Case Study Description of Trionym Systems: Investment Decision-Making Using Prescriptive Analytics
Trionym Systems, a designer and manufacturer of 3-D printers, was enjoying soaring sales. Trionym's chief executive officer (CEO) presented a plan for acquiring a new production facility to address the expected demand for the firm's latest 3-D printer, the RB-5000, which was presently under beta testing. He expressed reservations with respect to considerable uncertainty both in terms of market size and production costs. Accordingly, he wished to use the latest prescriptive analytics techniques to ensure that the decision to expand was the right one. The chief analytics officer was tasked with assessing the proposed project and had to report his findings at the next board meeting. Owen Hall is affiliated with Pepperdine University.
Swot Analysis of "Trionym Systems: Investment Decision-Making Using Prescriptive Analytics" written by Owen Hall, Kenneth Ko includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Trionym Prescriptive facing as an external strategic factors. Some of the topics covered in Trionym Systems: Investment Decision-Making Using Prescriptive Analytics case study are - Strategic Management Strategies, and Leadership & Managing People.
Some of the macro environment factors that can be used to understand the Trionym Systems: Investment Decision-Making Using Prescriptive Analytics casestudy better are - – customer relationship management is fast transforming because of increasing concerns over data privacy, increasing transportation and logistics costs, competitive advantages are harder to sustain because of technology dispersion, technology disruption, talent flight as more people leaving formal jobs, there is increasing trade war between United States & China, geopolitical disruptions,
increasing energy prices, wage bills are increasing, etc
Introduction to SWOT Analysis of Trionym Systems: Investment Decision-Making Using Prescriptive Analytics
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Trionym Systems: Investment Decision-Making Using Prescriptive Analytics case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Trionym Prescriptive, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Trionym Prescriptive 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 Trionym Systems: Investment Decision-Making Using Prescriptive Analytics can be done for the following purposes –
1. Strategic planning using facts provided in Trionym Systems: Investment Decision-Making Using Prescriptive Analytics case study
2. Improving business portfolio management of Trionym Prescriptive
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 Trionym Prescriptive
Strengths Trionym Systems: Investment Decision-Making Using Prescriptive Analytics | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Trionym Prescriptive in Trionym Systems: Investment Decision-Making Using Prescriptive Analytics Harvard Business Review case study are -
Highly skilled collaborators
– Trionym Prescriptive 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 Trionym Systems: Investment Decision-Making Using Prescriptive Analytics HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
Strong track record of project management
– Trionym Prescriptive is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Organizational Resilience of Trionym Prescriptive
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Trionym Prescriptive does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Training and development
– Trionym Prescriptive has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in Trionym Systems: Investment Decision-Making Using Prescriptive Analytics 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.
Effective Research and Development (R&D)
– Trionym Prescriptive 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 Trionym Systems: Investment Decision-Making Using Prescriptive Analytics - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Innovation driven organization
– Trionym Prescriptive is one of the most innovative firm in sector. Manager in Trionym Systems: Investment Decision-Making Using Prescriptive Analytics Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Analytics focus
– Trionym Prescriptive 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 Owen Hall, Kenneth Ko 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.
Low bargaining power of suppliers
– Suppliers of Trionym Prescriptive in the sector have low bargaining power. Trionym Systems: Investment Decision-Making Using Prescriptive Analytics has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Trionym Prescriptive to manage not only supply disruptions but also source products at highly competitive prices.
Ability to lead change in Leadership & Managing People field
– Trionym Prescriptive 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 Trionym Prescriptive in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Superior customer experience
– The customer experience strategy of Trionym Prescriptive in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Digital Transformation in Leadership & Managing People segment
- digital transformation varies from industry to industry. For Trionym Prescriptive digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Trionym Prescriptive 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.
High brand equity
– Trionym Prescriptive has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Trionym Prescriptive to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Weaknesses Trionym Systems: Investment Decision-Making Using Prescriptive Analytics | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Trionym Systems: Investment Decision-Making Using Prescriptive Analytics are -
Skills based hiring
– The stress on hiring functional specialists at Trionym Prescriptive 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.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study Trionym Systems: Investment Decision-Making Using Prescriptive Analytics, is just above the industry average. Trionym Prescriptive 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.
Employees’ incomplete understanding of strategy
– From the instances in the HBR case study Trionym Systems: Investment Decision-Making Using Prescriptive Analytics, it seems that the employees of Trionym Prescriptive 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.
Products dominated business model
– Even though Trionym Prescriptive 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 - Trionym Systems: Investment Decision-Making Using Prescriptive Analytics should strive to include more intangible value offerings along with its core products and services.
