Management Case Study: An Analysis of Atlassian Software's Strategy

This case study report provides a comprehensive analysis of Atlassian Software, examining its strategic management, core competencies, and capabilities. The report begins with an executive summary, followed by an introduction to Atlassian and its core values. It then delves into an analysis of the external factors influencing Atlassian using the PESTEL framework, exploring political, social, economic, technological, environmental, and legal factors. The report further analyzes Atlassian's capabilities and core competencies, including its ability to produce developer tools, its flexibility and ease of access, and its global reach. The analysis also includes an examination of Porter's Five Forces in the context of Atlassian. The report then analyzes how these capabilities and competencies enable Atlassian to cope with future challenges and compete with rivals like Microsoft and Google. The report concludes with recommendations for Atlassian's executive team, emphasizing the importance of global expansion, market development, and continuous automation. The analysis is supported by academic journal and textbook references.

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Management
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Executive Summary
The report has thrown light on the overall analysis of the different capabilities along with
core competencies of Atlassian Software company. With the help of the PESTEL analysis,
the different external factors have been analyzed which creates huge impact on the overall
efficiency of the organization in both positive or negative manner. The different core
competencies along with capabilities have been analyzed that has helped the company in
managing the different activities in an appropriate manner. The different kinds of applications
for the core values have been analyzed that has helped the company to improve the core
competencies appropriately.

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Table of Contents
Introduction................................................................................................................................3
Analysis of External Factors Influencing Atlassian...................................................................3
Analysis of Capabilities and Core Competencies of Atlassian..................................................4
Analysis of Core Competencies and Capabilities in Coping with Future Challenges Faced by
Atlassian.....................................................................................................................................5
Conclusion and Recommendations............................................................................................6
References..................................................................................................................................7

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Introduction
Atlassian is one of the Australian software organizations which was launched in the
year 2002 wherein the company specializes in collaboration and productivity application
related tools meant for the easy collaboration among the different project teams (Hanson et
al., 2016). The portfolio of the clientele has been able to grow in leaps as well as bounds and
it is inclusive of eBay, Citigroup, Nokia, Netflix, Procter and Gamble, PayPal, SIEMENS
along with Tesla which are the different companies relying on Atlassian in improving the
collaboration, development of the software along with improving the overall quality of the
productivity (Atlassian.com, 2019).
The different products of Atlassian includes JIRA software, Bitbucket, JIRA Service
Desk along with Stride which are treated as the hallmarks in driving the business revenues
along with enabling the company into the successful growing in the international software
service provider over the last few years. Lastly, the core values of the company are inclusive
of policy related to open company wherein there is no bullying, building the different
products as well as services with balance and heart, respect for the different customers,
working as a proper team along with implementing the different technologies in order to fight
against the different competitors.
Analysis of External Factors Influencing Atlassian
The PESTEL analysis includes the six segments such as political, social, economic,
technological, environmental and legal factors which plays a major role in analyzing the
effect of the same on the respective organization.
Firstly, the political and economic changes which affect the company Atlassian
include the Brexit along with the 2016 election of the United States President, Donald Trump.
These are the two major political kinds of events which have caused to strengthen the US
dollar, wherein the other foreign currencies have weakened. However, it has been proved to
be a good change for Atlassian as the respective organization tries to solely accepts the US
dollar as the payment, however it incurs the different costs in the different foreign currencies
from the countries in which it operates (Anessi-Pessina et al., 2016).
Moreover, the social changes include the different trends of the inclusion as well as
acceptance of the different individuals (Thompson, Scott & Martin, 2017). In addition,

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Atlassian is vocal regarding being proponent of the inclusion for all and it is one of the most
positive aspects for Atlassian as it makes the organization attractive to the different rising
number of the consumers who supports the different values of the company in an appropriate
manner (Chernev, 2018).
Furthermore, the two changes in the technology segmentwhich affects the Atlassian
company are the cloud computing along with X-as a service business model. In order to stay
relevant in the market after the analysis of the different digital trends, the different companies
will be developing the digital products to add to their respective portfolio (Thompson, Scott
& Martin, 2017). One of the major targets of Atlassian for the different products which are
sold by them is software development team which will be helpful for the company in
increasing the number of the different potential customers in the market effectively (Fogaça
et al., 2018).
In addition, the environment aspect is the change in the climate and the respective
idea which the different companies have the concept of corporate social responsibility in
order to reduce the impact and effecton the overall environment (Thompson, Scott & Martin,
2017). The different software companies as the rule are green which consists of major two
inputs such as electricity and human. The company Atlassian is not exception to the
respective rule (Johansson, 2017).
Furthermore, the different potential kinds of trends in the legal segment can be a huge
threat for the company Atlassian. In order to improve the scenario, Atlassian needs to
implement the cyber security laws as the company matures, the delivery along with
development of the product can be affected by the high security standards (Kauškale &
Geipele, 2017) Moreover, Donald Trump has increased the import tariffs which could
increase the expenses of the company.
Analysis of Capabilities and Core Competencies of Atlassian
There are different kinds of changes in the segment related to technology which could
be affecting Atlassian as the service along with cloud computing business as the different
business models (Kauškale & Geipele, 2017). However, due to the respective emerging
trends in the business, the different companies will be able to develop the different products
which are digital and it will be adding value to the portfolio of the company as well.
Therefore, from the above, it can be analyzed that as the vendor of the software tool, the main

