Integrative Strategy and Leadership

This report analyzes the current strategic position of UTS Insearch and recommends an effective solution to address its current issues. It explores the role of strategic consultants in analyzing leadership behaviors and applying appropriate strategies. The report also discusses the structure, current issues, and trends of Sydney's education industry, as well as the demographic, political, economic, social, technological, environmental, and legal factors affecting Insearch's strategic position. Additionally, it examines the competition from existing rivals, the threat of new entrants, the power of suppliers and buyers, and the threat of substitutes. The report concludes with a SWOT analysis of Insearch, highlighting its strengths, weaknesses, opportunities, and threats.

Running head: INTEGRATIVE STRATEGY AND LEADERSHIP
Integrative Strategy and Leadership
University of Technology Sydney
Nithya Vasanth (13449931)
Nithya Vasanth (13449931)

1INTEGRATED STRATEGY AND LEADERSHIP
As per Martin’s research (2014), the role of a strategic consultant is to analyse leadership
behaviours and apply the appropriate strategy. This report will analyse the current strategic position of
UTS Insearch and recommend an effective solution to address its current issues. Insearch seeks to
develop future professionals who will provide expertise and make the world more meaningful to
people. Insearch is a global tertiary education provider that enables more people to develop their
knowledge, professional skills and the right attitude. The institute supports students and helps them to
take advantage of opportunities and prepares them to succeed in their tertiary education studies.
Insearch does this by offering English language, Diploma and Foundation courses. Insearch has a
partnership with UTS which enables successful students to articulate directly to second year
Undergraduate programs at UTS. UTS and Insearch demonstrate this partnership by even sharing the
same brand. Feedback received from students are highly positive and based on that Insearch has
recently gained much popularity.
This analysis utilises Porter’s five forces model as described in Porter (2008), to analyse the
institute’s alignment within the relevant industry and evaluate its strategic position. The structure,
current issues and trends of Sydney’s education industry, existing and potential competitors and the
macro environment will also be discussed.
Demographic: Although the industry is based in tertiary education, business objectives
certainly also motivate it. With the increasing use of internet and technological development,
industries are consistently trying to attract the interest of global students, alongside the local target
audience, to fill postgraduate and undergraduate seats. Insearch participates in official social media
groups of international student organisations to understand the needs of individuals seeking higher
studies. Insearch is also vocal about their multicultural and friendly approach to convince students
from different geographical and cultural background to attend UTS and utilise their services.
Furthermore, the university is aware of various trends and the professional prospect of each stream
and aim to appeal to their demographics accordingly.
Political: According to newspaper article of McGowan (2019), an increase of 50% in the
number of international students over the last five years, shows the flexibility of political norms and
the relative stability of Sydney. As described in Unsworth & Fielding (2014), most international
students are coming from China, due to Sydney’s welcoming political environment. The Labor Party
of Australia has encouraged a period of professional immigration from Asia and the Middle East. This
factor has been affecting the number of students interested in tertiary education as well as encouraging
students from international backgrounds too. However recently, as published in esteemed daily by
Karp (2019), the party has been encouraging rural and national students too, to minimize high
dependency over foreign students.
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Economic: Australia has a positive, student-friendly environment for studying. Besides, not
only Insearch, but also, the entire tertiary education system of Sydney believes in a practical
approach. Courses are mostly job-oriented as their motive is to develop the careers of students so that
they can contribute to the country’s economy. While the faculty members of UTS Insearch
concentrate on developing students’ skills, this helps UTS to influence the country’s economy through
shaping students’ professional attributes. In its ability to attract international students, Insearch is not
only boosting the economy of our own country with new talent but also contributing to the
development of foreign economies. As such, New South Wales has been experiencing an increasing
amount of investments in higher education and research. Consequently, although, employment in the
educational sector has gradually increased by no less than 35% within the last five years yet according
to Davies (2019), here also the influence of foreigners are high. Therefore, operating within such an
economy-friendly industry is beneficial for Insearch.
