How to Create a Realistic Customer Journey Map SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Leadership & Managing People
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of How to Create a Realistic Customer Journey Map
Although many articles discuss customer journey mapping (CJM), both academics and practitioners still question the best ways to model the consumer decision journey. We contend that most customer journey maps are critically flawed. They assume all customers of a particular organization experience the same organizational touchpoints and view these touchpoints as equally important. Furthermore, management lacks an understanding of how to use CJM as a cross-functional, strategic tool that promotes service innovation. This article proposes a solution to the unwieldy complexity of CJM by linking customer research to the CJM process and by showing managers how to develop a customer journey map that improves a customer's experience at each touchpoint. Using the case of an actual retail mall, we show that common CJM assumptions about the equal importance of all touchpoints are fundamentally wrong, and how easy it is for retail managers and strategic planners to make incorrect judgements about customer experience. This article demonstrates through a case study how customer research helped a mall's strategic management team understand which touchpoints were more or less critical to customer experience. It also shows key strategic initiatives at each touchpoint, resulting in cross-functional input aimed to advance service innovation at the mall.
Authors :: Mark Rosenbaum, Mauricio Losada Otalora, German Contreras Ramirez
Swot Analysis of "How to Create a Realistic Customer Journey Map" written by Mark Rosenbaum, Mauricio Losada Otalora, German Contreras Ramirez includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Cjm Touchpoints facing as an external strategic factors. Some of the topics covered in How to Create a Realistic Customer Journey Map case study are - Strategic Management Strategies, Customers, Decision making, IT, Psychology and Leadership & Managing People.
Some of the macro environment factors that can be used to understand the How to Create a Realistic Customer Journey Map casestudy better are - – wage bills are increasing, central banks are concerned over increasing inflation, competitive advantages are harder to sustain because of technology dispersion, increasing commodity prices, there is backlash against globalization, increasing energy prices, there is increasing trade war between United States & China,
talent flight as more people leaving formal jobs, customer relationship management is fast transforming because of increasing concerns over data privacy, etc
Introduction to SWOT Analysis of How to Create a Realistic Customer Journey Map
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in How to Create a Realistic Customer Journey Map case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Cjm Touchpoints, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Cjm Touchpoints 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 How to Create a Realistic Customer Journey Map can be done for the following purposes –
1. Strategic planning using facts provided in How to Create a Realistic Customer Journey Map case study
2. Improving business portfolio management of Cjm Touchpoints
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 Cjm Touchpoints
Strengths How to Create a Realistic Customer Journey Map | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Cjm Touchpoints in How to Create a Realistic Customer Journey Map Harvard Business Review case study are -
Training and development
– Cjm Touchpoints has one of the best training and development program in the industry. The effectiveness of the training programs can be measured in How to Create a Realistic Customer Journey Map 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.
Successful track record of launching new products
– Cjm Touchpoints has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Cjm Touchpoints 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.
Learning organization
- Cjm Touchpoints 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 Cjm Touchpoints is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in How to Create a Realistic Customer Journey Map Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
High switching costs
– The high switching costs that Cjm Touchpoints 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
– Cjm Touchpoints is one of the most innovative firm in sector. Manager in How to Create a Realistic Customer Journey Map Harvard Business Review case study can use Clayton Christensen Disruptive Innovation strategies to further increase the scale of innovtions in the organization.
Superior customer experience
– The customer experience strategy of Cjm Touchpoints in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Digital Transformation in Leadership & Managing People segment
- digital transformation varies from industry to industry. For Cjm Touchpoints digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Cjm Touchpoints 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.
Organizational Resilience of Cjm Touchpoints
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Cjm Touchpoints does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Ability to recruit top talent
– Cjm Touchpoints is one of the leading recruiters in the industry. Managers in the How to Create a Realistic Customer Journey Map are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
High brand equity
– Cjm Touchpoints has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Cjm Touchpoints to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Operational resilience
– The operational resilience strategy in the How to Create a Realistic Customer Journey Map 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.
