What Kind of Leader Will Thrive in Africa? SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Leadership & Managing People
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of What Kind of Leader Will Thrive in Africa?
This article discusses the context-specific factors that leaders must take into account when managing people and doing business in Africa, mainly sub-Saharan Africa and in particular, Nigeria. The author draws on several studies she has done as director of the Center for Research in Leadership and Ethics at Lagos Business School. First, she describes the general sociocultural context of sub-Saharan Africa. Then, she highlights the appropriate leadership qualities that are needed to succeed in this context. Finally, she reflects on whether the same principles hold true for the Millennial generation, based on her research of young Nigerian graduates. Their shifting preferences must be noted, she says, both to engage them today and also because they represent the African leaders of tomorrow.
Swot Analysis of "What Kind of Leader Will Thrive in Africa?" written by Franca Ovadje includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Africa Saharan facing as an external strategic factors. Some of the topics covered in What Kind of Leader Will Thrive in Africa? case study are - Strategic Management Strategies, and Leadership & Managing People.
Some of the macro environment factors that can be used to understand the What Kind of Leader Will Thrive in Africa? casestudy better are - – digital marketing is dominated by two big players Facebook and Google, increasing inequality as vast percentage of new income is going to the top 1%, central banks are concerned over increasing inflation, talent flight as more people leaving formal jobs, cloud computing is disrupting traditional business models, there is increasing trade war between United States & China, customer relationship management is fast transforming because of increasing concerns over data privacy,
increasing household debt because of falling income levels, supply chains are disrupted by pandemic , etc
Introduction to SWOT Analysis of What Kind of Leader Will Thrive in Africa?
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in What Kind of Leader Will Thrive in Africa? case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Africa Saharan, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Africa Saharan 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 What Kind of Leader Will Thrive in Africa? can be done for the following purposes –
1. Strategic planning using facts provided in What Kind of Leader Will Thrive in Africa? case study
2. Improving business portfolio management of Africa Saharan
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 Africa Saharan
Strengths What Kind of Leader Will Thrive in Africa? | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Africa Saharan in What Kind of Leader Will Thrive in Africa? Harvard Business Review case study are -
Ability to recruit top talent
– Africa Saharan is one of the leading recruiters in the industry. Managers in the What Kind of Leader Will Thrive in Africa? are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
Learning organization
- Africa Saharan 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 Africa Saharan is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in What Kind of Leader Will Thrive in Africa? Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Digital Transformation in Leadership & Managing People segment
- digital transformation varies from industry to industry. For Africa Saharan digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Africa Saharan 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.
Sustainable margins compare to other players in Leadership & Managing People industry
– What Kind of Leader Will Thrive in Africa? firm has clearly differentiated products in the market place. This has enabled Africa Saharan to fetch slight price premium compare to the competitors in the Leadership & Managing People industry. The sustainable margins have also helped Africa Saharan to invest into research and development (R&D) and innovation.
Diverse revenue streams
– Africa Saharan is present in almost all the verticals within the industry. This has provided firm in What Kind of Leader Will Thrive in Africa? 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.
Operational resilience
– The operational resilience strategy in the What Kind of Leader Will Thrive in Africa? 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.
Innovation driven organization
– Africa Saharan is one of the most innovative firm in sector. Manager in What Kind of Leader Will Thrive in Africa? Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
High switching costs
– The high switching costs that Africa Saharan 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.
High brand equity
– Africa Saharan has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Africa Saharan to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Cross disciplinary teams
– Horizontal connected teams at the Africa Saharan 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 Africa Saharan in the sector have low bargaining power. What Kind of Leader Will Thrive in Africa? has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Africa Saharan to manage not only supply disruptions but also source products at highly competitive prices.
Effective Research and Development (R&D)
– Africa Saharan 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 What Kind of Leader Will Thrive in Africa? - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Weaknesses What Kind of Leader Will Thrive in Africa? | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of What Kind of Leader Will Thrive in Africa? are -
High bargaining power of channel partners
– Because of the regulatory requirements, Franca Ovadje suggests that, Africa Saharan 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.
No frontier risks strategy
– After analyzing the HBR case study What Kind of Leader Will Thrive in Africa?, 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 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 Africa Saharan supply chain. Even after few cautionary changes mentioned in the HBR case study - What Kind of Leader Will Thrive in Africa?, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Africa Saharan vulnerable to further global disruptions in South East Asia.
