Anworth Mortgage Asset Corp Pa Pref (ANH_pa) SWOT Analysis / TOWS Matrix / MBA Resources
Real Estate Operations
Strategy / MBA Resources
Introduction to SWOT Analysis
SWOT Analysis / TOWS Matrix for Anworth Mortgage Asset Corp Pa Pref (United States)
Based on various researches at Oak Spring University , Anworth Mortgage Asset Corp Pa Pref is operating in a macro-environment that has been destablized by – technology disruption, increasing household debt because of falling income levels, customer relationship management is fast transforming because of increasing concerns over data privacy, there is backlash against globalization, increasing inequality as vast percentage of new income is going to the top 1%, digital marketing is dominated by two big players Facebook and Google, geopolitical disruptions,
increasing commodity prices, increasing transportation and logistics costs, etc
Introduction to SWOT Analysis of Anworth Mortgage Asset Corp Pa Pref
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University, we believe that Anworth Mortgage Asset Corp Pa Pref can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Anworth Mortgage Asset Corp Pa Pref, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Anworth Mortgage Asset Corp Pa 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 Anworth Mortgage Asset Corp Pa Pref can be done for the following purposes –
1. Strategic planning of Anworth Mortgage Asset Corp Pa Pref
2. Improving business portfolio management of Anworth Mortgage Asset Corp Pa Pref
3. Assessing feasibility of the new initiative in United States
4. Making a Real Estate Operations sector specific business decision
5. Set goals for the organization
6. Organizational restructuring of Anworth Mortgage Asset Corp Pa Pref
Strengths of Anworth Mortgage Asset Corp Pa Pref | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Anworth Mortgage Asset Corp Pa Pref are -
Successful track record of launching new products
– Anworth Mortgage Asset Corp Pa Pref has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Anworth Mortgage Asset Corp Pa 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.
Ability to recruit top talent
– Anworth Mortgage Asset Corp Pa Pref is one of the leading players in the Real Estate Operations industry in United States. It is in a position to attract the best talent available in United States. The firm has a robust talent identification program that helps in identifying the brightest.
Sustainable margins compare to other players in Real Estate Operations industry
– Anworth Mortgage Asset Corp Pa Pref has clearly differentiated products in the market place. This has enabled Anworth Mortgage Asset Corp Pa Pref to fetch slight price premium compare to the competitors in the Real Estate Operations industry. The sustainable margins have also helped Anworth Mortgage Asset Corp Pa Pref to invest into research and development (R&D) and innovation.
Diverse revenue streams
– Anworth Mortgage Asset Corp Pa Pref is present in almost all the verticals within the Real Estate Operations industry. This has provided Anworth Mortgage Asset Corp Pa 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.
Training and development
– Anworth Mortgage Asset Corp Pa Pref has one of the best training and development program in Services 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
- Anworth Mortgage Asset Corp Pa 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 Anworth Mortgage Asset Corp Pa Pref is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders at Anworth Mortgage Asset Corp Pa Pref emphasize – knowledge, initiative, and innovation.
Cross disciplinary teams
– Horizontal connected teams at the Anworth Mortgage Asset Corp Pa 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.
Ability to lead change in Real Estate Operations
– Anworth Mortgage Asset Corp Pa Pref is one of the leading players in the Real Estate Operations industry in United States. Over the years it has not only transformed the business landscape in the Real Estate Operations industry in United States but also across the existing markets. The ability to lead change has enabled Anworth Mortgage Asset Corp Pa Pref in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Digital Transformation in Real Estate Operations industry
- digital transformation varies from industry to industry. For Anworth Mortgage Asset Corp Pa Pref digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Anworth Mortgage Asset Corp Pa 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.
Innovation driven organization
– Anworth Mortgage Asset Corp Pa Pref is one of the most innovative firm in Real Estate Operations sector.
Low bargaining power of suppliers
– Suppliers of Anworth Mortgage Asset Corp Pa Pref in the Services sector have low bargaining power. Anworth Mortgage Asset Corp Pa Pref has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Anworth Mortgage Asset Corp Pa Pref to manage not only supply disruptions but also source products at highly competitive prices.
Strong track record of project management in the Real Estate Operations industry
– Anworth Mortgage Asset Corp Pa Pref is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Weaknesses of Anworth Mortgage Asset Corp Pa Pref | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Anworth Mortgage Asset Corp Pa Pref are -
High dependence on Anworth Mortgage Asset Corp Pa Pref ‘s star products
– The top 2 products and services of Anworth Mortgage Asset Corp Pa Pref still accounts for major business revenue. This dependence on star products in Real Estate Operations industry has resulted into insufficient focus on developing new products, even though Anworth Mortgage Asset Corp Pa Pref has relatively successful track record of launching new products.
Lack of clear differentiation of Anworth Mortgage Asset Corp Pa Pref products
– To increase the profitability and margins on the products, Anworth Mortgage Asset Corp Pa Pref needs to provide more differentiated products than what it is currently offering in the marketplace.
Interest costs
– Compare to the competition, Anworth Mortgage Asset Corp Pa 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.
High cash cycle compare to competitors
Anworth Mortgage Asset Corp Pa Pref has a high cash cycle compare to other players in the Real Estate Operations industry. It needs to shorten the cash cycle by 12% to be more competitive in the marketplace, reduce inventory costs, and be more profitable.
Slow to strategic competitive environment developments
– As Anworth Mortgage Asset Corp Pa Pref is one of the leading players in the Real Estate Operations industry, it takes time to assess the upcoming competitions. This has led to missing out on atleast 2-3 big opportunities in the Real Estate Operations industry in last five years.
Need for greater diversity
– Anworth Mortgage Asset Corp Pa Pref 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.