Ability to lead change in Leadership & Managing People field
– Cjm Touchpoints 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 Cjm Touchpoints in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Weaknesses How to Create a Realistic Customer Journey Map | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of How to Create a Realistic Customer Journey Map are -
Products dominated business model
– Even though Cjm Touchpoints 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 - How to Create a Realistic Customer Journey Map should strive to include more intangible value offerings along with its core products and services.
Workers concerns about automation
– As automation is fast increasing in the segment, Cjm Touchpoints 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 Cjm Touchpoints supply chain. Even after few cautionary changes mentioned in the HBR case study - How to Create a Realistic Customer Journey Map, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Cjm Touchpoints vulnerable to further global disruptions in South East Asia.
Lack of clear differentiation of Cjm Touchpoints products
– To increase the profitability and margins on the products, Cjm Touchpoints 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 How to Create a Realistic Customer Journey Map 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 How to Create a Realistic Customer Journey Map can leverage the sales team experience to cultivate customer relationships as Cjm Touchpoints is planning to shift buying processes online.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Cjm Touchpoints is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study How to Create a Realistic Customer Journey Map 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
Cjm Touchpoints 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.
Need for greater diversity
– Cjm Touchpoints 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.
Slow to strategic competitive environment developments
– As How to Create a Realistic Customer Journey Map HBR case study mentions - Cjm Touchpoints 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.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study How to Create a Realistic Customer Journey Map, in the dynamic environment Cjm Touchpoints has struggled to respond to the nimble upstart competition. Cjm Touchpoints has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
Interest costs
– Compare to the competition, Cjm Touchpoints 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.
Opportunities How to Create a Realistic Customer Journey Map | 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 How to Create a Realistic Customer Journey Map are -
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Cjm Touchpoints 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, How to Create a Realistic Customer Journey Map, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Developing new processes and practices
– Cjm Touchpoints 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.
Building a culture of innovation
– managers at Cjm Touchpoints 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.
Lowering marketing communication costs
– 5G expansion will open new opportunities for Cjm Touchpoints 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.
Manufacturing automation
– Cjm Touchpoints 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.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Cjm Touchpoints can use these opportunities to build new business models that can help the communities that Cjm Touchpoints operates in. Secondly it can use opportunities from government spending in Leadership & Managing People sector.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Cjm Touchpoints can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Cjm Touchpoints 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 Cjm Touchpoints to hire the very best people irrespective of their geographical location.
Using analytics as competitive advantage
– Cjm Touchpoints 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 How to Create a Realistic Customer Journey Map - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Cjm Touchpoints to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
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 Cjm Touchpoints 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.
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. Cjm Touchpoints can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Loyalty marketing
– Cjm Touchpoints 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.
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. Cjm Touchpoints can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Threats How to Create a Realistic Customer Journey Map External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study How to Create a Realistic Customer Journey Map are -
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. Cjm Touchpoints needs to understand the core reasons impacting the Leadership & Managing People industry. This will help it in building a better workplace.
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 Cjm Touchpoints business can come under increasing regulations regarding data privacy, data security, etc.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Cjm Touchpoints 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.
Consumer confidence and its impact on Cjm Touchpoints 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.
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.
Stagnating economy with rate increase
– Cjm Touchpoints 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.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study How to Create a Realistic Customer Journey Map, Cjm Touchpoints 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 .
Increasing wage structure of Cjm Touchpoints
– 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 Cjm Touchpoints.
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 Cjm Touchpoints.
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 Cjm Touchpoints in the Leadership & Managing People sector and impact the bottomline of the organization.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Cjm Touchpoints with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
Regulatory challenges
– Cjm Touchpoints 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.
Weighted SWOT Analysis of How to Create a Realistic Customer Journey Map 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 How to Create a Realistic Customer Journey Map 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 How to Create a Realistic Customer Journey Map 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 How to Create a Realistic Customer Journey Map 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 How to Create a Realistic Customer Journey Map 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 Cjm Touchpoints needs to make to build a sustainable competitive advantage.
