Case Study Description of Hybrid Organizations: Origins, Strategies, Impacts, and Implications
This introduction to the special issue on hybrid organizations defines hybrids, places them in their historical context, and introduces the articles that examine the strategies hybrids undertake to scale and grow, the impacts for which they strive, and the reception to them by mainstream firms. It aggregates insights from the articles in this special issue in order to examine what hybrid organizations mean for firms and practicing managers as they continue to grow in number and assume a variety of missions in developing and developed countries.
Authors :: Nardia Haigh, John Walker, Sophie Bacq, Jill Kickul
Swot Analysis of "Hybrid Organizations: Origins, Strategies, Impacts, and Implications" written by Nardia Haigh, John Walker, Sophie Bacq, Jill Kickul includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Hybrids Hybrid facing as an external strategic factors. Some of the topics covered in Hybrid Organizations: Origins, Strategies, Impacts, and Implications case study are - Strategic Management Strategies, and Leadership & Managing People.
Some of the macro environment factors that can be used to understand the Hybrid Organizations: Origins, Strategies, Impacts, and Implications casestudy better are - – cloud computing is disrupting traditional business models, increasing household debt because of falling income levels, increasing transportation and logistics costs, customer relationship management is fast transforming because of increasing concerns over data privacy, 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%, supply chains are disrupted by pandemic ,
wage bills are increasing, there is increasing trade war between United States & China, etc
Introduction to SWOT Analysis of Hybrid Organizations: Origins, Strategies, Impacts, and Implications
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Hybrid Organizations: Origins, Strategies, Impacts, and Implications case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Hybrids Hybrid, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Hybrids Hybrid 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 Hybrid Organizations: Origins, Strategies, Impacts, and Implications can be done for the following purposes –
1. Strategic planning using facts provided in Hybrid Organizations: Origins, Strategies, Impacts, and Implications case study
2. Improving business portfolio management of Hybrids Hybrid
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 Hybrids Hybrid
Strengths Hybrid Organizations: Origins, Strategies, Impacts, and Implications | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Hybrids Hybrid in Hybrid Organizations: Origins, Strategies, Impacts, and Implications Harvard Business Review case study are -
Successful track record of launching new products
– Hybrids Hybrid has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Hybrids Hybrid 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.
Training and development
– Hybrids Hybrid has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in Hybrid Organizations: Origins, Strategies, Impacts, and Implications Harvard Business Review case study by analyzing – employees retention, in-house promotion, loyalty, new venture initiation, lack of conflict, and high level of both employees and customer engagement.
High brand equity
– Hybrids Hybrid has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Hybrids Hybrid to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Highly skilled collaborators
– Hybrids Hybrid 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 Hybrid Organizations: Origins, Strategies, Impacts, and Implications HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
Strong track record of project management
– Hybrids Hybrid is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Digital Transformation in Leadership & Managing People segment
- digital transformation varies from industry to industry. For Hybrids Hybrid digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Hybrids Hybrid 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.
Cross disciplinary teams
– Horizontal connected teams at the Hybrids Hybrid 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.
Organizational Resilience of Hybrids Hybrid
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Hybrids Hybrid does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
High switching costs
– The high switching costs that Hybrids Hybrid 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.
Innovation driven organization
– Hybrids Hybrid is one of the most innovative firm in sector. Manager in Hybrid Organizations: Origins, Strategies, Impacts, and Implications Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Analytics focus
– Hybrids Hybrid 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 Nardia Haigh, John Walker, Sophie Bacq, Jill Kickul 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.
Sustainable margins compare to other players in Leadership & Managing People industry
– Hybrid Organizations: Origins, Strategies, Impacts, and Implications firm has clearly differentiated products in the market place. This has enabled Hybrids Hybrid to fetch slight price premium compare to the competitors in the Leadership & Managing People industry. The sustainable margins have also helped Hybrids Hybrid to invest into research and development (R&D) and innovation.
Weaknesses Hybrid Organizations: Origins, Strategies, Impacts, and Implications | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Hybrid Organizations: Origins, Strategies, Impacts, and Implications are -
Workers concerns about automation
– As automation is fast increasing in the segment, Hybrids Hybrid 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.
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 Hybrids Hybrid supply chain. Even after few cautionary changes mentioned in the HBR case study - Hybrid Organizations: Origins, Strategies, Impacts, and Implications, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Hybrids Hybrid vulnerable to further global disruptions in South East Asia.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study Hybrid Organizations: Origins, Strategies, Impacts, and Implications, in the dynamic environment Hybrids Hybrid has struggled to respond to the nimble upstart competition. Hybrids Hybrid has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
Slow decision making process
– As mentioned earlier in the report, Hybrids Hybrid has a very deliberative decision making approach. This approach has resulted in prudent decisions, but it has also resulted in missing opportunities in the industry over the last five years. Hybrids Hybrid even though has strong showing on digital transformation primary two stages, it has struggled to capitalize the power of digital transformation in marketing efforts and new venture efforts.