Social: According to Cahill & Taft (2017), Sydney’s society consists of locals and
multicultural immigrants who have come to Australia primarily with the purpose of studying or
working. People from different nations often perceive Australia as a convenient and favorable place to
live. As supported by Spaaij (2013)the same article journal, Australia is a multicultural country and
Australian society is generally open-minded towards different cultures. Students are often attracted to
Australia and impressed with the schooling schedule, convenience and multiculturalism. Using these
factors in their promotional materials, Insearch can encourage international students to come and
explore educational opportunities in Sydney, Australia.
Technology: Although Australian society is attractive to international students, technology
and methods of providing education are changing the industry drastically and affecting UTS’ ability
to attract students from overseas (Schuetze & Slowey 2013). Insearch acknowledges that
technological and social changes often enhance the quality of life and economy of both students and
education providers. According to Christensen, Raynor & McDonald (2015), so many technological
innovations are now available for license. Additional to traditional classroom facilities, the trends of
virtual distance learning and using various digital aids inside the classroom and laboratory are
increasing. UTS and Insearch’s willingness to embrace new technologies has made them a
contemporary choice for students looking for state-of-the-art tertiary education.
Environment: According to an environmental report of Sydney, Soe.environment.gov.au
(2019), universities can play a responsible role and contribute towards the development of
sustainable practices. By providing an eco-friendly campus through the installation of solar panels,
LED lights and the planting of additional trees, UTS and Insearch are participating in green
campaigning and encouraging students to maintain the culture inspired by the city’s environmental
targets.
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Legal: Every business is regulated by relevant legal regulations. As per the study of Lindstädt
& Mýller (2010), the success of the business, irrespective of industries, is dependent on the
managerial efficiency of handling legal risks and ensuring compliance of relevant laws. Therefore,
Insearch must be aware of any recent changes to business and educational laws and standards to keep
their operations free from legal hazards.
An analysis of a business’ strategic position is determined by the five factors that have been
defined by Michel Porter (Porter 2008). A consideration of these factors will support the business or
organization’s ability to assess a particular industry and its competitive competence. Unfortunately,
there is no straight-forward method to prove a business’ sustainability and future profit within a
dynamic industry. As supported by Johnson et al. (2013), Porters’ five forces analysis can be used as a
tool to evaluate a company’s corporate strategy and can predict its potential sales and profitability.
Before analysing the profile of Insearch based on its competition, a few facts should be mentioned to
highlight the education sector’s structural attractiveness. Students coming from different nations have
an opportunity to choose from a wide range of universities, based on their individual interests. These
students are coming, primarily from Asian countries, to study masters or undergraduate degrees in
various fields. Insearch provides a second chance to students who do not qualify or meet UTS entry
requirements. UTS and Insearch provide high-quality educational courses that also comply with all
legal and political regulations and, as such have a market share of 15% across New South Wales’
pathway market (Porter 2008) (Figure 1).
Competition from existing rivals: An analysis of potential or existing competitors following
Porter's five forces model will determine its structural attractiveness in the educational industry. One
of the advantages of studying in Australia for students is the variety of options students can choose
from. The education industry is consistently offering new options for study that address the individual
needs of prospective and current students, irrespective of whether they are local or international. The
number of well-established universities and higher education providers offering the same line of study
courses, however, creates an environment of high competition. Although all of these universities and
other providers are not offering the same curriculum, resources and processes, the practical approach
and highly-educated, professional faculty members are assets shared by every renowned organisation
(Mintzberg & Lampel 1999). Monash college, Navitas and Victoria University are some of the major
competitors of UTS Insearch. These pathway providers also offer study programs addressing the
needs of both the local and international students, particularly those coming from an Asia-Pacific
background. All three of these competitors rely on the sustainable growth of the industry and
operational excellence and this makes the environment more competitive as time progresses (Figure
2).
