Punjab Chemical Crop Protect (PCHM) SWOT Analysis / TOWS Matrix / MBA Resources

Introduction to SWOT Analysis

SWOT Analysis / TOWS Matrix for Punjab Chemical Crop Protect (India)

Based on various researches at Oak Spring University , Punjab Chemical Crop Protect is operating in a macro-environment that has been destablized by – banking and financial system is disrupted by Bitcoin and other crypto currencies, increasing transportation and logistics costs, central banks are concerned over increasing inflation, geopolitical disruptions, customer relationship management is fast transforming because of increasing concerns over data privacy, increasing government debt because of Covid-19 spendings, wage bills are increasing, increasing energy prices, increasing household debt because of falling income levels, etc

---

---

---

---

Introduction to SWOT Analysis of Punjab Chemical Crop Protect

SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University, we believe that Punjab Chemical Crop Protect can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Punjab Chemical Crop Protect, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Punjab Chemical Crop Protect 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 Punjab Chemical Crop Protect can be done for the following purposes –
1. Strategic planning of Punjab Chemical Crop Protect
2. Improving business portfolio management of Punjab Chemical Crop Protect
3. Assessing feasibility of the new initiative in India
4. Making a Chemical Manufacturing sector specific business decision
5. Set goals for the organization
6. Organizational restructuring of Punjab Chemical Crop Protect

---

Strengths of Punjab Chemical Crop Protect | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis

The strengths of Punjab Chemical Crop Protect are -

Ability to recruit top talent

– Punjab Chemical Crop Protect is one of the leading players in the Chemical Manufacturing industry in India. It is in a position to attract the best talent available in India. The firm has a robust talent identification program that helps in identifying the brightest.

Organizational Resilience of Punjab Chemical Crop Protect

– The covid-19 pandemic has put organizational resilience at the centre of everthing Punjab Chemical Crop Protect does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.

Ability to lead change in Chemical Manufacturing

– Punjab Chemical Crop Protect is one of the leading players in the Chemical Manufacturing industry in India. Over the years it has not only transformed the business landscape in the Chemical Manufacturing industry in India but also across the existing markets. The ability to lead change has enabled Punjab Chemical Crop Protect in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.

Digital Transformation in Chemical Manufacturing industry

- digital transformation varies from industry to industry. For Punjab Chemical Crop Protect digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Punjab Chemical Crop Protect 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.

Diverse revenue streams

– Punjab Chemical Crop Protect is present in almost all the verticals within the Chemical Manufacturing industry. This has provided Punjab Chemical Crop Protect 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.

Low bargaining power of suppliers

– Suppliers of Punjab Chemical Crop Protect in the Basic Materials sector have low bargaining power. Punjab Chemical Crop Protect has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Punjab Chemical Crop Protect to manage not only supply disruptions but also source products at highly competitive prices.

Training and development

– Punjab Chemical Crop Protect has one of the best training and development program in Basic Materials industry. The effectiveness of the training programs can be measured in – employees retention, in-house promotion, loyalty, new venture initiation, lack of conflict, and high level of both employees and customer engagement.

Effective Research and Development (R&D)

– Punjab Chemical Crop Protect has innovation driven culture where significant part of the revenues are spent on the research and development activities. This has resulted in – Punjab Chemical Crop Protect staying ahead in the Chemical Manufacturing industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.

Successful track record of launching new products

– Punjab Chemical Crop Protect has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Punjab Chemical Crop Protect 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 Chemical Manufacturing industry

– Punjab Chemical Crop Protect has clearly differentiated products in the market place. This has enabled Punjab Chemical Crop Protect to fetch slight price premium compare to the competitors in the Chemical Manufacturing industry. The sustainable margins have also helped Punjab Chemical Crop Protect to invest into research and development (R&D) and innovation.

High brand equity

– Punjab Chemical Crop Protect has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Punjab Chemical Crop Protect to keep acquiring new customers and building profitable relationship with both the new and loyal customers.

Learning organization

- Punjab Chemical Crop Protect 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 Punjab Chemical Crop Protect is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders at Punjab Chemical Crop Protect emphasize – knowledge, initiative, and innovation.

---

---

Weaknesses of Punjab Chemical Crop Protect | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis

The weaknesses of Punjab Chemical Crop Protect are -

Slow decision making process

– As mentioned earlier in the report, Punjab Chemical Crop Protect has a very deliberative decision making approach. This approach has resulted in prudent decisions, but it has also resulted in missing opportunities in the Chemical Manufacturing industry over the last five years. Punjab Chemical Crop Protect 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.

Aligning sales with marketing

– From the outside it seems that Punjab Chemical Crop Protect needs to have more collaboration between its sales team and marketing team. Sales professionals in the Chemical Manufacturing industry have deep experience in developing customer relationships. Marketing department at Punjab Chemical Crop Protect can leverage the sales team experience to cultivate customer relationships as Punjab Chemical Crop Protect is planning to shift buying processes online.

Ability to respond to the competition

– As the decision making is very deliberative at Punjab Chemical Crop Protect, in the dynamic environment of Chemical Manufacturing industry it has struggled to respond to the nimble upstart competition. Punjab Chemical Crop Protect has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.

Slow to strategic competitive environment developments

– As Punjab Chemical Crop Protect is one of the leading players in the Chemical Manufacturing industry, it takes time to assess the upcoming competitions. This has led to missing out on atleast 2-3 big opportunities in the Chemical Manufacturing industry in last five years.

Capital Spending Reduction

– Even during the low interest decade, Punjab Chemical Crop Protect 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 Chemical Manufacturing industry using digital technology.

