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TASK 1 – DEVELOPMENT A BUSINESS PLAN

Part A – Business Plan

Coffeeville

1 Gorrge Street, Sydney NSW 2000

ABN: 12 345 678 999

ACN: 123456789

Business Plan 2019/2020

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Table of Contents

Section Page

The business details 4

Organization chart 5

Management and ownership 5

Key performance 6

Product services 6

Market position 6

Risk management and contingency plan 7

Legal considerations 9

Operations 10

The market 11

Customers 12

Competitors 12

The finances 12

Budget 2018/2019 13

Business plan review 14

Meeting plan 15

Review report 16

Executive summary
Quality Training has been operating as a Registered Training Organisation for 12 months.
Following is a summary of the main points of this plan.

 The objectives of Quality Training are to generate a profit, grow at a challenging

and manageable rate and to be a good corporate citizen.
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 The mission of Quality Training is to exceed our customers’ expectations by

providing them with effective training and development services, relevant to their
needs and in line with national quality standards.
 The keys to success for Quality Training are marketing and networking,
responsiveness and quality, and generating repeat customers and word -of-mouth
business.
 The initial primary service offered will be nationally recognised qualifications
Certificate IV in Business (Frontline Management) and Certificate IV in
Workplace Assessment and Training. We will also offer Fee for Service training,
tailored to individual client needs.
 Quality Training will explore opportunities to extend its scope to maximize
business opportunities and meet customer needs.
 The local market for this business is growing and is open to new service providers
who can offer superior individualised services.
 An initial financial analysis of the viability of this venture shows that Quality
Training is well positioned to maximise on profit opportunities, has few ongoing
capital expenses and has sufficient funds to negate the need to go into debt.
Operating costs are minimal due to the owner/operator style of operation.
 During 2006–2007, the intention will be to use opportunities gained through
existing client networks and scope extension to grow the business and increase
trainee numbers.
 In 2005 (for 2006), Quality Training will apply for New Employee government
funding to remain competitive with other RTO’s.
In conclusion, as shown in the highlights chart below, this plan projects rapid growth and
moderate net profits over the next three years. Implementing this plan will ensure that
Quality Training quickly becomes a profitable venture for the owners.

Objectives
The objectives of this business plan are:

 To provide a written guide for the ongoing management of this training and
development business; a strategic framework for developing a comprehensive
tactical marketing plan.
 The intended audience includes the owners of this business and representatives
from the State Training Authority.
 The scope of this plan is to provide detailed projections for the current plan year,
and for the following two years.
The objectives of Quality Training are:

 Profit – To achieve a net profit of $100,000 in the next financial year and a 25%
increase in profit each succeeding year.
 Growth – To grow the business at a rate that is both challenging and manageable,
leading the market with innovation and adaptability. Growth from 16 trainees in
year ending 2005 to 300 trainees in year ending 2007.
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 Citizenship – To be an intellectual and social asset to the community by

networking with community organisations such as the Chamber of Commerce, and
offering services to charitable organisations when required.

The Business

Business Registration Details

Business name: CoffeeVille Pty Ltd

Trading name(s): Coffeeville

Products/services: Supplier for Hospitality

Date registered: 1st July 2006

Location(s) registered: Sydney NSW Australia

Business structure: Partnership

Business Details

Coffeeville is a Supplier for Hospitality establishments and has just added a

delivery arm of the business. Their primary business function is delivering medium
to large size packages across metropolitan Sydney. The business has a good
reputation in the marketplace for reliability and value for money.

After a slow start entering the competitive delivery market, Coffeeville has built a
solid reputation over the past 12 years, and this has been reflected in their growth
and profit margins.
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Business promises

The organisation’s strategic goal is to grow the business and increase business
profits over the next three years by expanding delivery routes to include regional
NSW.

Organisation chart

Management & Ownership

The organisation is family owned, with three family members acting as a

Management Board and responsible for approving all business decisions.

The owners of the business are not risk takers. They are aware that their ongoing
success is the result of a small, experienced team, close personal ties with clients
and a reputation for reliable, low cost service. Moving forward, their vision for the
company is to retain those strengths and core values through any expansion
process.

The strategic and operational plans were developed as a result of external market
research, indicating a shortage of delivery organisations providing services to
regional NSW towns. Coffeeville were looking for their next growth opportunity and
saw that this was an ideal opportunity to be seized upon.
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It was also felt that the company was now sufficiently stable and experienced, and
in a financial position to expand the business without risk to their current financial
stability or reputation.

