SWOT Analysis / TOWS Matrix for Josapar Joaquim Oliveira (Brazil)
Based on various researches at Oak Spring University , Josapar Joaquim Oliveira is operating in a macro-environment that has been destablized by – increasing inequality as vast percentage of new income is going to the top 1%, talent flight as more people leaving formal jobs, competitive advantages are harder to sustain because of technology dispersion, wage bills are increasing, increasing commodity prices, supply chains are disrupted by pandemic , increasing household debt because of falling income levels,
central banks are concerned over increasing inflation, technology disruption, etc
Introduction to SWOT Analysis of Josapar Joaquim Oliveira
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University, we believe that Josapar Joaquim Oliveira can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Josapar Joaquim Oliveira, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Josapar Joaquim Oliveira 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 Josapar Joaquim Oliveira can be done for the following purposes –
1. Strategic planning of Josapar Joaquim Oliveira
2. Improving business portfolio management of Josapar Joaquim Oliveira
3. Assessing feasibility of the new initiative in Brazil
4. Making a Food Processing sector specific business decision
5. Set goals for the organization
6. Organizational restructuring of Josapar Joaquim Oliveira
Strengths of Josapar Joaquim Oliveira | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Josapar Joaquim Oliveira are -
Learning organization
- Josapar Joaquim Oliveira 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 Josapar Joaquim Oliveira is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders at Josapar Joaquim Oliveira emphasize – knowledge, initiative, and innovation.
Ability to recruit top talent
– Josapar Joaquim Oliveira is one of the leading players in the Food Processing 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.
Superior customer experience
– The customer experience strategy of Josapar Joaquim Oliveira in Food Processing industry is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Effective Research and Development (R&D)
– Josapar Joaquim Oliveira has innovation driven culture where significant part of the revenues are spent on the research and development activities. This has resulted in – Josapar Joaquim Oliveira staying ahead in the Food Processing industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
High brand equity
– Josapar Joaquim Oliveira has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Josapar Joaquim Oliveira to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Analytics focus
– Josapar Joaquim Oliveira 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 Food Processing 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.
Diverse revenue streams
– Josapar Joaquim Oliveira is present in almost all the verticals within the Food Processing industry. This has provided Josapar Joaquim Oliveira 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.
High switching costs
– The high switching costs that Josapar Joaquim Oliveira 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 Food Processing industry
– Josapar Joaquim Oliveira has clearly differentiated products in the market place. This has enabled Josapar Joaquim Oliveira to fetch slight price premium compare to the competitors in the Food Processing industry. The sustainable margins have also helped Josapar Joaquim Oliveira to invest into research and development (R&D) and innovation.
Successful track record of launching new products
– Josapar Joaquim Oliveira has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Josapar Joaquim Oliveira 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.
Innovation driven organization
– Josapar Joaquim Oliveira is one of the most innovative firm in Food Processing sector.
Highly skilled collaborators
– Josapar Joaquim Oliveira has highly efficient outsourcing and offshoring strategy. It has resulted in greater operational flexibility and bringing down the costs in highly price sensitive Food Processing industry. Secondly the value chain collaborators of Josapar Joaquim Oliveira have helped the firm to develop new products and bring them quickly to the marketplace.
Weaknesses of Josapar Joaquim Oliveira | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Josapar Joaquim Oliveira are -
Slow decision making process
– As mentioned earlier in the report, Josapar Joaquim Oliveira has a very deliberative decision making approach. This approach has resulted in prudent decisions, but it has also resulted in missing opportunities in the Food Processing industry over the last five years. Josapar Joaquim Oliveira 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.
Employees’ less understanding of Josapar Joaquim Oliveira strategy
– From the outside it seems that the employees of Josapar Joaquim Oliveira 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.
Increasing silos among functional specialists
– The organizational structure of Josapar Joaquim Oliveira is dominated by functional specialists. It is not different from other players in the Food Processing industry, but Josapar Joaquim Oliveira needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Josapar Joaquim Oliveira to focus more on services in the Food Processing industry rather than just following the product oriented approach.
High operating costs
– Compare to the competitors, Josapar Joaquim Oliveira has high operating costs in the Food Processing industry. This can be harder to sustain given the new emerging competition from nimble players who are using technology to attract Josapar Joaquim Oliveira lucrative customers.
High bargaining power of channel partners in Food Processing industry
– because of the regulatory requirements in Brazil, Josapar Joaquim Oliveira 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 Food Processing industry.
Capital Spending Reduction
– Even during the low interest decade, Josapar Joaquim Oliveira 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 Food Processing industry using digital technology.
Compensation and incentives
– The revenue per employee of Josapar Joaquim Oliveira is just above the Food Processing 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 dependence on Josapar Joaquim Oliveira ‘s star products
– The top 2 products and services of Josapar Joaquim Oliveira still accounts for major business revenue. This dependence on star products in Food Processing industry has resulted into insufficient focus on developing new products, even though Josapar Joaquim Oliveira has relatively successful track record of launching new products.
