Strategic Analysis of Agilent Technologies in a Changing Environment

This case study examines Agilent Technologies' strategic responses to changes in the business environment following its separation from Hewlett-Packard. The analysis identifies key strengths, weaknesses, opportunities, and threats, highlighting issues such as slow decision-making, technological advancements, employee behavior, and limited resources. The study proposes strategic options, including establishing customer service centers and implementing quick decision-making processes, evaluated through a Suitability, Accessibility, and Feasibility (SFA) matrix. The implementation plan focuses on resource allocation, measurement, and evaluation to enhance responsiveness to the changing environment, improve accountability, and strengthen customer relations. The case study references academic sources to support its analysis and recommendations, emphasizing the importance of adapting to market complexities and enhancing brand image through strategic initiatives.

Case study

Data gathering and analysis
Strengths Weaknesses
 Diligent task completion
 Egalitarian mentality
 Slow decision-making
 Lack of communication
techniques
Opportunities Threats
 Industry
 Accountability
 Changes are risky
 Limited resources

Identified problems
Main problem: Changes in business
environment
Sub-problems
Sub problem 1 Technological
advancement
Sub problem 2 Behaviour of
employees
Sub problem 3 Limited resources

Setting direction
 Reflecting to announced plan by HP i.e.
Hewlett-Packard on March 2, 1999 for
creating company with separate identity called
Agilent Technologies.
 Taking instances for difficulties faced by HP
in regards to meet the desired revenue
estimates, the given announcement was
declared by Ned Barnholt being CEO of the
company.New vision for Agilent Technologies
 For shaping the better credibility of staffs
working in Agilent Technologies, Barnholt
defined a new vision for the operational firm
concentrating on values and corporate
objectives.

Objectives with KPI
Objectives Success criteria KPI Means Target
Increment of revenue Increase by 30% over
the next year
Growth in healthcare
solutions from 13%.
Increase in sale of
Semiconductor products
by 37% in FY.
Test and Management
system increase 50%.
Focusing in healthcare
industry department.
Increasing number of
clients through social
marketing's.
Advancement of
technology.
30.00%
Better Customer
relations
Increase in customer
base by 25% in next FY.
Establishment of
Customer support team.
Reducing sales returns
by 10%.
Investment of financial
resources.
Formulating customer
dealing norms.
25.00%

Strategic options
 Strategic option 1: Establishment of customer service
centers to develop good interest of clients in company's
operations.
 Strategic option 2: Introduction of quick decision-
making process by filtering process of diligent task
completion.
SFA Matrix Strategic options
Option 1 Option 2
Suitability 3 2
Accessibility 4 3
Feasibility 5 3
Total 12 8

Implementation plan
Plan Resource allocation Measurement Evaluation
Enable quick decision-
making
Adoption of techniques
of decentralisation.
Firm responding to
changing business
environment.
Through
decentralisation
managers of the firm
can tackle market
complexities through
quick decision-making.
Accountability Effective controlling
techniques.
Increased brand image. Controlling techniques
can develop sense of
accountability of the
firm.
Customer relations Customer service
centres.
Increase in customer
trust.
Introduction to customer
service centre develops
better brand image of
company.

References
Chang, V (2001) ‘Agilent Technologies: Organizational Change (A)’, Stanford Graduate School of
Business, September 2001.
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