Reports from the Sales Manager indicated that contracts have been lost because
some clients want to engage a delivery service who can deliver to their regional
establishments, in particular Newcastle, Wollongong and the Central West.
Coffeeville is currently unable to meet this demand and therefore some potential
clients have been lost. This became a motive to expand operations for both
financial and customer service reasons.

Key Personnel

 Managing Director – responsible for daily operational management

decisions.

 Logistics Manager – responsible for the scheduling of the trucks and

drivers.

 20 truck drivers.

 5 office support employees – responsible for administration, accounts,

human resources and sales.

Products/services
Coffeeville is a Supplier for Hospitality establishments and has just added a
delivery arm of the business. Their primary business function is delivering medium
to large size packages across metropolitan Sydney.

Market position

Coffeeville primarily targets small to medium-sized business which make up 80%

of their customer base. They are limited by their geographic location, as they
currently do not deliver outside of the Sydney metropolitan area.
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The company has been marketed through direct sales, telephone, internet listings
and mail-outs. Through a program of telephone follow-up to ensure customers’
ongoing satisfaction with the business, Coffeeville has an admirable 87% retention
rate for existing customers.

Although sales and profits have increased each year by an average of 5%, the
owners are looking to move forward by delivering to regional areas in NSW.
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Risk management

Risk Assess Controls Monitoring Timelines Responsible

Risk

Problems low Continuous implementation of Continuous monitoring Monthly Management

generating marketing strategy. of foot traffic/revenue. Team / Managing
visibility. Director
Continuous monitoring
of market/marketing
research.

Aggressive high Continuous implementation of Continuous monitoring Monthly Management

sales tactics by marketing strategy to highlight of competitors Team / Managing
competitors. key points of difference between campaigns. Director / Sales
us and competitors. Manager

Increased frequency of
promotional campaigns.

Selective discounting.

Difficulty medium Targeted advertising in trade Monthly Managing

sourcing or magazines and online. Director / Sales
training skilled Manager / HR
and Promotional focus on training Officer
experienced and development opportunities.
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Risk Assess Controls Monitoring Timelines Responsible

Risk

staff. Regular training for existing

staff.

Investigation of competitor
wages and seek to match or
better if viable from budgetary
perspective.

Emergence of high Continuous implementation of Continuous monitoring Monthly Managing

competitor marketing strategy to highlight of competitors Director / Sales
within very close key points of difference between campaigns. Manager /
proximity. us and competitors. Logistics Manager

Increased frequency of
promotional campaigns.

Selective discounting.

Adjustment of marketing
strategy to ensure differentiation
and appropriate positioning of
CoffeeVille in order to compete
effectively.
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Risk Assess Controls Monitoring Timelines Responsible

Risk

Wastage from high Continuous monitoring. Daily monitoring and Daily Managing
poor inventory anticipation of Director / Sales
maintenance. Daily contact with suppliers. demand. Manager /
Logistics Manager
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Legal considerations
Work Health and Safety (WHS)

The name known by Occupational Health and Safety (OHS) laws is now
been replaced with Work Health and Safety (WHS) laws in NSW on 1 st January,
2012.

These new laws will provide greater consistency, certainty and clarity
across Australia making it easier to understand your workplace health and safety
duties. Businesses and volunteer organizations that operate over several states
will be able to initiate nationwide safety policies and procedures.

A safe workplace - Information on how to make workplace safe including

consultation committees HSRs and workgroups.

 Inspect a workplace where a member of the designated workgroup

operates if there is an incidentor a risk is identified;
 Work with an WHS inspector during a workplace inspection that
includes the designated work;
 Issue a provisional improvement notice;
 Request that an WHS committee be set up;
 Attend interviews about WHS matters within the consent of the
employee who is involved;

Sexual Harassment

Sexual harassment is a specific and serious form of harassment. It is

unwelcome sexual behaviour, which could be expected to make a person feel
offended, humiliated or intimidated. Sexual harassment can be physical, spoken
or written. It can include:

 behaviour that may also be considered to be an offence under criminal

law, such as physical assault, indecent exposure, sexual assault,
stalking or obscene communications.
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Operations

Coffeeville currently allocates two drivers per truck to ensure that drivers are able
to load and unload heavy packages. The strategy going forward is to remove the
need for two drivers per truck by installing an automatic lift gate on the back of
each truck, at a cost of $10,000 per truck. This will mean that only one driver is
needed per truck, as no heavy lifting will be required.

