Lotus Eye Hospital Institute (LOTS) SWOT Analysis / TOWS Matrix / MBA Resources
Healthcare Facilities
Strategy / MBA Resources
Introduction to SWOT Analysis
SWOT Analysis / TOWS Matrix for Lotus Eye Hospital Institute (India)
Based on various researches at Oak Spring University , Lotus Eye Hospital Institute is operating in a macro-environment that has been destablized by – competitive advantages are harder to sustain because of technology dispersion, supply chains are disrupted by pandemic , customer relationship management is fast transforming because of increasing concerns over data privacy, technology disruption, increasing transportation and logistics costs, 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, increasing energy prices, etc
Introduction to SWOT Analysis of Lotus Eye Hospital Institute
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University, we believe that Lotus Eye Hospital Institute can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Lotus Eye Hospital Institute, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Lotus Eye Hospital Institute 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 Lotus Eye Hospital Institute can be done for the following purposes –
1. Strategic planning of Lotus Eye Hospital Institute
2. Improving business portfolio management of Lotus Eye Hospital Institute
3. Assessing feasibility of the new initiative in India
4. Making a Healthcare Facilities sector specific business decision
5. Set goals for the organization
6. Organizational restructuring of Lotus Eye Hospital Institute
Strengths of Lotus Eye Hospital Institute | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Lotus Eye Hospital Institute are -
Strong track record of project management in the Healthcare Facilities industry
– Lotus Eye Hospital Institute is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Ability to lead change in Healthcare Facilities
– Lotus Eye Hospital Institute is one of the leading players in the Healthcare Facilities industry in India. Over the years it has not only transformed the business landscape in the Healthcare Facilities industry in India but also across the existing markets. The ability to lead change has enabled Lotus Eye Hospital Institute in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Innovation driven organization
– Lotus Eye Hospital Institute is one of the most innovative firm in Healthcare Facilities sector.
Cross disciplinary teams
– Horizontal connected teams at the Lotus Eye Hospital Institute 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.
Superior customer experience
– The customer experience strategy of Lotus Eye Hospital Institute in Healthcare Facilities industry is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Organizational Resilience of Lotus Eye Hospital Institute
– The covid-19 pandemic has put organizational resilience at the centre of everthing Lotus Eye Hospital Institute does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Analytics focus
– Lotus Eye Hospital Institute 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 Healthcare Facilities industry. The technology infrastructure of India is also helping it to harness the power of analytics for – marketing optimization, demand forecasting, customer relationship management, inventory management, information sharing across the value chain etc.
Digital Transformation in Healthcare Facilities industry
- digital transformation varies from industry to industry. For Lotus Eye Hospital Institute digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Lotus Eye Hospital Institute 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.
Learning organization
- Lotus Eye Hospital Institute 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 Lotus Eye Hospital Institute is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders at Lotus Eye Hospital Institute emphasize – knowledge, initiative, and innovation.
Operational resilience
– The operational resilience strategy of Lotus Eye Hospital Institute comprises – understanding the underlying the factors in the Healthcare Facilities 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.
Effective Research and Development (R&D)
– Lotus Eye Hospital Institute has innovation driven culture where significant part of the revenues are spent on the research and development activities. This has resulted in – Lotus Eye Hospital Institute staying ahead in the Healthcare Facilities 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
– Lotus Eye Hospital Institute has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Lotus Eye Hospital Institute 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.
Weaknesses of Lotus Eye Hospital Institute | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Lotus Eye Hospital Institute are -
High dependence on Lotus Eye Hospital Institute ‘s star products
– The top 2 products and services of Lotus Eye Hospital Institute still accounts for major business revenue. This dependence on star products in Healthcare Facilities industry has resulted into insufficient focus on developing new products, even though Lotus Eye Hospital Institute has relatively successful track record of launching new products.
Interest costs
– Compare to the competition, Lotus Eye Hospital Institute 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.
Slow decision making process
– As mentioned earlier in the report, Lotus Eye Hospital Institute has a very deliberative decision making approach. This approach has resulted in prudent decisions, but it has also resulted in missing opportunities in the Healthcare Facilities industry over the last five years. Lotus Eye Hospital Institute 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.
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 Lotus Eye Hospital Institute supply chain. Even after few cautionary changes, Lotus Eye Hospital Institute is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Lotus Eye Hospital Institute vulnerable to further global disruptions in South East Asia.
Low market penetration in new markets
– Outside its home market of India, Lotus Eye Hospital Institute 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, Lotus Eye Hospital Institute is slow explore the new channels of communication. These new channels of communication can help Lotus Eye Hospital Institute to provide better information regarding Healthcare Facilities products and services. It can also build an online community to further reach out to potential customers.
High cash cycle compare to competitors
Lotus Eye Hospital Institute has a high cash cycle compare to other players in the Healthcare Facilities industry. It needs to shorten the cash cycle by 12% to be more competitive in the marketplace, reduce inventory costs, and be more profitable.
