Atlassian Case Study: Strategic Analysis and Recommendations

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Assessment 1
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Executive Summary
Atlasssian is the software company, which creates software for developing teams and focues on
customer satisfaction. It develops new strategic methods and implement so that they can have a
hold in the market. The case study also shows the development of new technologies in order to
enhance the growth of the company. It focuses developing new software in an advance way so
that they can have a competition with other companies in the market .It also focuses o the
analysis of the internal and external growth of the company and customer as well as employee
satisfaction.
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Table of Contents
Introduction......................................................................................................................................3
PESTEL Analysis............................................................................................................................4
Industry analysis..........................................................................................................................5
Company analysis........................................................................................................................6
Competitor analysis.....................................................................................................................7
Strategy analysis..........................................................................................................................8
Conclusions......................................................................................................................................9
Reference List................................................................................................................................10
Introduction
In the above case study it shows the external environment which shows the macro level of the
organization. It also shows the weakness as well as the opportunities of the organization. It also
shows the advantages as well as the disadvantages of the organization. The above case study
shows the internal and external growth of the company and the threats the company will facing
in the future. The importance of the project is to show the expansion of the company as well as it
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show the working environment of the company .It also shows the methods as well as the
objectives that the company is implementing to enhance the growth of the company. As per the
case study there are internal as well as outside environment of the organization. The external
environment consists of competitor analysis as well as demand and supply analysis of the
organization. Internal analysis consists of framework of financial analysis as well as internal
growth of the organization. Analyzing the case study, it shows that the Atlassian Company
should sell more software in order to increase the growth as well as profit of the company. It also
shows the implementation and analyzing the logistics and strategic methods of the company.
PESTEL Analysis
A PESTEL analysis contains six elements namely social, political, financial, technological,
environmental and lawful elements. It is use to explain the business atmosphere, political and
financial changes which affect Atlassian contain Brexit and the factor related to election of
United States President, Donald Trump. These two political actions have reason of the U.S
dollar to make powerful, as foreign locations have damaged. This is an essential alternation for
Atlassian as the organization exclusively accepts U.S dollar as payment but incur expenses in
different overseas currencies from regions in that it functions. Communal alternations contain the
trends of addition and receipt of all people (Carlson, 2017). Atlassian is verbal around being a
supporter of enclosure for all. This is helpful for Atlassian for it creates the growing number of
customers who attracted by the organization. They support these worth. Two alternations in the
technology section which affect Atlassian are X as a service and cloud computing. For waiting
pertinent considering these trends and more organizations will improve digital products to insert
to their collection. Atlassian’s major target for its goods is software improvement teams for this
alter will develop its number of potential consumers (Porvari, 2017). A surrounding is climate
transform and the thought which organizations have business social responsibility (CSR) to
decrease their impact and affect on the surrounding. Software organizations as a regulation are
‘green’, have merely two major inputs that are humans and electricity. Atlassian is no exemption
to this law. Potential trends for the legal section could have negative effects on Atlassian. One
option is cyber safety rules and regulations. As they grown-up, Atlassian’s goods improvement
and release could be affected by superior safety standards. The second thing is that the U.S
president Donald Trump has offered developed import tariffs. Atlassian’s goods are theme to
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U.S import rules and regulations. For this reason they could developed their expenses.
Examining trends in these sections gives a clarification of Atlassian’s recent and future business
environment.
Industry analysis
Porter’s Five Forces
According to Burnett and Moore, (2018) Porter’s five forces model examines an organization’s
or an industry’s charm based on the five forces. The five forces are danger of fresh entrants,
authority of purchasers, authority of supplier, competition inside the industry and danger of
substitute within the business. To considerate the software business’s charm five forces of
Porter’s analysis has been finished. Inside the software business, the danger of fresh entrants is
standard (Carlson, 2017). This is cause of it is comparatively simple to enter the industry of
software with some low investment amounts but it is extremely tough to make a product which
will achieve grip.
The authority of purchasers is too average. Purchasers in the business of software conventionally
have less power for extreme switching amounts due to the huge scope, expenditure and agenda
of project software applications. The fresh model of monthly contribution clod deployed
software. Therefore, it has lower the expenditure of switching and it inversely developed the
power of the purchasers. The authority of suppliers is extremely high. The major input for a
software organization is their staffs. Opposition for extremely skilled employees in the
technology business is highly reasonable and so the suppliers or the staffs have huge power in
negotiate their cost or income and profits package (Moayer, 2016). The fourth force is that,
danger of substitutes is average for the industry of software’s. The industry is getting maturity
and the optional enterprise software solutions are accessible for any business, cost range and
work conceivable. The capability to make a home based solution helping essential tools like
Microsoft Excel and Microsoft Work also presents as an alternative to this industry of
software’s, mostly for the medium and small businesses (Zaheer, 2015). The last and fifth power
is opposition. It is extremely elevated inside the business of software’s. Because the
organizations or the industries reach maturity and the market is inundated, the opposition grows
(Larkin et al. 2019). From the below figure 1, it is clear that it is a diagram of Porter’s Five
Forces.
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Figure 1: Porter’s Five Forces
(Source- Zaheer, 2015)
Company analysis
Atlassian is a software organization headquartered in Australia’s Sydney which is founded in the
year 2002. In the year 2013, Atlassian’s parent organization, Atlassian Crop, PLC was included
in United Kingdom and had its Initial Public Offering (IPO) on NASDAQ in the year 2015.
