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, increasing energy prices, challanges to central banks by blockchain based private currencies, there is backlash against globalization, increasing commodity prices, digital marketing is dominated by two big players Facebook and Google, wage bills are increasing,
increasing inequality as vast percentage of new income is going to the top 1%, increasing government debt because of Covid-19 spendings, 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 -
Diverse revenue streams
– Lotus Eye Hospital Institute is present in almost all the verticals within the Healthcare Facilities industry. This has provided Lotus Eye Hospital Institute 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.
Highly skilled collaborators
– Lotus Eye Hospital Institute has highly efficient outsourcing and offshoring strategy. It has resulted in greater operational flexibility and bringing down the costs in highly price sensitive Healthcare Facilities industry. Secondly the value chain collaborators of Lotus Eye Hospital Institute have helped the firm to develop new products and bring them quickly to the marketplace.
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.
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.
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.
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.
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.
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.
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.
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.
Low bargaining power of suppliers
– Suppliers of Lotus Eye Hospital Institute in the Healthcare sector have low bargaining power. Lotus Eye Hospital Institute has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Lotus Eye Hospital Institute to manage not only supply disruptions but also source products at highly competitive prices.
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 -
Capital Spending Reduction
– Even during the low interest decade, Lotus Eye Hospital Institute 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 Healthcare Facilities industry using digital technology.
Aligning sales with marketing
– From the outside it seems that Lotus Eye Hospital Institute needs to have more collaboration between its sales team and marketing team. Sales professionals in the Healthcare Facilities industry have deep experience in developing customer relationships. Marketing department at Lotus Eye Hospital Institute can leverage the sales team experience to cultivate customer relationships as Lotus Eye Hospital Institute is planning to shift buying processes online.
High operating costs
– Compare to the competitors, Lotus Eye Hospital Institute has high operating costs in the Healthcare Facilities industry. This can be harder to sustain given the new emerging competition from nimble players who are using technology to attract Lotus Eye Hospital Institute lucrative customers.
Compensation and incentives
– The revenue per employee of Lotus Eye Hospital Institute is just above the Healthcare Facilities 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.
High bargaining power of channel partners in Healthcare Facilities industry
– because of the regulatory requirements in India, Lotus Eye Hospital Institute is facing high bargaining power of the channel partners. So far it has not able to streamline the operations to reduce the bargaining power of the value chain partners in the Healthcare Facilities industry.
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.
Slow to strategic competitive environment developments
– As Lotus Eye Hospital Institute is one of the leading players in the Healthcare Facilities industry, it takes time to assess the upcoming competitions. This has led to missing out on atleast 2-3 big opportunities in the Healthcare Facilities industry in last five years.
Increasing silos among functional specialists
– The organizational structure of Lotus Eye Hospital Institute is dominated by functional specialists. It is not different from other players in the Healthcare Facilities industry, but Lotus Eye Hospital Institute needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Lotus Eye Hospital Institute to focus more on services in the Healthcare Facilities industry rather than just following the product oriented approach.
No frontier risks strategy
– From the 10K / annual statement of Lotus Eye Hospital Institute, it seems that company is thinking out the frontier risks that can impact Healthcare Facilities industry. But it has very little resources allocation to manage the risks emerging from events such as natural disasters, climate change, melting of permafrost, tacking the rise of artificial intelligence, opportunities and threats emerging from commercialization of space etc.
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.
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 -
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.
Manufacturing automation
– Lotus Eye Hospital Institute can use the latest technology developments to improve its manufacturing and designing process in Healthcare Facilities 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.
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.
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.
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.
Leveraging digital technologies
– Lotus Eye Hospital Institute 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.
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.
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. Lotus Eye Hospital Institute can explore opportunities that can attract volunteers and are consistent with its mission and vision.
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.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Lotus Eye Hospital Institute 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 Lotus Eye Hospital Institute to hire the very best people irrespective of their geographical location.
Buying journey improvements
– Lotus Eye Hospital Institute can improve the customer journey of consumers in the Healthcare Facilities industry by using analytics and artificial intelligence. It can provide automated chats to help consumers solve their own problems, provide online suggestions to get maximum out of the products and services, and help consumers to build a community where they can interact with each other to develop new features and uses.
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.
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.
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 -
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.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry to Healthcare Facilities industry are lowering. It can presents Lotus Eye Hospital Institute with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the Healthcare Facilities sector.
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.
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 Lotus Eye Hospital Institute in the Healthcare Facilities sector and impact the bottomline of the organization.
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.
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.
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.
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.
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.
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.
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 Lotus Eye Hospital Institute.
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.
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.
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.