Case Study Description of Improving Analytics Capabilities Through Crowdsourcing
This is an MIT Sloan Management Review article. How does a company operating outside the major technology talent centers gain access to the most innovative data scientists that money can buy? Assuming you can't recruit the right data analysts to join your team full time, how do you tap into contractors with the knowledge and creativity you need outside your technical core? This was the predicament Syngenta AG, a Basel, Switzerland-based agrochemical and seed company formed by the merger of the agribusiness units of Novartis and AstraZeneca, faced in 2008.For centuries, plant breeding has been a labor-intensive process that depended largely on trial and error. To find the most successful variety of corn, for example, a breeder might pollinate hundreds or even thousands of plants by hand to see what happened. Syngenta had been involved in a large-scale version of trial-and-error research and development, conducting field tests on hundreds of thousands of plants each year in more than 150 locations around the world. But given that the results of experiments are often shaped by quirks and idiosyncrasies, it was sometimes difficult to draw meaningful conclusions. Syngenta's idea was to use data analytics to study a wide range of plant and seed varieties so it could identify the most desirable plants early and make optimal use of resources (everything from capital to labor to land to time). Rather than investing time and resources on more and more testing, its aim was to make decisions about plant portfolios using hard data and science. The vision, write authors Joseph Byrum and Alpheus Bingham, "was to create a suite of software tools that would replace intuition in plant breeding with data-backed science." The authors describe how open innovation can help companies tackle complex business problems that they can't solve on their own. They also discuss lessons Syngenta learned as the company turned to several online crowdsourcing platforms to find talent that could help it increase its R&D efficiency. The effort paid off: Within eight years, Syngenta tripled the average annual improvement rate of its soybean portfolio. In April 2015, an independent panel of academic and business experts in operations research validated the company's efforts and their applicability beyond agriculture, awarding Syngenta the 2015 Franz Edelman Award for Achievement in Operations Research and the Management Sciences.
Swot Analysis of "Improving Analytics Capabilities Through Crowdsourcing" written by Joseph Byrum, Alpheus Bingham includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Syngenta Breeding facing as an external strategic factors. Some of the topics covered in Improving Analytics Capabilities Through Crowdsourcing case study are - Strategic Management Strategies, and Leadership & Managing People.
Some of the macro environment factors that can be used to understand the Improving Analytics Capabilities Through Crowdsourcing casestudy better are - – digital marketing is dominated by two big players Facebook and Google, there is increasing trade war between United States & China, talent flight as more people leaving formal jobs, central banks are concerned over increasing inflation, cloud computing is disrupting traditional business models, increasing commodity prices, increasing household debt because of falling income levels,
banking and financial system is disrupted by Bitcoin and other crypto currencies, increasing transportation and logistics costs, etc
Introduction to SWOT Analysis of Improving Analytics Capabilities Through Crowdsourcing
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Improving Analytics Capabilities Through Crowdsourcing case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Syngenta Breeding, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Syngenta Breeding 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 Improving Analytics Capabilities Through Crowdsourcing can be done for the following purposes –
1. Strategic planning using facts provided in Improving Analytics Capabilities Through Crowdsourcing case study
2. Improving business portfolio management of Syngenta Breeding
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 Syngenta Breeding
Strengths Improving Analytics Capabilities Through Crowdsourcing | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Syngenta Breeding in Improving Analytics Capabilities Through Crowdsourcing Harvard Business Review case study are -
Effective Research and Development (R&D)
– Syngenta Breeding 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 Improving Analytics Capabilities Through Crowdsourcing - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Low bargaining power of suppliers
– Suppliers of Syngenta Breeding in the sector have low bargaining power. Improving Analytics Capabilities Through Crowdsourcing has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Syngenta Breeding to manage not only supply disruptions but also source products at highly competitive prices.
Sustainable margins compare to other players in Leadership & Managing People industry
– Improving Analytics Capabilities Through Crowdsourcing firm has clearly differentiated products in the market place. This has enabled Syngenta Breeding to fetch slight price premium compare to the competitors in the Leadership & Managing People industry. The sustainable margins have also helped Syngenta Breeding to invest into research and development (R&D) and innovation.
Successful track record of launching new products
– Syngenta Breeding has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Syngenta Breeding 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.
Innovation driven organization
– Syngenta Breeding is one of the most innovative firm in sector. Manager in Improving Analytics Capabilities Through Crowdsourcing Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Digital Transformation in Leadership & Managing People segment
- digital transformation varies from industry to industry. For Syngenta Breeding digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Syngenta Breeding 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.
Operational resilience
– The operational resilience strategy in the Improving Analytics Capabilities Through Crowdsourcing 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.
Superior customer experience
– The customer experience strategy of Syngenta Breeding in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Organizational Resilience of Syngenta Breeding
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Syngenta Breeding does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Learning organization
- Syngenta Breeding 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 Syngenta Breeding is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Improving Analytics Capabilities Through Crowdsourcing Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Highly skilled collaborators
– Syngenta Breeding 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 Improving Analytics Capabilities Through Crowdsourcing HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
High brand equity
– Syngenta Breeding has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Syngenta Breeding to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Weaknesses Improving Analytics Capabilities Through Crowdsourcing | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Improving Analytics Capabilities Through Crowdsourcing are -
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study Improving Analytics Capabilities Through Crowdsourcing, is just above the industry average. Syngenta Breeding 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.