Employees’ less understanding of Lotus Eye Hospital Institute strategy
– From the outside it seems that the employees of Lotus Eye Hospital Institute 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.
Skills based hiring in Healthcare Facilities industry
– The stress on hiring functional specialists at Lotus Eye Hospital Institute 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.
Workers concerns about automation
– As automation is fast increasing in the Healthcare Facilities industry, Lotus Eye Hospital Institute 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.
Ability to respond to the competition
– As the decision making is very deliberative at Lotus Eye Hospital Institute, in the dynamic environment of Healthcare Facilities industry it has struggled to respond to the nimble upstart competition. Lotus Eye Hospital Institute has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
Lotus Eye Hospital Institute Opportunities | External Strategic Factors
What are Opportunities in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The opportunities of Lotus Eye Hospital Institute are -
Lowering marketing communication costs
– 5G expansion will open new opportunities for Lotus Eye Hospital Institute in the field of marketing communication. It will bring down the cost of doing business, provide technology platform to build new products in the Healthcare Facilities industry, and it will provide faster access to the consumers.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Lotus Eye Hospital Institute can use these opportunities to build new business models that can help the communities that Lotus Eye Hospital Institute operates in. Secondly it can use opportunities from government spending in Healthcare Facilities sector.
Building a culture of innovation
– managers at Lotus Eye Hospital Institute 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 Healthcare Facilities industry.
Loyalty marketing
– Lotus Eye Hospital Institute 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.
Developing new processes and practices
– Lotus Eye Hospital Institute can develop new processes and procedures in Healthcare Facilities 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.
Use of Bitcoin and other crypto currencies for transactions in Healthcare Facilities industry
– The popularity of Bitcoin and other crypto currencies as asset class and medium of transaction has opened new opportunities for Lotus Eye Hospital Institute in the Healthcare Facilities industry. Now Lotus Eye Hospital Institute 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, Lotus Eye Hospital Institute 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.
Better consumer reach
– The expansion of the 5G network will help Lotus Eye Hospital Institute to increase its market reach. Lotus Eye Hospital Institute 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.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Lotus Eye Hospital Institute is facing challenges because of the dominance of functional experts in the organization. Lotus Eye Hospital Institute can utilize new technology in the field of Healthcare Facilities industry to build more coordinated teams and streamline operations and communications using tools such as CAD, Zoom, etc.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Lotus Eye Hospital Institute 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 Lotus Eye Hospital Institute to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Learning at scale
– Online learning technologies has now opened space for Lotus Eye Hospital Institute 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.
Creating value in data economy
– The success of analytics program of Lotus Eye Hospital Institute has opened avenues for new revenue streams for the organization in Healthcare Facilities industry. This can help Lotus Eye Hospital Institute to build a more holistic ecosystem for Lotus Eye Hospital Institute products in the Healthcare Facilities industry by providing – 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 Healthcare Facilities industry because of Covid-19 restrictions. Some of this behavior will stay once things get back to normal. Lotus Eye Hospital Institute 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. Lotus Eye Hospital Institute 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.
Threats Lotus Eye Hospital Institute External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats of Lotus Eye Hospital Institute are -
High dependence on third party suppliers
– Lotus Eye Hospital Institute 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.
Consumer confidence and its impact on Lotus Eye Hospital Institute 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 Healthcare Facilities industry and other sectors.
Regulatory challenges
– Lotus Eye Hospital Institute 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 Healthcare Facilities industry regulations.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Lotus Eye Hospital Institute 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 Lotus Eye Hospital Institute prominent markets.
Increasing wage structure of Lotus Eye Hospital Institute
– 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 Lotus Eye Hospital Institute.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, Lotus Eye Hospital Institute may face longer learning curve for training and development of existing employees. This can open space for more nimble competitors in the field of Healthcare Facilities sector.
Stagnating economy with rate increase
– Lotus Eye Hospital Institute 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 Healthcare Facilities industry.
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. Lotus Eye Hospital Institute needs to understand the core reasons impacting the Healthcare Facilities 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.
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 Lotus Eye Hospital Institute business can come under increasing regulations regarding data privacy, data security, etc.
Environmental challenges
– Lotus Eye Hospital Institute 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. Lotus Eye Hospital Institute can take advantage of this fund but it will also bring new competitors in the Healthcare Facilities industry.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Lotus Eye Hospital Institute in Healthcare Facilities industry. The Healthcare Facilities 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.
Easy access to finance
– Easy access to finance in Healthcare Facilities industry will also reduce the barriers to entry in the industry, thus putting downward pressure on the prices because of increasing competition. Lotus Eye Hospital Institute can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Weighted SWOT Analysis of Lotus Eye Hospital Institute Template, Example
Not all factors mentioned under the Strengths, Weakness, Opportunities, and Threats quadrants in the SWOT Analysis are equal. Managers at Lotus Eye Hospital Institute 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 Lotus Eye Hospital Institute 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 Lotus Eye Hospital Institute 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 Lotus Eye Hospital Institute 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 Lotus Eye Hospital Institute needs to make to build a sustainable competitive advantage.
