SWOT Analysis and Strategic Scorecard for Sony Corporation - Case Study Example

SWOT analysis and Strategic Scorecard for Sony Corporation SWOT Analysis Strengths Sony Corporation’s employees are creative and loyal. They are committed to achieving the same dream for the company and thus this puts them in a position that enables them to work hard to meet the company goals. The company is, therefore, capable of meeting the goals effectively due to the commitment of the employees within the firm. The strong innovation culture within the company also gives a chance to be above other electronics companies (Frynas, 2011). The company enjoys a strong financial position that enables it to expand its presence within the market and thus giving an opportunity to expand into other markets. This also gave them the chance to expand their brand within the market and thus they are capable of having a substantial market share in the market (Kate, 2010). The strong marketing effort the organization has put has also helped in publicizing their products and thus success in the firm’s performance. Weaknesses The exorbitant pricing of the products makes the clients opt for other brands of electronics and thus leading to a decline in its client base within the market it operates. This results to a decline in sales and profits as well. Diversification of the Sony products is poor thereby putting them in a hard position where they are not be capable of reaching the customers who are unwilling to spend much on products. This also leads to loss of clients since it can be assumed that Sony only seeks to serve the rich within the market (Kate, 2010). The high competition levels within the market has also makes it had for the company to succeed in its goals within the market. The poor sales within the market put the clients in an awkward position thereby leading to a high level of challenges and within the firm. This is also due to poor strategy making within the organization thus leading to low achievement of results within the company (Frynas, 2011). Opportunity The companys high level of innovation gives it an opportunity to explore the needs of their prospective clients, as they can be capable of tailor-making their products within the firm. In addition, the rise in the level of technology within the industry also gives the company the chance to being capable of producing more range of products (Kate, 2010). The production of quality products gives the company an opportunity to attract more clients to the company, and thus this will give it an upper hand above the competitors within the firm. It will also raise the company’s sales in the end (Frynas, 2011). Threats The number of competitors producing products similar to Sony’s are on the rise thereby making it hard for Sony to maintain its performance within the market it operates in. This also hinders their chance to be capable of achieving higher levels of sales within the company thereby leading a further loss in the number of clients because a rival company can be capable of giving them a better deal (Kate, 2010). Poor visionary leadership within the company gives it a hard time in undertaking its operations within the firm thereby leading to a decline in the efforts put in ensuring that the company succeeds in the achievement of the set goals within the firm. Balanced scorecard Financial Sony’s business unit within the firm works with appropriate ratios and calculations that give them a chance to determine the cost of operations at various times of the year. The returns are also calculated after products have been introduced in the market. This is key in ensuring that the performances of the products are traced within the company so that the management can be in a position where they can predict the performance of the company in the end. This thus leads to analysis of the appropriate market niche that the management can invest in within the market. The business also has to look at the manner the value added to different products can influence the price that is going to be stated for a particular product. The economic value of a particular product is also taken into consideration to determine the monetary value of the products. The management has on its part come up with an appropriate pricing strategy that it makes addresses the level of demand within the market (Hutt & Speh, 2012). This, therefore, gave the company a chance to address the various financial challenges and pricing within the organization effectively. Innovation of products within the firm gives them the chance affects the financial performance within the organization influences the pricing of the products as well and thus leading to a rise in the price of products within the market. The growth of sales within the market is also observed by the business unit in order to project the profits expected after a particular period of trading within the market (Hutt & Speh, 2012). The cash flow is observed to keep track of the expenses within the organization. The management ensures that this is followed carefully to ensure that the heads of various operations within the firm account for all that is spent within the firm. This gives it a sense of accountability and the head of operations can come up with measures that can be used to produce products from cheaper resources and offer great value to the clients within the market. Customer (external stakeholder) The management ensures that the products produced are of high quality. This enables them to retain more clients and the subsequent rise in the level of profits within the market. The management also ensures that their relationship within the clients is effective and in the end it helps in building future partnerships among them and the clients within the market. In addition, the unit ensures that the products are delivered to the clients in time, and no form of inconvenience is experienced by any of the clients (Griffin, 2011). The unit believes that the satisfaction of the clients is effective from their long-term relationship and therefore ensure that all plans they come up with is aimed at ensuring a good relationship with the clients. Service delivery to clients is considered important since the customers view it as an opportunity to engage the company. The management ensures that the customers get the value for their money, and the customer service attendants adequately addresses all their concerns. The company has introduced a customer relationship management team that attends to the customers; for instance, they receive all the complaints from the clients and address them effectively within the firm. This structure also helps in tailor-making the product based on the needs of the customers (Birkinshaw, 2010). Moreover, the management also ensures that the products are priced based on the ability of the clients. Sony corporation managers get the chance ensure that they get feedbacks from their clients and address the challenges faced amicably in order to win the confidence of the customers as a way of ensuring good interaction and a guarantee for future referrals within the organization. Learning and Growth The management of Sony Corporation ensures that all the employees are trained on the skills that they will need to undertake various operations within the firm. In case there are changes that have to be introduced within the firm, the management needs to introduce the new skills to the employees to ensure smooth operating environment within the firm (Birkinshaw, 2010). Quality is a major factor considered in ensuring the production of goods of great value by Sony Corporation. They, therefore, ensure that the employees have what it takes to produce quality products within the firm and ensure that their identity of quality products is never doubted (Griffin, 2011). The company also has availed user manuals that come with every product that is bought and therefore smooth operation procedures within the firm. This helps the employees to have a better understand the way the product is operated so that they can have ease in advising the clients within who would like to buy specific products. A number of operating procedures within the organization gives them the opportunity to undertake all their duties within the organization smoothly and meet all the set goals within the firm. In addition, the company ensures that it improves the value of the products and meets the specific requirements as well (Hutt & Speh, 2012). In as much as the employees work to deliver on their part, it does not go without rewarding their efforts as means of motivating the employees. Sony Corporation business unit managers always reward the employees in order to for them to be recognized for their efforts. Internal Process The company has an evaluation section that goes through the products that are already produced thereby ensuring exceptional quality of the services that are available within the company. The managers also put in place the best business practices that help in ensuring the needs of the clients are effectively addressed within the firm (Griffin & Moorehead, 2013). The management also puts in place plans that help in increasing profits within the market. They also ensure that the needs of the clients are effectively addressed within the firm. The operations within the firm also have to introduce within the system to ensure an effective means of operation. References Birkinshaw, J. (2010). Reinventing Management: Smarter Choices for Getting Work Done. New York: Prentice Hall. Frynas G, J. (2011). Global Strategic Management. New York: Prentice Hall Griffin, R. (2011). Fundamentals of Management. New York: Prentice Hall. Hrebiniak, L. G. (2013). Making Strategy Work: Leading Effective Execution and Change. Chicago: Wiley & Sons. Kate G.(2010). David Hennessey. Global Marketing. New York: Prentice Hall. Michael Hutt, ‎. S. (2012). Business Marketing Management. New York: Cengage Publishers. Ricky Griffin, ‎. M. (2013). Organizational Behavior: Managing People and Organizations. New York: Prentice Hall. Read More