Case Study Description of Yoshiko Shinohara and Tempstaff
The case presents a biographical portrait of Yoshiko Shinohara who founded Tempstaff in 1973, one of the largest temporary staffing agencies in Japan. In addition to chronicling Shinohara's entrepreneurial activities, the case provides contextual background about the role of women in business in Japan in the last few decades of the 20th century.
Authors :: Anthony J. Mayo, Masako Egawa, Mayuka Yamazaki
Swot Analysis of "Yoshiko Shinohara and Tempstaff" written by Anthony J. Mayo, Masako Egawa, Mayuka Yamazaki includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Shinohara Tempstaff facing as an external strategic factors. Some of the topics covered in Yoshiko Shinohara and Tempstaff case study are - Strategic Management Strategies, Entrepreneurship, Gender, Government and Leadership & Managing People.
Some of the macro environment factors that can be used to understand the Yoshiko Shinohara and Tempstaff casestudy better are - – banking and financial system is disrupted by Bitcoin and other crypto currencies, technology disruption, there is increasing trade war between United States & China, increasing government debt because of Covid-19 spendings, increasing transportation and logistics costs, increasing commodity prices, increasing household debt because of falling income levels,
digital marketing is dominated by two big players Facebook and Google, there is backlash against globalization, etc
Introduction to SWOT Analysis of Yoshiko Shinohara and Tempstaff
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Yoshiko Shinohara and Tempstaff case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Shinohara Tempstaff, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Shinohara Tempstaff 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 Yoshiko Shinohara and Tempstaff can be done for the following purposes –
1. Strategic planning using facts provided in Yoshiko Shinohara and Tempstaff case study
2. Improving business portfolio management of Shinohara Tempstaff
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 Shinohara Tempstaff
Strengths Yoshiko Shinohara and Tempstaff | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Shinohara Tempstaff in Yoshiko Shinohara and Tempstaff Harvard Business Review case study are -
Effective Research and Development (R&D)
– Shinohara Tempstaff 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 Yoshiko Shinohara and Tempstaff - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
High brand equity
– Shinohara Tempstaff has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Shinohara Tempstaff to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Learning organization
- Shinohara Tempstaff 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 Shinohara Tempstaff is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Yoshiko Shinohara and Tempstaff Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Cross disciplinary teams
– Horizontal connected teams at the Shinohara Tempstaff 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.
Digital Transformation in Leadership & Managing People segment
- digital transformation varies from industry to industry. For Shinohara Tempstaff digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Shinohara Tempstaff 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.
Organizational Resilience of Shinohara Tempstaff
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Shinohara Tempstaff does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Strong track record of project management
– Shinohara Tempstaff is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Superior customer experience
– The customer experience strategy of Shinohara Tempstaff in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
High switching costs
– The high switching costs that Shinohara Tempstaff 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.
Ability to lead change in Leadership & Managing People field
– Shinohara Tempstaff 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 Shinohara Tempstaff in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Sustainable margins compare to other players in Leadership & Managing People industry
– Yoshiko Shinohara and Tempstaff firm has clearly differentiated products in the market place. This has enabled Shinohara Tempstaff to fetch slight price premium compare to the competitors in the Leadership & Managing People industry. The sustainable margins have also helped Shinohara Tempstaff to invest into research and development (R&D) and innovation.
Highly skilled collaborators
– Shinohara Tempstaff 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 Yoshiko Shinohara and Tempstaff HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
Weaknesses Yoshiko Shinohara and Tempstaff | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Yoshiko Shinohara and Tempstaff are -
High bargaining power of channel partners
– Because of the regulatory requirements, Anthony J. Mayo, Masako Egawa, Mayuka Yamazaki suggests that, Shinohara Tempstaff 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.
Lack of clear differentiation of Shinohara Tempstaff products
– To increase the profitability and margins on the products, Shinohara Tempstaff needs to provide more differentiated products than what it is currently offering in the marketplace.
Increasing silos among functional specialists
– The organizational structure of Shinohara Tempstaff is dominated by functional specialists. It is not different from other players in the Leadership & Managing People segment. Shinohara Tempstaff needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Shinohara Tempstaff to focus more on services rather than just following the product oriented approach.
