Federal Agricult Mortgage Pc Pref (AGM_pc) SWOT Analysis / TOWS Matrix / MBA Resources
Strategy / MBA Resources
Introduction to SWOT Analysis
SWOT Analysis / TOWS Matrix for Federal Agricult Mortgage Pc Pref (United States)
Based on various researches at Oak Spring University , Federal Agricult Mortgage Pc Pref 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%, cloud computing is disrupting traditional business models, customer relationship management is fast transforming because of increasing concerns over data privacy, increasing government debt because of Covid-19 spendings, increasing transportation and logistics costs, increasing household debt because of falling income levels, digital marketing is dominated by two big players Facebook and Google,
technology disruption, challanges to central banks by blockchain based private currencies, etc
Introduction to SWOT Analysis of Federal Agricult Mortgage Pc Pref
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University, we believe that Federal Agricult Mortgage Pc Pref can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Federal Agricult Mortgage Pc Pref, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Federal Agricult Mortgage Pc Pref 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 Federal Agricult Mortgage Pc Pref can be done for the following purposes –
1. Strategic planning of Federal Agricult Mortgage Pc Pref
2. Improving business portfolio management of Federal Agricult Mortgage Pc Pref
3. Assessing feasibility of the new initiative in United States
4. Making a sector specific business decision
5. Set goals for the organization
6. Organizational restructuring of Federal Agricult Mortgage Pc Pref
Strengths of Federal Agricult Mortgage Pc Pref | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Federal Agricult Mortgage Pc Pref are -
Low bargaining power of suppliers
– Suppliers of Federal Agricult Mortgage Pc Pref in the sector have low bargaining power. Federal Agricult Mortgage Pc Pref has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Federal Agricult Mortgage Pc Pref to manage not only supply disruptions but also source products at highly competitive prices.
Superior customer experience
– The customer experience strategy of Federal Agricult Mortgage Pc Pref in industry is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Effective Research and Development (R&D)
– Federal Agricult Mortgage Pc Pref has innovation driven culture where significant part of the revenues are spent on the research and development activities. This has resulted in – Federal Agricult Mortgage Pc Pref staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Successful track record of launching new products
– Federal Agricult Mortgage Pc Pref has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Federal Agricult Mortgage Pc Pref 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.
Training and development
– Federal Agricult Mortgage Pc Pref has one of the best training and development program in industry. The effectiveness of the training programs can be measured in – employees retention, in-house promotion, loyalty, new venture initiation, lack of conflict, and high level of both employees and customer engagement.
Learning organization
- Federal Agricult Mortgage Pc Pref 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 Federal Agricult Mortgage Pc Pref is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders at Federal Agricult Mortgage Pc Pref emphasize – knowledge, initiative, and innovation.
Sustainable margins compare to other players in industry
– Federal Agricult Mortgage Pc Pref has clearly differentiated products in the market place. This has enabled Federal Agricult Mortgage Pc Pref to fetch slight price premium compare to the competitors in the industry. The sustainable margins have also helped Federal Agricult Mortgage Pc Pref to invest into research and development (R&D) and innovation.
Innovation driven organization
– Federal Agricult Mortgage Pc Pref is one of the most innovative firm in sector.
Cross disciplinary teams
– Horizontal connected teams at the Federal Agricult Mortgage Pc Pref 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.
Organizational Resilience of Federal Agricult Mortgage Pc Pref
– The covid-19 pandemic has put organizational resilience at the centre of everthing Federal Agricult Mortgage Pc Pref does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Digital Transformation in industry
- digital transformation varies from industry to industry. For Federal Agricult Mortgage Pc Pref digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Federal Agricult Mortgage Pc Pref 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.
Diverse revenue streams
– Federal Agricult Mortgage Pc Pref is present in almost all the verticals within the industry. This has provided Federal Agricult Mortgage Pc Pref 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.
Weaknesses of Federal Agricult Mortgage Pc Pref | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Federal Agricult Mortgage Pc Pref are -
Interest costs
– Compare to the competition, Federal Agricult Mortgage Pc Pref has borrowed money from the capital market at higher rates. It needs to restructure the interest payment and costs so that it can compete better and improve profitability.
Compensation and incentives
– The revenue per employee of Federal Agricult Mortgage Pc Pref is just above the 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 operating costs
– Compare to the competitors, Federal Agricult Mortgage Pc Pref has high operating costs in the industry. This can be harder to sustain given the new emerging competition from nimble players who are using technology to attract Federal Agricult Mortgage Pc Pref lucrative customers.
Capital Spending Reduction
– Even during the low interest decade, Federal Agricult Mortgage Pc Pref 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 industry using digital technology.
Skills based hiring in industry
– The stress on hiring functional specialists at Federal Agricult Mortgage Pc Pref 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.
