Anworth Mortgage Asset Corp Pc Pref (ANH_pc) 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 Pc Pref (United States)
Based on various researches at Oak Spring University , Anworth Mortgage Asset Corp Pc Pref is operating in a macro-environment that has been destablized by – there is increasing trade war between United States & China, cloud computing is disrupting traditional business models, increasing transportation and logistics costs, challanges to central banks by blockchain based private currencies, wage bills are increasing, talent flight as more people leaving formal jobs, increasing household debt because of falling income levels,
banking and financial system is disrupted by Bitcoin and other crypto currencies, competitive advantages are harder to sustain because of technology dispersion, etc
Introduction to SWOT Analysis of Anworth Mortgage Asset Corp Pc Pref
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University, we believe that Anworth Mortgage Asset Corp Pc Pref can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Anworth Mortgage Asset Corp Pc 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 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 Anworth Mortgage Asset Corp Pc Pref can be done for the following purposes –
1. Strategic planning of Anworth Mortgage Asset Corp Pc Pref
2. Improving business portfolio management of Anworth Mortgage Asset Corp Pc 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 Pc Pref
Strengths of Anworth Mortgage Asset Corp Pc Pref | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Anworth Mortgage Asset Corp Pc Pref are -
Digital Transformation in Real Estate Operations industry
- digital transformation varies from industry to industry. For Anworth Mortgage Asset Corp Pc Pref digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Anworth Mortgage Asset Corp 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.
Operational resilience
– The operational resilience strategy of Anworth Mortgage Asset Corp Pc Pref comprises – understanding the underlying the factors in the Real Estate Operations industry, building diversified operations across different geographies so that disruption in one part of the world doesn’t impact the overall performance of the firm, and integrating the various business operations and processes through its digital transformation drive.
Ability to recruit top talent
– Anworth Mortgage Asset Corp Pc 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.
Organizational Resilience of Anworth Mortgage Asset Corp Pc Pref
– The covid-19 pandemic has put organizational resilience at the centre of everthing Anworth Mortgage Asset Corp Pc Pref does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Learning organization
- Anworth Mortgage Asset Corp 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 Anworth Mortgage Asset Corp Pc Pref is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders at Anworth Mortgage Asset Corp Pc Pref emphasize – knowledge, initiative, and innovation.
Superior customer experience
– The customer experience strategy of Anworth Mortgage Asset Corp Pc Pref in Real Estate Operations industry is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Cross disciplinary teams
– Horizontal connected teams at the Anworth Mortgage Asset Corp 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.
Low bargaining power of suppliers
– Suppliers of Anworth Mortgage Asset Corp Pc Pref in the Services sector have low bargaining power. Anworth Mortgage Asset Corp Pc Pref has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Anworth Mortgage Asset Corp Pc Pref to manage not only supply disruptions but also source products at highly competitive prices.
Successful track record of launching new products
– Anworth Mortgage Asset Corp Pc Pref has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Anworth Mortgage Asset Corp 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.
Strong track record of project management in the Real Estate Operations industry
– Anworth Mortgage Asset Corp Pc 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.
High switching costs
– The high switching costs that Anworth Mortgage Asset Corp Pc Pref 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.
Highly skilled collaborators
– Anworth Mortgage Asset Corp Pc Pref has highly efficient outsourcing and offshoring strategy. It has resulted in greater operational flexibility and bringing down the costs in highly price sensitive Real Estate Operations industry. Secondly the value chain collaborators of Anworth Mortgage Asset Corp Pc Pref have helped the firm to develop new products and bring them quickly to the marketplace.
Weaknesses of Anworth Mortgage Asset Corp Pc Pref | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Anworth Mortgage Asset Corp Pc Pref are -
Capital Spending Reduction
– Even during the low interest decade, Anworth Mortgage Asset Corp 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 Real Estate Operations industry using digital technology.
High operating costs
– Compare to the competitors, Anworth Mortgage Asset Corp Pc 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 Pc Pref lucrative customers.
High dependence on Anworth Mortgage Asset Corp Pc Pref ‘s star products
– The top 2 products and services of Anworth Mortgage Asset Corp Pc 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 Pc Pref has relatively successful track record of launching new products.
Increasing silos among functional specialists
– The organizational structure of Anworth Mortgage Asset Corp Pc Pref is dominated by functional specialists. It is not different from other players in the Real Estate Operations industry, but Anworth Mortgage Asset Corp Pc 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 Pc Pref to focus more on services in the Real Estate Operations industry rather than just following the product oriented approach.
