Based on various researches at Oak Spring University , mut Messgeraete fuer Medizin is operating in a macro-environment that has been destablized by – geopolitical disruptions, there is increasing trade war between United States & China, talent flight as more people leaving formal jobs, competitive advantages are harder to sustain because of technology dispersion, challanges to central banks by blockchain based private currencies, cloud computing is disrupting traditional business models, supply chains are disrupted by pandemic ,
digital marketing is dominated by two big players Facebook and Google, banking and financial system is disrupted by Bitcoin and other crypto currencies, etc
Introduction to SWOT Analysis of mut Messgeraete fuer Medizin
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University, we believe that mut Messgeraete fuer Medizin can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the mut Messgeraete fuer Medizin, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which mut Messgeraete fuer Medizin 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 mut Messgeraete fuer Medizin can be done for the following purposes –
1. Strategic planning of mut Messgeraete fuer Medizin
2. Improving business portfolio management of mut Messgeraete fuer Medizin
3. Assessing feasibility of the new initiative in Germany
4. Making a Scientific & Technical Instr. sector specific business decision
5. Set goals for the organization
6. Organizational restructuring of mut Messgeraete fuer Medizin
Strengths of mut Messgeraete fuer Medizin | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of mut Messgeraete fuer Medizin are -
Cross disciplinary teams
– Horizontal connected teams at the mut Messgeraete fuer Medizin 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.
Diverse revenue streams
– mut Messgeraete fuer Medizin is present in almost all the verticals within the Scientific & Technical Instr. industry. This has provided mut Messgeraete fuer Medizin 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.
High brand equity
– mut Messgeraete fuer Medizin has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled mut Messgeraete fuer Medizin to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Operational resilience
– The operational resilience strategy of mut Messgeraete fuer Medizin comprises – understanding the underlying the factors in the Scientific & Technical Instr. industry, building diversified operations across different geographies so that disruption in one part of the world doesn’t impact the overall performance of the firm, and integrating the various business operations and processes through its digital transformation drive.
Ability to recruit top talent
– mut Messgeraete fuer Medizin is one of the leading players in the Scientific & Technical Instr. industry in Germany. It is in a position to attract the best talent available in Germany. The firm has a robust talent identification program that helps in identifying the brightest.
Highly skilled collaborators
– mut Messgeraete fuer Medizin has highly efficient outsourcing and offshoring strategy. It has resulted in greater operational flexibility and bringing down the costs in highly price sensitive Scientific & Technical Instr. industry. Secondly the value chain collaborators of mut Messgeraete fuer Medizin have helped the firm to develop new products and bring them quickly to the marketplace.
Effective Research and Development (R&D)
– mut Messgeraete fuer Medizin has innovation driven culture where significant part of the revenues are spent on the research and development activities. This has resulted in – mut Messgeraete fuer Medizin staying ahead in the Scientific & Technical Instr. industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Low bargaining power of suppliers
– Suppliers of mut Messgeraete fuer Medizin in the Technology sector have low bargaining power. mut Messgeraete fuer Medizin has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps mut Messgeraete fuer Medizin to manage not only supply disruptions but also source products at highly competitive prices.
Analytics focus
– mut Messgeraete fuer Medizin 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 Scientific & Technical Instr. 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.
Sustainable margins compare to other players in Scientific & Technical Instr. industry
– mut Messgeraete fuer Medizin has clearly differentiated products in the market place. This has enabled mut Messgeraete fuer Medizin to fetch slight price premium compare to the competitors in the Scientific & Technical Instr. industry. The sustainable margins have also helped mut Messgeraete fuer Medizin to invest into research and development (R&D) and innovation.
Training and development
– mut Messgeraete fuer Medizin has one of the best training and development program in Technology 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.
Learning organization
- mut Messgeraete fuer Medizin 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 mut Messgeraete fuer Medizin is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders at mut Messgeraete fuer Medizin emphasize – knowledge, initiative, and innovation.
Weaknesses of mut Messgeraete fuer Medizin | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of mut Messgeraete fuer Medizin are -
Skills based hiring in Scientific & Technical Instr. industry
– The stress on hiring functional specialists at mut Messgeraete fuer Medizin 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.
Products dominated business model
– Even though mut Messgeraete fuer Medizin has some of the most successful models in the Scientific & Technical Instr. industry, this business model has made each new product launch extremely critical for continuous financial growth of the organization. mut Messgeraete fuer Medizin should strive to include more intangible value offerings along with its core products and services.
No frontier risks strategy
– From the 10K / annual statement of mut Messgeraete fuer Medizin, it seems that company is thinking out the frontier risks that can impact Scientific & Technical Instr. 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.
Workers concerns about automation
– As automation is fast increasing in the Scientific & Technical Instr. industry, mut Messgeraete fuer Medizin 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.
Increasing silos among functional specialists
– The organizational structure of mut Messgeraete fuer Medizin is dominated by functional specialists. It is not different from other players in the Scientific & Technical Instr. industry, but mut Messgeraete fuer Medizin needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help mut Messgeraete fuer Medizin to focus more on services in the Scientific & Technical Instr. industry rather than just following the product oriented approach.
High dependence on mut Messgeraete fuer Medizin ‘s star products
– The top 2 products and services of mut Messgeraete fuer Medizin still accounts for major business revenue. This dependence on star products in Scientific & Technical Instr. industry has resulted into insufficient focus on developing new products, even though mut Messgeraete fuer Medizin has relatively successful track record of launching new products.
