Tata Motors' Talent Management Fast Track Selection Scheme (B): Past Perspective SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Leadership & Managing People
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of Tata Motors' Talent Management Fast Track Selection Scheme (B): Past Perspective
A chief human resource executive of an automotive company in India, faced with exits of promising employees, was reviewing the efficacy and relevance of the company's 20-year-old high-potential talent identification program in place since 1991. The chief executive was particularly concerned about how well the program met the company's changing leadership needs within the context of a rapidly evolving automotive industry in India in recent years owing to open economy and influx of foreign players in the automotive segment. The challenge facing the executive was how to align the program with the company's organizational strategy to establish a pipeline of successors ready for critical senior roles in a changing business landscape by fostering loyalty and leadership capability of employees.
Swot Analysis of "Tata Motors' Talent Management Fast Track Selection Scheme (B): Past Perspective" written by Tripti Singh, Ritu Waila, Gayatri Phadke includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Automotive Program facing as an external strategic factors. Some of the topics covered in Tata Motors' Talent Management Fast Track Selection Scheme (B): Past Perspective case study are - Strategic Management Strategies, Motivating people and Leadership & Managing People.
Some of the macro environment factors that can be used to understand the Tata Motors' Talent Management Fast Track Selection Scheme (B): Past Perspective casestudy better are - – talent flight as more people leaving formal jobs, banking and financial system is disrupted by Bitcoin and other crypto currencies, competitive advantages are harder to sustain because of technology dispersion, geopolitical disruptions, customer relationship management is fast transforming because of increasing concerns over data privacy, increasing energy prices, supply chains are disrupted by pandemic ,
cloud computing is disrupting traditional business models, increasing transportation and logistics costs, etc
Introduction to SWOT Analysis of Tata Motors' Talent Management Fast Track Selection Scheme (B): Past Perspective
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Tata Motors' Talent Management Fast Track Selection Scheme (B): Past Perspective case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Automotive Program, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Automotive Program 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 Tata Motors' Talent Management Fast Track Selection Scheme (B): Past Perspective can be done for the following purposes –
1. Strategic planning using facts provided in Tata Motors' Talent Management Fast Track Selection Scheme (B): Past Perspective case study
2. Improving business portfolio management of Automotive Program
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 Automotive Program
Strengths Tata Motors' Talent Management Fast Track Selection Scheme (B): Past Perspective | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Automotive Program in Tata Motors' Talent Management Fast Track Selection Scheme (B): Past Perspective Harvard Business Review case study are -
Digital Transformation in Leadership & Managing People segment
- digital transformation varies from industry to industry. For Automotive Program digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Automotive Program 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.
Ability to recruit top talent
– Automotive Program is one of the leading recruiters in the industry. Managers in the Tata Motors' Talent Management Fast Track Selection Scheme (B): Past Perspective are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
Sustainable margins compare to other players in Leadership & Managing People industry
– Tata Motors' Talent Management Fast Track Selection Scheme (B): Past Perspective firm has clearly differentiated products in the market place. This has enabled Automotive Program to fetch slight price premium compare to the competitors in the Leadership & Managing People industry. The sustainable margins have also helped Automotive Program to invest into research and development (R&D) and innovation.
High brand equity
– Automotive Program has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Automotive Program to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Successful track record of launching new products
– Automotive Program has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Automotive Program 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.
Effective Research and Development (R&D)
– Automotive Program 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 Tata Motors' Talent Management Fast Track Selection Scheme (B): Past Perspective - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Operational resilience
– The operational resilience strategy in the Tata Motors' Talent Management Fast Track Selection Scheme (B): Past Perspective 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.
Training and development
– Automotive Program has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in Tata Motors' Talent Management Fast Track Selection Scheme (B): Past Perspective 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.
Cross disciplinary teams
– Horizontal connected teams at the Automotive Program 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.
Organizational Resilience of Automotive Program
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Automotive Program does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Highly skilled collaborators
– Automotive Program 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 Tata Motors' Talent Management Fast Track Selection Scheme (B): Past Perspective HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
High switching costs
– The high switching costs that Automotive Program 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.
Weaknesses Tata Motors' Talent Management Fast Track Selection Scheme (B): Past Perspective | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Tata Motors' Talent Management Fast Track Selection Scheme (B): Past Perspective are -
Aligning sales with marketing
– It come across in the case study Tata Motors' Talent Management Fast Track Selection Scheme (B): Past Perspective 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 Tata Motors' Talent Management Fast Track Selection Scheme (B): Past Perspective can leverage the sales team experience to cultivate customer relationships as Automotive Program is planning to shift buying processes online.
Interest costs
– Compare to the competition, Automotive Program 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.
