350 Word Synopsis

Strategic Plan Part 2: SWOT Analysis Paper

SWOT analysis can be a wonderful tool that can help managers learn and grow their business. It is an in depth look at how well the company is doing and how it can improve and become greater. This, however, involves change. All the analysis and evaluations in the world can be made, but if action does not follow it then it is all for nothing. Performing a SWOT chart for the new division, Family Focus, at IBM gave a clearer view at how the company anticipates execution and how it can possible progress.

Forces and Trends

The economy has been on a rise since its recession almost a decade ago. This is good news for businesses because people are more willing to spend money on products and services that aren’t necessarily a need but a luxury. Taking advantage of this during seasons such as holidays will be good for the division. Although the economy is improving, if it took a down turn again it could hurt the new division in sales. Certain technology such as apps are free and could also be a challenge to overcome.

Legal and regulatory forces are good to evaluate because it gives a good ethical representation of how the division is operating. IBM has always adhered to legal principles established by the government and the new division will be no different. Foreign regulations may present a difficulty when seeking to market and sell overseas.

Adaption to Change

IBM has shown great strides when it has come to adapting to change. It can be difficult for a company to forecast what is coming and make the necessary alterations, but this is an area where this IBM has excelled. Helfat (2013), “IBM successfully transitioned from electromechanical tabulating machines to mainframe computers, and today has a very successful IT-based services, software and cloud computing business” (para. 3). When the new era of saving memory and such in the cloud came, IBM stepped up to the challenge and adjusted. There is no doubt that this new division of the company can do the same thing.

Supply Chain and Core Competencies

The Family Focus division of IBM is dedicated to maintaining the best supply chain available. From the early stages in research and development, to the production at one of the many facilities, to the storage and use of logistical tactics to ensure quick and efficient delivery, to marketing the new products and services developed, each stage is important and treated with respect. According to "IBM Marketplace" (n.d.), “Power to predict and mitigate disruptions and risks, drive collaboration and innovation, and reduce costs” (IBM Watson Supply Chain Insights). Their philosophy is dedicated to cognitive learning and adapting and collaboration among suppliers and customers. It really speaks about trust and the ability to be transparent and develop key relationships that allow growth.

This belief is what strengthens the division’s core competencies. What will set the company apart is the focus on being transparent and real with suppliers and customers alike. Investing in resources such as our production team or our logistical team will show in how the products and services are developed. This will affect our customers’ reaction to these products and services and build a lasting legacy with them that will reinforce the stability of the company as a whole and profit our stakeholders.

Issues/Opportunities

One of the main issues will be that if successful, other companies will seek to reproduce and improve on the products and services being developed by the Family Focus division. There are a lot of technology companies that will seek to gain from the developments of others. For example when Instagram started doing stories which combatted Snapchat. Also, it may be difficult to obtain many young and intelligent employees who would rather work for more popular companies. Google and Apple have a reputation for providing a fun work environment and this could take away prospects that could help our new division.

Hypothesis/Questions/Circumstances

Based on these issues, they really can be looked at as opportunities. Will other companies’ desire to reproduce the developments of the division damage the company? This could be a problem but as they learn from us, we can learn from them. Learning goes both ways and knowledge gained from others could prove beneficial to us as well. This continues into the next issue of the division culture of the company. Will other companies be able to take better employees away by providing a better culture? This is important because we want the best and the brightest. In order to do this we adapt and provide a positive and enjoyable cultural experience for our employees. This helps to ensure their loyalty and can also be used against other companies.

Conclusion

The importance if analysis is so important and can be seen through examining a company’s strengths, weaknesses, opportunities, threats, and trends. Doing this research is useful because it sheds light on the company. This is apparent in this short analysis as just a few aspects are examined. Through even deeper exploration, new things can be learned that will help inspire change and innovation that can project the company in ways previously unknown. The important note is to act on these lessons being learned. Doing this helps lead to hopefully a brighter future.

References

Helfat, C. (2013). How Apple and IBM learned to change with the times. Retrieved from

https://www.usnews.com/opinion/blogs/economic-intelligence/2013/07/02/apple-and-ibm-show-the-power-of-dynamic-capabilities

IBM marketplace. (n.d.). Retrieved from

https://www.ibm.com/us-en/marketplace/collections/supply-insights