Lack of clear differentiation of Africa Saharan products
– To increase the profitability and margins on the products, Africa Saharan needs to provide more differentiated products than what it is currently offering in the marketplace.
High dependence on star products
– The top 2 products and services of the firm as mentioned in the What Kind of Leader Will Thrive in Africa? 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 Africa Saharan has relatively successful track record of launching new products.
Increasing silos among functional specialists
– The organizational structure of Africa Saharan is dominated by functional specialists. It is not different from other players in the Leadership & Managing People segment. Africa Saharan needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Africa Saharan to focus more on services rather than just following the product oriented approach.
Skills based hiring
– The stress on hiring functional specialists at Africa Saharan 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.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study What Kind of Leader Will Thrive in Africa?, in the dynamic environment Africa Saharan has struggled to respond to the nimble upstart competition. Africa Saharan has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
Interest costs
– Compare to the competition, Africa Saharan 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.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study What Kind of Leader Will Thrive in Africa?, is just above the industry average. Africa Saharan 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 What Kind of Leader Will Thrive in Africa? 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 What Kind of Leader Will Thrive in Africa? can leverage the sales team experience to cultivate customer relationships as Africa Saharan is planning to shift buying processes online.
Opportunities What Kind of Leader Will Thrive in Africa? | 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 What Kind of Leader Will Thrive in Africa? are -
Creating value in data economy
– The success of analytics program of Africa Saharan has opened avenues for new revenue streams for the organization in the industry. This can help Africa Saharan to build a more holistic ecosystem as suggested in the What Kind of Leader Will Thrive in Africa? case study. Africa Saharan can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Manufacturing automation
– Africa Saharan 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.
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. Africa Saharan 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, Africa Saharan is facing challenges because of the dominance of functional experts in the organization. What Kind of Leader Will Thrive in Africa? 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.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Africa Saharan 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, What Kind of Leader Will Thrive in Africa?, 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
– Africa Saharan 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, Africa Saharan can use these opportunities to build new business models that can help the communities that Africa Saharan operates in. Secondly it can use opportunities from government spending in Leadership & Managing People sector.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Africa Saharan 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 Africa Saharan to hire the very best people irrespective of their geographical location.
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 Africa Saharan in the consumer business. Now Africa Saharan 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 Africa Saharan can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Leveraging digital technologies
– Africa Saharan 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.
Buying journey improvements
– Africa Saharan can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. What Kind of Leader Will Thrive in Africa? suggest that firm can provide automated chats to help consumers solve their own problems, provide online suggestions to get maximum out of the products and services, and help consumers to build a community where they can interact with each other to develop new features and uses.
Finding new ways to collaborate
– Covid-19 has not only transformed business models of companies in Leadership & Managing People industry, but it has also influenced the consumer preferences. Africa Saharan can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Threats What Kind of Leader Will Thrive in Africa? External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study What Kind of Leader Will Thrive in Africa? are -
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Africa Saharan 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.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study What Kind of Leader Will Thrive in Africa?, Africa Saharan 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 .
Shortening product life cycle
– it is one of the major threat that Africa Saharan is facing in Leadership & Managing People sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
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.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Africa Saharan 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, Africa Saharan 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 What Kind of Leader Will Thrive in Africa? .
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 Africa Saharan.
Aging population
– As the populations of most advanced economies are aging, it will lead to high social security costs, higher savings among population, and lower demand for goods and services in the economy. The household savings in US, France, UK, Germany, and Japan are growing faster than predicted because of uncertainty caused by pandemic.
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 Africa Saharan in the Leadership & Managing People sector and impact the bottomline 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 Africa Saharan business can come under increasing regulations regarding data privacy, data security, etc.
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. Africa Saharan needs to understand the core reasons impacting the Leadership & Managing People industry. This will help it in building a better workplace.
Consumer confidence and its impact on Africa Saharan 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.
Regulatory challenges
– Africa Saharan 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.
Weighted SWOT Analysis of What Kind of Leader Will Thrive in Africa? 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 What Kind of Leader Will Thrive in Africa? 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 What Kind of Leader Will Thrive in Africa? 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 What Kind of Leader Will Thrive in Africa? 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 What Kind of Leader Will Thrive in Africa? 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 Africa Saharan needs to make to build a sustainable competitive advantage.
