Session07: SWOT Analysis Dr. Mark H. Mortensen 66.490.211 and 212

Manning School of Business
Session07:
SWOT Analysis
Dr. Mark H. Mortensen
66.490.211 and 212
Tues &Thurs 2:00 to 3:15
3:30 to 4:45
Mortensen Consulting Group
Today
1.
2.
3.
4.
5.
Read Chapter 4, Section 4.5
Familiarize yourself with SWOT hand out
#4 Duncan Donuts Case Study
Turn in #4 Dunkin Donuts Case Study
Attendance
Discussion on SWOT
Group workshop – create a rough SWOT
analysis of Starbucks and Dunkin Donuts
Assign Assignment #5, due Tuesday. SWOT
analysis of Starbucks, Dunkin’ Donuts, and
McDonalds coffee and pastry businesses.
Mortensen Consulting Group
Today
1.
2.
3.
4.
5.
Turn in #4 Dunkin Donuts Case Study
Attendance
Discussion on SWOT
Group workshop – create a rough SWOT
analysis of Starbucks and Dunkin Donuts
Assignment #5, due Tuesday. Individual TOWS
analysis of Starbucks, Dunkin’ Donuts, and
McDonalds in the “coffee and pastry” businesses.
Mortensen Consulting Group
Strategic Management Process:
Strategy Formulation
TOOLS




All the tools from Environmental
Scanning
SWOT Analysis
(TOWS, IFAS, EFAS)
Unique Selling Point Analysis
Scenario Planning
Mortensen Consulting Group
What is a “SWOT” analysis?
•
A technique for understanding a firm’s strengths
and weaknesses along with the opportunities
and threats that exist in the firm’s environment
•
Takes a narrow focus by centering on an
individual firm
•
Used to compare internal and external factors in
order to generate ideas about how their firm
might become more successful
Mortensen Consulting Group
SWOT Analysis Template
Strengths
• Xxx
• Xxx
• Xxx
• Xxx
• Xxx
• xxx
Opportunities
• Xxx
• Xxx
• Xxx
• Xxx
• Xxx
• xxx
Weaknesses
•
•
•
•
•
•
Xxx
Xxx
Xxx
Xxx
Xxx
xxx
Threats
•
•
•
•
•
•
Xxx
Xxx
Xxx
Xxx
Xxx
xxx
Mortensen Consulting Group
What do you do with a SWOT?
Strengths
• Xxx
• Xxx
Leverage
• Xxx
strengths
• Xxx
• Xxx
• xxx
Opportunities
• Xxx
• Xxx
Capitalize on
• Xxx
opportunities
• Xxx
• Xxx
• xxx
Weaknesses
•
•
•
•
•
•
Xxx Steer clear of
Xxx
Xxxweaknesses and
Xxx
resolve
any crushing
Xxx weaknesses
xxx
Threats
•
•
•
•
•
•
Xxx
Xxx
Xxx
Xxx
Xxx
xxx
Protect
against major
threats
Mortensen Consulting Group
Analysis: SWOT for AIRCOM International
Strengths
Opportunities
 Is a strong supplier with a good brand, excellent reference
customers and scalable products in both planning and
performance management.
 Is an established leading independent mobile performance
management provider with the ability to combine software with
consultancy expertise.
 Has both performance and network planning and optimisation
products, which are important to the development of SONs.
 Offers multi-vendor, multi-technology support for mixed 2G, 3G
and 4G network environments, and evolving products for HSPA+,
LTE and SON.
 Has more than 300 performance data interfaces available,
covering all major network equipment manufacturers (NEMs).
 Employs a deal-driven process for good cash flow, and is moving
towards being market-driven.
 CSPs are spending more in this area because of 4G technology
upgrades.
 Operators need a planned, efficient evolution to 4G that make
maximal use of established 2G, 3G and 3G+ resources.
 Capex-restricted CSPs are moving towards shared infrastructure.
 The industry vision for SONs requires co-ordinated performance,
optimisation, planning and configuration functions.
 AIRCOM has an opportunity to consolidate its position as
dominant independent tools and services supplier worldwide.
 AIRCOM could partner with NEMs.
 Is making the transition to modern software development
methodologies, and is encountering the usual issues.
 Outsourced engineering services from Ericsson, Mentum and
others.
 Has large customers that could have a negative influence on the
company’s product roadmap.
 New, small, niche entrants or players.
Weaknesses
 A few CSPs account for much of AIRCOM’s revenue.
Threats
 IBM’s potential market influence if it decides to enter the space,
building on Tivoli’s market presence in the performance monitoring
space.
