Pierre Frankel in Moscow (A): Unfreezing Change SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Leadership & Managing People
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of Pierre Frankel in Moscow (A): Unfreezing Change
A young and upcoming French executive in a global technology company is sent to Moscow as deputy managing director to turn around the Russia subsidiary. He must report to the subsidiary's managing director (a large reason for the organization's underperformance) and to corporate. In his first three months, he took steps to prepare the organization for change. Yet the lack of more tangible actions and results leaves him open to criticism from subsidiary employees and pressure from corporate executives. How can the young executive unfreeze the situation and get movement?
Swot Analysis of "Pierre Frankel in Moscow (A): Unfreezing Change" written by Rosabeth Moss Kanter, Matthew Bird includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Moscow Unfreeze facing as an external strategic factors. Some of the topics covered in Pierre Frankel in Moscow (A): Unfreezing Change case study are - Strategic Management Strategies, Innovation, IT, Leadership development, Reorganization and Leadership & Managing People.
Some of the macro environment factors that can be used to understand the Pierre Frankel in Moscow (A): Unfreezing Change casestudy better are - – digital marketing is dominated by two big players Facebook and Google, banking and financial system is disrupted by Bitcoin and other crypto currencies, geopolitical disruptions, customer relationship management is fast transforming because of increasing concerns over data privacy, supply chains are disrupted by pandemic , competitive advantages are harder to sustain because of technology dispersion, technology disruption,
increasing energy prices, increasing government debt because of Covid-19 spendings, etc
Introduction to SWOT Analysis of Pierre Frankel in Moscow (A): Unfreezing Change
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Pierre Frankel in Moscow (A): Unfreezing Change case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Moscow Unfreeze, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Moscow Unfreeze 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 Pierre Frankel in Moscow (A): Unfreezing Change can be done for the following purposes –
1. Strategic planning using facts provided in Pierre Frankel in Moscow (A): Unfreezing Change case study
2. Improving business portfolio management of Moscow Unfreeze
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 Moscow Unfreeze
Strengths Pierre Frankel in Moscow (A): Unfreezing Change | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Moscow Unfreeze in Pierre Frankel in Moscow (A): Unfreezing Change Harvard Business Review case study are -
Highly skilled collaborators
– Moscow Unfreeze 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 Pierre Frankel in Moscow (A): Unfreezing Change HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
Low bargaining power of suppliers
– Suppliers of Moscow Unfreeze in the sector have low bargaining power. Pierre Frankel in Moscow (A): Unfreezing Change has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Moscow Unfreeze to manage not only supply disruptions but also source products at highly competitive prices.
Cross disciplinary teams
– Horizontal connected teams at the Moscow Unfreeze 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.
Successful track record of launching new products
– Moscow Unfreeze has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Moscow Unfreeze 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.
Analytics focus
– Moscow Unfreeze is putting a lot of focus on utilizing the power of analytics in business decision making. This has put it among the leading players in the industry. The technology infrastructure suggested by Rosabeth Moss Kanter, Matthew Bird can also help it to harness the power of analytics for – marketing optimization, demand forecasting, customer relationship management, inventory management, information sharing across the value chain etc.
High switching costs
– The high switching costs that Moscow Unfreeze 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.
Operational resilience
– The operational resilience strategy in the Pierre Frankel in Moscow (A): Unfreezing Change 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 brand equity
– Moscow Unfreeze has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Moscow Unfreeze to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Organizational Resilience of Moscow Unfreeze
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Moscow Unfreeze does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Sustainable margins compare to other players in Leadership & Managing People industry
– Pierre Frankel in Moscow (A): Unfreezing Change firm has clearly differentiated products in the market place. This has enabled Moscow Unfreeze to fetch slight price premium compare to the competitors in the Leadership & Managing People industry. The sustainable margins have also helped Moscow Unfreeze to invest into research and development (R&D) and innovation.
Effective Research and Development (R&D)
– Moscow Unfreeze 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 Pierre Frankel in Moscow (A): Unfreezing Change - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Learning organization
- Moscow Unfreeze 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 Moscow Unfreeze is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Pierre Frankel in Moscow (A): Unfreezing Change Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Weaknesses Pierre Frankel in Moscow (A): Unfreezing Change | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Pierre Frankel in Moscow (A): Unfreezing Change are -
Products dominated business model
– Even though Moscow Unfreeze 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 - Pierre Frankel in Moscow (A): Unfreezing Change should strive to include more intangible value offerings along with its core products and services.
Skills based hiring
– The stress on hiring functional specialists at Moscow Unfreeze 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.
Lack of clear differentiation of Moscow Unfreeze products
– To increase the profitability and margins on the products, Moscow Unfreeze needs to provide more differentiated products than what it is currently offering in the marketplace.
