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Executing Change: Seven Key Considerations SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis

Case Study SWOT Analysis Solution

Case Study Description of Executing Change: Seven Key Considerations


Provides a 7S framework to complement the McKinsey 7S framework. Focuses on some of the critical choices that must be made in implementing change--Strategic Intent, Substance, Scale, Scope, Speed, Sequence, and Style. Overall, the note argues that these choices must be made so that they are coherent and robust.

Authors :: Nitin Nohria, Rakesh Khurana

Topics :: Leadership & Managing People

Tags :: Communication, Leadership, Managing people, Time management, SWOT Analysis, SWOT Matrix, TOWS, Weighted SWOT Analysis

Swot Analysis of "Executing Change: Seven Key Considerations" written by Nitin Nohria, Rakesh Khurana includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that 7s Choices facing as an external strategic factors. Some of the topics covered in Executing Change: Seven Key Considerations case study are - Strategic Management Strategies, Communication, Leadership, Managing people, Time management and Leadership & Managing People.


Some of the macro environment factors that can be used to understand the Executing Change: Seven Key Considerations casestudy better are - – there is increasing trade war between United States & China, increasing commodity prices, increasing household debt because of falling income levels, increasing government debt because of Covid-19 spendings, cloud computing is disrupting traditional business models, digital marketing is dominated by two big players Facebook and Google, central banks are concerned over increasing inflation, banking and financial system is disrupted by Bitcoin and other crypto currencies, technology disruption, etc



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Introduction to SWOT Analysis of Executing Change: Seven Key Considerations


SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Executing Change: Seven Key Considerations case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the 7s Choices, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which 7s Choices 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 Executing Change: Seven Key Considerations can be done for the following purposes –
1. Strategic planning using facts provided in Executing Change: Seven Key Considerations case study
2. Improving business portfolio management of 7s Choices
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 7s Choices




Strengths Executing Change: Seven Key Considerations | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis

The strengths of 7s Choices in Executing Change: Seven Key Considerations Harvard Business Review case study are -

Learning organization

- 7s Choices 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 7s Choices is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Executing Change: Seven Key Considerations 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 7s Choices digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. 7s Choices 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.

Low bargaining power of suppliers

– Suppliers of 7s Choices in the sector have low bargaining power. Executing Change: Seven Key Considerations has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps 7s Choices to manage not only supply disruptions but also source products at highly competitive prices.

Analytics focus

– 7s Choices 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 Nitin Nohria, Rakesh Khurana 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.

Cross disciplinary teams

– Horizontal connected teams at the 7s Choices 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.

Ability to lead change in Leadership & Managing People field

– 7s Choices 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 7s Choices in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.

Superior customer experience

– The customer experience strategy of 7s Choices in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.

Strong track record of project management

– 7s Choices is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.

Successful track record of launching new products

– 7s Choices has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. 7s Choices 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.

Sustainable margins compare to other players in Leadership & Managing People industry

– Executing Change: Seven Key Considerations firm has clearly differentiated products in the market place. This has enabled 7s Choices to fetch slight price premium compare to the competitors in the Leadership & Managing People industry. The sustainable margins have also helped 7s Choices to invest into research and development (R&D) and innovation.

High switching costs

– The high switching costs that 7s Choices 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.

Diverse revenue streams

– 7s Choices is present in almost all the verticals within the industry. This has provided firm in Executing Change: Seven Key Considerations 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.






Weaknesses Executing Change: Seven Key Considerations | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis

The weaknesses of Executing Change: Seven Key Considerations are -

High cash cycle compare to competitors

7s Choices 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.

Increasing silos among functional specialists

– The organizational structure of 7s Choices is dominated by functional specialists. It is not different from other players in the Leadership & Managing People segment. 7s Choices needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help 7s Choices to focus more on services rather than just following the product oriented approach.