This will allow Coffeeville to purchase 10 new trucks and use the existing drivers
for regional routes.

Each new truck will cost $60,000 (including installation of an automatic lift gate).
The money to purchase the trucks will be borrowed from the bank on a business
loan.

Operational plan goals

Coffeeville will:

 Commence deliveries to regional NSW within 12 months

 Increase sales by 40% in the next three years.

Inventory

In close consultation with suppliers, Coffeeville uses a just-in-time stock system.

This system is characterised by low stock levels which vary constantly and are
replenished daily.

Consequently, goods are some of the few items that may be inventoried more
than two days.

CoffeeVille has determined that this system is the best way to maintain the goods
quality standards demanded by customers.

Trading hours:
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- Coffeeville will trade between the hours of 9 am and 6 pm Monday to

Friday.

Communication channels:

- direct sales

- telephone

- internet listings

- mail-outs

Payment types accepted:

- Coffeeville accepts cash, EFTPOS and credit card payments (Visa,

MasterCard, and American Express). A 30 day credit period is available for
catering customers.

Credit policy:

- Coffeeville has 30 day credit terms for catering customers.

Warranties & refunds:

- Unsatified goods could be refund within 30 calendar days and must show
goods return will get full amount refund.

The Market
Market research

CoffeeVille possesses reliable information about the market, and, through two full
years of operations, has extensive knowledge of the common attributes of our
customers. Information has been sourced through:

 market research purchased from private consultancy (Action Marketing)

 marketing research undertaken by Coffeeville and Action Marketing on

targeted consumer groups such as information collected at point-of-sale,
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through website traffic monitoring, social media monitoring, interviews and

surveys.

Market targets

● Commence deliveries to regional NSW within 12 months

● Increase sales by 40% in the next three years.

Your customers

Customer demographics

- Cafes in NSW
- Groceries in NSW
Key customers needs

The strategic and operational plans were developed as a result of external market
research, indicating a shortage of delivery organisations providing services to
regional NSW towns. Coffeeville were looking for their next growth opportunity and
saw that this was an ideal opportunity to be seized upon.

Competitors

Competito Value to customers Strengths Weaknesses

r

McDonald’s Offers consistent, Much lower price Offers lower quality

McCafe fast, low-priced food point. Relatively coffee and food.
and service. fast.

7/11 Offers consistent, Very low price point. Offers very low
fast, low-priced food Extremely quick quality coffee and
and service service. food.

The Finances

Financial information
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Annual sales

Current sales Estimated sales (Yr 1)

$17 million $22 million

Annual net profit

Current net profit Estimated net profit

$1.9 million $3.2 million

Increased costs

Loan repayments Operating costs (fuel, servicing, etc.)

+$200,000 per annum +$2.2 million

Administrative costs Labour costs

+$100,000 Nil

Budget for 2018/2019

Employees salary

Head office

- salary range $32,000 – $75,000, forcast for 9 = $5,778,000

Drivers

- $45,000 x 12 months x 20 staffs = $10,800,000

Budget for new truck

- 10 trucks x $60,000 = $600,000

Others (gas, office supplies, ect.)

- +100,000
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Meeting Plan

Objective: To review the business plan of Coffeeville

Meeting room
Meeting room 1, 3rd Floor
Date
20th February 2019
Time
09:30am – 14:30pm.

Session
No. Agenda Time
Conducted By
Opening session
1. - About the company Management 09:30 – 10:00

Overall of business plan Management

2. 10:00 – 11:45
and Consultant

Lunch Break

Management
3. Openion discussion 12:45 – 13:30
and Consultant

Management
4. Summary business plan 13:30 – 14:30
and Consultant
Attended by

No. Name of Participants Signature

1.

2.

3.

4.
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5.

Current Staff
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Budget
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Break Even Analysis

Part 2 B – Business Plan Review

S.W.O.T. analysis

Strengths
- Excellent staff, highly skilled at
driving, services and product
knowlede.
- Great location knowledge.
- High customer loyalty.
- High company reputation in the
industry.
Opportunities
- Strong market potential.
Weaknesses
- A limited marketing budget to
develop brand awareness.
- Lost matket information/target.
- High cost of sales associated with
choice to provide fair trade and
employee wages.
Threats
- Competition other providers.