Increasing silos among functional specialists
– The organizational structure of Anworth Mortgage Asset Corp Pa Pref is dominated by functional specialists. It is not different from other players in the Real Estate Operations industry, but Anworth Mortgage Asset Corp Pa Pref needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Anworth Mortgage Asset Corp Pa Pref to focus more on services in the Real Estate Operations industry rather than just following the product oriented approach.
Slow decision making process
– As mentioned earlier in the report, Anworth Mortgage Asset Corp Pa Pref has a very deliberative decision making approach. This approach has resulted in prudent decisions, but it has also resulted in missing opportunities in the Real Estate Operations industry over the last five years. Anworth Mortgage Asset Corp Pa Pref 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.
Workers concerns about automation
– As automation is fast increasing in the Real Estate Operations industry, Anworth Mortgage Asset Corp Pa Pref 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.
High operating costs
– Compare to the competitors, Anworth Mortgage Asset Corp Pa Pref has high operating costs in the Real Estate Operations industry. This can be harder to sustain given the new emerging competition from nimble players who are using technology to attract Anworth Mortgage Asset Corp Pa Pref lucrative customers.
No frontier risks strategy
– From the 10K / annual statement of Anworth Mortgage Asset Corp Pa Pref, it seems that company is thinking out the frontier risks that can impact Real Estate Operations 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.
Anworth Mortgage Asset Corp Pa Pref Opportunities | External Strategic Factors
What are Opportunities in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The opportunities of Anworth Mortgage Asset Corp Pa Pref are -
Building a culture of innovation
– managers at Anworth Mortgage Asset Corp Pa 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 Real Estate Operations industry.
Developing new processes and practices
– Anworth Mortgage Asset Corp Pa Pref can develop new processes and procedures in Real Estate Operations 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.
Using analytics as competitive advantage
– Anworth Mortgage Asset Corp Pa Pref has spent a significant amount of money and effort to integrate analytics and machine learning into its operations in Real Estate Operations sector. This continuous investment in analytics has enabled Anworth Mortgage Asset Corp Pa Pref to build a competitive advantage using analytics. The analytics driven competitive advantage can help Anworth Mortgage Asset Corp Pa Pref to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Loyalty marketing
– Anworth Mortgage Asset Corp Pa 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.
Learning at scale
– Online learning technologies has now opened space for Anworth Mortgage Asset Corp Pa Pref 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.
Changes in consumer behavior post Covid-19
– consumer behavior has changed in the Real Estate Operations industry because of Covid-19 restrictions. Some of this behavior will stay once things get back to normal. Anworth Mortgage Asset Corp Pa Pref 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. Anworth Mortgage Asset Corp Pa Pref 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.
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 Anworth Mortgage Asset Corp Pa 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.
Low interest rates
– Even though inflation is raising its head in most developed economies, Anworth Mortgage Asset Corp Pa Pref 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.
Better consumer reach
– The expansion of the 5G network will help Anworth Mortgage Asset Corp Pa Pref to increase its market reach. Anworth Mortgage Asset Corp Pa 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.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Anworth Mortgage Asset Corp Pa Pref can use these opportunities to build new business models that can help the communities that Anworth Mortgage Asset Corp Pa Pref operates in. Secondly it can use opportunities from government spending in Real Estate Operations sector.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Anworth Mortgage Asset Corp Pa 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 Anworth Mortgage Asset Corp Pa Pref to hire the very best people irrespective of their geographical location.
Leveraging digital technologies
– Anworth Mortgage Asset Corp Pa 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.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Anworth Mortgage Asset Corp Pa Pref 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 Anworth Mortgage Asset Corp Pa Pref to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Threats Anworth Mortgage Asset Corp Pa Pref External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats of Anworth Mortgage Asset Corp Pa Pref are -
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.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Anworth Mortgage Asset Corp Pa Pref in Real Estate Operations industry. The Real Estate Operations 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.
Increasing wage structure of Anworth Mortgage Asset Corp Pa 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 Anworth Mortgage Asset Corp Pa Pref.
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 Anworth Mortgage Asset Corp Pa Pref in the Real Estate Operations sector and impact the bottomline of the organization.
Shortening product life cycle
– it is one of the major threat that Anworth Mortgage Asset Corp Pa Pref is facing in Real Estate Operations sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
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 Anworth Mortgage Asset Corp Pa Pref business can come under increasing regulations regarding data privacy, data security, etc.
Regulatory challenges
– Anworth Mortgage Asset Corp Pa 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 Real Estate Operations industry regulations.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry to Real Estate Operations industry are lowering. It can presents Anworth Mortgage Asset Corp Pa Pref with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the Real Estate Operations sector.
Easy access to finance
– Easy access to finance in Real Estate Operations industry will also reduce the barriers to entry in the industry, thus putting downward pressure on the prices because of increasing competition. Anworth Mortgage Asset Corp Pa Pref can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, Anworth Mortgage Asset Corp Pa 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 Real Estate Operations sector.
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.
High dependence on third party suppliers
– Anworth Mortgage Asset Corp Pa Pref 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.
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 Anworth Mortgage Asset Corp Pa Pref.
Weighted SWOT Analysis of Anworth Mortgage Asset Corp Pa Pref Template, Example
Not all factors mentioned under the Strengths, Weakness, Opportunities, and Threats quadrants in the SWOT Analysis are equal. Managers at Anworth Mortgage Asset Corp Pa 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 Anworth Mortgage Asset Corp Pa 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 Anworth Mortgage Asset Corp Pa 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 Anworth Mortgage Asset Corp Pa 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 Anworth Mortgage Asset Corp Pa Pref needs to make to build a sustainable competitive advantage.