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The threat of new entrants: According to Austrade.gov.au (2019), various research
conducted in the Australian education sector has indicated a potential for growth of 20% from the
previous rate of enrolment by the end of 2025. The contribution to the economy is also expected to
double. New organisations will find it difficult to enter such a compact, competitive industry, and yet
the prospect for growth is high.
Power of suppliers: The education industry is dependent upon the supply of infrastructure,
cultural friendly environment and the supply of effective faculty members. The infrastructure required
refers to a combination of university educational facilities and their alignment with the professional
and career goals of students.
The Australian education industry has immense potential in terms of retaining talents within
their universities. The number of both universities and eligible talent is large, but a university needs to
employ effective HR policies to retain existing talent for providing high-quality education. This
indicates a high power of supplier. To balance the power of suppliers with the financial resources of
the university, online tutors are being consulted by various universities across Sydney.
Power of buyers: As previously mentioned, the tertiary education sector in Australia is
gradually increasing its territory over the national and international markets. China has been proven to
be Australia’s largest potential and current student source. Other Asia Pacific countries like India,
Nepal, and Myanmar are also considered to be sources of international students. The central reason
behind such a large pool of students is dependent on Australia’s safe cultural environment, high-end
facilities across various universities that provide high-quality education, and additionally, the funding
and provision of scholarships. These factors make Australia more convenient than other international
locations for study. Thus, the buyers’ power remains higher as the market is competitive and there is a
huge number of potential students coming into Australia every year.
The threat of substitutes: As the market is extremely competitive, UTS Insearch needs to
increase their attractiveness by providing innovative strategies for higher education. The university
can cooperate by expediting the processing of student visas and the renewal of employee visas. The
threat of substitutes would also remain high within the tertiary education industry of pathway
providers without constant innovations in the fields of safety and facilities.
Insearch has gained a competitive advantage over Monash, Navitas and Victoria University
for various reasons. While comparing Monash with Insearch, the primary competitive advantage for
Insearch is its location. Monash is operating across the state of Victoria, unlike Insearch which
operates in Sydney CBD adjacent to the UTS campus. On the other hand, Insearch enjoys a wide
range of benefits against Navitas. Primary differentiators of Insearch are there are no branches of UTS
Insearch, quality of the faculty is much better than Navitas. It is easily manageable as it is located at a
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5INTEGRATED STRATEGY AND LEADERSHIP
single site in the most popular city -in Australia. Navitas also lacks quality positioning in the market
as Insearch has more flexible facilities to invest in people and project.
As far as price is concerned Australian Universities are largely dependent on Chinese students
who can afford courses. Although the Chinese government is welcoming foreign universities to
establish branches, the variety of offered courses and quality of faculties are the reasons Chinese
students are consistently attracted to Australian universities. Insearch has grabbed competitive
advantage by providing practical implications of courses and various scholarship schemes. The brand
has earned a positive image which combines technology, creativity and innovative culture.
SWOT Analysis on Insearch:
Strengths Weakness
The trend of higher studies has increased the
number of students across Australian
universities. Consequently, the value of fees has
also increased. Despite the increase in fees,
students are primarily coming from China to
Australia.
The concern is the high investment of money.
Private universities are charging a great deal of
money to invest in degrees.
The complaint is that, as stated in Shepherd,
(2019), the education industry is using
international students as “cash cows” and that,
as a result, students are getting placements
despite incompetence, which indicates a faulty
admissions process. Although the number of
students has increased, it is widely believed that
the quality of student is deteriorating.
Opportunities Threats
Diversification of student population: Australia
can explore opportunities in European countries
and African countries (such as Ghana and
Nigeria) by using the brand image from Asian
countries.
Insearch is also able to open branches in foreign
locations and offer courses that follow the
Australian curriculum.
In the longer term, they could collaborate with
foreign schools, in China and other international
Acknowledging the above weaknesses, the
biggest threat for the Australian education sector
is their dependency on the cash flow coming
from international admissions, especially from
China.
This threat must be considered seriously, as due
to Chinese Governmental reformation regarding
education law, the student flow from China is
gradually decreasing.
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locations.