- A significant percentage of the - Uncertainty of worldwide supplies.

target market still not on the list.
- Potential shifts in population.
- Expansion and franchising.

- Connecting of market targets,

geography.
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TASK 2 – MONITOR PERFORMANCE

Review report

According to management team meeting and establishing the busilness plan of

Coffeeville, we are agreed that this business plan could be successful and make
more profit for the company. As the business plan strategies we intend to maintain
a top-quality of delivery services.

Review of financial outcomes

For the financial plan, after review the management team have approved that as
its actual spend could be in budget and could makes profits for the company.
Executive Summary
In any business, employees are the most important resources. So, it is crucial for the
organizations to adopt effective selection/ recruitment and induction processes. It is also
necessary to ensure that the best person is hired on the position so that they can give their
effective contribution to achieve the business goals and outcomes. There are various
factors that must be considered while adopting selection and recruitment processes in the
organization. This report focuses on the issues faced by Coffeeville, an organization facing
complications with its human resource and strategies that need to be adopted regarding the
selection, recruitment and proper induction of new employees in the organization. The
firm intends on expanding its business in the near future so there will be the need of new
employees and staff along with various experienced people to manage the businesses daily
activities. In such situations, Coffeeville needs to take proper decision where the company
can recruit people externally or internally and that would be beneficial for the business.
There are various advantages and disadvantages of both the processes and some legal
considerations associated with the selection and recruitment process as well as training
plan that must be taken into consideration.

Examination of operational and tactical plans 

Coffeeville is providing a unique coffeedrinking experience to Melbourne residentsthe
company has adopted effectivepolicies related to talent management which includes
strategic, integrated and technological approach used to managing human resource in the
business. Having a Effective strategy in place is required to hire the right candidate at the
right position and right time. This is also because right person may bring strategic
possessions for the firm.

Recommended plan 
Selection and Recruitment- In the recruitment, initial stage must be realistic and
straightforward. It is very important for the HR department in the firm to understand and
analyze the ways by which various skilled and capable people can be recruited in the
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organization. There is an easy way to address all the issues related to selection and
recruitment is to analyze job skills, consider the content, requirements of the job functions
including the evaluation of technical skills. Along with this, other skills like innovation,
communication and sales capabilities must be analyzed. Basically, the evaluation of job
kills must be associated with the strategic assessment and understanding HR needs so that
company can enhance its human capital in the business in order to achieve the long run
goals and objective of the business (Bashir&Jehanzeb, 2013).

Implementation of process

(Source: Recruitment Process Outsourcing (RPO), 2015)

The steps in implementation process are as follows:

1. Preparing job description including person specification as it will take around a

week time
2. Grading the job- It will include grading the jobs based on the priority and this will
also take a week to complete this
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3. Financial approval- The organization will take approval from the department if
finance by giving detail about how much amount will be required in overall process
4. Redistribution- This will take around the time of two weeks
5. Next, meeting out the advert will also be done
6. Promotion and advertising- This will take around two weeks and there will be need
to improve this for attracting the public
7. Picking-out- The process will befinishedwithin two days. The process will be based
on number of applicants who apply for the job role
8. Inviting candidates- Invitations will be sent to the short-listed candidates. In this,
about day, time and location of the interview will be informed to the candidates.
9. Timing, appealing the applicants and the selection process will take around the
time of one week
10. Selection- This process will take the time of one day to be completed. The
company must allocate some time if there are various candidates for the job role
(Kramar&Syed, 2012).

Business expansion- With the effective move, the business of Coffeeville will grow in the
upcoming years. So, it is important time to make effective strategies by which daily
business activities can be managed effectively. The company has to deal with various
challenges as the company is going to expand its business in the new market. In order to
achieve the goals and objectives of the business, company needs to adjust itself in the new
environment (Vahlne&Johanson, 2017).

Technology prospects-As the firm is increasing the business in new location and there
will be challenges in the new business environment so it is important for the company to
enhance its technological capability for the growth and development. Along with this, the
company must use its technological capability in the process of selection, recruitment and
induction in order to make the process easy.

a. The company should use internet advertising method to promote its vacancies and
to reach the talented and skilled candidates. This will ensure that the company is
hiring best candidates who will be most beneficial for the business in future.
b. Company must adopt new technologies like movie makers and PowerPoint
presentations so that proper induction can be provided to the employees to make
the process easy for them
c. Online, telephonic interviews and video callings can also be done to recruit the
employees (Singh, 2014).

