FII Mogno Fundo De Fundos (MGFF11) SWOT Analysis / TOWS Matrix / MBA Resources
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Strategy / MBA Resources
Introduction to SWOT Analysis
SWOT Analysis / TOWS Matrix for FII Mogno Fundo De Fundos (Brazil)
Based on various researches at Oak Spring University , FII Mogno Fundo De Fundos is operating in a macro-environment that has been destablized by – increasing household debt because of falling income levels, central banks are concerned over increasing inflation, supply chains are disrupted by pandemic , customer relationship management is fast transforming because of increasing concerns over data privacy, technology disruption, banking and financial system is disrupted by Bitcoin and other crypto currencies, wage bills are increasing,
increasing energy prices, challanges to central banks by blockchain based private currencies, etc
Introduction to SWOT Analysis of FII Mogno Fundo De Fundos
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University, we believe that FII Mogno Fundo De Fundos can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the FII Mogno Fundo De Fundos, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which FII Mogno Fundo De Fundos 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 FII Mogno Fundo De Fundos can be done for the following purposes –
1. Strategic planning of FII Mogno Fundo De Fundos
2. Improving business portfolio management of FII Mogno Fundo De Fundos
3. Assessing feasibility of the new initiative in Brazil
4. Making a NA sector specific business decision
5. Set goals for the organization
6. Organizational restructuring of FII Mogno Fundo De Fundos
Strengths of FII Mogno Fundo De Fundos | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of FII Mogno Fundo De Fundos are -
High switching costs
– The high switching costs that FII Mogno Fundo De Fundos 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.
Superior customer experience
– The customer experience strategy of FII Mogno Fundo De Fundos in NA industry is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Low bargaining power of suppliers
– Suppliers of FII Mogno Fundo De Fundos in the NA sector have low bargaining power. FII Mogno Fundo De Fundos has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps FII Mogno Fundo De Fundos to manage not only supply disruptions but also source products at highly competitive prices.
Strong track record of project management in the NA industry
– FII Mogno Fundo De Fundos is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Sustainable margins compare to other players in NA industry
– FII Mogno Fundo De Fundos has clearly differentiated products in the market place. This has enabled FII Mogno Fundo De Fundos to fetch slight price premium compare to the competitors in the NA industry. The sustainable margins have also helped FII Mogno Fundo De Fundos to invest into research and development (R&D) and innovation.
Cross disciplinary teams
– Horizontal connected teams at the FII Mogno Fundo De Fundos 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.
Effective Research and Development (R&D)
– FII Mogno Fundo De Fundos has innovation driven culture where significant part of the revenues are spent on the research and development activities. This has resulted in – FII Mogno Fundo De Fundos staying ahead in the NA industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Ability to recruit top talent
– FII Mogno Fundo De Fundos is one of the leading players in the NA 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.
Analytics focus
– FII Mogno Fundo De Fundos 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 NA 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.
Organizational Resilience of FII Mogno Fundo De Fundos
– The covid-19 pandemic has put organizational resilience at the centre of everthing FII Mogno Fundo De Fundos does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Successful track record of launching new products
– FII Mogno Fundo De Fundos has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. FII Mogno Fundo De Fundos 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.
Operational resilience
– The operational resilience strategy of FII Mogno Fundo De Fundos comprises – understanding the underlying the factors in the NA 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.
Weaknesses of FII Mogno Fundo De Fundos | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of FII Mogno Fundo De Fundos are -
Compensation and incentives
– The revenue per employee of FII Mogno Fundo De Fundos is just above the NA 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.
Aligning sales with marketing
– From the outside it seems that FII Mogno Fundo De Fundos needs to have more collaboration between its sales team and marketing team. Sales professionals in the NA industry have deep experience in developing customer relationships. Marketing department at FII Mogno Fundo De Fundos can leverage the sales team experience to cultivate customer relationships as FII Mogno Fundo De Fundos is planning to shift buying processes online.
High dependence on FII Mogno Fundo De Fundos ‘s star products
– The top 2 products and services of FII Mogno Fundo De Fundos still accounts for major business revenue. This dependence on star products in NA industry has resulted into insufficient focus on developing new products, even though FII Mogno Fundo De Fundos has relatively successful track record of launching new products.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, FII Mogno Fundo De Fundos is slow explore the new channels of communication. These new channels of communication can help FII Mogno Fundo De Fundos to provide better information regarding NA products and services. It can also build an online community to further reach out to potential customers.
High cash cycle compare to competitors
FII Mogno Fundo De Fundos has a high cash cycle compare to other players in the NA industry. It needs to shorten the cash cycle by 12% to be more competitive in the marketplace, reduce inventory costs, and be more profitable.
Skills based hiring in NA industry
– The stress on hiring functional specialists at FII Mogno Fundo De Fundos 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 FII Mogno Fundo De Fundos supply chain. Even after few cautionary changes, FII Mogno Fundo De Fundos is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left FII Mogno Fundo De Fundos vulnerable to further global disruptions in South East Asia.