No frontier risks strategy
– After analyzing the HBR case study Trionym Systems: Investment Decision-Making Using Prescriptive Analytics, 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.
High operating costs
– Compare to the competitors, firm in the HBR case study Trionym Systems: Investment Decision-Making Using Prescriptive Analytics 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 Trionym Prescriptive 's lucrative customers.
High dependence on star products
– The top 2 products and services of the firm as mentioned in the Trionym Systems: Investment Decision-Making Using Prescriptive Analytics 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 Trionym Prescriptive has relatively successful track record of launching new products.
Capital Spending Reduction
– Even during the low interest decade, Trionym Prescriptive 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, Owen Hall, Kenneth Ko suggests that, Trionym Prescriptive 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.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study Trionym Systems: Investment Decision-Making Using Prescriptive Analytics, in the dynamic environment Trionym Prescriptive has struggled to respond to the nimble upstart competition. Trionym Prescriptive has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
Interest costs
– Compare to the competition, Trionym Prescriptive 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.
Opportunities Trionym Systems: Investment Decision-Making Using Prescriptive Analytics | 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 Trionym Systems: Investment Decision-Making Using Prescriptive Analytics are -
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. Trionym Prescriptive can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Developing new processes and practices
– Trionym Prescriptive 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.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Trionym Prescriptive can use these opportunities to build new business models that can help the communities that Trionym Prescriptive operates in. Secondly it can use opportunities from government spending in Leadership & Managing People sector.
Loyalty marketing
– Trionym Prescriptive 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.
Using analytics as competitive advantage
– Trionym Prescriptive 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 Trionym Systems: Investment Decision-Making Using Prescriptive Analytics - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Trionym Prescriptive to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Identify volunteer opportunities
– Covid-19 has impacted working population in two ways – it has led to people soul searching about their professional choices, resulting in mass resignation. Secondly it has encouraged people to do things that they are passionate about. This has opened opportunities for businesses to build volunteer oriented socially driven projects. Trionym Prescriptive can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Learning at scale
– Online learning technologies has now opened space for Trionym Prescriptive 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.
Better consumer reach
– The expansion of the 5G network will help Trionym Prescriptive to increase its market reach. Trionym Prescriptive 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.
Buying journey improvements
– Trionym Prescriptive can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Trionym Systems: Investment Decision-Making Using Prescriptive Analytics 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.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Trionym Prescriptive is facing challenges because of the dominance of functional experts in the organization. Trionym Systems: Investment Decision-Making Using Prescriptive Analytics 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.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Trionym Prescriptive 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, Trionym Systems: Investment Decision-Making Using Prescriptive Analytics, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Building a culture of innovation
– managers at Trionym Prescriptive 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.
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 Trionym Prescriptive 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.
Threats Trionym Systems: Investment Decision-Making Using Prescriptive Analytics External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Trionym Systems: Investment Decision-Making Using Prescriptive Analytics are -
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 Trionym Prescriptive.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Trionym Prescriptive with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
Increasing wage structure of Trionym Prescriptive
– 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 Trionym Prescriptive.
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 Trionym Prescriptive in the Leadership & Managing People sector and impact the bottomline of the organization.
Environmental challenges
– Trionym Prescriptive 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. Trionym Prescriptive can take advantage of this fund but it will also bring new competitors in the Leadership & Managing People industry.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study Trionym Systems: Investment Decision-Making Using Prescriptive Analytics, Trionym Prescriptive 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 .
Regulatory challenges
– Trionym Prescriptive 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.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Trionym Prescriptive 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 Trionym Systems: Investment Decision-Making Using Prescriptive Analytics .
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. Trionym Prescriptive can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Stagnating economy with rate increase
– Trionym Prescriptive 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.
Technology acceleration in Forth Industrial Revolution
– Trionym Prescriptive has witnessed rapid integration of technology during Covid-19 in the Leadership & Managing People industry. As one of the leading players in the industry, Trionym Prescriptive 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 Trionym Prescriptive 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.
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 Trionym Prescriptive business can come under increasing regulations regarding data privacy, data security, etc.
Weighted SWOT Analysis of Trionym Systems: Investment Decision-Making Using Prescriptive Analytics 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 Trionym Systems: Investment Decision-Making Using Prescriptive Analytics 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 Trionym Systems: Investment Decision-Making Using Prescriptive Analytics 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 Trionym Systems: Investment Decision-Making Using Prescriptive Analytics 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 Trionym Systems: Investment Decision-Making Using Prescriptive Analytics 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 Trionym Prescriptive needs to make to build a sustainable competitive advantage.