Capital Spending Reduction
– Even during the low interest decade, mut Messgeraete fuer Medizin 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 Scientific & Technical Instr. industry using digital technology.
Interest costs
– Compare to the competition, mut Messgeraete fuer Medizin 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.
High bargaining power of channel partners in Scientific & Technical Instr. industry
– because of the regulatory requirements in Germany, mut Messgeraete fuer Medizin 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 Scientific & Technical Instr. industry.
Lack of clear differentiation of mut Messgeraete fuer Medizin products
– To increase the profitability and margins on the products, mut Messgeraete fuer Medizin needs to provide more differentiated products than what it is currently offering in the marketplace.
Ability to respond to the competition
– As the decision making is very deliberative at mut Messgeraete fuer Medizin, in the dynamic environment of Scientific & Technical Instr. industry it has struggled to respond to the nimble upstart competition. mut Messgeraete fuer Medizin has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
mut Messgeraete fuer Medizin Opportunities | External Strategic Factors
What are Opportunities in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The opportunities of mut Messgeraete fuer Medizin are -
Use of Bitcoin and other crypto currencies for transactions in Scientific & Technical Instr. industry
– The popularity of Bitcoin and other crypto currencies as asset class and medium of transaction has opened new opportunities for mut Messgeraete fuer Medizin in the Scientific & Technical Instr. industry. Now mut Messgeraete fuer Medizin can target international markets with far fewer capital restrictions requirements than the existing system.
Redefining models of collaboration and team work
– As explained in the weaknesses section, mut Messgeraete fuer Medizin is facing challenges because of the dominance of functional experts in the organization. mut Messgeraete fuer Medizin can utilize new technology in the field of Scientific & Technical Instr. industry to build more coordinated teams and streamline operations and communications using tools such as CAD, Zoom, etc.
Low interest rates
– Even though inflation is raising its head in most developed economies, mut Messgeraete fuer Medizin 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.
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. mut Messgeraete fuer Medizin can explore opportunities that can attract volunteers and are consistent with its mission and vision.
Better consumer reach
– The expansion of the 5G network will help mut Messgeraete fuer Medizin to increase its market reach. mut Messgeraete fuer Medizin 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
– mut Messgeraete fuer Medizin can improve the customer journey of consumers in the Scientific & Technical Instr. 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.
Learning at scale
– Online learning technologies has now opened space for mut Messgeraete fuer Medizin 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.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, mut Messgeraete fuer Medizin can use these opportunities to build new business models that can help the communities that mut Messgeraete fuer Medizin operates in. Secondly it can use opportunities from government spending in Scientific & Technical Instr. sector.
Leveraging digital technologies
– mut Messgeraete fuer Medizin 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.
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 mut Messgeraete fuer Medizin 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.
Creating value in data economy
– The success of analytics program of mut Messgeraete fuer Medizin has opened avenues for new revenue streams for the organization in Scientific & Technical Instr. industry. This can help mut Messgeraete fuer Medizin to build a more holistic ecosystem for mut Messgeraete fuer Medizin products in the Scientific & Technical Instr. industry by providing – data insight services, data privacy related products, data based consulting services, etc.
Manufacturing automation
– mut Messgeraete fuer Medizin can use the latest technology developments to improve its manufacturing and designing process in Scientific & Technical Instr. 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 mut Messgeraete fuer Medizin 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 mut Messgeraete fuer Medizin to hire the very best people irrespective of their geographical location.
Threats mut Messgeraete fuer Medizin External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats of mut Messgeraete fuer Medizin are -
Stagnating economy with rate increase
– mut Messgeraete fuer Medizin 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 Scientific & Technical Instr. 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.
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 mut Messgeraete fuer Medizin.
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. mut Messgeraete fuer Medizin 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.
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.
Easy access to finance
– Easy access to finance in Scientific & Technical Instr. industry will also reduce the barriers to entry in the industry, thus putting downward pressure on the prices because of increasing competition. mut Messgeraete fuer Medizin can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Consumer confidence and its impact on mut Messgeraete fuer Medizin 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 Scientific & Technical Instr. industry and other sectors.
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 mut Messgeraete fuer Medizin business can come under increasing regulations regarding data privacy, data security, etc.
Environmental challenges
– mut Messgeraete fuer Medizin 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. mut Messgeraete fuer Medizin can take advantage of this fund but it will also bring new competitors in the Scientific & Technical Instr. industry.
High dependence on third party suppliers
– mut Messgeraete fuer Medizin 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.
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 mut Messgeraete fuer Medizin in the Scientific & Technical Instr. sector and impact the bottomline of the organization.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for mut Messgeraete fuer Medizin in Scientific & Technical Instr. industry. The Scientific & Technical Instr. 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.
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. mut Messgeraete fuer Medizin needs to understand the core reasons impacting the Scientific & Technical Instr. industry. This will help it in building a better workplace.
Weighted SWOT Analysis of mut Messgeraete fuer Medizin Template, Example
Not all factors mentioned under the Strengths, Weakness, Opportunities, and Threats quadrants in the SWOT Analysis are equal. Managers at mut Messgeraete fuer Medizin 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 mut Messgeraete fuer Medizin 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 mut Messgeraete fuer Medizin 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 mut Messgeraete fuer Medizin 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 mut Messgeraete fuer Medizin needs to make to build a sustainable competitive advantage.