR Function: The Case of the SociA?tA? de transport de MontrA?al's Staffing and Workforce Planning Division Harvard Business Review case study are -
Operational resilience
– The operational resilience strategy in the Measuring the Results of the HR Function: The Case of the SociA?tA? de transport de MontrA?al's Staffing and Workforce Planning Division 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.
High switching costs
– The high switching costs that Montra De 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.
High brand equity
– Montra De has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Montra De to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Sustainable margins compare to other players in Leadership & Managing People industry
– Measuring the Results of the HR Function: The Case of the SociA?tA? de transport de MontrA?al's Staffing and Workforce Planning Division firm has clearly differentiated products in the market place. This has enabled Montra De to fetch slight price premium compare to the competitors in the Leadership & Managing People industry. The sustainable margins have also helped Montra De to invest into research and development (R&D) and innovation.
Organizational Resilience of Montra De
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Montra De does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Effective Research and Development (R&D)
– Montra De 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 Measuring the Results of the HR Function: The Case of the SociA?tA? de transport de MontrA?al's Staffing and Workforce Planning Division - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Cross disciplinary teams
– Horizontal connected teams at the Montra De 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.
Innovation driven organization
– Montra De is one of the most innovative firm in sector. Manager in Measuring the Results of the HR Function: The Case of the SociA?tA? de transport de MontrA?al's Staffing and Workforce Planning Division 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
– Montra De 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 Montra De in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Highly skilled collaborators
– Montra De 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 Measuring the Results of the HR Function: The Case of the SociA?tA? de transport de MontrA?al's Staffing and Workforce Planning Division HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
Strong track record of project management
– Montra De 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
- Montra De 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 Montra De is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Measuring the Results of the HR Function: The Case of the SociA?tA? de transport de MontrA?al's Staffing and Workforce Planning Division Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Weaknesses Measuring the Results of the HR Function: The Case of the SociA?tA? de transport de MontrA?al's Staffing and Workforce Planning Division | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Measuring the Results of the HR Function: The Case of the SociA?tA? de transport de MontrA?al's Staffing and Workforce Planning Division are -
Aligning sales with marketing
– It come across in the case study Measuring the Results of the HR Function: The Case of the SociA?tA? de transport de MontrA?al's Staffing and Workforce Planning Division 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 Measuring the Results of the HR Function: The Case of the SociA?tA? de transport de MontrA?al's Staffing and Workforce Planning Division can leverage the sales team experience to cultivate customer relationships as Montra De is planning to shift buying processes online.
Low market penetration in new markets
– Outside its home market of Montra De, firm in the HBR case study Measuring the Results of the HR Function: The Case of the SociA?tA? de transport de MontrA?al's Staffing and Workforce Planning Division needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Montra De is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study Measuring the Results of the HR Function: The Case of the SociA?tA? de transport de MontrA?al's Staffing and Workforce Planning Division can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study Measuring the Results of the HR Function: The Case of the SociA?tA? de transport de MontrA?al's Staffing and Workforce Planning Division, is just above the industry average. Montra De 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.
Increasing silos among functional specialists
– The organizational structure of Montra De is dominated by functional specialists. It is not different from other players in the Leadership & Managing People segment. Montra De needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Montra De to focus more on services rather than just following the product oriented approach.
Need for greater diversity
– Montra De 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.
Slow to strategic competitive environment developments
– As Measuring the Results of the HR Function: The Case of the SociA?tA? de transport de MontrA?al's Staffing and Workforce Planning Division HBR case study mentions - Montra De 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.
No frontier risks strategy
– After analyzing the HBR case study Measuring the Results of the HR Function: The Case of the SociA?tA? de transport de MontrA?al's Staffing and Workforce Planning Division, 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.
Lack of clear differentiation of Montra De products
– To increase the profitability and margins on the products, Montra De needs to provide more differentiated products than what it is currently offering in the marketplace.
Interest costs
– Compare to the competition, Montra De 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.
Workers concerns about automation
– As automation is fast increasing in the segment, Montra De 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.
Opportunities Measuring the Results of the HR Function: The Case of the SociA?tA? de transport de MontrA?al's Staffing and Workforce Planning Division | 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 Measuring the Results of the HR Function: The Case of the SociA?tA? de transport de MontrA?al's Staffing and Workforce Planning Division are -
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Montra De 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, Measuring the Results of the HR Function: The Case of the SociA?tA? de transport de MontrA?al's Staffing and Workforce Planning Division, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Loyalty marketing
– Montra De 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.
Developing new processes and practices
– Montra De 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.
Better consumer reach
– The expansion of the 5G network will help Montra De to increase its market reach. Montra De 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.
Creating value in data economy
– The success of analytics program of Montra De has opened avenues for new revenue streams for the organization in the industry. This can help Montra De to build a more holistic ecosystem as suggested in the Measuring the Results of the HR Function: The Case of the SociA?tA? de transport de MontrA?al's Staffing and Workforce Planning Division case study. Montra De can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Montra De 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 Montra De to hire the very best people irrespective of their geographical location.
Lowering marketing communication costs
– 5G expansion will open new opportunities for Montra De 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.
Building a culture of innovation
– managers at Montra De 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.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Montra De can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
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. Montra De can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Buying journey improvements
– Montra De can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Measuring the Results of the HR Function: The Case of the SociA?tA? de transport de MontrA?al's Staffing and Workforce Planning Division 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.
Manufacturing automation
– Montra De 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.
Leveraging digital technologies
– Montra De 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 Measuring the Results of the HR Function: The Case of the SociA?tA? de transport de MontrA?al's Staffing and Workforce Planning Division External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Measuring the Results of the HR Function: The Case of the SociA?tA? de transport de MontrA?al's Staffing and Workforce Planning Division are -
Increasing wage structure of Montra De
– 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 Montra De.
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. Montra De can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Regulatory challenges
– Montra De 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.
Technology acceleration in Forth Industrial Revolution
– Montra De has witnessed rapid integration of technology during Covid-19 in the Leadership & Managing People industry. As one of the leading players in the industry, Montra De 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.
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 Montra De.
Environmental challenges
– Montra De 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. Montra De 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 Montra De in the Leadership & Managing People sector and impact the bottomline of the organization.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Montra De with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
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.
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. Montra De 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.
High dependence on third party suppliers
– Montra De 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.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study Measuring the Results of the HR Function: The Case of the SociA?tA? de transport de MontrA?al's Staffing and Workforce Planning Division, Montra De 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 .
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Montra De 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 Measuring the Results of the HR Function: The Case of the SociA?tA? de transport de MontrA?al's Staffing and Workforce Planning Division .
Weighted SWOT Analysis of Measuring the Results of the HR Function: The Case of the SociA?tA? de transport de MontrA?al's Staffing and Workforce Planning Division 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 Measuring the Results of the HR Function: The Case of the SociA?tA? de transport de MontrA?al's Staffing and Workforce Planning Division 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 Measuring the Results of the HR Function: The Case of the SociA?tA? de transport de MontrA?al's Staffing and Workforce Planning Division 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 Measuring the Results of the HR Function: The Case of the SociA?tA? de transport de MontrA?al's Staffing and Workforce Planning Division 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 Measuring the Results of the HR Function: The Case of the SociA?tA? de transport de MontrA?al's Staffing and Workforce Planning Division 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 Montra De needs to make to build a sustainable competitive advantage.
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