Ability to respond to the competition
– As the decision making is very deliberative at FII Mogno Fundo De Fundos, in the dynamic environment of NA industry it has struggled to respond to the nimble upstart competition. FII Mogno Fundo De Fundos has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
High operating costs
– Compare to the competitors, FII Mogno Fundo De Fundos has high operating costs in the NA industry. This can be harder to sustain given the new emerging competition from nimble players who are using technology to attract FII Mogno Fundo De Fundos lucrative customers.
Employees’ less understanding of FII Mogno Fundo De Fundos strategy
– From the outside it seems that the employees of FII Mogno Fundo De Fundos 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.
High bargaining power of channel partners in NA industry
– because of the regulatory requirements in Brazil, FII Mogno Fundo De Fundos 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 NA industry.
FII Mogno Fundo De Fundos Opportunities | External Strategic Factors
What are Opportunities in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The opportunities of FII Mogno Fundo De Fundos are -
Redefining models of collaboration and team work
– As explained in the weaknesses section, FII Mogno Fundo De Fundos is facing challenges because of the dominance of functional experts in the organization. FII Mogno Fundo De Fundos can utilize new technology in the field of NA industry to build more coordinated teams and streamline operations and communications using tools such as CAD, Zoom, etc.
Loyalty marketing
– FII Mogno Fundo De Fundos 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.
Changes in consumer behavior post Covid-19
– consumer behavior has changed in the NA industry because of Covid-19 restrictions. Some of this behavior will stay once things get back to normal. FII Mogno Fundo De Fundos 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. FII Mogno Fundo De Fundos 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.
Creating value in data economy
– The success of analytics program of FII Mogno Fundo De Fundos has opened avenues for new revenue streams for the organization in NA industry. This can help FII Mogno Fundo De Fundos to build a more holistic ecosystem for FII Mogno Fundo De Fundos products in the NA industry by providing – data insight services, data privacy related products, data based consulting services, etc.
Developing new processes and practices
– FII Mogno Fundo De Fundos can develop new processes and procedures in NA 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.
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. FII Mogno Fundo De Fundos can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, FII Mogno Fundo De Fundos 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 FII Mogno Fundo De Fundos to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Better consumer reach
– The expansion of the 5G network will help FII Mogno Fundo De Fundos to increase its market reach. FII Mogno Fundo De Fundos 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.
Buying journey improvements
– FII Mogno Fundo De Fundos can improve the customer journey of consumers in the NA 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.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects FII Mogno Fundo De Fundos can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Low interest rates
– Even though inflation is raising its head in most developed economies, FII Mogno Fundo De Fundos 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.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, FII Mogno Fundo De Fundos can use these opportunities to build new business models that can help the communities that FII Mogno Fundo De Fundos operates in. Secondly it can use opportunities from government spending in NA sector.
Learning at scale
– Online learning technologies has now opened space for FII Mogno Fundo De Fundos 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.
Threats FII Mogno Fundo De Fundos External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats of FII Mogno Fundo De Fundos are -
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. FII Mogno Fundo De Fundos 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.
Regulatory challenges
– FII Mogno Fundo De Fundos 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 NA industry regulations.
High dependence on third party suppliers
– FII Mogno Fundo De Fundos 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 FII Mogno Fundo De Fundos
– 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 FII Mogno Fundo De Fundos.
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 FII Mogno Fundo De Fundos in the NA sector and impact the bottomline of the organization.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, FII Mogno Fundo De Fundos 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 FII Mogno Fundo De Fundos prominent markets.
Environmental challenges
– FII Mogno Fundo De Fundos 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. FII Mogno Fundo De Fundos can take advantage of this fund but it will also bring new competitors in the NA industry.
Shortening product life cycle
– it is one of the major threat that FII Mogno Fundo De Fundos is facing in NA sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, 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. FII Mogno Fundo De Fundos needs to understand the core reasons impacting the NA industry. This will help it in building a better workplace.
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 FII Mogno Fundo De Fundos business can come under increasing regulations regarding data privacy, data security, etc.
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 FII Mogno Fundo De Fundos.
Technology acceleration in Forth Industrial Revolution
– FII Mogno Fundo De Fundos has witnessed rapid integration of technology during Covid-19 in the NA industry. As one of the leading players in the industry, FII Mogno Fundo De Fundos needs to keep up with the evolution of technology in the NA 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.
Easy access to finance
– Easy access to finance in NA industry will also reduce the barriers to entry in the industry, thus putting downward pressure on the prices because of increasing competition. FII Mogno Fundo De Fundos can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Weighted SWOT Analysis of FII Mogno Fundo De Fundos Template, Example
Not all factors mentioned under the Strengths, Weakness, Opportunities, and Threats quadrants in the SWOT Analysis are equal. Managers at FII Mogno Fundo De Fundos 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 FII Mogno Fundo De Fundos 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 FII Mogno Fundo De Fundos 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 FII Mogno Fundo De Fundos 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 FII Mogno Fundo De Fundos needs to make to build a sustainable competitive advantage.