Atlassian. Atlassian improves installed and hosted software developers and managers of the
project. Important products accessible by the association contain BitBucket, JIRA, HipChat and
Confluence (Johansson, 2017). The organization’s 60,000 consumers distributed crosswise all
organizations and in extra 170 regions, variety from little start-ups to enterprise containing
around hold of the Fortune 500 organizations. The organization Atlassian activates in is industry
of softwares mostly in the subordinate manufacturing of B2B place of work software. The
industry is worldwide, therefore the mass of top software organizations are headquartered in the
United States (Carlson, 2017).
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Competitor analysis
Within the industry of software’s, mainly the business to business workplace software
organizations, the main success elements are product abilities, total expenditure of ownership,
elasticity, consumer satisfaction, presentation and scalability addition, ease of contact and
worldwide reach. Atlassian breaks the competitors of its into three sets based on the acceptance
of the goods. The groups are IT and service group, business groups and software and
technological groups. Atlassian competitors within these three sets contain IBM, Hewlett
Packard Enterprise, Service Now, Microsoft, Zendesk, salesforce.com and different lesser
software vendors such as Slack and GitHub. While this organizations contain some little start-
ups and many inheritance solutions, the greater part are enterprises for who have been efficiently
involving in acquisitions of solutions to make a one stop structure software solution for the
additional organizations. Still little organizations could make alter in the spirited dynamic in the
software organizations, if acquired by the one of technology giants to make a competitive
contribution. Figure number 2 views the distribution of Atlassian’s opposition based on
recipients of product proposes. Atlassian’s normal product strategy is goods for groups from
startup to enterprise. The strategy of products and all the goods are built for teams, versatile,
adaptable and open.
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Figure 2: Atlassian’s obtainable competitors disseminated by product
(Source- Carlson, 2017).
Strategy analysis
Atlassian is mainly a software company in Australlia which focuses on making software for
groups and they usually have embattled enterprise software improving teams. The organization
puts an important focus on consumer satisfaction and improvement that enables their own
service product sharing strategy. According to Olsina and Becker, (2017) ttheir main competency
is great software that is adaptable, reasonably priced, included and it is easy to adopt. The
president Jay Simons explains the main factor of marketing is having a good product and the
company’s sales model is dependent on the capability of their software to sell itself. For
maintaining the benefit, Atlassian should continue to sell extra software (Carlson, 2017). The
recommendation for the company to gain this then is to develop by market improvement in rising
markets of skill employees and tech start-ups mainly in India, China, Sweden and Ireland. To
drive into these marketplaces, Atlassian must do some things. The strategies are improve channel
and reseller partners within these regions, use some web based advertising to recognize and link
with positive consumers in those areas, propose their website in main languages for those areas
and invest in consumer service legislature to offer help in those languages.
Acoording to Carlson, (2017) the other strategies are shift to surrounding alters, repair, growth
through a fresh product in a new marketplace and growth by a new product. A repair would
engage a comprehensive alter in the manner which Atlassian company operates (Lichstam and
Johansson, 2016). This kind of plan would be important if Atlassian’s assets and actions were
both are threatened and their organization could not carry on presenting without a radical
alternation. This is not essential and doesnot applications. The other alternative is shifting the
surrounding changes. Like the PESTEL examination, the surrounding changes are trending
absolutely for Atlassian. The other is by launching a fresh product in a fresh marketplace is an
alternative option. This is one of the dangerous strategies in the product market improvement
matrix. It would lead to the company moving outside of its main competency of great software
for groups that is a poor strategy. The last and final alternative is diversification by a fresh
product (Akinapelli et al., 2017). This is Atlassian does generally by their wide study and
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improvement and their marketplace of the company Atlassian and it was not measured for the
strategic recommendations.
Conclusions
Atlassian is the software company, which is running successfully for fifteen years and having an
autonomous growth in the market. The company has goodwill and has the capacity of retaining
85526 customers over 170 countries. The revenue has also increased by 34% in last six years
with an average capacity of maximum number of employees. The Atlassian model has been
unique model, which has been developed by the company, and it is running successfully
globally. The company should also develop their software by launching their software in
different languages such as Hindu and Chinese. There is also an increase of 3% in the revenue
growth of the company which leads to one step closer in achieving the goal of the company. The
company also focuses on employee retaining as well as customer satisfaction so that the
company can increase their profit by selling their products. The sales model which has been
developed by the company has a major role in expansion and growth of the company in recent
years. The main objective of the company is to have employees who have knowledge of
everything so that the company uses optimum use of resources and increase its efficiency.
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Reference List
Akinapelli, S., Shetye, R. and Sangeeta, T., 2017. Herding the elephants: Workload-level
optimization strategies for Hadoop. In EDBT (pp. 699-710).
Burnett, K. and Moore, Z., 2018. creative climate change.
Carlson, R.M., 2017. Atlassian: Analysis and strategic recommendation.
Johansson, A., 2017. How can atlassian products be modified to reduce the average time usage
for common tasks.
Larkin, I., Nyberg, A.J. and Moliterno, T., 2019. STRATEGIC COMPENSATION: A
CRITIQUE AND RESEARCH AGENDA.
Lichstam, M. and Johansson, B., 2016. Requirements Engineering in Startups with Open Source
Software Related Business Strategies. LU-CS-EX 2016-38.
Moayer, S., 2016. Developing a model for competitive advantage through integration of data
mining within a strategic knowledge management framework: A deep case study of a global
mining and manufacturing company (Doctoral dissertation, Murdoch University).
Olsina, L. and Becker, P., 2017. Family of Strategies for Different Evaluation Purposes.
In CIbSE (pp. 221-234).
Porvari, O., 2017. Lean startup menetelmän hyödyntäminen ohjelmistopalveluyrityksen tuotteen
viennissä.
Zaheer, H., 2015. How do innovative digital start-ups achieve success?: perspectives of
Australian founders.
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