High cash cycle compare to competitors
Moscow Unfreeze 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.
Employees’ incomplete understanding of strategy
– From the instances in the HBR case study Pierre Frankel in Moscow (A): Unfreezing Change, it seems that the employees of Moscow Unfreeze 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.
Low market penetration in new markets
– Outside its home market of Moscow Unfreeze, firm in the HBR case study Pierre Frankel in Moscow (A): Unfreezing Change needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
Aligning sales with marketing
– It come across in the case study Pierre Frankel in Moscow (A): Unfreezing Change 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 Pierre Frankel in Moscow (A): Unfreezing Change can leverage the sales team experience to cultivate customer relationships as Moscow Unfreeze is planning to shift buying processes online.
Increasing silos among functional specialists
– The organizational structure of Moscow Unfreeze is dominated by functional specialists. It is not different from other players in the Leadership & Managing People segment. Moscow Unfreeze needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Moscow Unfreeze to focus more on services rather than just following the product oriented approach.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Moscow Unfreeze is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study Pierre Frankel in Moscow (A): Unfreezing Change can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study Pierre Frankel in Moscow (A): Unfreezing Change, is just above the industry average. Moscow Unfreeze 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.
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 Moscow Unfreeze supply chain. Even after few cautionary changes mentioned in the HBR case study - Pierre Frankel in Moscow (A): Unfreezing Change, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Moscow Unfreeze vulnerable to further global disruptions in South East Asia.
Opportunities Pierre Frankel in Moscow (A): Unfreezing Change | 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 Pierre Frankel in Moscow (A): Unfreezing Change are -
Lowering marketing communication costs
– 5G expansion will open new opportunities for Moscow Unfreeze in the field of marketing communication. It will bring down the cost of doing business, provide technology platform to build new products in the Leadership & Managing People segment, and it will provide faster access to the consumers.
Leveraging digital technologies
– Moscow Unfreeze 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.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Moscow Unfreeze 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 Moscow Unfreeze to hire the very best people irrespective of their geographical location.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Moscow Unfreeze can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Buying journey improvements
– Moscow Unfreeze can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Pierre Frankel in Moscow (A): Unfreezing Change 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.
Creating value in data economy
– The success of analytics program of Moscow Unfreeze has opened avenues for new revenue streams for the organization in the industry. This can help Moscow Unfreeze to build a more holistic ecosystem as suggested in the Pierre Frankel in Moscow (A): Unfreezing Change case study. Moscow Unfreeze can build new products and services such as - data insight services, data privacy related products, data based consulting services, 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, Moscow Unfreeze can use these opportunities to build new business models that can help the communities that Moscow Unfreeze operates in. Secondly it can use opportunities from government spending in Leadership & Managing People sector.
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. Moscow Unfreeze can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Building a culture of innovation
– managers at Moscow Unfreeze 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.
Developing new processes and practices
– Moscow Unfreeze 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.
Learning at scale
– Online learning technologies has now opened space for Moscow Unfreeze 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.
Better consumer reach
– The expansion of the 5G network will help Moscow Unfreeze to increase its market reach. Moscow Unfreeze 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.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Moscow Unfreeze 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, Pierre Frankel in Moscow (A): Unfreezing Change, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Threats Pierre Frankel in Moscow (A): Unfreezing Change External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Pierre Frankel in Moscow (A): Unfreezing Change are -
Shortening product life cycle
– it is one of the major threat that Moscow Unfreeze is facing in Leadership & Managing People sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Technology acceleration in Forth Industrial Revolution
– Moscow Unfreeze has witnessed rapid integration of technology during Covid-19 in the Leadership & Managing People industry. As one of the leading players in the industry, Moscow Unfreeze 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.
Increasing wage structure of Moscow Unfreeze
– 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 Moscow Unfreeze.
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 Moscow Unfreeze.
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.
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.
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. Moscow Unfreeze 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.
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. Moscow Unfreeze needs to understand the core reasons impacting the Leadership & Managing People industry. This will help it in building a better workplace.
Environmental challenges
– Moscow Unfreeze 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. Moscow Unfreeze can take advantage of this fund but it will also bring new competitors in the Leadership & Managing People industry.
High dependence on third party suppliers
– Moscow Unfreeze 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.
Stagnating economy with rate increase
– Moscow Unfreeze 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.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Moscow Unfreeze with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
Regulatory challenges
– Moscow Unfreeze 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 Pierre Frankel in Moscow (A): Unfreezing Change 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 Pierre Frankel in Moscow (A): Unfreezing Change 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 Pierre Frankel in Moscow (A): Unfreezing Change 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 Pierre Frankel in Moscow (A): Unfreezing Change 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 Pierre Frankel in Moscow (A): Unfreezing Change 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 Moscow Unfreeze needs to make to build a sustainable competitive advantage.