Development & Implementation of Corporation Strategic Plans -Case Stud

Question: Describe about the Development and Implementation Corporation Strategic Plans . Answer: To, The key stakeholders for review Email Title: Mission/Vision Review Existing mission and vision The analysis of the operations of the corporation MacVille reveals the fact that the companys current mission is to deliver the espresso coffee machines that can meet up the efficiency, reliability as well as sustainability requirements of hospitality clients who in return can reward the company with profits. This in turn can also permit the stakeholders as well as communities to prosper in the business environment in which it operates. The existing vision of the company Mac Ville is to become a well-known national brand within the next five years and this can be accepted as an integral component of the hospitality sector and an important component in the process of attainment of hospitality establishments, both large as well as small. Current approaches The current approaches of the company Mac Ville include the incorporation of innovation into the definite mission designed as this is necessarily the outcome of the instruction of self-directed team. The present approach also include establishment of different ways for enhancement of the overall efficiency of diverse business processes as well as effectiveness of the solutions for the customers (Bryson 2012). In addition to this, there is also need for evaluation of activities currently performed in order to continually address different mechanisms for performance of business. As such, this particular approach can help in simplification of the overall business processes as well as improvement of the business. Therefore, the new approach of business essentially includes the incorporation of innovative practices for escalating the standards of performance. In addition to this, the business practices also involves introduction of the strategic alliances and search for new partnerships t hat can sustain and at the same time promote the overall mission, anticipated outcome as well as strategies. Revised mission and vision The review of the business report of the corporation Mac Ville helps in understanding the revised mission as well as vision of the company. The revised mission as well as vision of the company Mac Ville is designed based on the outcomes of the process of review. Therefore, based on the results of the review, it can be said that the revised mission and vision incorporates the need for identification of community and the society that the business serves. Again, the revised mission and vision also takes into consideration the need for the company to become good corporate citizen. This helps in the process of recognition of different accountabilities to become an active participant in regional communities (Armstrong and Taylor 2014). The revised mission and vision therefore includes the importance of incorporation of sustainable business practices for becoming responsible corporate citizen that can help in the enhancement of the regional community and its people (Joyce et al. 2014). The development of the growth potential of the firm along with the development of the society is also said to enhance the profitability of the business each year to a very wide range of community as well as different non-profit organizations. Organizational values The review of the annual report of the corporation Mac Ville reveals the fact that the value of the business concern has remained the same for a very long period of time. In particular, the stewardship of the company and adherence to different professional standards as well as regulations of conduct in different business activities is an important for the stakeholders of the firm. Again, the organization is essentially committed towards encouragement of different self-directed teams of the firm, cultivation of effective leadership and maintenance of superior levels of safety for particularly the people (Ward and Peppard 2016). In addition to this, the values of the firm Mac Ville also includes the commitment of the firm to encourage environment friendly business practices as well as meaningful value to different customers. 2. Pest analysis Political The changes in the plan of the trade, tariffs on imported products (like espresso coffee machines) have been planned to remove in order to bring the factor in line with the free trade policy of the government. Economical It has been predicted that the firm MacVille has higher growth in the economic situation than its expectation. Thus, the resources of the firm MacVille boom continuously. In addition to this, there is a prediction regarding the strengthening of the AUD (Australian Dollars) against all the key trading partners for the next few years is considered as a concern. Social It has been found that for the welfare of the society, the government of the country has started a carbon tax and thus it has possibility of introducing energy intensive products within the firm. The reason behind this is that these types of products are generally utilized in a commercial enterprise. In addition to this, it has been found that there is a constant growth in the population in the country Australia. It has been predicted that in the country Australia, the population might raise from 22 million in the year 2010 to 36 million in the year 2050. Technological As per the case study, new commercial espresso machines have been developed within the country, whose usage has resulted into 30 % less energy consumption. This is considered as an innovative and much efficient heat exchanger in the market. Thus, the implementation of new technology within the country as well as the market is considered as a positive effect. SWOT analysis Strengths As per the case study, it can be said that the particular company MacVille intends to cover the potential market of the targeted customers for the espresso machines. Moreover, it has been found that this espresso machine complements the commercial market for the particular machines in order to make a full range offer to the potential customers. Weaknesses On the basis of the provided case study, it can be said that the particular organization MacVille is currently working along with a strategic partner. Moreover, this strategic partner is not solely focused on the hotel industry. Thus, this has found to be a primary weakness for the specified firm MacVille. Opportunities The vision as