Student name/number: John Vincent Musngi/18-1-0054

Unit number/title: Unit 12/Strategic Planning

Assignment number/title: Assignment #1 LO3

To be able to develop strategic options for Fibrwrap Construction Pte Ltd (FCPL), it is important

to evaluate the internal and external factors that are affecting its strategies. SWOT matrix will be

use to assess the identify the internal factors (strengths & weaknesses) and external factors

(opportunities and threats). Each factor will be evaluated using the Internal Factor Evaluation

(IFE) and External Factor Evaluation (EFE). Then Internal/External (I/E) matrix will be use to

develop strategic options.

SWOT Matrix

Strengths Weaknesses

● R & D / Innovations that creates and ● The material is easy to copy and
expands capabilities manufacture

● Experienced and skilled staffs ● Costly R&D

● Product/Material certifications and ● Uncertainty in terms of securing the

approvals from authorities
● Network (established relationship
with consultants and authorities)
job even after assisting the
consultants/authorities
● Materials limitations in terms of
properties and applications

Opportunities Threats

● Development of new capabilities ● increasing number of competitors

(Technical/Operational/Equipments
● availability of substitute
● Government policies that will
● limited market size
● Partnership to other companies
● government policies
● publications

1
 Key External Factor Evaluation Matrix

Key External Factor Weight Rating Weighted

Score

Opportunities

● Development of new capabilities 0.2 4 0.8

(Technical/Operational/Equipments)

● Government initiatives such as to increase security 0.1 2 0.2

against terrorism and natural disasters (e.g. typhoon &
seismic)

● Partnership with or acquisition of other companies with 0.15 2 0.3

business that complements FCPL’s business. (e.g.
demolition contractors, prestressing contractors,
supplier for cathodic protection)

● Publications for company promotions like journals, 0.08 1 0.08

magazines, and news papers

Threats

● Increasing number of competitors 0.24 3 0.72

● Availability of substitute (like steel plate bonding and 0.1 3 0.3

concrete jacketing) that provides same purpose as the
FRP.

● Limited size of market, as Singapore itself is a small 0.05 1 0.05

country.

● Government policies that will limit or restrict of cheap 0.08 2 0.16

foreign workers.

Total EFI 1.0 - 2.61

Key Internal Factor Evaluation Matrix

2
Key Internal Factors Weight Rating Weighted
Score

Strengths

● R & D / Innovations which has created and 0.3 3 0.9

continuously creating market for the company.

● Experienced and skilled staffs who provide efficient, 0.15 3 0.45

expert, and quality services to clients.

● Product/Material certifications and approvals from 0.07 4 0.28

authorities.

● Network (established relationship with consultants 0.08 3 0.24

and authorities)

Weaknesses

● The material is easy to copy and manufacture 0.08 1 0.08

● It is costly and requires time to perform R&Ds without 0.08 2 0.16

the assurance of getting the desired result.

● Uncertainty in terms of securing the job even after 0.12 2 0.24

assisting the consultants/authorities

● Materials limitations in terms of properties and 0.12 1 0.12

applications

Total IFI 1.0 - 2.47

Based on the above EFE and IFE, the External Factor Index (EFI) is 2.61 and the Internal

Factor Index (IFI) is 2.47. Plotting the two values in the I/E matrix below will conclude that the

FCPL falls under “Hold and Maintain” strategy. This means that FCPL should utilize its network

to further increase its sales to its current market based on its current product. It suggest that the

company should further boost its R&D and innovative strategy to be able to introduce new

system to its current market.

I/E Matrix

3
 4

Grow and Build

EFI 2.61 Hold and Maintain

Harvest or Divest

1
4 3 2.47 2 1
IFI

After assessing the current position of the FCPL, basis for future strategy will be formed by

using the Ansoff Matrix. This model will help the company to established options for growth

strategy. Below shows the Ansoff Matrix for FCPL.

Ansoff Matrix

Existing Products New Products

4
 Existing ● To upgrade efficiency to
Market lower down the cost, to bring ● FRP rebars to to use as
down the price offered to strengthening material.
client.
● Increase manpower for
faster handover projects.

New ● Use the current products to ● Cathodic protection

Market enter new markets like the ● Cementitious base
blast mitigation, water adhesive to replace epoxy
proofing, and pipes. for brick wall strengthening

As what is suggested by the I/E Matrix and Ansoff Matrix, FCPL should focus more on bringing

down its price to increase its sales of existing products to its existing market. It also advisable

that FCPL to do more R&D and testing to introduce new product to its current market like the

use of FRP rebars as strengthening materials.