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aspect which is required to be followed by Atlassian is targeting the different needs of the
different software teams and in the respective process, it will be helpful in increasing the base
of the potential customers and achieve the growth targets as well.
The technology development along with research and development are the two
different models which are helpful in managing the different kinds of activities in the
organization. Therefore, from the above it can be analyzed that the key and major success for
Atlassian as the business to business workplace software vendor is the different capabilities
in producing the different tools for the developers, flexibility along with ease to access along
with satisfaction among the customers with global reach (Quarshie, Salmi & Leuschner,
2016).
Moreover, in order to understand the capabilities and core competencies of the
company Atlassian, it is essential for the company to examine the Porter’s Five Forces in
context of the Atlassian as the tool vendor. Moreover, the subscription cloud deployed tools
have the ability and capability in lowering the costs which is related to switching and in the
respective process, it will raise the power of the buyers (Runfola et al., 2017). However, on
the other hand, the power of the different suppliers in the case of the different employees is
high and the overall competition for the highly skilled employees remains extremely
competitive and therefore, the different employees wield great power during the negotiation
of the salary along with benefits which will be beneficial for the overall success of the firm in
comparison to the other competitors (Serenko & Bontis, 2017).
Analysis of Core Competencies and Capabilities in Coping with Future Challenges
Faced by Atlassian
The different capabilities along with the core competencies of the respective company
Atlassian enables them in competing with the other competitors present in the market such as
Microsoft, IBM, Google along with the other competitors such as GitHub. Moreover, the
different other capabilities inherent in the company Atlassian are the ability to deploy in the
cloud, on the premise along with creation of the solutions related to data center (Serenko &
Dumay, 2015). The data center solutions of Atlassian enabled it in gaining the traction in the
cloud space and edge out the different competitors present in the market. In addition, the data
center solutions will enable the customers with various services for the different sizes of

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customers ranging from the individuals in the market as well as established big enterprises as
well.
Furthermore, from the analysis of the core competencies as well as the capabilities of
the firm, in the future the company will be able to provide services for the business, software
teams along with IT service teams and technical teams. The proper acquisition of Trello in
the recent scenario has been able to position Atlassian as the competitive company which will
be beneficial in offering the solutions to the different business teams (Yang et al., 2016). In
addition, it has been predicted that the different firms operating in the software industry will
be likely to increase the revenue streams in the next few years which will be helpful for them
in solving the different aspects of the future challenges in an appropriate manner. The recent
trend in the acquisition is the major result in the acquisition wherein the different companies
are moving towards the creation of one stop solutions for the different clients and in the
process of resulting in the low-cost competition as well.
Conclusion and Recommendations
Therefore, from the above it can be recommended that the executive team of the
company Atlassian needs to examine the justification of the different growth strategies such
as licensing, pricing along with continuous automation of the sales of the products into the
emerging markets such as Russia, India along with China. Moreover, the core competencies
as well as the capabilities of the company which have been identified are the pre-requisite in
maintaining the projection of the growth as well as leadership and corporate culture of
Atlassian which helps in driving as well as maintaining the growth strategy.
In addition, Atlassian has been successful in an incredible manner in the last fifteen
years since the inception of the company which has helped them in growing the customer
base to more than 85031 customers in more than 170 countries. Furthermore, the revenue has
grown by more than 34% and it will be beneficial for increasing the overall growth in an
appropriate manner. Moreover, Atlassian must continue the global expansion and in order to
sustain the growth of the company in a proper manner, the best path which is available for
Atlassian is to expand by the market development through proper development of the
channels and reseller partners who are present in the competitive business environment.

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References
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a European review of accounting and public management journals. Accounting,
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Atlassian.com (2019) Atlassian Software | #1 Software Development Tools | atlassian.com
(Online) Retrieved from www.atlassian.com/ [Accessed on 15th April 2019]
Chernev, A. (2018). Strategic marketing management. Cerebellum Press.
Fogaça, N., Rego, M. C. B., Melo, M. C. C., Armond, L. P., & Coelho Jr, F. A. (2018). Job
Performance Analysis: Scientific Studies in the Main Journals of Management and
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Runfola, A., Perna, A., Baraldi, E., & Gregori, G. L. (2017). The use of qualitative case
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Serenko, A., & Bontis, N. (2017). Global ranking of knowledge management and intellectual
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