 NEMs offering SON capabilities for their own equipment will
garner some of the value AIRCOM currently captures.
 NEMs deciding to offer these functions – particularly SON – with
multi-vendor capabilities.
8
Mortensen Consulting Group
Microsoft Dynamics CRM SWOT
Analysis
Microsoft has only recently introduced the Microsoft Dynamic CRM application in the market. It is building its partner programme under a
new CSP penetration strategy that is much more practical and focused than its previous attempts during the past two decades.
4.1 Strengths
Microsoft has excellent global brand recognition because it provides a multitude of software products to enterprises and CSPs worldwide.
Microsoft Dynamics CRM software is positioned as a basic platform for telecoms IT groups, partner ISVs and SIs to establish their own
basic customer care support with a minimum of complexity. Such systems should appeal to Tier 2 and 3 CSPs, or Tier 1 CSPs that want
to establish a new CRM infrastructure for a specific new service or subsidiary quickly. Many CSPs are looking to enter new businesses,
so Microsoft Dynamics CRM may find a more favorable market.
Microsoft Dynamics CRM is based on the Microsoft Windows OS, which was a weakness in the CSP market even five years ago, but is
now accepted as a software platform for systems such as CRM.
Until recently, Microsoft’s penetration strategy for CSPs in the BSS and OSS arenas was not very successful because it centered around
the Microsoft middleware and Windows OS. Its new strategy is much bettersuited to the telecoms industry because it is centered around
the Microsoft CRM application and involves partnering with other well-known BSS vendors (such as Convergys, Redknee and Tribold).
4.2 Weaknesses
Microsoft’s solution offers only basic CRM capabilities. This is suitable for new CSPs, or new divisions of well-established CSPs.
However, CSPs that are engaged in a struggle for market share may want the additional features available from specialist vendors, which
can also provide consulting on operations best practices. Microsoft and its ISV partners tout their ability to deliver many of these
additional functions by integrating products from other ISVs – especially those developed on Microsoft middleware.
Scalability was a perceived weakness, but recent benchmarks have alleviated those concerns.
4.3 Threats
Established CRM vendors are well-embedded in the CSP market and have proven, high-functionality CRM systems. Other CRM vendors,
such as SAP, also have a strong presence in telecoms verticals. These more focused vendors represent formidable competitors to
Microsoft – particularly at the upper end of the market.
4.4 Opportunities
The movement of CSPs into new services, whose support structures may, at least at first, be separate from the established services,
represents an opportunity for Microsoft’s basic, cross-industry CRM system for Microsoft for these specific services. Relationships with
local distributors and SIs can give Microsoft greater reach into emerging markets.
The possibility of CSPs hosting the Microsoft Dynamics CRM application, offered in a software-as-a-service (SaaS) model to SMEs, can
give added impetus to the adoption of the system for use by the CSPs themselves – perhaps even in a SaaS business model.
Mortensen Consulting Group
TOWS Strategic Alternatives
Matrix
TOWS Strategic Alternatives Matrix
Internal Strengths
External Opportunities
External Threats
(O)
(T)
1.
1.
2.
2.
3.
3.
4.
4.
SO
ST
"Maxi-Maxi" Strategy
"Maxi-Mini" Strategy
2.
Strategies that use strengths
Strategies that use
3.
to maximize opportunities.
strengths to minimize
(S)
1.
threats.
4.
Internal Weaknesses
(W)
WO
WT
"Mini-Maxi" Strategy
"Mini-Mini" Strategy
1.
Strategies that minimize
2.
weaknesses by taking
Strategies that minimize
3.
advantage of opportunities.
weaknesses and avoid
4.
threats.
Mortensen Consulting Group
Today
1.
2.
3.
4.
5.
Turn in #4 Dunkin Donuts Case Study
Attendance
Discussion on SWOT
Group workshop – create a rough SWOT
analysis of Starbucks and Dunkin Donuts
Assignment #5, due Tuesday. Individual TOWS
analysis of Starbucks, Dunkin’ Donuts, and
McDonalds in the “coffee and pastry” businesses.
Mortensen Consulting Group
Today
1.
2.
3.
4.
5.
Turn in #4 Dunkin Donuts Case Study
Attendance
Discussion on SWOT
Group workshop – create a rough SWOT
analysis of Starbucks and Dunkin Donuts
Assignment #5, due Tuesday. TOWS analysis of
Starbucks, Dunkin’ Donuts, and McDonalds in
the “coffee and pastry” businesses.
Mortensen Consulting Group
Strategic Management – Spring 2014