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 Federal Agricult Mortgage Pc Pref supply chain. Even after few cautionary changes, Federal Agricult Mortgage Pc Pref is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Federal Agricult Mortgage Pc Pref vulnerable to further global disruptions in South East Asia.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Federal Agricult Mortgage Pc Pref is slow explore the new channels of communication. These new channels of communication can help Federal Agricult Mortgage Pc Pref to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
Products dominated business model
– Even though Federal Agricult Mortgage Pc Pref has some of the most successful models in the industry, this business model has made each new product launch extremely critical for continuous financial growth of the organization. Federal Agricult Mortgage Pc Pref should strive to include more intangible value offerings along with its core products and services.
Lack of clear differentiation of Federal Agricult Mortgage Pc Pref products
– To increase the profitability and margins on the products, Federal Agricult Mortgage Pc Pref needs to provide more differentiated products than what it is currently offering in the marketplace.
Low market penetration in new markets
– Outside its home market of United States, Federal Agricult Mortgage Pc Pref needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
Employees’ less understanding of Federal Agricult Mortgage Pc Pref strategy
– From the outside it seems that the employees of Federal Agricult Mortgage Pc Pref 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.
Federal Agricult Mortgage Pc Pref Opportunities | External Strategic Factors
What are Opportunities in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The opportunities of Federal Agricult Mortgage Pc Pref are -
Buying journey improvements
– Federal Agricult Mortgage Pc Pref can improve the customer journey of consumers in the 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.
Manufacturing automation
– Federal Agricult Mortgage Pc Pref can use the latest technology developments to improve its manufacturing and designing process in 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.
Using analytics as competitive advantage
– Federal Agricult Mortgage Pc Pref has spent a significant amount of money and effort to integrate analytics and machine learning into its operations in sector. This continuous investment in analytics has enabled Federal Agricult Mortgage Pc Pref to build a competitive advantage using analytics. The analytics driven competitive advantage can help Federal Agricult Mortgage Pc Pref to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Finding new ways to collaborate
– Covid-19 has not only transformed business models of companies in industry, but it has also influenced the consumer preferences. Federal Agricult Mortgage Pc Pref can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Federal Agricult Mortgage Pc Pref can use these opportunities to build new business models that can help the communities that Federal Agricult Mortgage Pc Pref operates in. Secondly it can use opportunities from government spending in sector.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Federal Agricult Mortgage Pc Pref 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 Federal Agricult Mortgage Pc Pref to hire the very best people irrespective of their geographical location.
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 Federal Agricult Mortgage Pc Pref 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.
Loyalty marketing
– Federal Agricult Mortgage Pc Pref 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.
Better consumer reach
– The expansion of the 5G network will help Federal Agricult Mortgage Pc Pref to increase its market reach. Federal Agricult Mortgage Pc Pref will be able to reach out to new customers. Secondly 5G will also provide technology framework to build new tools and products that can help more immersive consumer experience and faster consumer journey.
Developing new processes and practices
– Federal Agricult Mortgage Pc Pref can develop new processes and procedures in 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.
Leveraging digital technologies
– Federal Agricult Mortgage Pc Pref 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.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Federal Agricult Mortgage Pc Pref can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Building a culture of innovation
– managers at Federal Agricult Mortgage Pc Pref 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 industry.
Threats Federal Agricult Mortgage Pc Pref External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats of Federal Agricult Mortgage Pc Pref are -
Stagnating economy with rate increase
– Federal Agricult Mortgage Pc Pref 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 industry.
Increasing wage structure of Federal Agricult Mortgage Pc Pref
– 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 Federal Agricult Mortgage Pc Pref.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, Federal Agricult Mortgage Pc Pref may face longer learning curve for training and development of existing employees. This can open space for more nimble competitors in the field of sector.
Easy access to finance
– Easy access to finance in industry will also reduce the barriers to entry in the industry, thus putting downward pressure on the prices because of increasing competition. Federal Agricult Mortgage Pc Pref can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
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.
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 Federal Agricult Mortgage Pc Pref.
Regulatory challenges
– Federal Agricult Mortgage Pc Pref 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 industry regulations.
Consumer confidence and its impact on Federal Agricult Mortgage Pc Pref 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 industry and other sectors.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry to industry are lowering. It can presents Federal Agricult Mortgage Pc Pref with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
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 Federal Agricult Mortgage Pc Pref business can come under increasing regulations regarding data privacy, data security, etc.
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. Federal Agricult Mortgage Pc Pref needs to understand the core reasons impacting the industry. This will help it in building a better workplace.
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.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Federal Agricult Mortgage Pc Pref 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 Federal Agricult Mortgage Pc Pref prominent markets.
Weighted SWOT Analysis of Federal Agricult Mortgage Pc Pref Template, Example
Not all factors mentioned under the Strengths, Weakness, Opportunities, and Threats quadrants in the SWOT Analysis are equal. Managers at Federal Agricult Mortgage Pc Pref 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 Federal Agricult Mortgage Pc Pref 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 Federal Agricult Mortgage Pc Pref 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 Federal Agricult Mortgage Pc Pref 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 Federal Agricult Mortgage Pc Pref needs to make to build a sustainable competitive advantage.