Employees’ incomplete understanding of strategy

– From the instances in the HBR case study Executing Change: Seven Key Considerations, it seems that the employees of 7s Choices 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.

Slow to strategic competitive environment developments

– As Executing Change: Seven Key Considerations HBR case study mentions - 7s Choices 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 Executing Change: Seven Key Considerations, is just above the industry average. 7s Choices 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.

Interest costs

– Compare to the competition, 7s Choices 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.

Skills based hiring

– The stress on hiring functional specialists at 7s Choices 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.

Products dominated business model

– Even though 7s Choices 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 - Executing Change: Seven Key Considerations should strive to include more intangible value offerings along with its core products and services.

Aligning sales with marketing

– It come across in the case study Executing Change: Seven Key Considerations 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 Executing Change: Seven Key Considerations can leverage the sales team experience to cultivate customer relationships as 7s Choices is planning to shift buying processes online.

Lack of clear differentiation of 7s Choices products

– To increase the profitability and margins on the products, 7s Choices needs to provide more differentiated products than what it is currently offering in the marketplace.

Need for greater diversity

– 7s Choices 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.




Opportunities Executing Change: Seven Key Considerations | 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 Executing Change: Seven Key Considerations are -

Using analytics as competitive advantage

– 7s Choices 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 Executing Change: Seven Key Considerations - to build a competitive advantage using analytics. The analytics driven competitive advantage can help 7s Choices to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.

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. 7s Choices can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.

Better consumer reach

– The expansion of the 5G network will help 7s Choices to increase its market reach. 7s Choices 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.

Loyalty marketing

– 7s Choices 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.

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 7s Choices in the consumer business. Now 7s Choices can target international markets with far fewer capital restrictions requirements than the existing system.

Low interest rates

– Even though inflation is raising its head in most developed economies, 7s Choices can still utilize the low interest rates to borrow money for capital investment. Secondly it can also use the increase of government spending in infrastructure projects to get new business.

Learning at scale

– Online learning technologies has now opened space for 7s Choices 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.

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 7s Choices 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.

Increase in government spending

– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, 7s Choices can use these opportunities to build new business models that can help the communities that 7s Choices operates in. Secondly it can use opportunities from government spending in Leadership & Managing People sector.

Lowering marketing communication costs

– 5G expansion will open new opportunities for 7s Choices 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.

Creating value in data economy

– The success of analytics program of 7s Choices has opened avenues for new revenue streams for the organization in the industry. This can help 7s Choices to build a more holistic ecosystem as suggested in the Executing Change: Seven Key Considerations case study. 7s Choices can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.

Manufacturing automation

– 7s Choices 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.

Reforming the budgeting process

- By establishing new metrics that will be used to evaluate both existing and potential projects 7s Choices can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.




Threats Executing Change: Seven Key Considerations External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis


The threats mentioned in the HBR case study Executing Change: Seven Key Considerations are -

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.

Consumer confidence and its impact on 7s Choices 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.

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 7s Choices in the Leadership & Managing People 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. 7s Choices 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, 7s Choices 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 Executing Change: Seven Key Considerations .

Trade war between China and United States

– The trade war between two of the biggest economies can hugely impact the opportunities for 7s Choices 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 Executing Change: Seven Key Considerations, 7s Choices 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 .

Stagnating economy with rate increase

– 7s Choices 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.

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 7s Choices.

Environmental challenges

– 7s Choices 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. 7s Choices can take advantage of this fund but it will also bring new competitors in the Leadership & Managing People industry.

Increasing wage structure of 7s Choices

– 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 7s Choices.

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.

High dependence on third party suppliers

– 7s Choices 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.




Weighted SWOT Analysis of Executing Change: Seven Key Considerations 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 Executing Change: Seven Key Considerations 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 Executing Change: Seven Key Considerations 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 Executing Change: Seven Key Considerations 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 Executing Change: Seven Key Considerations 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 7s Choices needs to make to build a sustainable competitive advantage.



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