Mitra Keluarga Karyasehat (MIKA) SWOT Analysis / TOWS Matrix / MBA Resources

Introduction to SWOT Analysis

SWOT Analysis / TOWS Matrix for Mitra Keluarga Karyasehat (Indonesia)

Based on various researches at Oak Spring University , Mitra Keluarga Karyasehat is operating in a macro-environment that has been destablized by – increasing commodity prices, digital marketing is dominated by two big players Facebook and Google, technology disruption, competitive advantages are harder to sustain because of technology dispersion, talent flight as more people leaving formal jobs, increasing government debt because of Covid-19 spendings, wage bills are increasing, customer relationship management is fast transforming because of increasing concerns over data privacy, central banks are concerned over increasing inflation, etc

---

---

---

---

Introduction to SWOT Analysis of Mitra Keluarga Karyasehat

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

---

Strengths of Mitra Keluarga Karyasehat | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis

The strengths of Mitra Keluarga Karyasehat are -

Learning organization

- Mitra Keluarga Karyasehat 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 Mitra Keluarga Karyasehat is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders at Mitra Keluarga Karyasehat emphasize – knowledge, initiative, and innovation.

Low bargaining power of suppliers

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

Organizational Resilience of Mitra Keluarga Karyasehat

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

Ability to lead change in Healthcare Facilities

– Mitra Keluarga Karyasehat is one of the leading players in the Healthcare Facilities industry in Indonesia. Over the years it has not only transformed the business landscape in the Healthcare Facilities industry in Indonesia but also across the existing markets. The ability to lead change has enabled Mitra Keluarga Karyasehat in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.

Analytics focus

– Mitra Keluarga Karyasehat 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 Indonesia 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.

Effective Research and Development (R&D)

– Mitra Keluarga Karyasehat has innovation driven culture where significant part of the revenues are spent on the research and development activities. This has resulted in – Mitra Keluarga Karyasehat 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.

Sustainable margins compare to other players in Healthcare Facilities industry

– Mitra Keluarga Karyasehat has clearly differentiated products in the market place. This has enabled Mitra Keluarga Karyasehat to fetch slight price premium compare to the competitors in the Healthcare Facilities industry. The sustainable margins have also helped Mitra Keluarga Karyasehat to invest into research and development (R&D) and innovation.

Ability to recruit top talent

– Mitra Keluarga Karyasehat is one of the leading players in the Healthcare Facilities industry in Indonesia. It is in a position to attract the best talent available in Indonesia. The firm has a robust talent identification program that helps in identifying the brightest.

Highly skilled collaborators

– Mitra Keluarga Karyasehat 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 Mitra Keluarga Karyasehat have helped the firm to develop new products and bring them quickly to the marketplace.

Superior customer experience

– The customer experience strategy of Mitra Keluarga Karyasehat in Healthcare Facilities industry is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.

Strong track record of project management in the Healthcare Facilities industry

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

High switching costs

– The high switching costs that Mitra Keluarga Karyasehat 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.

---

---

Weaknesses of Mitra Keluarga Karyasehat | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis

The weaknesses of Mitra Keluarga Karyasehat are -

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

Capital Spending Reduction

– Even during the low interest decade, Mitra Keluarga Karyasehat 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.

Need for greater diversity

– Mitra Keluarga Karyasehat 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.

Workers concerns about automation

– As automation is fast increasing in the Healthcare Facilities industry, Mitra Keluarga Karyasehat 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 Mitra Keluarga Karyasehat, in the dynamic environment of Healthcare Facilities industry it has struggled to respond to the nimble upstart competition. Mitra Keluarga Karyasehat has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.

Products dominated business model

– Even though Mitra Keluarga Karyasehat has some of the most successful models in the Healthcare Facilities industry, this business model has made each new product launch extremely critical for continuous financial growth of the organization. Mitra Keluarga Karyasehat should strive to include more intangible value offerings along with its core products and services.

Low market penetration in new markets

– Outside its home market of Indonesia, Mitra Keluarga Karyasehat needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.

High dependence on Mitra Keluarga Karyasehat ‘s star products

– The top 2 products and services of Mitra Keluarga Karyasehat 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 Mitra Keluarga Karyasehat has relatively successful track record of launching new products.