High dependence on star products
– The top 2 products and services of the firm as mentioned in the Yoshiko Shinohara and Tempstaff 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 Shinohara Tempstaff has relatively successful track record of launching new products.
High operating costs
– Compare to the competitors, firm in the HBR case study Yoshiko Shinohara and Tempstaff 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 Shinohara Tempstaff 's lucrative customers.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study Yoshiko Shinohara and Tempstaff, in the dynamic environment Shinohara Tempstaff has struggled to respond to the nimble upstart competition. Shinohara Tempstaff has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study Yoshiko Shinohara and Tempstaff, is just above the industry average. Shinohara Tempstaff 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.
High cash cycle compare to competitors
Shinohara Tempstaff 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.
High dependence on existing supply chain
– The disruption in the global supply chains because of the Covid-19 pandemic and blockage of the Suez Canal illustrated the fragile nature of Shinohara Tempstaff supply chain. Even after few cautionary changes mentioned in the HBR case study - Yoshiko Shinohara and Tempstaff, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Shinohara Tempstaff vulnerable to further global disruptions in South East Asia.
Slow to strategic competitive environment developments
– As Yoshiko Shinohara and Tempstaff HBR case study mentions - Shinohara Tempstaff 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 Yoshiko Shinohara and Tempstaff, 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.
Opportunities Yoshiko Shinohara and Tempstaff | 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 Yoshiko Shinohara and Tempstaff are -
Better consumer reach
– The expansion of the 5G network will help Shinohara Tempstaff to increase its market reach. Shinohara Tempstaff 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.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Shinohara Tempstaff is facing challenges because of the dominance of functional experts in the organization. Yoshiko Shinohara and Tempstaff 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.
Building a culture of innovation
– managers at Shinohara Tempstaff 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.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Shinohara Tempstaff 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, Yoshiko Shinohara and Tempstaff, 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
– Shinohara Tempstaff 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.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Shinohara Tempstaff can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Shinohara Tempstaff can use these opportunities to build new business models that can help the communities that Shinohara Tempstaff operates in. Secondly it can use opportunities from government spending in Leadership & Managing People sector.
Learning at scale
– Online learning technologies has now opened space for Shinohara Tempstaff 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.
Buying journey improvements
– Shinohara Tempstaff can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Yoshiko Shinohara and Tempstaff 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.
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. Shinohara Tempstaff can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
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 Shinohara Tempstaff in the consumer business. Now Shinohara Tempstaff can target international markets with far fewer capital restrictions requirements than the existing system.
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 Shinohara Tempstaff 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.
Loyalty marketing
– Shinohara Tempstaff 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.
Threats Yoshiko Shinohara and Tempstaff External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Yoshiko Shinohara and Tempstaff are -
Regulatory challenges
– Shinohara Tempstaff 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.
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 Shinohara Tempstaff business can come under increasing regulations regarding data privacy, data security, etc.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Shinohara Tempstaff 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.
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.
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. Shinohara Tempstaff 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.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study Yoshiko Shinohara and Tempstaff, Shinohara Tempstaff 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 .
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.
Environmental challenges
– Shinohara Tempstaff 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. Shinohara Tempstaff can take advantage of this fund but it will also bring new competitors in the Leadership & Managing People industry.
Consumer confidence and its impact on Shinohara Tempstaff 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.
High dependence on third party suppliers
– Shinohara Tempstaff 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. Shinohara Tempstaff needs to understand the core reasons impacting the Leadership & Managing People industry. This will help it in building a better workplace.
Technology acceleration in Forth Industrial Revolution
– Shinohara Tempstaff has witnessed rapid integration of technology during Covid-19 in the Leadership & Managing People industry. As one of the leading players in the industry, Shinohara Tempstaff 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 Shinohara Tempstaff.
Weighted SWOT Analysis of Yoshiko Shinohara and Tempstaff 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 Yoshiko Shinohara and Tempstaff 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 Yoshiko Shinohara and Tempstaff 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 Yoshiko Shinohara and Tempstaff 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 Yoshiko Shinohara and Tempstaff 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 Shinohara Tempstaff needs to make to build a sustainable competitive advantage.