Use of tools- It includes variety of pre-employment evaluation tools and tests. Company
can use these methods for improving its hiring process.

Skill testing- This will be beneficial for the hiring of various positions. Detailed
software programs, computer operations and testable knowledge i.e. customer
service answers can be used in this process.
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1. Psychometric assessments- This will be effective while analyzing motivation, hard

work, team fit and work styles for the effective customers’ services and sales of the
products along with various industry required skills.
2. Drug testing- It is important to do screening of the candidates for any illegal drugs.
This tool will be helpful to make sure that employees do not carry any kind of
problem otherwise it will impact on the workplace safety.

Person specification and position description- It is expected from the candidates that
they will fulfill our duties and responsibilities in their job role. For this, job description is
required to provide timely in which key roles and responsibilities will be elaborated. Along
with this, they might be according to the policies of the company. The undertaking
activities and responsibilities will be mentioned in the position description to the new
employees (Ployhart, Schneider & Schmitt, 2012).

Offer letters and pay- The employees will have trialphaseof three months at initial level.
During that period, employees will be anticipated to carry out their roles and obligations
properly in the job role to satisfy the supervisors and owners. The timings of the job role
will be decided based on the employmentneeds in the company and due to variations in the
job roles; the work duration will also be different. Appropriate amount of salary will be
paid to the employees in their nominated bank account. Company will not pay any cash
amount to the employees.

Appointing managers- The appointing manager in the firm will need to identify on the
hiring process for attracting large number of applicants and to decide on the effective
person. The manager will be accountable to provide equivalentchances to the employees
with no partiality and biasness. The employees will be selected and promoted without any
caste, race, gender or any other factor (Gerber, Nel& Van Dyk, 2012).

Use of outsourcing- It is well known that the firm is expanding its business in new market
in which it will need to analyze the market trends and environment. Reason is that the
company is now unaware about such conditions. So, company will adopt outsourcing
process in recruitment and selection process. In this process, the company will outsource
or transfer the portion of recruitment actions to external service providers.

Legal requirements- While focusing on the recruitment process, it is crucial for the

company to have knowledge of legal issues and requirements to minimize various risks.
Interview questions, job postings, making job offers and checking references need to be
completed in such way so that legal requirements can be met. This would be beneficial to
avoid unlawful and even discriminatory questions.

Process of feedback- The feedback related to recruitment, selection and induction plan

will be collected by distributing the questionnaire to upper level management. They will
fill it and give it back. Their responses will be analyzed and observed to carry out the
efficiency in the business process of the company. The company can also collect the
feedbacks from the staff and new employees (Lutans, 2011).

Monitoring the process

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a. Coffeeville will have to follow Equality Act 2010 for observing all of the selection
and staffingactions for analyzing the procedure
b. Request for the job role will be proposed by online channels. Along with this,
candidates should also need to complete the equality monitoring explanation as the
part of the application
c. If an employee gives a suitable justification for not applying then the data of
equality monitoring should be achieved>

Ms. Joan & Ms. Emma Belcastran

Executive Director
Coffeeville 
13 Hill Street Boston, MA02116
Dear Ms. Joan & Emma</b

This letter is to make you aware that I am glad to provide this plan in order to make the
plans and policies as well as strategies for the selection, recruitment and induction of new
staff which will be required in the new branch of Coffeeville which is planned to be
opened in the new market so that proper expansion of the business.

Due to the lack of efficient staff, firm can face many losses so; proper recruitment is
needed for the expansion of business. Thus plan suggests that attracting the candidates by
wider sources like internet and various tools i.e. psychometric testing and drug testing for
the selection of new staff will be very helpful in attaining the long term business goals and
objectives. Along with this, the plan also includes the use of new technologies related to
training and induction of the employees. The plan also includes videos, movies and
PowerPoint presentations to educate the employees about the culture of the company and
make them aware about the expectation and duties.

Information about pay scale, process of leave granted and the collection of feedback after
process implementation is given in detail in the proposal. The collection of the feedback
will be done by the distribution of questionnaire. In order to follow the plan and policy,
proper approval will be taken from the finance department.

All your approvals and contributions will be highly respected.