Slow to strategic competitive environment developments
– As Hybrid Organizations: Origins, Strategies, Impacts, and Implications HBR case study mentions - Hybrids Hybrid takes time to assess the upcoming competitions. This has led to missing out on atleast 2-3 big opportunities in the industry in last five years.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Hybrids Hybrid is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study Hybrid Organizations: Origins, Strategies, Impacts, and Implications 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 cash cycle compare to competitors
Hybrids Hybrid 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.
Capital Spending Reduction
– Even during the low interest decade, Hybrids Hybrid 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.
Lack of clear differentiation of Hybrids Hybrid products
– To increase the profitability and margins on the products, Hybrids Hybrid needs to provide more differentiated products than what it is currently offering in the marketplace.
Aligning sales with marketing
– It come across in the case study Hybrid Organizations: Origins, Strategies, Impacts, and Implications 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 Hybrid Organizations: Origins, Strategies, Impacts, and Implications can leverage the sales team experience to cultivate customer relationships as Hybrids Hybrid is planning to shift buying processes online.
No frontier risks strategy
– After analyzing the HBR case study Hybrid Organizations: Origins, Strategies, Impacts, and Implications, 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.
Opportunities Hybrid Organizations: Origins, Strategies, Impacts, and Implications | 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 Hybrid Organizations: Origins, Strategies, Impacts, and Implications are -
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 Hybrids Hybrid 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 Hybrids Hybrid in the consumer business. Now Hybrids Hybrid 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 Hybrids Hybrid can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Hybrids Hybrid 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, Hybrid Organizations: Origins, Strategies, Impacts, and Implications, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Hybrids Hybrid 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 Hybrids Hybrid to hire the very best people irrespective of their geographical location.
Leveraging digital technologies
– Hybrids Hybrid 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.
Loyalty marketing
– Hybrids Hybrid has focused on building a highly responsive customer relationship management platform. This platform is built on in-house data and driven by analytics and artificial intelligence. The customer analytics can help the organization to fine tune its loyalty marketing efforts, increase the wallet share of the organization, reduce wastage on mainstream advertising spending, build better pricing strategies using personalization, etc.
Learning at scale
– Online learning technologies has now opened space for Hybrids Hybrid 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.
Using analytics as competitive advantage
– Hybrids Hybrid 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 Hybrid Organizations: Origins, Strategies, Impacts, and Implications - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Hybrids Hybrid to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Hybrids Hybrid is facing challenges because of the dominance of functional experts in the organization. Hybrid Organizations: Origins, Strategies, Impacts, and Implications 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.
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. Hybrids Hybrid 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. Hybrids Hybrid 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.
Developing new processes and practices
– Hybrids Hybrid 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.
Lowering marketing communication costs
– 5G expansion will open new opportunities for Hybrids Hybrid 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.
Threats Hybrid Organizations: Origins, Strategies, Impacts, and Implications External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Hybrid Organizations: Origins, Strategies, Impacts, and Implications are -
Shortening product life cycle
– it is one of the major threat that Hybrids Hybrid is facing in Leadership & Managing People sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
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 Hybrids Hybrid.
Stagnating economy with rate increase
– Hybrids Hybrid 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 Hybrids Hybrid with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
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 Hybrids Hybrid in the Leadership & Managing People sector and impact the bottomline of the organization.
Regulatory challenges
– Hybrids Hybrid 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.
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.
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. Hybrids Hybrid can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Backlash against dominant players
– US Congress and other legislative arms of the government are getting tough on big business especially technology companies. The digital arm of Hybrids Hybrid business can come under increasing regulations regarding data privacy, data security, etc.
Environmental challenges
– Hybrids Hybrid 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. Hybrids Hybrid can take advantage of this fund but it will also bring new competitors in the Leadership & Managing People industry.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Hybrids Hybrid 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 Hybrid Organizations: Origins, Strategies, Impacts, and Implications .
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Hybrids Hybrid 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.
Technology acceleration in Forth Industrial Revolution
– Hybrids Hybrid has witnessed rapid integration of technology during Covid-19 in the Leadership & Managing People industry. As one of the leading players in the industry, Hybrids Hybrid 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.
Weighted SWOT Analysis of Hybrid Organizations: Origins, Strategies, Impacts, and Implications 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 Hybrid Organizations: Origins, Strategies, Impacts, and Implications 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 Hybrid Organizations: Origins, Strategies, Impacts, and Implications 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 Hybrid Organizations: Origins, Strategies, Impacts, and Implications 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 Hybrid Organizations: Origins, Strategies, Impacts, and Implications 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 Hybrids Hybrid needs to make to build a sustainable competitive advantage.