well as the mission of the firm MacVille have been modified by the board of directors and the management department of the organization on the basis of the requirement and demand. Therefore, it can be said that these strategies of revising both the mission and vision are also considered as the opportunities for the particular firm. Moreover, it has been found that the particular company MacVille sells home espresso machines to the customers and the potential targeted market of the particular firm is the home market of the country Sydney. In addition to these, the firm MacVille also incorporates other digital home entertainment products. Thus, it can be said that the particular firm MacVille has various opportunities to market its products, as the firm has large potential and targeted market, huge customer base and provides wide range of products and services. Threats It can be said that the risks related to the venture are considered as the risks or the threats for the specified firm MacVille. As per the case study, it has been found that the partner of the specified firm MacVille is not fulfilling the commitment regarding the financials. Moreover, the association along with the non-industry partner is also considered as having negative impact on the target customer base of the firm MacVille. Lastly, the partner of the firm MacVille has access to trade secrets of the organization MacVille. Therefore, all these are considered as the threats or risks to the operations and regulations of the firm MacVille. Identification and description of the existing as well as potential competitors (strengths and weakness of each) As per the case study, it can be hereby ascertained that the main competitors of the company Mac Ville are Nufix Inc. and BeanEx. The competitor Nufix Inc has shifted from the business into particularly the espresso bean as well as the machine market. The transnational player such as the Nufix Inc. faces challenges in acclimatizing to the adjustable needs of the specific niche market purchasers. However, another important competitor of the corporation Mac Ville is the Bean Ex, a very large supplier of the coffee bean that had freshly started importing different espresso machines for different customers. In addition to this, there is also conversation regarding the selling of espresso machines as essentially wholesalers. The competitor bean Ex have very easy admittance to different markets with coffee bean dealings but had no particularly established wing of service to aid wholesale clients properly maintain all the machines that are purchased. Development of a separate summary statement for the potential ally The analysis of the potential allies and their alignment with the values of the organization as well as requirements of the tender can help in the process of development of separate summary for the potential ally. The organization value of Mac Ville primarily include stewardship, adherence to different directives, encouraging self-directed teams, cultivation of leadership and maintenance of high safety levels. Again, the objective of the firm is essentially to boost growth potential of the firm by incorporating innovative as well as sustainable practices. However, the tender requirements mention that the joint venture with the company Home Espresso Traders can help in covering the entire market for espresso machines, but this can help in working with specific strategic partner that is not exclusively concentrated on hospitality sector. The venture trend analysis reflects that sales can also increase throughout the period 2007 to 2012. Again, the venture with the Ambrosia Coffee Roast also helps in sharing the overall cost of outdoor advertising for different cafes as well as restaurants. The venture with this partner can help in the sharing of the overall base of the client. Furthermore, the venture trend analysis also shows that sales also increase to $3.3 m during the period 2007 to 2011. Again, the venture with the corporation Java Estate also helps in delivering espresso machines to the clients free of cost and can offer coffee bean to the entire hospitality as well as the coffee bean market. The trend analysis shows that the venture can also help in increasing the sales from $8.2 m to $16.3 m during the period 2007 to 2011. Summary notes from the meeting with the supervisor The meeting with the supervisor regarding the addition of value to the products as well as services highlights challenges of inbound logistics, need for development of the management information system, outbound logistics, enhancement of the sales as well as marketing and service. The meeting with the supervisor includes detailed conversation regarding the expansion of the business into the Sydney market, strategic alliance with different coffee bean suppliers as well as mounting concern as regards escalating Australian dollar. The meeting with the supervisor also include concerns regarding potential competitors of the company Mac Ville. Again, the meeting also sheds light on different strategic alliance that can help in attainment of objectives. 3. Strategic Plan Formulation of strategic objectives for the business concern founded on board minutes The strategic objectives for the business concern based on the board minutes essentially include development of policies for selling as well as servicing different Mac Ville espresso machines of coffee in all the states of Australia. Another strategic objective of the company is to enhance the overall profit margin of the company by around 5% in the upcoming five years. In addition to this, the strategic objective of the corporation Mac Ville also includes establishment of brand recognition of Mac Ville in different important markets in the upcoming five years through the institution of advanced technologies and establishment of co brand with diverse strategic partners (Bass and Dalal-Clayton 2012). Furthermore, the strategic objective of the corporation also include reduction of the waste as well as utilization of the energy by approximately 10% in the upcoming five years. Strategies for meeting the objectives in the future The strategies for meeting the goal of selling and servicing espresso coffee machines include involvement of the tender of the Java Estates and establishment of strategic alliance. The establishment of the strategic alliance with the Java estates and approval of their tender can be regarded to be top priority. In addition to this, it is also imperative to search