VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Leadership & Managing People
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR
Serial entrepreneur Vinesh Juglal wondered what it would be like to run Durban Computer College (DCC), the institution he had just bought. The education market in Africa was growing by leaps and bounds, and the ever-opportunistic Vinesh knew that buying a successful training enterprise could help him make the most of this market. On the other hand, Vinesh was well aware that in order to grow the institution he would need another source of financing, since his current lines were tied up in his real estate and supermarket businesses. Infrastructure was not an issue, since Vinesh had most of the fixed assets he needed to grow DCC Campus. Attracting more students would happen either by lowering fees or by offering financial aid. Vinesh had heard of many sponsoring bodies, including government programs, set up for this purpose. But these sponsors tended to give grants only to non-profit entities. What would be the best way to grow this "business"-if it could be called a business in the first place? Should he target the same return on investment as in his other businesses? More broadly, could he be successful using his previous, purely commercial approach? Learning objectives: To experience, almost first-hand, the rapidly changing business environment in South Africa in the 1985-2010 period, through the entrepreneurial adventures of Vinesh Juglal who builds a series of enterprisees across several industries. To consider the social role of business in the context of a developing country.
Swot Analysis of "VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR" written by Maury Peiperl, Archana Jha includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Vinesh Juglal facing as an external strategic factors. Some of the topics covered in VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR case study are - Strategic Management Strategies, and Leadership & Managing People.
Some of the macro environment factors that can be used to understand the VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR casestudy better are - – challanges to central banks by blockchain based private currencies, digital marketing is dominated by two big players Facebook and Google, talent flight as more people leaving formal jobs, increasing government debt because of Covid-19 spendings, competitive advantages are harder to sustain because of technology dispersion, technology disruption, increasing transportation and logistics costs,
wage bills are increasing, increasing commodity prices, etc
Introduction to SWOT Analysis of VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Vinesh Juglal, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Vinesh Juglal 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 VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR can be done for the following purposes –
1. Strategic planning using facts provided in VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR case study
2. Improving business portfolio management of Vinesh Juglal
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 Vinesh Juglal
Strengths VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Vinesh Juglal in VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR Harvard Business Review case study are -
Strong track record of project management
– Vinesh Juglal is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Cross disciplinary teams
– Horizontal connected teams at the Vinesh Juglal 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.
Low bargaining power of suppliers
– Suppliers of Vinesh Juglal in the sector have low bargaining power. VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Vinesh Juglal to manage not only supply disruptions but also source products at highly competitive prices.
High switching costs
– The high switching costs that Vinesh Juglal 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.
Diverse revenue streams
– Vinesh Juglal is present in almost all the verticals within the industry. This has provided firm in VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR case study a diverse revenue stream that has helped it to survive disruptions such as global pandemic in Covid-19, financial disruption of 2008, and supply chain disruption of 2021.
Training and development
– Vinesh Juglal has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR 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.
Ability to recruit top talent
– Vinesh Juglal is one of the leading recruiters in the industry. Managers in the VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
Digital Transformation in Leadership & Managing People segment
- digital transformation varies from industry to industry. For Vinesh Juglal digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Vinesh Juglal 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.
Learning organization
- Vinesh Juglal 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 Vinesh Juglal is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Highly skilled collaborators
– Vinesh Juglal 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 VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
Successful track record of launching new products
– Vinesh Juglal has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Vinesh Juglal 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.
Ability to lead change in Leadership & Managing People field
– Vinesh Juglal 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 Vinesh Juglal in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Weaknesses VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR are -
No frontier risks strategy
– After analyzing the HBR case study VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR, 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 VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR 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 Vinesh Juglal 's lucrative customers.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR, is just above the industry average. Vinesh Juglal needs to redesign the compensation structure and incentives to increase the revenue per employees. Some of the steps that it can take are – hiring more specialists on project basis, etc.
Aligning sales with marketing
– It come across in the case study VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR 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 VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR can leverage the sales team experience to cultivate customer relationships as Vinesh Juglal is planning to shift buying processes online.
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 Vinesh Juglal supply chain. Even after few cautionary changes mentioned in the HBR case study - VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Vinesh Juglal vulnerable to further global disruptions in South East Asia.
Products dominated business model
– Even though Vinesh Juglal 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 - VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR should strive to include more intangible value offerings along with its core products and services.
Need for greater diversity
– Vinesh Juglal 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 decision making process
– As mentioned earlier in the report, Vinesh Juglal 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. Vinesh Juglal 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.
High dependence on star products
– The top 2 products and services of the firm as mentioned in the VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR 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 Vinesh Juglal has relatively successful track record of launching new products.
Slow to strategic competitive environment developments
– As VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR HBR case study mentions - Vinesh Juglal 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.
Capital Spending Reduction
– Even during the low interest decade, Vinesh Juglal 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.
Opportunities VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR | 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 VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR 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. Vinesh Juglal can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Building a culture of innovation
– managers at Vinesh Juglal 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, Vinesh Juglal 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, VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Developing new processes and practices
– Vinesh Juglal 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.
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 Vinesh Juglal 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.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Vinesh Juglal can use these opportunities to build new business models that can help the communities that Vinesh Juglal operates in. Secondly it can use opportunities from government spending in Leadership & Managing People sector.
Low interest rates
– Even though inflation is raising its head in most developed economies, Vinesh Juglal can still utilize the low interest rates to borrow money for capital investment. Secondly it can also use the increase of government spending in infrastructure projects to get new business.
Creating value in data economy
– The success of analytics program of Vinesh Juglal has opened avenues for new revenue streams for the organization in the industry. This can help Vinesh Juglal to build a more holistic ecosystem as suggested in the VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR case study. Vinesh Juglal can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Vinesh Juglal is facing challenges because of the dominance of functional experts in the organization. VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR 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.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Vinesh Juglal 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 Vinesh Juglal to hire the very best people irrespective of their geographical location.
Manufacturing automation
– Vinesh Juglal 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.
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 Vinesh Juglal in the consumer business. Now Vinesh Juglal can target international markets with far fewer capital restrictions requirements than the existing system.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Vinesh Juglal can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Threats VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR are -
Stagnating economy with rate increase
– Vinesh Juglal 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.
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. Vinesh Juglal can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
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 Vinesh Juglal business can come under increasing regulations regarding data privacy, data security, etc.
Technology acceleration in Forth Industrial Revolution
– Vinesh Juglal has witnessed rapid integration of technology during Covid-19 in the Leadership & Managing People industry. As one of the leading players in the industry, Vinesh Juglal 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.
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. Vinesh Juglal 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.
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 Vinesh Juglal 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 Vinesh Juglal with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
Shortening product life cycle
– it is one of the major threat that Vinesh Juglal is facing in Leadership & Managing People sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Environmental challenges
– Vinesh Juglal 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. Vinesh Juglal can take advantage of this fund but it will also bring new competitors in the Leadership & Managing People industry.
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 Vinesh Juglal.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR, Vinesh Juglal 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 wage structure of Vinesh Juglal
– 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 Vinesh Juglal.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Vinesh Juglal 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 VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR .
Weighted SWOT Analysis of VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR 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 VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR 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 VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR 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 VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR 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 VINESH JUGLAL: SOUTH AFRICAN SERIAL ENTREPRENEUR 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 Vinesh Juglal needs to make to build a sustainable competitive advantage.