No frontier risks strategy
– From the 10K / annual statement of Josapar Joaquim Oliveira, it seems that company is thinking out the frontier risks that can impact Food Processing 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 to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Josapar Joaquim Oliveira is slow explore the new channels of communication. These new channels of communication can help Josapar Joaquim Oliveira to provide better information regarding Food Processing products and services. It can also build an online community to further reach out to potential customers.
Aligning sales with marketing
– From the outside it seems that Josapar Joaquim Oliveira needs to have more collaboration between its sales team and marketing team. Sales professionals in the Food Processing industry have deep experience in developing customer relationships. Marketing department at Josapar Joaquim Oliveira can leverage the sales team experience to cultivate customer relationships as Josapar Joaquim Oliveira is planning to shift buying processes online.
Josapar Joaquim Oliveira Opportunities | External Strategic Factors
What are Opportunities in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The opportunities of Josapar Joaquim Oliveira are -
Redefining models of collaboration and team work
– As explained in the weaknesses section, Josapar Joaquim Oliveira is facing challenges because of the dominance of functional experts in the organization. Josapar Joaquim Oliveira can utilize new technology in the field of Food Processing industry to build more coordinated teams and streamline operations and communications using tools such as CAD, Zoom, etc.
Use of Bitcoin and other crypto currencies for transactions in Food Processing industry
– The popularity of Bitcoin and other crypto currencies as asset class and medium of transaction has opened new opportunities for Josapar Joaquim Oliveira in the Food Processing industry. Now Josapar Joaquim Oliveira can target international markets with far fewer capital restrictions requirements than the existing system.
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 Josapar Joaquim Oliveira 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.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Josapar Joaquim Oliveira can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Creating value in data economy
– The success of analytics program of Josapar Joaquim Oliveira has opened avenues for new revenue streams for the organization in Food Processing industry. This can help Josapar Joaquim Oliveira to build a more holistic ecosystem for Josapar Joaquim Oliveira products in the Food Processing industry by providing – data insight services, data privacy related products, data based consulting services, etc.
Finding new ways to collaborate
– Covid-19 has not only transformed business models of companies in Food Processing industry, but it has also influenced the consumer preferences. Josapar Joaquim Oliveira can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Lowering marketing communication costs
– 5G expansion will open new opportunities for Josapar Joaquim Oliveira in the field of marketing communication. It will bring down the cost of doing business, provide technology platform to build new products in the Food Processing industry, and it will provide faster access to the consumers.
Developing new processes and practices
– Josapar Joaquim Oliveira can develop new processes and procedures in Food Processing 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 Josapar Joaquim Oliveira 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 Josapar Joaquim Oliveira to hire the very best people irrespective of their geographical location.
Loyalty marketing
– Josapar Joaquim Oliveira 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.
Learning at scale
– Online learning technologies has now opened space for Josapar Joaquim Oliveira 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.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Josapar Joaquim Oliveira can use these opportunities to build new business models that can help the communities that Josapar Joaquim Oliveira operates in. Secondly it can use opportunities from government spending in Food Processing sector.
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. Josapar Joaquim Oliveira can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Threats Josapar Joaquim Oliveira External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats of Josapar Joaquim Oliveira are -
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 Josapar Joaquim Oliveira in the Food Processing sector and impact the bottomline 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 Josapar Joaquim Oliveira business can come under increasing regulations regarding data privacy, data security, etc.
Regulatory challenges
– Josapar Joaquim Oliveira 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 Food Processing industry regulations.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, Josapar Joaquim Oliveira may face longer learning curve for training and development of existing employees. This can open space for more nimble competitors in the field of Food Processing sector.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Josapar Joaquim Oliveira in Food Processing industry. The Food Processing 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.
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. Josapar Joaquim Oliveira needs to understand the core reasons impacting the Food Processing industry. This will help it in building a better workplace.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Josapar Joaquim Oliveira 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 Josapar Joaquim Oliveira prominent markets.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry to Food Processing industry are lowering. It can presents Josapar Joaquim Oliveira with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the Food Processing sector.
Technology acceleration in Forth Industrial Revolution
– Josapar Joaquim Oliveira has witnessed rapid integration of technology during Covid-19 in the Food Processing industry. As one of the leading players in the industry, Josapar Joaquim Oliveira needs to keep up with the evolution of technology in the Food Processing 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.
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. Josapar Joaquim Oliveira 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.
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 Josapar Joaquim Oliveira.
Shortening product life cycle
– it is one of the major threat that Josapar Joaquim Oliveira is facing in Food Processing sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
High dependence on third party suppliers
– Josapar Joaquim Oliveira 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.
Weighted SWOT Analysis of Josapar Joaquim Oliveira Template, Example
Not all factors mentioned under the Strengths, Weakness, Opportunities, and Threats quadrants in the SWOT Analysis are equal. Managers at Josapar Joaquim Oliveira 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 Josapar Joaquim Oliveira 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 Josapar Joaquim Oliveira 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 Josapar Joaquim Oliveira 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 Josapar Joaquim Oliveira needs to make to build a sustainable competitive advantage.