TRIUNFO PART ON (TPIS3) SWOT Analysis / TOWS Matrix / MBA Resources
Misc. Transportation
Strategy / MBA Resources
Introduction to SWOT Analysis
SWOT Analysis / TOWS Matrix for TRIUNFO PART ON (Brazil)
Based on various researches at Oak Spring University , TRIUNFO PART ON is operating in a macro-environment that has been destablized by – increasing household debt because of falling income levels, increasing government debt because of Covid-19 spendings, digital marketing is dominated by two big players Facebook and Google, challanges to central banks by blockchain based private currencies, technology disruption, there is backlash against globalization, geopolitical disruptions,
increasing commodity prices, supply chains are disrupted by pandemic , etc
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University, we believe that TRIUNFO PART ON can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the TRIUNFO PART ON, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which TRIUNFO PART ON 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 TRIUNFO PART ON can be done for the following purposes –
1. Strategic planning of TRIUNFO PART ON
2. Improving business portfolio management of TRIUNFO PART ON
3. Assessing feasibility of the new initiative in Brazil
4. Making a Misc. Transportation sector specific business decision
5. Set goals for the organization
6. Organizational restructuring of TRIUNFO PART ON
Strengths of TRIUNFO PART ON | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of TRIUNFO PART ON are -
Digital Transformation in Misc. Transportation industry
- digital transformation varies from industry to industry. For TRIUNFO PART ON digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. TRIUNFO PART ON 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
- TRIUNFO PART ON 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 TRIUNFO PART ON is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders at TRIUNFO PART ON emphasize – knowledge, initiative, and innovation.
Low bargaining power of suppliers
– Suppliers of TRIUNFO PART ON in the Transportation sector have low bargaining power. TRIUNFO PART ON has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps TRIUNFO PART ON to manage not only supply disruptions but also source products at highly competitive prices.
Successful track record of launching new products
– TRIUNFO PART ON has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. TRIUNFO PART ON 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.
High switching costs
– The high switching costs that TRIUNFO PART ON 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.
Sustainable margins compare to other players in Misc. Transportation industry
– TRIUNFO PART ON has clearly differentiated products in the market place. This has enabled TRIUNFO PART ON to fetch slight price premium compare to the competitors in the Misc. Transportation industry. The sustainable margins have also helped TRIUNFO PART ON to invest into research and development (R&D) and innovation.
Superior customer experience
– The customer experience strategy of TRIUNFO PART ON in Misc. Transportation industry is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Analytics focus
– TRIUNFO PART ON 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 Misc. Transportation industry. The technology infrastructure of Brazil 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.
High brand equity
– TRIUNFO PART ON has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled TRIUNFO PART ON to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Effective Research and Development (R&D)
– TRIUNFO PART ON has innovation driven culture where significant part of the revenues are spent on the research and development activities. This has resulted in – TRIUNFO PART ON staying ahead in the Misc. Transportation industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Cross disciplinary teams
– Horizontal connected teams at the TRIUNFO PART ON 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.
Ability to recruit top talent
– TRIUNFO PART ON is one of the leading players in the Misc. Transportation industry in Brazil. It is in a position to attract the best talent available in Brazil. The firm has a robust talent identification program that helps in identifying the brightest.
Weaknesses of TRIUNFO PART ON | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of TRIUNFO PART ON are -
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, TRIUNFO PART ON is slow explore the new channels of communication. These new channels of communication can help TRIUNFO PART ON to provide better information regarding Misc. Transportation products and services. It can also build an online community to further reach out to potential customers.
Products dominated business model
– Even though TRIUNFO PART ON has some of the most successful models in the Misc. Transportation industry, this business model has made each new product launch extremely critical for continuous financial growth of the organization. TRIUNFO PART ON should strive to include more intangible value offerings along with its core products and services.
High operating costs
– Compare to the competitors, TRIUNFO PART ON has high operating costs in the Misc. Transportation industry. This can be harder to sustain given the new emerging competition from nimble players who are using technology to attract TRIUNFO PART ON lucrative customers.
Slow to strategic competitive environment developments
– As TRIUNFO PART ON is one of the leading players in the Misc. Transportation industry, it takes time to assess the upcoming competitions. This has led to missing out on atleast 2-3 big opportunities in the Misc. Transportation industry in last five years.
Ability to respond to the competition
– As the decision making is very deliberative at TRIUNFO PART ON, in the dynamic environment of Misc. Transportation industry it has struggled to respond to the nimble upstart competition. TRIUNFO PART ON has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
Aligning sales with marketing
– From the outside it seems that TRIUNFO PART ON needs to have more collaboration between its sales team and marketing team. Sales professionals in the Misc. Transportation industry have deep experience in developing customer relationships. Marketing department at TRIUNFO PART ON can leverage the sales team experience to cultivate customer relationships as TRIUNFO PART ON is planning to shift buying processes online.
Low market penetration in new markets
– Outside its home market of Brazil, TRIUNFO PART ON needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
High cash cycle compare to competitors
TRIUNFO PART ON has a high cash cycle compare to other players in the Misc. Transportation industry. It needs to shorten the cash cycle by 12% to be more competitive in the marketplace, reduce inventory costs, and be more profitable.
