Based on various researches at Oak Spring University , Structured Products Corts Tr Peco is operating in a macro-environment that has been destablized by – technology disruption, competitive advantages are harder to sustain because of technology dispersion, talent flight as more people leaving formal jobs, increasing government debt because of Covid-19 spendings, wage bills are increasing, increasing energy prices, central banks are concerned over increasing inflation,
digital marketing is dominated by two big players Facebook and Google, increasing transportation and logistics costs, etc
Introduction to SWOT Analysis of Structured Products Corts Tr Peco
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University, we believe that Structured Products Corts Tr Peco can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Structured Products Corts Tr Peco, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Structured Products Corts Tr Peco 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 Structured Products Corts Tr Peco can be done for the following purposes –
1. Strategic planning of Structured Products Corts Tr Peco
2. Improving business portfolio management of Structured Products Corts Tr Peco
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 Structured Products Corts Tr Peco
Strengths of Structured Products Corts Tr Peco | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Structured Products Corts Tr Peco are -
High brand equity
– Structured Products Corts Tr Peco has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Structured Products Corts Tr Peco to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Superior customer experience
– The customer experience strategy of Structured Products Corts Tr Peco in industry is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Strong track record of project management in the industry
– Structured Products Corts Tr Peco is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Low bargaining power of suppliers
– Suppliers of Structured Products Corts Tr Peco in the sector have low bargaining power. Structured Products Corts Tr Peco has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Structured Products Corts Tr Peco to manage not only supply disruptions but also source products at highly competitive prices.
Organizational Resilience of Structured Products Corts Tr Peco
– The covid-19 pandemic has put organizational resilience at the centre of everthing Structured Products Corts Tr Peco 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
– Structured Products Corts Tr Peco has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Structured Products Corts Tr Peco 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.
Learning organization
- Structured Products Corts Tr Peco 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 Structured Products Corts Tr Peco is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders at Structured Products Corts Tr Peco emphasize – knowledge, initiative, and innovation.
Ability to lead change in
– Structured Products Corts Tr Peco is one of the leading players in the industry in United States. Over the years it has not only transformed the business landscape in the industry in United States but also across the existing markets. The ability to lead change has enabled Structured Products Corts Tr Peco in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Innovation driven organization
– Structured Products Corts Tr Peco is one of the most innovative firm in sector.
Operational resilience
– The operational resilience strategy of Structured Products Corts Tr Peco comprises – understanding the underlying the factors in the 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.
Training and development
– Structured Products Corts Tr Peco 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.
Sustainable margins compare to other players in industry
– Structured Products Corts Tr Peco has clearly differentiated products in the market place. This has enabled Structured Products Corts Tr Peco to fetch slight price premium compare to the competitors in the industry. The sustainable margins have also helped Structured Products Corts Tr Peco to invest into research and development (R&D) and innovation.
Weaknesses of Structured Products Corts Tr Peco | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Structured Products Corts Tr Peco are -
Workers concerns about automation
– As automation is fast increasing in the industry, Structured Products Corts Tr Peco 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, Structured Products Corts Tr Peco 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 Structured Products Corts Tr Peco lucrative customers.
Aligning sales with marketing
– From the outside it seems that Structured Products Corts Tr Peco needs to have more collaboration between its sales team and marketing team. Sales professionals in the industry have deep experience in developing customer relationships. Marketing department at Structured Products Corts Tr Peco can leverage the sales team experience to cultivate customer relationships as Structured Products Corts Tr Peco is planning to shift buying processes online.
Slow to harness new channels of communication
– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Structured Products Corts Tr Peco is slow explore the new channels of communication. These new channels of communication can help Structured Products Corts Tr Peco to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.
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 Structured Products Corts Tr Peco supply chain. Even after few cautionary changes, Structured Products Corts Tr Peco is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Structured Products Corts Tr Peco vulnerable to further global disruptions in South East Asia.
Slow to strategic competitive environment developments
– As Structured Products Corts Tr Peco is one of the leading players in the industry, it takes time to assess the upcoming competitions. This has led to missing out on atleast 2-3 big opportunities in the industry in last five years.
Increasing silos among functional specialists
– The organizational structure of Structured Products Corts Tr Peco is dominated by functional specialists. It is not different from other players in the industry, but Structured Products Corts Tr Peco needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Structured Products Corts Tr Peco to focus more on services in the industry rather than just following the product oriented approach.
