WCM Beteiligungs und Grundbesitz (WCMKk) SWOT Analysis / TOWS Matrix / MBA Resources
Real Estate Operations
Strategy / MBA Resources
Introduction to SWOT Analysis
SWOT Analysis / TOWS Matrix for WCM Beteiligungs und Grundbesitz (Germany)
Based on various researches at Oak Spring University , WCM Beteiligungs und Grundbesitz is operating in a macro-environment that has been destablized by – there is increasing trade war between United States & China, there is backlash against globalization, increasing transportation and logistics costs, supply chains are disrupted by pandemic , digital marketing is dominated by two big players Facebook and Google, increasing inequality as vast percentage of new income is going to the top 1%, increasing government debt because of Covid-19 spendings,
increasing energy prices, banking and financial system is disrupted by Bitcoin and other crypto currencies, etc
Introduction to SWOT Analysis of WCM Beteiligungs und Grundbesitz
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University, we believe that WCM Beteiligungs und Grundbesitz can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the WCM Beteiligungs und Grundbesitz, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which WCM Beteiligungs und Grundbesitz 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 WCM Beteiligungs und Grundbesitz can be done for the following purposes –
1. Strategic planning of WCM Beteiligungs und Grundbesitz
2. Improving business portfolio management of WCM Beteiligungs und Grundbesitz
3. Assessing feasibility of the new initiative in Germany
4. Making a Real Estate Operations sector specific business decision
5. Set goals for the organization
6. Organizational restructuring of WCM Beteiligungs und Grundbesitz
Strengths of WCM Beteiligungs und Grundbesitz | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of WCM Beteiligungs und Grundbesitz are -
Diverse revenue streams
– WCM Beteiligungs und Grundbesitz is present in almost all the verticals within the Real Estate Operations industry. This has provided WCM Beteiligungs und Grundbesitz 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.
Learning organization
- WCM Beteiligungs und Grundbesitz 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 WCM Beteiligungs und Grundbesitz is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders at WCM Beteiligungs und Grundbesitz emphasize – knowledge, initiative, and innovation.
Organizational Resilience of WCM Beteiligungs und Grundbesitz
– The covid-19 pandemic has put organizational resilience at the centre of everthing WCM Beteiligungs und Grundbesitz does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Low bargaining power of suppliers
– Suppliers of WCM Beteiligungs und Grundbesitz in the Services sector have low bargaining power. WCM Beteiligungs und Grundbesitz has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps WCM Beteiligungs und Grundbesitz to manage not only supply disruptions but also source products at highly competitive prices.
Ability to lead change in Real Estate Operations
– WCM Beteiligungs und Grundbesitz is one of the leading players in the Real Estate Operations industry in Germany. Over the years it has not only transformed the business landscape in the Real Estate Operations industry in Germany but also across the existing markets. The ability to lead change has enabled WCM Beteiligungs und Grundbesitz in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Cross disciplinary teams
– Horizontal connected teams at the WCM Beteiligungs und Grundbesitz 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.
Superior customer experience
– The customer experience strategy of WCM Beteiligungs und Grundbesitz in Real Estate Operations industry is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
High brand equity
– WCM Beteiligungs und Grundbesitz has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled WCM Beteiligungs und Grundbesitz to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Training and development
– WCM Beteiligungs und Grundbesitz 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.
Strong track record of project management in the Real Estate Operations industry
– WCM Beteiligungs und Grundbesitz is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Successful track record of launching new products
– WCM Beteiligungs und Grundbesitz has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. WCM Beteiligungs und Grundbesitz 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.
Sustainable margins compare to other players in Real Estate Operations industry
– WCM Beteiligungs und Grundbesitz has clearly differentiated products in the market place. This has enabled WCM Beteiligungs und Grundbesitz to fetch slight price premium compare to the competitors in the Real Estate Operations industry. The sustainable margins have also helped WCM Beteiligungs und Grundbesitz to invest into research and development (R&D) and innovation.
Weaknesses of WCM Beteiligungs und Grundbesitz | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of WCM Beteiligungs und Grundbesitz are -
Capital Spending Reduction
– Even during the low interest decade, WCM Beteiligungs und Grundbesitz 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.
No frontier risks strategy
– From the 10K / annual statement of WCM Beteiligungs und Grundbesitz, 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.
High operating costs
– Compare to the competitors, WCM Beteiligungs und Grundbesitz 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 WCM Beteiligungs und Grundbesitz lucrative customers.
Compensation and incentives
– The revenue per employee of WCM Beteiligungs und Grundbesitz is just above the Real Estate Operations industry average. It needs to redesign the compensation structure and incentives to increase the revenue per employees. Some of the steps that it can take are – hiring more specialists on project basis, etc.
High dependence on WCM Beteiligungs und Grundbesitz ‘s star products
– The top 2 products and services of WCM Beteiligungs und Grundbesitz 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 WCM Beteiligungs und Grundbesitz has relatively successful track record of launching new products.