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 TRIUNFO PART ON supply chain. Even after few cautionary changes, TRIUNFO PART ON is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left TRIUNFO PART ON vulnerable to further global disruptions in South East Asia.
Skills based hiring in Misc. Transportation industry
– The stress on hiring functional specialists at TRIUNFO PART ON 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.
Increasing silos among functional specialists
– The organizational structure of TRIUNFO PART ON is dominated by functional specialists. It is not different from other players in the Misc. Transportation industry, but TRIUNFO PART ON needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help TRIUNFO PART ON to focus more on services in the Misc. Transportation industry rather than just following the product oriented approach.
TRIUNFO PART ON Opportunities | External Strategic Factors
What are Opportunities in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The opportunities of TRIUNFO PART ON are -
Developing new processes and practices
– TRIUNFO PART ON can develop new processes and procedures in Misc. Transportation 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.
Buying journey improvements
– TRIUNFO PART ON can improve the customer journey of consumers in the Misc. Transportation 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.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for TRIUNFO PART ON 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 TRIUNFO PART ON to hire the very best people irrespective of their geographical location.
Changes in consumer behavior post Covid-19
– consumer behavior has changed in the Misc. Transportation industry because of Covid-19 restrictions. Some of this behavior will stay once things get back to normal. TRIUNFO PART ON 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. TRIUNFO PART ON 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.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, TRIUNFO PART ON 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 TRIUNFO PART ON to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Creating value in data economy
– The success of analytics program of TRIUNFO PART ON has opened avenues for new revenue streams for the organization in Misc. Transportation industry. This can help TRIUNFO PART ON to build a more holistic ecosystem for TRIUNFO PART ON products in the Misc. Transportation industry by providing – data insight services, data privacy related products, data based consulting services, etc.
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. TRIUNFO PART ON can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Leveraging digital technologies
– TRIUNFO PART ON 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.
Learning at scale
– Online learning technologies has now opened space for TRIUNFO PART ON 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.
Finding new ways to collaborate
– Covid-19 has not only transformed business models of companies in Misc. Transportation industry, but it has also influenced the consumer preferences. TRIUNFO PART ON can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Using analytics as competitive advantage
– TRIUNFO PART ON has spent a significant amount of money and effort to integrate analytics and machine learning into its operations in Misc. Transportation sector. This continuous investment in analytics has enabled TRIUNFO PART ON to build a competitive advantage using analytics. The analytics driven competitive advantage can help TRIUNFO PART ON to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Manufacturing automation
– TRIUNFO PART ON can use the latest technology developments to improve its manufacturing and designing process in Misc. Transportation 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.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, TRIUNFO PART ON can use these opportunities to build new business models that can help the communities that TRIUNFO PART ON operates in. Secondly it can use opportunities from government spending in Misc. Transportation sector.
Threats TRIUNFO PART ON External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats of TRIUNFO PART ON are -
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 TRIUNFO PART ON.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, TRIUNFO PART ON 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 TRIUNFO PART ON prominent markets.
Technology disruption because of hacks, piracy etc
– The colonial pipeline illustrated, how vulnerable modern organization are to international hackers, miscreants, and disruptors. The cyber security interruption, data leaks, etc can seriously jeopardize the future growth of the organization.
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 TRIUNFO PART ON business can come under increasing regulations regarding data privacy, data security, etc.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, TRIUNFO PART ON may face longer learning curve for training and development of existing employees. This can open space for more nimble competitors in the field of Misc. Transportation sector.
Technology acceleration in Forth Industrial Revolution
– TRIUNFO PART ON has witnessed rapid integration of technology during Covid-19 in the Misc. Transportation industry. As one of the leading players in the industry, TRIUNFO PART ON needs to keep up with the evolution of technology in the Misc. Transportation 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.
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 TRIUNFO PART ON in the Misc. Transportation sector and impact the bottomline of the organization.
Shortening product life cycle
– it is one of the major threat that TRIUNFO PART ON is facing in Misc. Transportation sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry to Misc. Transportation industry are lowering. It can presents TRIUNFO PART ON with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the Misc. Transportation sector.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for TRIUNFO PART ON in Misc. Transportation industry. The Misc. Transportation 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 Misc. Transportation industry will also reduce the barriers to entry in the industry, thus putting downward pressure on the prices because of increasing competition. TRIUNFO PART ON can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Increasing wage structure of TRIUNFO PART ON
– 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 TRIUNFO PART ON.
Consumer confidence and its impact on TRIUNFO PART ON 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 Misc. Transportation industry and other sectors.
Weighted SWOT Analysis of TRIUNFO PART ON Template, Example
Not all factors mentioned under the Strengths, Weakness, Opportunities, and Threats quadrants in the SWOT Analysis are equal. Managers at TRIUNFO PART ON 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 TRIUNFO PART ON 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 TRIUNFO PART ON 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 TRIUNFO PART ON 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 TRIUNFO PART ON needs to make to build a sustainable competitive advantage.