Sincerely,
Christopher Fisher

Strategy for communication

1. Employee orientedcommunication will be take place from upper to lower level

2. by conferences and the printed documents, supervisors will be aware about the
proposal
3. In the message, reliability will be managed effectively
4. Natural but charismatic and properlydesigned communication will be done
5. Interaction by the managers will be very effective and chosen
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6. Staff communication will be on the priority as they are the part of business and will
be required for the effective planning and budgeting
7. There will be appropriateincorporation between inside and outsideinteractions
8. The manner of the interaction will be an important fraction of the plan and
9. Feedback will be gathered whether staff have understood the information or not

COMMUNICATION PLAN
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PERFORMANCE DATA OF NEW BUSINESS
Six month review of implementation of the business plan
The following staff was involved in the last 6 months operation of the new restaurant
Staff Role and responsibilities
1. Steve –(Restaurant Manage and promote the
Manager) restaurant to deliver business
objectives
2. Anderson (Accountant) Plan financial management and
provide budgets and financials
and recording data and preparing
reports
3. Fredrick (Head Chef- Menu management and
Kitchen operations) preparation of fine foods through
other cooks
4. Kylie (Cook) Cook quality and tasty food on
table orders and plate them on a
5. Peter (Cook)
very appealing presentation.
6. Cloe (Cook)
7. Lee (Cook)
8. Sam (Supply and Facilitate the supply of
logistics) ingredients and equipment
9. Joe (Head Waiter) Manage and facilitate the
restaurant banquet operation
10. Lin Su (Waiter) Arrange the tables’ dressings
11. Joss (Waiter) Arrange crockery and cutlery on
the table
12. Kim (Waiter)
Take orders from customers
13. Jessie (Waiter)
Provide information to customers
14. Mary (Waiter)
Serve the table with ordered food
Clear and clean the tables
Bill the customers
15. Rita (Cashier) Payment collection from
customers
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Performance expected
Achieve planned business
performance during the period
Manage finances, prepare
budgets and provide timely
reports to management
Quality and timely food with
less or no complaints
Excellent customer service
Top level communication and
quality presentation
Zero complaints from clients
Stock management and
replenishment of stock
Smooth operation of the
restaurant tables and food
supply
Ensure patrons are serviced
well by providing information
about the menu, taking orders,
and serving food observing
customer service policies and
procedures, and especially
keeping patrons satisfied and
no complaints.
Manage and report cash inflow
from the restaurant
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Extract from the Statement of Financial Performance (for the last 6 months)

Description Budgeted ($) Actual ($)

Sales 900,000 650,000

Cost of sales 270,000 227,500

Gross profit 630,000 422,500

Expenses

Rent 36,000 36,000

Salaries/Wages 330,000 330,000

Utilities 9,000 10,000

Advertising and sales promotions 12,000 15,000

Others 6,000 14,000

Net profit before tax 237,000 17,500

Tax @ 30% (Income Tax) 71,100 12,250

Net profit 165,900 5,250

The partner managers/ business owners are not satisfied with the last six month operation
of new business and wonder whether it is a failure in:

1. business planning,

2. plan implementation or

3. monitoring performance

They expect to analyze performance against business objectives, review performance

indicators and identify and coach and train under performers in order to ensure the
continuous improvement of the business

The following occurred during the past 6 months of operation

 Some staff were not clear about the business objectives and strategies

 Some staff were not clear about their performance requirements

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 Some staff did not have the required skills to perform their duties

 Performance reports were not user-friendly and were not available at regular
intervals

 Senior management were not aware about the system failures or any other
insufficiencies in the operation

There have been 303 complaints regarding:

1. Delays in service (36 complaints) ,

2. Wrong orders taken (22 complaints),

3. Delays in processing the bill (31 complaints),

4. Inconsistency in food served (29 complaints),

5. Food served are over cooked/under cooked (47 )

6. Tables not cleaned well (28 complaints)

7. Over charged -not given the right balance of payment(18 complaints)

8. Some foods on the menu not available when ordered (12 complaints)

9. Unsatisfactory customer service (38 complaints)

10. Unsatisfactory food presentation/tasteless food (42 complaints)

TASK 3 – RESPOND TO PERFORMANCE DATA

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After review the management team has agreeded with the ,business plan as
above and green light to implement the plan.

Question 1

After completing a comparison of current performance against desired performances

levels, identify the corrective actions required to achieve the business plan goal of
improving warehouse productivity by 10%. What type of corrective actions do you
recommend for each performance improvement? Interim, Adaptive, Corrective,
Preventative, Contingency.

