SWOT analysis for Becton Dickenson (BD)

Strengths:

– Strong Free Cash Flow
– Highly successful at Go To Market strategies for its products.
– Good Returns on Capital Expenditure
– Highly skilled workforce through successful training and learning programs.
– Successful track record of developing new products – product innovation.
– Reliable suppliers
-High level of customer satisfaction

Weaknesses:

– There are gaps in the product range sold by the company.
– Financial planning is not done properly and efficiently.
– The company has not being able to tackle the challenges present by the new entrants in the segment and has lost small market share in the niche categories.
– Not very good at product demand forecasting leading to higher rate of missed opportunities compare to its competitors.
– Days inventory is high compare to the competitors – making the company raise more capital to invest in the channel.

Opportunities:

– Lower inflation rate
– The new technology provides an opportunity to Becton Dickinson to practices differentiated pricing strategy in the new market.
– Stable free cash flow provides opportunities to invest in adjacent product segments.
– Economic uptick and increase in customer spending.
– New customers from online channel
– New trends in the consumer behavior can open up new market for the Becton Dickinson.

Threats:

– Changing consumer buying behavior from online channel.
– New technologies developed by the competitor or market disruptor.
– Liability laws in different countries.
– As the company is operating in numerous countries it is exposed to currency fluctuations.
– Shortage of skilled workforce in certain global market.
– No regular supply of innovative products