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 – supply chains are disrupted by pandemic , challanges to central banks by blockchain based private currencies, central banks are concerned over increasing inflation, cloud computing is disrupting traditional business models, geopolitical disruptions, wage bills are increasing, increasing inequality as vast percentage of new income is going to the top 1%,
competitive advantages are harder to sustain because of technology dispersion, increasing commodity prices, 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 -
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.
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.
Digital Transformation in Real Estate Operations industry
- digital transformation varies from industry to industry. For WCM Beteiligungs und Grundbesitz digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. WCM Beteiligungs und Grundbesitz 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 WCM Beteiligungs und Grundbesitz 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.
Highly skilled collaborators
– WCM Beteiligungs und Grundbesitz 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 WCM Beteiligungs und Grundbesitz have helped the firm to develop new products and bring them quickly to the marketplace.
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.
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.
Effective Research and Development (R&D)
– WCM Beteiligungs und Grundbesitz has innovation driven culture where significant part of the revenues are spent on the research and development activities. This has resulted in – WCM Beteiligungs und Grundbesitz staying ahead in the Real Estate Operations industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
High switching costs
– The high switching costs that WCM Beteiligungs und Grundbesitz 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.
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.
Analytics focus
– WCM Beteiligungs und Grundbesitz 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 Real Estate Operations industry. The technology infrastructure of Germany 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.
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.
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 -
Lack of clear differentiation of WCM Beteiligungs und Grundbesitz products
– To increase the profitability and margins on the products, WCM Beteiligungs und Grundbesitz needs to provide more differentiated products than what it is currently offering in the marketplace.
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.
Need for greater diversity
– WCM Beteiligungs und Grundbesitz 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.
Interest costs
– Compare to the competition, WCM Beteiligungs und Grundbesitz 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.
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.
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.
Products dominated business model
– Even though WCM Beteiligungs und Grundbesitz has some of the most successful models in the Real Estate Operations industry, this business model has made each new product launch extremely critical for continuous financial growth of the organization. WCM Beteiligungs und Grundbesitz should strive to include more intangible value offerings along with its core products and services.
Low market penetration in new markets
– Outside its home market of Germany, WCM Beteiligungs und Grundbesitz needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
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 WCM Beteiligungs und Grundbesitz supply chain. Even after few cautionary changes, WCM Beteiligungs und Grundbesitz is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left WCM Beteiligungs und Grundbesitz vulnerable to further global disruptions in South East Asia.
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 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.
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 -
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.
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.
Redefining models of collaboration and team work
– As explained in the weaknesses section, WCM Beteiligungs und Grundbesitz is facing challenges because of the dominance of functional experts in the organization. WCM Beteiligungs und Grundbesitz can utilize new technology in the field of Real Estate Operations industry to build more coordinated teams and streamline operations and communications using tools such as CAD, Zoom, etc.
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.
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.
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.
Loyalty marketing
– WCM Beteiligungs und Grundbesitz 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.
Leveraging digital technologies
– WCM Beteiligungs und Grundbesitz 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 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.
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.
Creating value in data economy
– The success of analytics program of WCM Beteiligungs und Grundbesitz has opened avenues for new revenue streams for the organization in Real Estate Operations industry. This can help WCM Beteiligungs und Grundbesitz to build a more holistic ecosystem for WCM Beteiligungs und Grundbesitz products in the Real Estate Operations industry by providing – data insight services, data privacy related products, data based consulting services, etc.
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.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for WCM Beteiligungs und Grundbesitz 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 WCM Beteiligungs und Grundbesitz to hire the very best people irrespective of their geographical location.
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 -
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.
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.
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. WCM Beteiligungs und Grundbesitz 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.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, WCM Beteiligungs und Grundbesitz 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.
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.
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.
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.
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.
Increasing wage structure of WCM Beteiligungs und Grundbesitz
– 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 WCM Beteiligungs und Grundbesitz.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry to Real Estate Operations industry are lowering. It can presents WCM Beteiligungs und Grundbesitz 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.
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.
Consumer confidence and its impact on WCM Beteiligungs und Grundbesitz 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.
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.
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.