Pleasant Bluffs: Launching a Home-Based Hospital Program SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Leadership & Managing People
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of Pleasant Bluffs: Launching a Home-Based Hospital Program
In the late 1990s, home-based hospital care started to be introduced in the United States and worldwide. This initiative seemed to lower costs, improve quality of care, and have a generally positive impact on patients. In early March 2014, the director of performance improvement at a major U.S. hospital was asked to develop a proposal, including a business case and an outline of a pilot program, for a version of home-based hospital care for the hospital's patients. The director was expected to present his proposal at the monthly session of the health system leadership team on April 30, 2014. He knew that his proposal would have to take into account various factors such as location, medical condition coverage, patient eligibility, the critical data that needed to be collected, the appropriate means of data collection, and the length that the pilot study would need to last. He also knew that his proposal would have to include projected costs and the potential benefits of such a program -- the program had to make financial sense. Laura Erskine is affiliated with UCLA - Fielding School of Public Health.
Swot Analysis of "Pleasant Bluffs: Launching a Home-Based Hospital Program" written by Laura Erskine includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Proposal Hospital facing as an external strategic factors. Some of the topics covered in Pleasant Bluffs: Launching a Home-Based Hospital Program case study are - Strategic Management Strategies, Developing employees, Financial management, Innovation, Operations management, Personnel policies, Strategy and Leadership & Managing People.
Some of the macro environment factors that can be used to understand the Pleasant Bluffs: Launching a Home-Based Hospital Program casestudy better are - – increasing transportation and logistics costs, banking and financial system is disrupted by Bitcoin and other crypto currencies, increasing commodity prices, central banks are concerned over increasing inflation, digital marketing is dominated by two big players Facebook and Google, supply chains are disrupted by pandemic , competitive advantages are harder to sustain because of technology dispersion,
wage bills are increasing, increasing inequality as vast percentage of new income is going to the top 1%, etc
Introduction to SWOT Analysis of Pleasant Bluffs: Launching a Home-Based Hospital Program
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Pleasant Bluffs: Launching a Home-Based Hospital Program case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Proposal Hospital, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Proposal Hospital 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 Pleasant Bluffs: Launching a Home-Based Hospital Program can be done for the following purposes –
1. Strategic planning using facts provided in Pleasant Bluffs: Launching a Home-Based Hospital Program case study
2. Improving business portfolio management of Proposal Hospital
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 Proposal Hospital
Strengths Pleasant Bluffs: Launching a Home-Based Hospital Program | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Proposal Hospital in Pleasant Bluffs: Launching a Home-Based Hospital Program Harvard Business Review case study are -
Effective Research and Development (R&D)
– Proposal Hospital 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 Pleasant Bluffs: Launching a Home-Based Hospital Program - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Ability to lead change in Leadership & Managing People field
– Proposal Hospital 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 Proposal Hospital in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Successful track record of launching new products
– Proposal Hospital has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Proposal Hospital 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.
Organizational Resilience of Proposal Hospital
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Proposal Hospital does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Strong track record of project management
– Proposal Hospital is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Operational resilience
– The operational resilience strategy in the Pleasant Bluffs: Launching a Home-Based Hospital Program 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.
High switching costs
– The high switching costs that Proposal Hospital 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.
Training and development
– Proposal Hospital has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in Pleasant Bluffs: Launching a Home-Based Hospital Program 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.
Low bargaining power of suppliers
– Suppliers of Proposal Hospital in the sector have low bargaining power. Pleasant Bluffs: Launching a Home-Based Hospital Program has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Proposal Hospital 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
– Pleasant Bluffs: Launching a Home-Based Hospital Program firm has clearly differentiated products in the market place. This has enabled Proposal Hospital to fetch slight price premium compare to the competitors in the Leadership & Managing People industry. The sustainable margins have also helped Proposal Hospital to invest into research and development (R&D) and innovation.
Learning organization
- Proposal Hospital 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 Proposal Hospital is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Pleasant Bluffs: Launching a Home-Based Hospital Program Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Cross disciplinary teams
– Horizontal connected teams at the Proposal Hospital 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.
Weaknesses Pleasant Bluffs: Launching a Home-Based Hospital Program | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Pleasant Bluffs: Launching a Home-Based Hospital Program are -
Capital Spending Reduction
– Even during the low interest decade, Proposal Hospital 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.