Lack of clear differentiation of Automotive Program products
– To increase the profitability and margins on the products, Automotive Program needs to provide more differentiated products than what it is currently offering in the marketplace.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study Tata Motors' Talent Management Fast Track Selection Scheme (B): Past Perspective, in the dynamic environment Automotive Program has struggled to respond to the nimble upstart competition. Automotive Program has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
Products dominated business model
– Even though Automotive Program 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 - Tata Motors' Talent Management Fast Track Selection Scheme (B): Past Perspective should strive to include more intangible value offerings along with its core products and services.
High cash cycle compare to competitors
Automotive Program has a high cash cycle compare to other players in the industry. It needs to shorten the cash cycle by 12% to be more competitive in the marketplace, reduce inventory costs, and be more profitable.
Workers concerns about automation
– As automation is fast increasing in the segment, Automotive Program 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.
Skills based hiring
– The stress on hiring functional specialists at Automotive Program 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.
Slow decision making process
– As mentioned earlier in the report, Automotive Program 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. Automotive Program 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, Automotive Program is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study Tata Motors' Talent Management Fast Track Selection Scheme (B): Past Perspective 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 Tata Motors' Talent Management Fast Track Selection Scheme (B): Past Perspective, is just above the industry average. Automotive Program 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.
Opportunities Tata Motors' Talent Management Fast Track Selection Scheme (B): Past Perspective | 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 Tata Motors' Talent Management Fast Track Selection Scheme (B): Past Perspective are -
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Automotive Program can use these opportunities to build new business models that can help the communities that Automotive Program 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 Automotive Program 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.
Building a culture of innovation
– managers at Automotive Program 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.
Loyalty marketing
– Automotive Program 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.
Buying journey improvements
– Automotive Program can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Tata Motors' Talent Management Fast Track Selection Scheme (B): Past Perspective 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 Automotive Program to increase its market reach. Automotive Program 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 Automotive Program has opened avenues for new revenue streams for the organization in the industry. This can help Automotive Program to build a more holistic ecosystem as suggested in the Tata Motors' Talent Management Fast Track Selection Scheme (B): Past Perspective case study. Automotive Program can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Manufacturing automation
– Automotive Program 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 Automotive Program 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.
Use of Bitcoin and other crypto currencies for transactions
– The popularity of Bitcoin and other crypto currencies as asset class and medium of transaction has opened new opportunities for Automotive Program in the consumer business. Now Automotive Program can target international markets with far fewer capital restrictions requirements than the existing system.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Automotive Program is facing challenges because of the dominance of functional experts in the organization. Tata Motors' Talent Management Fast Track Selection Scheme (B): Past Perspective 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, Automotive Program 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, Tata Motors' Talent Management Fast Track Selection Scheme (B): Past Perspective, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Leveraging digital technologies
– Automotive Program 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 Tata Motors' Talent Management Fast Track Selection Scheme (B): Past Perspective External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Tata Motors' Talent Management Fast Track Selection Scheme (B): Past Perspective are -
Consumer confidence and its impact on Automotive Program 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. Automotive Program will face different problems in different parts of Europe. For example it will face inflationary pressures in UK, France, and Germany, balance sheet expansion and demand challenges in Southern European countries, and geopolitical instability in the Eastern Europe.
Technology disruption because of hacks, piracy etc
– The colonial pipeline illustrated, how vulnerable modern organization are to international hackers, miscreants, and disruptors. The cyber security interruption, data leaks, etc can seriously jeopardize the future growth of the organization.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Automotive Program 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.
Technology acceleration in Forth Industrial Revolution
– Automotive Program has witnessed rapid integration of technology during Covid-19 in the Leadership & Managing People industry. As one of the leading players in the industry, Automotive Program 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.
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. Automotive Program can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Increasing wage structure of Automotive Program
– 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 Automotive Program.
Environmental challenges
– Automotive Program 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. Automotive Program can take advantage of this fund but it will also bring new competitors in the Leadership & Managing People industry.
Stagnating economy with rate increase
– Automotive Program 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.
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.
High dependence on third party suppliers
– Automotive Program 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.
High level of anxiety and lack of motivation
– the Great Resignation in United States is the sign of broader dissatisfaction among the workforce in United States. Automotive Program needs to understand the core reasons impacting the Leadership & Managing People industry. This will help it in building a better workplace.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Automotive Program 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 Tata Motors' Talent Management Fast Track Selection Scheme (B): Past Perspective .
Weighted SWOT Analysis of Tata Motors' Talent Management Fast Track Selection Scheme (B): Past Perspective 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 Tata Motors' Talent Management Fast Track Selection Scheme (B): Past Perspective 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 Tata Motors' Talent Management Fast Track Selection Scheme (B): Past Perspective 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 Tata Motors' Talent Management Fast Track Selection Scheme (B): Past Perspective 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 Tata Motors' Talent Management Fast Track Selection Scheme (B): Past Perspective 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 Automotive Program needs to make to build a sustainable competitive advantage.