Slow to harness new channels of communication

– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Mitra Keluarga Karyasehat is slow explore the new channels of communication. These new channels of communication can help Mitra Keluarga Karyasehat to provide better information regarding Healthcare Facilities 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 Mitra Keluarga Karyasehat 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.

Lack of clear differentiation of Mitra Keluarga Karyasehat products

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

---

Mitra Keluarga Karyasehat Opportunities | External Strategic Factors
What are Opportunities in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis

The opportunities of Mitra Keluarga Karyasehat are -

Redefining models of collaboration and team work

– As explained in the weaknesses section, Mitra Keluarga Karyasehat is facing challenges because of the dominance of functional experts in the organization. Mitra Keluarga Karyasehat 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.

Using analytics as competitive advantage

– Mitra Keluarga Karyasehat has spent a significant amount of money and effort to integrate analytics and machine learning into its operations in Healthcare Facilities sector. This continuous investment in analytics has enabled Mitra Keluarga Karyasehat to build a competitive advantage using analytics. The analytics driven competitive advantage can help Mitra Keluarga Karyasehat to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.

Reforming the budgeting process

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

Increase in government spending

– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Mitra Keluarga Karyasehat can use these opportunities to build new business models that can help the communities that Mitra Keluarga Karyasehat operates in. Secondly it can use opportunities from government spending in Healthcare Facilities sector.

Finding new ways to collaborate

– Covid-19 has not only transformed business models of companies in Healthcare Facilities industry, but it has also influenced the consumer preferences. Mitra Keluarga Karyasehat can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.

Learning at scale

– Online learning technologies has now opened space for Mitra Keluarga Karyasehat 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.

Low interest rates

– Even though inflation is raising its head in most developed economies, Mitra Keluarga Karyasehat 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.

Buying journey improvements

– Mitra Keluarga Karyasehat 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.

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 Mitra Keluarga Karyasehat 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.

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. Mitra Keluarga Karyasehat 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. Mitra Keluarga Karyasehat 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. Mitra Keluarga Karyasehat can explore opportunities that can attract volunteers and are consistent with its mission and vision.

Leveraging digital technologies

– Mitra Keluarga Karyasehat 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.

Building a culture of innovation

– managers at Mitra Keluarga Karyasehat 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.

---

Threats Mitra Keluarga Karyasehat External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis

The threats of Mitra Keluarga Karyasehat are -

Trade war between China and United States

– The trade war between two of the biggest economies can hugely impact the opportunities for Mitra Keluarga Karyasehat 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.

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 Mitra Keluarga Karyasehat business can come under increasing regulations regarding data privacy, data security, etc.

Consumer confidence and its impact on Mitra Keluarga Karyasehat 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.

Learning curve for new practices

– As the technology based on artificial intelligence and machine learning platform is getting complex, Mitra Keluarga Karyasehat 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.

Technology acceleration in Forth Industrial Revolution

– Mitra Keluarga Karyasehat has witnessed rapid integration of technology during Covid-19 in the Healthcare Facilities industry. As one of the leading players in the industry, Mitra Keluarga Karyasehat needs to keep up with the evolution of technology in the Healthcare Facilities sector. According to Mckinsey study top managers believe that the adoption of technology in operations, communications is 20-25 times faster than what they planned in the beginning of 2019.

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.

Stagnating economy with rate increase

– Mitra Keluarga Karyasehat 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.

Barriers of entry lowering

– As technology is more democratized, the barriers to entry to Healthcare Facilities industry are lowering. It can presents Mitra Keluarga Karyasehat with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the Healthcare Facilities sector.

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 Mitra Keluarga Karyasehat in the Healthcare Facilities sector and impact the bottomline of the organization.

Environmental challenges

– Mitra Keluarga Karyasehat 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. Mitra Keluarga Karyasehat can take advantage of this fund but it will also bring new competitors in the Healthcare Facilities industry.

Shortening product life cycle

– it is one of the major threat that Mitra Keluarga Karyasehat is facing in Healthcare Facilities sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, 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 Mitra Keluarga Karyasehat.

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. Mitra Keluarga Karyasehat 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.

---

Weighted SWOT Analysis of Mitra Keluarga Karyasehat Template, Example

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

--- ---