Ability to respond to the competition
– As the decision making is very deliberative at WCM Beteiligungs und Grundbesitz, in the dynamic environment of Real Estate Operations industry it has struggled to respond to the nimble upstart competition. WCM Beteiligungs und Grundbesitz has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
High cash cycle compare to competitors
WCM Beteiligungs und Grundbesitz 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.
Aligning sales with marketing
– From the outside it seems that WCM Beteiligungs und Grundbesitz needs to have more collaboration between its sales team and marketing team. Sales professionals in the Real Estate Operations industry have deep experience in developing customer relationships. Marketing department at WCM Beteiligungs und Grundbesitz can leverage the sales team experience to cultivate customer relationships as WCM Beteiligungs und Grundbesitz is planning to shift buying processes online.
Increasing silos among functional specialists
– The organizational structure of WCM Beteiligungs und Grundbesitz is dominated by functional specialists. It is not different from other players in the Real Estate Operations industry, but WCM Beteiligungs und Grundbesitz needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help WCM Beteiligungs und Grundbesitz 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 WCM Beteiligungs und Grundbesitz 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, WCM Beteiligungs und Grundbesitz is slow explore the new channels of communication. These new channels of communication can help WCM Beteiligungs und Grundbesitz 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.
WCM Beteiligungs und Grundbesitz Opportunities | External Strategic Factors
What are Opportunities in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The opportunities of WCM Beteiligungs und Grundbesitz are -
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. WCM Beteiligungs und Grundbesitz can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects WCM Beteiligungs und Grundbesitz can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Buying journey improvements
– WCM Beteiligungs und Grundbesitz 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.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, WCM Beteiligungs und Grundbesitz 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 WCM Beteiligungs und Grundbesitz 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
– WCM Beteiligungs und Grundbesitz 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 WCM Beteiligungs und Grundbesitz to build a competitive advantage using analytics. The analytics driven competitive advantage can help WCM Beteiligungs und Grundbesitz to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Building a culture of innovation
– managers at WCM Beteiligungs und Grundbesitz 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.
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. WCM Beteiligungs und Grundbesitz 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. WCM Beteiligungs und Grundbesitz 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.
Manufacturing automation
– WCM Beteiligungs und Grundbesitz can use the latest technology developments to improve its manufacturing and designing process in Real Estate Operations 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.
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 WCM Beteiligungs und Grundbesitz 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.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, WCM Beteiligungs und Grundbesitz can use these opportunities to build new business models that can help the communities that WCM Beteiligungs und Grundbesitz operates in. Secondly it can use opportunities from government spending in Real Estate Operations sector.
Better consumer reach
– The expansion of the 5G network will help WCM Beteiligungs und Grundbesitz to increase its market reach. WCM Beteiligungs und Grundbesitz 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.
Lowering marketing communication costs
– 5G expansion will open new opportunities for WCM Beteiligungs und Grundbesitz 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.
Developing new processes and practices
– WCM Beteiligungs und Grundbesitz 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.
Threats WCM Beteiligungs und Grundbesitz External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats of WCM Beteiligungs und Grundbesitz are -
Stagnating economy with rate increase
– WCM Beteiligungs und Grundbesitz 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.
Regulatory challenges
– WCM Beteiligungs und Grundbesitz 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 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. WCM Beteiligungs und Grundbesitz needs to understand the core reasons impacting the Real Estate Operations industry. This will help it in building a better workplace.
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 WCM Beteiligungs und Grundbesitz.
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.
Shortening product life cycle
– it is one of the major threat that WCM Beteiligungs und Grundbesitz is facing in Real Estate Operations sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
High dependence on third party suppliers
– WCM Beteiligungs und Grundbesitz 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.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for WCM Beteiligungs und Grundbesitz 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.
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 WCM Beteiligungs und Grundbesitz in the Real Estate Operations sector and impact the bottomline of the organization.
Increasing international competition and downward pressure on margins
– Apart from technology driven competitive advantage dilution, WCM Beteiligungs und Grundbesitz 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 WCM Beteiligungs und Grundbesitz prominent markets.
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 WCM Beteiligungs und Grundbesitz business can come under increasing regulations regarding data privacy, data security, etc.
Technology acceleration in Forth Industrial Revolution
– WCM Beteiligungs und Grundbesitz has witnessed rapid integration of technology during Covid-19 in the Real Estate Operations industry. As one of the leading players in the industry, WCM Beteiligungs und Grundbesitz 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
– WCM Beteiligungs und Grundbesitz 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. WCM Beteiligungs und Grundbesitz can take advantage of this fund but it will also bring new competitors in the Real Estate Operations industry.
Weighted SWOT Analysis of WCM Beteiligungs und Grundbesitz Template, Example
Not all factors mentioned under the Strengths, Weakness, Opportunities, and Threats quadrants in the SWOT Analysis are equal. Managers at WCM Beteiligungs und Grundbesitz 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 WCM Beteiligungs und Grundbesitz 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 WCM Beteiligungs und Grundbesitz 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 WCM Beteiligungs und Grundbesitz 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 WCM Beteiligungs und Grundbesitz needs to make to build a sustainable competitive advantage.
