Vancouver City Savings Credit Union: Working Dads (A) SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Leadership & Managing People
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of Vancouver City Savings Credit Union: Working Dads (A)
The first female chief executive officer (CEO) of Vancouver City Savings Credit Union (Vancity) believes in the importance of developing a positive workplace culture. She feels that successful employers take a progressive attitude toward promoting a healthy work-life balance. She also serves as a role model to her employees by working hard but communicating clearly about needing to be present for her family. When an independent consultant surveys the attitudes around work-life balance at Vancity, however, he has a number of recommendations for the CEO to consider, all of them aimed at improving the work-life balance for men in order to improve the work-life balance for everyone at the firm.
Swot Analysis of "Vancouver City Savings Credit Union: Working Dads (A)" written by Alison Konrad, Cameron Phillips includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Vancity Balance facing as an external strategic factors. Some of the topics covered in Vancouver City Savings Credit Union: Working Dads (A) case study are - Strategic Management Strategies, Work-life balance and Leadership & Managing People.
Some of the macro environment factors that can be used to understand the Vancouver City Savings Credit Union: Working Dads (A) casestudy better are - – central banks are concerned over increasing inflation, increasing transportation and logistics costs, cloud computing is disrupting traditional business models, increasing commodity prices, digital marketing is dominated by two big players Facebook and Google, talent flight as more people leaving formal jobs, challanges to central banks by blockchain based private currencies,
increasing energy prices, technology disruption, etc
Introduction to SWOT Analysis of Vancouver City Savings Credit Union: Working Dads (A)
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Vancouver City Savings Credit Union: Working Dads (A) case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Vancity Balance, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Vancity Balance 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 Vancouver City Savings Credit Union: Working Dads (A) can be done for the following purposes –
1. Strategic planning using facts provided in Vancouver City Savings Credit Union: Working Dads (A) case study
2. Improving business portfolio management of Vancity Balance
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 Vancity Balance
Strengths Vancouver City Savings Credit Union: Working Dads (A) | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Vancity Balance in Vancouver City Savings Credit Union: Working Dads (A) Harvard Business Review case study are -
Effective Research and Development (R&D)
– Vancity Balance 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 Vancouver City Savings Credit Union: Working Dads (A) - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Digital Transformation in Leadership & Managing People segment
- digital transformation varies from industry to industry. For Vancity Balance digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Vancity Balance 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
– Vancity Balance is one of the leading recruiters in the industry. Managers in the Vancouver City Savings Credit Union: Working Dads (A) are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
Superior customer experience
– The customer experience strategy of Vancity Balance in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Organizational Resilience of Vancity Balance
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Vancity Balance does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Successful track record of launching new products
– Vancity Balance has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Vancity Balance 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.
Cross disciplinary teams
– Horizontal connected teams at the Vancity Balance 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.
Strong track record of project management
– Vancity Balance is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Training and development
– Vancity Balance has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in Vancouver City Savings Credit Union: Working Dads (A) 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.
High brand equity
– Vancity Balance has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Vancity Balance to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Diverse revenue streams
– Vancity Balance is present in almost all the verticals within the industry. This has provided firm in Vancouver City Savings Credit Union: Working Dads (A) 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.
Innovation driven organization
– Vancity Balance is one of the most innovative firm in sector. Manager in Vancouver City Savings Credit Union: Working Dads (A) Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Weaknesses Vancouver City Savings Credit Union: Working Dads (A) | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Vancouver City Savings Credit Union: Working Dads (A) are -
High bargaining power of channel partners
– Because of the regulatory requirements, Alison Konrad, Cameron Phillips suggests that, Vancity Balance 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.
Interest costs
– Compare to the competition, Vancity Balance 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.
Slow decision making process
– As mentioned earlier in the report, Vancity Balance 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. Vancity Balance 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.
Lack of clear differentiation of Vancity Balance products
– To increase the profitability and margins on the products, Vancity Balance needs to provide more differentiated products than what it is currently offering in the marketplace.
Skills based hiring
– The stress on hiring functional specialists at Vancity Balance 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.
High cash cycle compare to competitors
Vancity Balance 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.
