Monday, February 23, 2009

RIM SWOT ANALYSIS

STRENGTHS


  • To date R&D and engineering has been the core of RIM’s success
  • R&D was continually delivering award winning products
  • R&D operations are spread out as far as number and location of employees
  • RIM’s cryptographic and software source code has built a strong reputation
  • Strong corporate culture has made people happy and resulted in low turnover
  • Recruiting the best and brightest talent from the University of Waterloo


WEAKNESSES


  • R&D spending has dropped significantly as a percentage of sales
  • The core work is still occurring solely at the Waterloo headquarters
  • Historical growth strategy: sourcing local talent and making selective acquisitions
  • Talent and space are getting scarce in the Waterloo region
  • RIM’s career site doesn’t allow for applicants to be processed for different jobs
  • An internal resistance to any R&D locations outside the Waterloo area
  • Only room from vertical integration because of privacy concerns with coding


OPPORTUNITIES


  • Industry is experiencing explosive growth
  • A good indicator of revenue growth is R&D spending as a percentage of sales
  • Recruiting to students from other Universities across Canada
  • Grow the R&D team through existing locations
  • Bring in resources through acquisitions of troubled companies
    • There would be more R&D sources
    • There may be an expansion in a strategic market
  • Expand operations globally where some business operation already occur


THREATS


  • The industry is driven by engineering innovation and technological advances
    • Various companies with their software platforms
  • Industry experiencing explosive growth and increased competition
    • Apple with the iphone pursuing North America business segment
  • Growing demand for qualified engineers to deliver for customers and investors
  • The was limited talent left in the Waterloo area for hiring
  • Attracting talent outside Waterloo was hard as competitors are also hiring
    • Hiring new graduates from various school in Canada
    • Hiring/creating international jobs for employees across the world

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