The Weather Company Case Study
The Weather Company
Kanter, R.M. (2014). The Weather Company. (Harvard Business School Case No. 9-314-083). Boston, MA.
Strategy Evaluation Elements:
Strategic Options Analysis and Feasibility Evaluation—The Weather Company
Clarity of the Strategy
Does the strategy and associated initiatives have a “name” that evokes the strategy?
Is it easy to communicate what the strategy is and why it can work?
Is it likely that people inside the organization will understand and commit to the strategy?
The strategy and associated initiatives have revenue growth as the name that evokes strategy. It is out of the desire to achieve revenue growth where the company comes up with a three-year strategic plan. The need for revenue growth also led Kenny to identify wealth opportunities such as core products, acquisitions and rebranding. As per the proposed plan, it is easy to declare that the strategic plan seeks to grow revenue from $600 million in 2012 to $1billion or more in 2016 (Kanter, 2014, p. 14). The direction of the strategy is well-specified with digital resources and investment being the main propellers. Besides, Kenny, the CEO of The Weather Company, while working for privately-owned, had undertaken it through massive strategic change. Therefore, with the experience of Kenny, the strategy is deemed to work. Since the strategy is easy to communicate the people within the organization can easily familiarize themselves with its requirements and align their efforts with the strategic plan vision to achieve the target goals.
Consistency of Purpose (Context Level of Analysis)
Based on your reading of the case, is The Weather Company’s proposed 2013 strategy consistent with its Soulful Purpose and its mission, vision, and values? How?
The proposed 2013 strategy directly deviates from the company’s purpose of ensuring “safety for people everywhere affected by the severe weather events” (Kanter, 2014, p. 2). However, it is indirectly consistent with the company’s Soulful Purpose, mission, vision, and values. The company’s strategic plan does not link directly with its societal purpose, but it is a consistent move because it seeks to acquire financial resources to assist the company in delivering quality results. As such, the reasoning bases behind the 2013 proposed strategy meets the Soulful Purpose of the organization as discussed by (Cady, Wheeler, DeWolf, & Brodke, 2016). Without adequate resources, it would be challenging for the company to continue giving accurate forecasts and meet its societal safety values. The company mission and vision are to win the weather, and that could only happen with clear strategic plan initiatives that will propel it in the right direction.
Feasibility and Alignment (Activities and Relationships Level of Analysis)
What are the primary Key Success Factors that The Weather Company needs to excel at in the future? Do they have the internal skills, competencies, and capabilities to execute their strategy? (If not, does the plan do a good job of saying how they will acquire these?)
Are the basic elements of the proposed strategy feasible?
From a teamwork and healthy organization standpoint?
From a financial standpoint?
From a measurement metrics standpoint?
Does the strategy appear to be internally aligned? Do the specific action plan steps support each other? How and Why?External Consonance and Potential Competitive Advantage
Is the proposed strategy consonant with the current and future needs of the external ecosystem and stakeholder needs? How and Why?
Does the strategy indicate any long-term strategic intent?
Does the proposed strategy position the company to perform activities differently than rivals do? How and why?
Does the proposed strategy lead to incremental change within the industry, or more fundamental change within the industry, or does it establish new positions outside the industry or in blue ocean spaces? How and why is the scope of the strategy appropriate?
Do you think the proposed strategy can create or preserve any advantages it may confer on the company? Which advantages, and how and why?