Skills based hiring in Real Estate Operations industry
– The stress on hiring functional specialists at Anworth Mortgage Asset Corp 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.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Anworth Mortgage Asset Corp Pc Pref is slow explore the new channels of communication. These new channels of communication can help Anworth Mortgage Asset Corp Pc Pref to provide better information regarding Real Estate Operations products and services. It can also build an online community to further reach out to potential customers.
High cash cycle compare to competitors
Anworth Mortgage Asset Corp Pc 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 decision making process
– As mentioned earlier in the report, Anworth Mortgage Asset Corp Pc 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 Pc 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.
Need for greater diversity
– Anworth Mortgage Asset Corp Pc 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.
Lack of clear differentiation of Anworth Mortgage Asset Corp Pc Pref products
– To increase the profitability and margins on the products, Anworth Mortgage Asset Corp Pc 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 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.
Anworth Mortgage Asset Corp Pc Pref Opportunities | External Strategic Factors
What are Opportunities in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The opportunities of Anworth Mortgage Asset Corp Pc Pref are -
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 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 Anworth Mortgage Asset Corp Pc Pref to hire the very best people irrespective of their geographical location.
Using analytics as competitive advantage
– Anworth Mortgage Asset Corp Pc 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 Pc Pref to build a competitive advantage using analytics. The analytics driven competitive advantage can help Anworth Mortgage Asset Corp Pc Pref to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Learning at scale
– Online learning technologies has now opened space for Anworth Mortgage Asset Corp Pc 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.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Anworth Mortgage Asset Corp 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.
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 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.
Finding new ways to collaborate
– Covid-19 has not only transformed business models of companies in Real Estate Operations industry, but it has also influenced the consumer preferences. Anworth Mortgage Asset Corp 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.
Buying journey improvements
– Anworth Mortgage Asset Corp Pc Pref can improve the customer journey of consumers in the Real Estate Operations 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.
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 Pc 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 Pc 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.
Loyalty marketing
– Anworth Mortgage Asset Corp 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.
Low interest rates
– Even though inflation is raising its head in most developed economies, Anworth Mortgage Asset Corp Pc 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 Pc Pref to increase its market reach. Anworth Mortgage Asset Corp 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.
Leveraging digital technologies
– Anworth Mortgage Asset Corp 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.
Lowering marketing communication costs
– 5G expansion will open new opportunities for Anworth Mortgage Asset Corp Pc Pref in the field of marketing communication. It will bring down the cost of doing business, provide technology platform to build new products in the Real Estate Operations industry, and it will provide faster access to the consumers.
Threats Anworth Mortgage Asset Corp Pc Pref External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats of Anworth Mortgage Asset Corp Pc Pref are -
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, Anworth Mortgage Asset Corp 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 Anworth Mortgage Asset Corp Pc Pref prominent markets.
Stagnating economy with rate increase
– Anworth Mortgage Asset Corp 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 Real Estate Operations industry.
Technology acceleration in Forth Industrial Revolution
– Anworth Mortgage Asset Corp Pc Pref has witnessed rapid integration of technology during Covid-19 in the Real Estate Operations industry. As one of the leading players in the industry, Anworth Mortgage Asset Corp Pc Pref needs to keep up with the evolution of technology in the Real Estate Operations 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.
Environmental challenges
– Anworth Mortgage Asset Corp Pc Pref needs to have a robust strategy against the disruptions arising from climate change and energy requirements. EU has identified it as key priority area and spending 30% of its 880 billion Euros European post Covid-19 recovery funds on green technology. Anworth Mortgage Asset Corp Pc Pref can take advantage of this fund but it will also bring new competitors in the Real Estate Operations industry.
Regulatory challenges
– Anworth Mortgage Asset Corp 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 Real Estate Operations industry regulations.
High dependence on third party suppliers
– Anworth Mortgage Asset Corp Pc 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.
Increasing wage structure of Anworth Mortgage Asset Corp 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 Anworth Mortgage Asset Corp Pc Pref.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, Anworth Mortgage Asset Corp 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 Real Estate Operations sector.
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 Pc 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.
Consumer confidence and its impact on Anworth Mortgage Asset Corp 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 Real Estate Operations industry and other sectors.
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 Pc 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.
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 Pc Pref.
Shortening product life cycle
– it is one of the major threat that Anworth Mortgage Asset Corp Pc Pref is facing in Real Estate Operations sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Weighted SWOT Analysis of Anworth Mortgage Asset Corp Pc 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 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 Anworth Mortgage Asset Corp 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 Anworth Mortgage Asset Corp 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 Anworth Mortgage Asset Corp 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 Anworth Mortgage Asset Corp Pc Pref needs to make to build a sustainable competitive advantage.