for more warehouse opportunities in different states with high volume after the institution of the Sydney warehouse. As such, this process can also be handled with network of different agents and by outsourcing the process of maintenance. Again, the objectives of enhancement of the profit margin can be achieved by means of better negotiation of price with different suppliers of the company and by optimum utilization of the members of the staff in different departments of the company. Again, the organizational goal of establishment of the brand recognition in different key market include employment of advanced technologies and introduction of co-branding with all the strategic partners (Hollensen 2015). The strategic goals of the company also include the reduction of the waste as well as utilization of the energy by around 10% in the next five years by conduction of different education programs as well as incentive schemes. Prioritised strategies - selling and servicing espresso coffee machines -establishment of strategic alliance -establishment of warehouse opportunities - Enhancement of the profit margin through better negotiation of prices with suppliers - Establishment of the brand recognition in different key market Description of the timeframe for each to be completed Activity/Duration 1 to 2 months 3 to 4 months 5 months 6 to 7 months establishment of the strategic alliance approval of their tender of the strategic partner Java Estates institution of the warehouse in different states in high volume Appointment of agents in different states Negotiation with suppliers Employment of advanced technologies and co-branding strategies with strategic partners for enhancement of the brand equity Establishment of social as well as internet marketing strategies Assignment of responsible parties for each strategy The responsible parties for execution of each strategy include can strategic managers, line managers of different department, procurement managers, managers of the sales and marketing department and brand managers among many others (Eden and Ackermann 2013). Assignment of measurable performance indicators to individual strategies The performance indicators can be used for enumeration of the individual strategies of the company (Cummings and Worley 2014). The use of the KPI can help in gauging the effectiveness of the strategies that are employed for the achievement of the pre-determined strategic objectives of the corporation Mac Ville. The introduction of the KPI includes sequential steps that helps in associating the action plans, strategies and objectives to the organizational goals. List of KPIs that can be implemented include the following: -Process KPIs (Gordon 2013) -Input and Output KPIs (Hitt et al. 2012) -Outcome KPIs -Qualitative as well as quantitative KPIs Report: KPI progress report The current section outlines the progress report of the development as well as implementation of the strategic plans aimed at attainment of different strategic objectives of the firm Mac Ville. The strategic plan of enhancement of sales and servicing process of Mac Ville coffee machines can be gauged by the assessment of the strategic activity of the establishment of strategic alliance with the strategic partner Java estates. The evaluation of the progress reveals the fact that in place of installation of 200 machines per annum only 180 machines were installed. The KPIs indicate that Mac Ville was supposed to introduce warehouse in Melbourne within two years of introduction of the Sydney warehouse. However, no warehouse has been introduced yet and it is presently run using exclusive agency model. In addition to this, the company also had plans to introduce agent agreements as well as outsource maintenance agreements in different geographies but failed to institute service contractors in one of the locations (Northern Territory). Again, the Mac Ville have achieved success in instigating the bulk purchase negotiations with the suppliers to reduce price by 100% as per the KPI target. Moreover, the company had plans to optimize capacity as well as productivity indicated by the wages to turnover ratio of 12.5%. However, KPIs indicate that the company achieved only 13.8% of the target in this regard. Again, the company also intended to establish social, internet as well as networking marketing measured by the KPI plan of getting 10000 clicks on each day on companys websites. However, the company surpassed the target and received 12000 clicks per day on the websites. The actual figure for the KPI that measures the progress of co-branding strategy suggest that only 50% of the cafes use the machine of Mac Ville as against the target of 100%. The actual figure for the KPI that measures the progress of establishment of innovative practices as well as reward programs menti ons that 30 suggestions and 8 innovative programs have been introduced in actual in place of 25 suggestions and 6 new innovative practices. The actual figure for the KPI that measures the progress of development as well as implementation of campaigns for reduction of waste and efficient utilization of energy indicate that KW use per person have reduced to 10 Kw against the planned figure of 12 kw. Strategy Activity Target Achieved enhancement of sales and servicing process of Mac Ville Installation of machines 200 180 Increase in warehouse introduction Introduction of warehouse warehouse in Melbourne within two years of introduction of the Sydney warehouse - Setting up agents introduce agent agreements as well as outsource maintenance agreements in different geographies Agents in South Australia, Western Australia, Northern Territory, Tasmania as well as ACT Except for Northern Territory all other deadlines met Increasing profit margins instigating the bulk purchase negotiations with the suppliers 100% of purchases through container load 100% Increasing profit margins Operation at optimum capacity indicated by wages to turnover ratio of 12.5% wages to turnover ratio of 12.5% 13.8% brand development Establishment of the social as well as internet marketing for 10000 clicks in official websites 12000 clicks brand development Partnership with Java estates for co-branding (cafes with mac Ville machines) 100% 50% Reduction of waste and efficient utilization of energy Innovation and reward programs (25 suggestions and 6 innovations) (30 suggestions and 8 innovations) References Armstrong, M. and Taylor, S., 2014. 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