Workers concerns about automation
– As automation is fast increasing in the segment, Syngenta Breeding 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.
Employees’ incomplete understanding of strategy
– From the instances in the HBR case study Improving Analytics Capabilities Through Crowdsourcing, it seems that the employees of Syngenta Breeding don’t have comprehensive understanding of the firm’s strategy. This is reflected in number of promotional campaigns over the last few years that had mixed messaging and competing priorities. Some of the strategic activities and services promoted in the promotional campaigns were not consistent with the organization’s strategy.
Skills based hiring
– The stress on hiring functional specialists at Syngenta Breeding 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.
Need for greater diversity
– Syngenta Breeding 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.
Products dominated business model
– Even though Syngenta Breeding 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 - Improving Analytics Capabilities Through Crowdsourcing should strive to include more intangible value offerings along with its core products and services.
Low market penetration in new markets
– Outside its home market of Syngenta Breeding, firm in the HBR case study Improving Analytics Capabilities Through Crowdsourcing needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
Aligning sales with marketing
– It come across in the case study Improving Analytics Capabilities Through Crowdsourcing 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 Improving Analytics Capabilities Through Crowdsourcing can leverage the sales team experience to cultivate customer relationships as Syngenta Breeding is planning to shift buying processes online.
Increasing silos among functional specialists
– The organizational structure of Syngenta Breeding is dominated by functional specialists. It is not different from other players in the Leadership & Managing People segment. Syngenta Breeding needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Syngenta Breeding to focus more on services rather than just following the product oriented approach.
No frontier risks strategy
– After analyzing the HBR case study Improving Analytics Capabilities Through Crowdsourcing, 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 dependence on star products
– The top 2 products and services of the firm as mentioned in the Improving Analytics Capabilities Through Crowdsourcing 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 Syngenta Breeding has relatively successful track record of launching new products.
Opportunities Improving Analytics Capabilities Through Crowdsourcing | 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 Improving Analytics Capabilities Through Crowdsourcing are -
Developing new processes and practices
– Syngenta Breeding can develop new processes and procedures in Leadership & Managing People industry using technology such as automation using artificial intelligence, real time transportation and products tracking, 3D modeling for concept development and new products pilot testing etc.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Syngenta Breeding can use these opportunities to build new business models that can help the communities that Syngenta Breeding operates in. Secondly it can use opportunities from government spending in Leadership & Managing People sector.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Syngenta Breeding can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Creating value in data economy
– The success of analytics program of Syngenta Breeding has opened avenues for new revenue streams for the organization in the industry. This can help Syngenta Breeding to build a more holistic ecosystem as suggested in the Improving Analytics Capabilities Through Crowdsourcing case study. Syngenta Breeding can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Syngenta Breeding 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, Improving Analytics Capabilities Through Crowdsourcing, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
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 Syngenta Breeding 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 Syngenta Breeding 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.
Buying journey improvements
– Syngenta Breeding can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Improving Analytics Capabilities Through Crowdsourcing 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.
Leveraging digital technologies
– Syngenta Breeding 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.
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. Syngenta Breeding can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Syngenta Breeding 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 Syngenta Breeding to hire the very best people irrespective of their geographical location.
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. Syngenta Breeding can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Using analytics as competitive advantage
– Syngenta Breeding 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 Improving Analytics Capabilities Through Crowdsourcing - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Syngenta Breeding to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Threats Improving Analytics Capabilities Through Crowdsourcing External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Improving Analytics Capabilities Through Crowdsourcing are -
Technology acceleration in Forth Industrial Revolution
– Syngenta Breeding has witnessed rapid integration of technology during Covid-19 in the Leadership & Managing People industry. As one of the leading players in the industry, Syngenta Breeding 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 Syngenta Breeding.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study Improving Analytics Capabilities Through Crowdsourcing, Syngenta Breeding 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 .
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 Syngenta Breeding business can come under increasing regulations regarding data privacy, data security, etc.
Increasing wage structure of Syngenta Breeding
– 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 Syngenta Breeding.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Syngenta Breeding 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 Improving Analytics Capabilities Through Crowdsourcing .
Stagnating economy with rate increase
– Syngenta Breeding 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.
Regulatory challenges
– Syngenta Breeding 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.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Syngenta Breeding with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
Consumer confidence and its impact on Syngenta Breeding 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 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. Syngenta Breeding 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. Syngenta Breeding 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.
Shortening product life cycle
– it is one of the major threat that Syngenta Breeding is facing in Leadership & Managing People sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Weighted SWOT Analysis of Improving Analytics Capabilities Through Crowdsourcing 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 Improving Analytics Capabilities Through Crowdsourcing 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 Improving Analytics Capabilities Through Crowdsourcing 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 Improving Analytics Capabilities Through Crowdsourcing 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 Improving Analytics Capabilities Through Crowdsourcing 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 Syngenta Breeding needs to make to build a sustainable competitive advantage.