Employment opportunities could be created by
providing an Insearch certificate for academic
teaching.
Broadening our value proposition (job to be
done) but adding products that leverage our core
capabilities to assist students in transitioning to
other education levels
UTS has positioned itself as a creator of model learning, developer of professionals and for the great
performances of their students as compared to other higher education providers. It has been awarded
the name of Australia’s top young university (for universities under 50 years old). In order to achieve
such a reputation, the pathway provider Insearch has opted to use innovative marketing strategies.
Various promotional activities have helped to accomplish their business objectives, along with
creating a sustainable competitive advantage. In relevant market segments, sales and recruitment
teams are working to increase the number of students, business partners, investors and suppliers,
professionals and academics, and to help in developing infrastructure.
A network of partners will help to generate student admissions as they explore various areas
and promote Insearch and its excellence. Strategies for promotion are directed from universities to
channel partners and from the partners to students to keep the process less complicated. Study
programs are also efficiently managed and satisfy the requirements of students in terms of benefits
and to achieve future goals. Channel partners are helpful in finding potential students from an
international background, in addition to using direct applications. The contribution of channel partners
is crucial as far as cross-cultural communication is concerned. Cultural orientation of partners and
their ability to deliver marketing objectives directly to the target market is a key element contributing
to the success of the campaign.
The selection of a target market, and developing and penetrating it, is dependent on extensive
market research that has been executed by professional partners of the university. After selecting the
target market, choosing the right channel for the promotion of the institute’s agenda is the next
important aspect of the marketing strategy. Both the universities and pathway providers, including
Insearch, circulate information with the help of social media and the internet as it is both cost
effective and advantageous. Digital marketing helps to increase brand recognition along with bridging
the gap between students and the university. It helps to communicate the various courses, scholarships
and the fee structure. A convenient feature of the fee structure is that fees are based in Australian
currency and so, remain the same for potential students around the world.
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Despite strong international strategy, as supported by Camillus (2008), Australian universities
have become dependent largely on fees from Chinese students and this has become a matter of great
concern. As per the above SWOT analysis, transnational offerings such as the opening of institutes in
foreign countries or collaboration with established foreign schools and universities may provide an
alternative option for enhancing international business. Stronger communication with channel partners
and in marketing strategies must also be improved and provide a more cultural friendly approach.
Higher fee rates must be revised as per research into potential students’ economic
backgrounds. Furthermore, the admissions process must choose talent based on merit and not on their
financial background. These practices are developing incompetency and ending in a higher rate of
student unemployment. With increased quality comes benefits such as better opportunities and a
greater brand image. This will help Insearch to overcome a dependency on Chinese students for
profitability.
Broadening our value proposition but adding innovative products that leverage our core
capabilities to assist students to transition to other education levels is another recommended strategy.
Searching for business opportunities in other Asian territory and diversifying our student population
will help minimize the dependency over Chinese students. Organizing international workshops and
creating quality campuses will help to develop a brand image. To transform the plans into reality the
university must develop the faculty members in terms of being capable of handling cultural
differences and be future ready. Hence, people strategy is another recommended strategy to build
agility, change capability and the underlying cultural shift to have a future-focused organization.
After analyzing both the external and internal environment, and conducting macro
environmental research, Insearch’s market share should be considered impressive and yet there are
existing threats, relating to the increased fee structure, degradation of the quality of students and the
dependency on fees provided by Chinese students. Utilizing transnational methods of establishing
new channels and diversification of student source countries should be considered in an effort to
combat the effects of these threats. Additionally, the external environment for Insearch, both
internationally and within Australia, is likely to restrict demand for our current offerings. Hence, the
development and promotion of new courses will form a part of our marketing strategy. Insearch can
continue to enjoy their culture of progress by following these recommended actions.
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Appendix
Figure 1: Market share (Annual board retreat 2018)
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12INTEGRATED STRATEGY AND LEADERSHIP
Figure 2: Academic produce wise offerings by key Australian Pathway providers (Annual board
retreat 2018)
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