Interest costs
– Compare to the competition, Proposal Hospital 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.
Need for greater diversity
– Proposal Hospital 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.
Employees’ incomplete understanding of strategy
– From the instances in the HBR case study Pleasant Bluffs: Launching a Home-Based Hospital Program, it seems that the employees of Proposal Hospital 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.
Lack of clear differentiation of Proposal Hospital products
– To increase the profitability and margins on the products, Proposal Hospital needs to provide more differentiated products than what it is currently offering in the marketplace.
Increasing silos among functional specialists
– The organizational structure of Proposal Hospital is dominated by functional specialists. It is not different from other players in the Leadership & Managing People segment. Proposal Hospital needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Proposal Hospital to focus more on services rather than just following the product oriented approach.
High cash cycle compare to competitors
Proposal Hospital 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.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Proposal Hospital is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study Pleasant Bluffs: Launching a Home-Based Hospital Program 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 operating costs
– Compare to the competitors, firm in the HBR case study Pleasant Bluffs: Launching a Home-Based Hospital Program 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 Proposal Hospital 's lucrative customers.
High dependence on star products
– The top 2 products and services of the firm as mentioned in the Pleasant Bluffs: Launching a Home-Based Hospital Program 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 Proposal Hospital has relatively successful track record of launching new products.
Workers concerns about automation
– As automation is fast increasing in the segment, Proposal Hospital 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.
Opportunities Pleasant Bluffs: Launching a Home-Based Hospital Program | 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 Pleasant Bluffs: Launching a Home-Based Hospital Program are -
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Proposal Hospital can use these opportunities to build new business models that can help the communities that Proposal Hospital operates in. Secondly it can use opportunities from government spending in Leadership & Managing People sector.
Manufacturing automation
– Proposal Hospital 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.
Building a culture of innovation
– managers at Proposal Hospital 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.
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. Proposal Hospital 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. Proposal Hospital 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.
Better consumer reach
– The expansion of the 5G network will help Proposal Hospital to increase its market reach. Proposal Hospital 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.
Buying journey improvements
– Proposal Hospital can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Pleasant Bluffs: Launching a Home-Based Hospital Program 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.
Low interest rates
– Even though inflation is raising its head in most developed economies, Proposal Hospital 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 Proposal Hospital has opened avenues for new revenue streams for the organization in the industry. This can help Proposal Hospital to build a more holistic ecosystem as suggested in the Pleasant Bluffs: Launching a Home-Based Hospital Program case study. Proposal Hospital can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Learning at scale
– Online learning technologies has now opened space for Proposal Hospital 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.
Developing new processes and practices
– Proposal Hospital 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 Proposal Hospital 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.
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 Proposal Hospital in the consumer business. Now Proposal Hospital 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 Proposal Hospital can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Threats Pleasant Bluffs: Launching a Home-Based Hospital Program External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Pleasant Bluffs: Launching a Home-Based Hospital Program are -
Stagnating economy with rate increase
– Proposal Hospital 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.
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 Proposal Hospital in the Leadership & Managing People sector and impact the bottomline of the organization.
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. Proposal Hospital can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Consumer confidence and its impact on Proposal Hospital 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.
Environmental challenges
– Proposal Hospital 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. Proposal Hospital can take advantage of this fund but it will also bring new competitors in the Leadership & Managing People industry.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Proposal Hospital 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.
Increasing wage structure of Proposal Hospital
– 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 Proposal Hospital.
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.
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 Proposal Hospital business can come under increasing regulations regarding data privacy, data security, etc.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Proposal Hospital with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Proposal Hospital 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 Pleasant Bluffs: Launching a Home-Based Hospital Program .
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study Pleasant Bluffs: Launching a Home-Based Hospital Program, Proposal Hospital 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 .
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 Proposal Hospital.
Weighted SWOT Analysis of Pleasant Bluffs: Launching a Home-Based Hospital Program 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 Pleasant Bluffs: Launching a Home-Based Hospital Program 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 Pleasant Bluffs: Launching a Home-Based Hospital Program 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 Pleasant Bluffs: Launching a Home-Based Hospital Program 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 Pleasant Bluffs: Launching a Home-Based Hospital Program 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 Proposal Hospital needs to make to build a sustainable competitive advantage.