Skills based hiring in industry
– The stress on hiring functional specialists at Structured Products Corts Tr Peco 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.
Employees’ less understanding of Structured Products Corts Tr Peco strategy
– From the outside it seems that the employees of Structured Products Corts Tr Peco 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 cash cycle compare to competitors
Structured Products Corts Tr Peco has a high cash cycle compare to other players in the industry. It needs to shorten the cash cycle by 12% to be more competitive in the marketplace, reduce inventory costs, and be more profitable.
High bargaining power of channel partners in industry
– because of the regulatory requirements in United States, Structured Products Corts Tr Peco 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 industry.
Structured Products Corts Tr Peco Opportunities | External Strategic Factors
What are Opportunities in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The opportunities of Structured Products Corts Tr Peco are -
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Structured Products Corts Tr Peco can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Leveraging digital technologies
– Structured Products Corts Tr Peco 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.
Buying journey improvements
– Structured Products Corts Tr Peco 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.
Use of Bitcoin and other crypto currencies for transactions in industry
– The popularity of Bitcoin and other crypto currencies as asset class and medium of transaction has opened new opportunities for Structured Products Corts Tr Peco in the industry. Now Structured Products Corts Tr Peco can target international markets with far fewer capital restrictions requirements than the existing system.
Low interest rates
– Even though inflation is raising its head in most developed economies, Structured Products Corts Tr Peco 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.
Lowering marketing communication costs
– 5G expansion will open new opportunities for Structured Products Corts Tr Peco in the field of marketing communication. It will bring down the cost of doing business, provide technology platform to build new products in the industry, and it will provide faster access to the consumers.
Creating value in data economy
– The success of analytics program of Structured Products Corts Tr Peco has opened avenues for new revenue streams for the organization in industry. This can help Structured Products Corts Tr Peco to build a more holistic ecosystem for Structured Products Corts Tr Peco products in the industry by providing – data insight services, data privacy related products, data based consulting services, etc.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Structured Products Corts Tr Peco can use these opportunities to build new business models that can help the communities that Structured Products Corts Tr Peco operates in. Secondly it can use opportunities from government spending in sector.
Manufacturing automation
– Structured Products Corts Tr Peco 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.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Structured Products Corts Tr Peco 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 Structured Products Corts Tr Peco to hire the very best people irrespective of their geographical location.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Structured Products Corts Tr Peco 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 Structured Products Corts Tr Peco to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Using analytics as competitive advantage
– Structured Products Corts Tr Peco 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 Structured Products Corts Tr Peco to build a competitive advantage using analytics. The analytics driven competitive advantage can help Structured Products Corts Tr Peco to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Changes in consumer behavior post Covid-19
– consumer behavior has changed in the industry because of Covid-19 restrictions. Some of this behavior will stay once things get back to normal. Structured Products Corts Tr Peco 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. Structured Products Corts Tr Peco 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.
Threats Structured Products Corts Tr Peco External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats of Structured Products Corts Tr Peco are -
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. Structured Products Corts Tr Peco needs to understand the core reasons impacting the industry. This will help it in building a better workplace.
Consumer confidence and its impact on Structured Products Corts Tr Peco 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.
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 Structured Products Corts Tr Peco in the sector and impact the bottomline of the organization.
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.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry to industry are lowering. It can presents Structured Products Corts Tr Peco with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Structured Products Corts Tr Peco in industry. The 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.
Shortening product life cycle
– it is one of the major threat that Structured Products Corts Tr Peco is facing in sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
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. Structured Products Corts Tr Peco can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Environmental challenges
– Structured Products Corts Tr Peco 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. Structured Products Corts Tr Peco can take advantage of this fund but it will also bring new competitors in the industry.
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.
Stagnating economy with rate increase
– Structured Products Corts Tr Peco 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.
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 Structured Products Corts Tr Peco business can come under increasing regulations regarding data privacy, data security, etc.
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. Structured Products Corts Tr Peco 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.
Weighted SWOT Analysis of Structured Products Corts Tr Peco Template, Example
Not all factors mentioned under the Strengths, Weakness, Opportunities, and Threats quadrants in the SWOT Analysis are equal. Managers at Structured Products Corts Tr Peco 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 Structured Products Corts Tr Peco 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 Structured Products Corts Tr Peco 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 Structured Products Corts Tr Peco 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 Structured Products Corts Tr Peco needs to make to build a sustainable competitive advantage.