Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Finance & Accounting
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time
In an era of rapidly evolving systems of health care delivery, the impact on patients, physicians, hospitals, medical device manufacturers and small business owners are often conflicting. This case highlights these conflicts and stressors from all perspectives, providing unique insights and offering potential options.
Authors :: Srikant M. Datar, Michael R. Jaff, Caitlin N. Bowler
Swot Analysis of "Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time" written by Srikant M. Datar, Michael R. Jaff, Caitlin N. Bowler includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Contempo Sievers facing as an external strategic factors. Some of the topics covered in Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time case study are - Strategic Management Strategies, and Finance & Accounting.
Some of the macro environment factors that can be used to understand the Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time casestudy better are - – 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 household debt because of falling income levels, geopolitical disruptions, wage bills are increasing, cloud computing is disrupting traditional business models, central banks are concerned over increasing inflation,
banking and financial system is disrupted by Bitcoin and other crypto currencies, increasing inequality as vast percentage of new income is going to the top 1%, etc
Introduction to SWOT Analysis of Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Contempo Sievers, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Contempo Sievers 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 Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time can be done for the following purposes –
1. Strategic planning using facts provided in Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time case study
2. Improving business portfolio management of Contempo Sievers
3. Assessing feasibility of the new initiative in Finance & Accounting field.
4. Making a Finance & Accounting topic specific business decision
5. Set goals for the organization
6. Organizational restructuring of Contempo Sievers
Strengths Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Contempo Sievers in Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time Harvard Business Review case study are -
Low bargaining power of suppliers
– Suppliers of Contempo Sievers in the sector have low bargaining power. Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Contempo Sievers to manage not only supply disruptions but also source products at highly competitive prices.
Effective Research and Development (R&D)
– Contempo Sievers 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 Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Diverse revenue streams
– Contempo Sievers is present in almost all the verticals within the industry. This has provided firm in Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time 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.
Strong track record of project management
– Contempo Sievers is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Highly skilled collaborators
– Contempo Sievers 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 Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
High switching costs
– The high switching costs that Contempo Sievers 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.
Ability to lead change in Finance & Accounting field
– Contempo Sievers 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 Contempo Sievers in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Analytics focus
– Contempo Sievers 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 Srikant M. Datar, Michael R. Jaff, Caitlin N. Bowler 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.
Operational resilience
– The operational resilience strategy in the Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time 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.
Learning organization
- Contempo Sievers 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 Contempo Sievers is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Training and development
– Contempo Sievers has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time 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.
Digital Transformation in Finance & Accounting segment
- digital transformation varies from industry to industry. For Contempo Sievers digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Contempo Sievers 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.
Weaknesses Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time are -
No frontier risks strategy
– After analyzing the HBR case study Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time, it seems that company is thinking about the frontier risks that can impact Finance & Accounting 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.
Interest costs
– Compare to the competition, Contempo Sievers 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.
High bargaining power of channel partners
– Because of the regulatory requirements, Srikant M. Datar, Michael R. Jaff, Caitlin N. Bowler suggests that, Contempo Sievers 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.
Products dominated business model
– Even though Contempo Sievers 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 - Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time should strive to include more intangible value offerings along with its core products and services.
Slow to strategic competitive environment developments
– As Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time HBR case study mentions - Contempo Sievers 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.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time, is just above the industry average. Contempo Sievers 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 Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time 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 Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time can leverage the sales team experience to cultivate customer relationships as Contempo Sievers is planning to shift buying processes online.
Need for greater diversity
– Contempo Sievers 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.
Workers concerns about automation
– As automation is fast increasing in the segment, Contempo Sievers 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 Contempo Sievers supply chain. Even after few cautionary changes mentioned in the HBR case study - Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Contempo Sievers vulnerable to further global disruptions in South East Asia.
Skills based hiring
– The stress on hiring functional specialists at Contempo Sievers 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.
Opportunities Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time | 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 Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time are -
Better consumer reach
– The expansion of the 5G network will help Contempo Sievers to increase its market reach. Contempo Sievers 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.
Manufacturing automation
– Contempo Sievers can use the latest technology developments to improve its manufacturing and designing process in Finance & Accounting 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.
Buying journey improvements
– Contempo Sievers can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time 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 Contempo Sievers has opened avenues for new revenue streams for the organization in the industry. This can help Contempo Sievers to build a more holistic ecosystem as suggested in the Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time case study. Contempo Sievers can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Changes in consumer behavior post Covid-19
– Consumer behavior has changed in the Finance & Accounting industry because of Covid-19 restrictions. Some of this behavior will stay once things get back to normal. Contempo Sievers 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. Contempo Sievers 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.
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. Contempo Sievers 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, Contempo Sievers is facing challenges because of the dominance of functional experts in the organization. Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time 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.
Learning at scale
– Online learning technologies has now opened space for Contempo Sievers 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.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Contempo Sievers 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, Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Contempo Sievers can use these opportunities to build new business models that can help the communities that Contempo Sievers operates in. Secondly it can use opportunities from government spending in Finance & Accounting sector.
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 Contempo Sievers in the consumer business. Now Contempo Sievers can target international markets with far fewer capital restrictions requirements than the existing system.
Leveraging digital technologies
– Contempo Sievers 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.
Using analytics as competitive advantage
– Contempo Sievers 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 Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Contempo Sievers to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Threats Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time are -
Easy access to finance
– Easy access to finance in Finance & Accounting field will also reduce the barriers to entry in the industry, thus putting downward pressure on the prices because of increasing competition. Contempo Sievers can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Contempo Sievers in the Finance & Accounting industry. The Finance & Accounting 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.
Environmental challenges
– Contempo Sievers 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. Contempo Sievers can take advantage of this fund but it will also bring new competitors in the Finance & Accounting industry.
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 Contempo Sievers.
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 Contempo Sievers in the Finance & Accounting sector and impact the bottomline of the organization.
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. Contempo Sievers 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.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Contempo Sievers 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 Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time .
Regulatory challenges
– Contempo Sievers 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 Finance & Accounting industry regulations.
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 Contempo Sievers business can come under increasing regulations regarding data privacy, data security, etc.
High dependence on third party suppliers
– Contempo Sievers 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
– Contempo Sievers 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.
Consumer confidence and its impact on Contempo Sievers 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.
Shortening product life cycle
– it is one of the major threat that Contempo Sievers is facing in Finance & Accounting sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Weighted SWOT Analysis of Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time 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 Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time 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 Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time 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 Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time 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 Contempo Technologies, Inc. and Betty Sievers: A Clash of Interests in an Uncertain Time 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 Contempo Sievers needs to make to build a sustainable competitive advantage.
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