Aligning sales with marketing
– It come across in the case study Vancouver City Savings Credit Union: Working Dads (A) 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 Vancouver City Savings Credit Union: Working Dads (A) can leverage the sales team experience to cultivate customer relationships as Vancity Balance is planning to shift buying processes online.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study Vancouver City Savings Credit Union: Working Dads (A), is just above the industry average. Vancity Balance 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.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Vancity Balance is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study Vancouver City Savings Credit Union: Working Dads (A) can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
High dependence on star products
– The top 2 products and services of the firm as mentioned in the Vancouver City Savings Credit Union: Working Dads (A) 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 Vancity Balance has relatively successful track record of launching new products.
Increasing silos among functional specialists
– The organizational structure of Vancity Balance is dominated by functional specialists. It is not different from other players in the Leadership & Managing People segment. Vancity Balance needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Vancity Balance to focus more on services rather than just following the product oriented approach.
Opportunities Vancouver City Savings Credit Union: Working Dads (A) | 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 Vancouver City Savings Credit Union: Working Dads (A) are -
Changes in consumer behavior post Covid-19
– Consumer behavior has changed in the Leadership & Managing People industry because of Covid-19 restrictions. Some of this behavior will stay once things get back to normal. Vancity Balance can take advantage of these changes in consumer behavior to build a far more efficient business model. For example consumer regular ordering of products can reduce both last mile delivery costs and market penetration costs. Vancity Balance can further use this consumer data to build better customer loyalty, provide better products and service collection, and improve the value proposition in inflationary times.
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. Vancity Balance can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Vancity Balance can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Vancity Balance 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, Vancouver City Savings Credit Union: Working Dads (A), to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Buying journey improvements
– Vancity Balance can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Vancouver City Savings Credit Union: Working Dads (A) 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.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Vancity Balance can use these opportunities to build new business models that can help the communities that Vancity Balance operates in. Secondly it can use opportunities from government spending in Leadership & Managing People sector.
Better consumer reach
– The expansion of the 5G network will help Vancity Balance to increase its market reach. Vancity Balance 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.
Using analytics as competitive advantage
– Vancity Balance 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 Vancouver City Savings Credit Union: Working Dads (A) - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Vancity Balance 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. Vancity Balance can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Vancity Balance is facing challenges because of the dominance of functional experts in the organization. Vancouver City Savings Credit Union: Working Dads (A) 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.
Leveraging digital technologies
– Vancity Balance 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.
Creating value in data economy
– The success of analytics program of Vancity Balance has opened avenues for new revenue streams for the organization in the industry. This can help Vancity Balance to build a more holistic ecosystem as suggested in the Vancouver City Savings Credit Union: Working Dads (A) case study. Vancity Balance can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Developing new processes and practices
– Vancity Balance 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.
Threats Vancouver City Savings Credit Union: Working Dads (A) External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Vancouver City Savings Credit Union: Working Dads (A) are -
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 Vancity Balance in the Leadership & Managing People sector and impact the bottomline of the organization.
Stagnating economy with rate increase
– Vancity Balance 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.
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. Vancity Balance needs to understand the core reasons impacting the Leadership & Managing People industry. This will help it in building a better workplace.
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. Vancity Balance 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.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Vancity Balance with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
High dependence on third party suppliers
– Vancity Balance 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.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Vancity Balance 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.
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. Vancity Balance 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 Vancity Balance business can come under increasing regulations regarding data privacy, data security, etc.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study Vancouver City Savings Credit Union: Working Dads (A), Vancity Balance 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 acceleration in Forth Industrial Revolution
– Vancity Balance has witnessed rapid integration of technology during Covid-19 in the Leadership & Managing People industry. As one of the leading players in the industry, Vancity Balance 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.
Environmental challenges
– Vancity Balance 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. Vancity Balance 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 Vancity Balance.
Weighted SWOT Analysis of Vancouver City Savings Credit Union: Working Dads (A) 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 Vancouver City Savings Credit Union: Working Dads (A) 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 Vancouver City Savings Credit Union: Working Dads (A) 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 Vancouver City Savings Credit Union: Working Dads (A) 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 Vancouver City Savings Credit Union: Working Dads (A) 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 Vancity Balance needs to make to build a sustainable competitive advantage.