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 Punjab Chemical Crop Protect supply chain. Even after few cautionary changes, Punjab Chemical Crop Protect is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Punjab Chemical Crop Protect vulnerable to further global disruptions in South East Asia.

Lack of clear differentiation of Punjab Chemical Crop Protect products

– To increase the profitability and margins on the products, Punjab Chemical Crop Protect needs to provide more differentiated products than what it is currently offering in the marketplace.

Employees’ less understanding of Punjab Chemical Crop Protect strategy

– From the outside it seems that the employees of Punjab Chemical Crop Protect don’t have comprehensive understanding of the firm’s strategy. This is reflected in number of promotional campaigns over the last few years that had mixed messaging and competing priorities. Some of the strategic activities and services promoted in the promotional campaigns were not consistent with the organization’s strategy.

Low market penetration in new markets

– Outside its home market of India, Punjab Chemical Crop Protect needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.

Slow to harness new channels of communication

– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Punjab Chemical Crop Protect is slow explore the new channels of communication. These new channels of communication can help Punjab Chemical Crop Protect to provide better information regarding Chemical Manufacturing products and services. It can also build an online community to further reach out to potential customers.

Compensation and incentives

– The revenue per employee of Punjab Chemical Crop Protect is just above the Chemical Manufacturing industry average. It 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.

---

Punjab Chemical Crop Protect Opportunities | External Strategic Factors
What are Opportunities in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis

The opportunities of Punjab Chemical Crop Protect are -

Redefining models of collaboration and team work

– As explained in the weaknesses section, Punjab Chemical Crop Protect is facing challenges because of the dominance of functional experts in the organization. Punjab Chemical Crop Protect can utilize new technology in the field of Chemical Manufacturing industry to build more coordinated teams and streamline operations and communications using tools such as CAD, Zoom, etc.

Using analytics as competitive advantage

– Punjab Chemical Crop Protect has spent a significant amount of money and effort to integrate analytics and machine learning into its operations in Chemical Manufacturing sector. This continuous investment in analytics has enabled Punjab Chemical Crop Protect to build a competitive advantage using analytics. The analytics driven competitive advantage can help Punjab Chemical Crop Protect 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 Chemical Manufacturing industry, but it has also influenced the consumer preferences. Punjab Chemical Crop Protect can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.

Loyalty marketing

– Punjab Chemical Crop Protect 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.

Building a culture of innovation

– managers at Punjab Chemical Crop Protect 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 Chemical Manufacturing industry.

Changes in consumer behavior post Covid-19

– consumer behavior has changed in the Chemical Manufacturing industry because of Covid-19 restrictions. Some of this behavior will stay once things get back to normal. Punjab Chemical Crop Protect 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. Punjab Chemical Crop Protect 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. Punjab Chemical Crop Protect can explore opportunities that can attract volunteers and are consistent with its mission and vision.

Manufacturing automation

– Punjab Chemical Crop Protect can use the latest technology developments to improve its manufacturing and designing process in Chemical Manufacturing sector. 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 Punjab Chemical Crop Protect can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.

Creating value in data economy

– The success of analytics program of Punjab Chemical Crop Protect has opened avenues for new revenue streams for the organization in Chemical Manufacturing industry. This can help Punjab Chemical Crop Protect to build a more holistic ecosystem for Punjab Chemical Crop Protect products in the Chemical Manufacturing industry by providing – data insight services, data privacy related products, data based consulting services, etc.

Remote work and new talent hiring opportunities

– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Punjab Chemical Crop Protect 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 Punjab Chemical Crop Protect to hire the very best people irrespective of their geographical location.

Leveraging digital technologies

– Punjab Chemical Crop Protect 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.

Developing new processes and practices

– Punjab Chemical Crop Protect can develop new processes and procedures in Chemical Manufacturing 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.

---

Threats Punjab Chemical Crop Protect External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis

The threats of Punjab Chemical Crop Protect 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. Punjab Chemical Crop Protect needs to understand the core reasons impacting the Chemical Manufacturing industry. This will help it in building a better workplace.

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 Chemical Manufacturing industry will also reduce the barriers to entry in the industry, thus putting downward pressure on the prices because of increasing competition. Punjab Chemical Crop Protect can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.

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 Punjab Chemical Crop Protect in the Chemical Manufacturing sector and impact the bottomline of the organization.

Consumer confidence and its impact on Punjab Chemical Crop Protect 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 Chemical Manufacturing industry and other sectors.

Stagnating economy with rate increase

– Punjab Chemical Crop Protect 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 Chemical Manufacturing industry.

Shortening product life cycle

– it is one of the major threat that Punjab Chemical Crop Protect is facing in Chemical Manufacturing sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.

High dependence on third party suppliers

– Punjab Chemical Crop Protect 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.

Regulatory challenges

– Punjab Chemical Crop Protect 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 Chemical Manufacturing industry regulations.

Learning curve for new practices

– As the technology based on artificial intelligence and machine learning platform is getting complex, Punjab Chemical Crop Protect may face longer learning curve for training and development of existing employees. This can open space for more nimble competitors in the field of Chemical Manufacturing sector.

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. Punjab Chemical Crop Protect 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.

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 Punjab Chemical Crop Protect business can come under increasing regulations regarding data privacy, data security, 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 Punjab Chemical Crop Protect.

---

Weighted SWOT Analysis of Punjab Chemical Crop Protect Template, Example

Not all factors mentioned under the Strengths, Weakness, Opportunities, and Threats quadrants in the SWOT Analysis are equal. Managers at Punjab Chemical Crop Protect 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 Punjab Chemical Crop Protect 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 Punjab Chemical Crop Protect 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 Punjab Chemical Crop Protect 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 Punjab Chemical Crop Protect needs to make to build a sustainable competitive advantage.

--- ---