 Area  Required corrective action

 Time
ADAPTIVE
 Average order processing
time

 Cost
ADAPTIVE
 Average cost to process and

order

 Quality
 PREVENTIVE
 Error Rate

 Production 

 Average number of orders ADAPTIVE

processed per day


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 

Question 2 1. Critically analyze the performance against planned objectives.

 Average Time for processing orders is 8 minutes over expected

 performance Average cost to process an order is $20 over expected performance.

 Current Error rate is 10% over the expected performance of 1% or less.

 Average numbers of orders processed per day is 50, 5 orders under the expected
55.

2. Report on system failures which contributed to these results a. Consider failures in

communication, planning, reporting and training

Training and Communication: As discovered during review of the warehouse KPI and
results and that all warehouse supervisors are junior and new to management roles,
suggests that training is lacking for these new managers on how to properly manager
their staff. In addition to communication to these managers to ensure we have clear
expectations communicated to them for their roles as managers and for the warehouse
performance.

Reporting: Furthermore it appears there are inconsistencies in the performance ratings

given to the warehouse employees due to the inconsistent performance against the
warehouse end of year results.

Planning: Better planning needs to be implemented for the promotion and arrival of
new managers in the warehouse. This is to ensure adequate training is provided and
clear expectations are set around communication and reporting on warehouse KPI and
employee performance and warehouse results.
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4. Review performance indicators and refine if necessary

(a). Comment on the suitability of performance indicators and what changes might be
required to achieve organizational goals

The graphing of graphs of number of orders and absenteeism is a good indicator as it is

clear there is a correlation between the absenteeism and reduction in orders processed
between the months of May through to August. This would suggest if employee
engagement and reduction in absenteeism could increase the number of orders processed
over this period. The KPIs and Warehouse End of Year performance is a good indicator of
understanding in performance, however I would suggest reporting on a monthly or
quarterly basis so that this issue can be identified earlier. I would suggest that planning is
set for training for new managers as that are introduced their new roles on how to correctly
perform and report KRA and KPI and have clear communication on the expectations for
their role, in addition to clear communication on expected performance for the warehouse
and its impact on the organization.

Question 3

1. Recommend performance improvement strategies

 Review and obtain feedback on the performance of the WMS system to understand
if the system is having and adverse effects on performance.

 Training new managers on KRA, KPI, performance management and

communication for assisting employees performed to expectations in their roles.

 Provide clear communication to Managers and Employees on performance

expectations, results and impact for the warehouse and organization as a whole.

 Create accountability system for managers when staff are not performing as
expected and processes are not followed.

 To maintain the business the company has to keep update for the market need in
the area and focus on customer need changing, like this pin reginal areas.
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3. Document a training and development strategy to address the performance of

underperforming individuals or team Identify development needs of individuals and
groups Identify training/coaching needs. Present in a development plan

Development Plan
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Question 4 Develop a strategy for reviewing system processes and work methods Describe
how the implementation of your strategy would lead to continuous improvement.
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1. Perform internal audits to understand the effectiveness of the WMS system

2. Monitor and review the results of the Warehouse Manager training and communication

3. Survey Warehouse employees on their understanding of expectationsperformance and

engagement

4. Offer support and guides as required to employees on performance expectations, if

unclear.

By implementing the points above we can clarify and set the performance
expectations for employees in order to achieve performance improvements. There is
an obvious lack of clarity on employee expectations and the will be definite
improvements once employees are clear on performance expectations. If after
clarifying performance objectives, performance does not increase, we will have clear
indicators on KRA and KPI to understand if it is still employee performance related.
Furthermore we can identify any issues with the WMS system to improve
performance is this WMS system is a contribution factor to lack of performance

ACTIVITIES

Activity 1
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In groups, or as directed by the instructor, review and evaluate pre-existing strategic,

business and operational plan, if available. Does your organisation have a pre-existing
strategic, business and operational plan? Briefly describe it.

Strategic, Business and Operational plan:

The strategic plan outlines the organisation’s direction for the future and a broad
framework of goals and objectives to be achieved in line with this direction.

The strategic plan for our firm will typically be applicable across a three to five-year
period, and we will identify the areas that need particular attention during this period to
ensure the organisation gets to where it wants to be.

If the objectives identified in the strategic plan are to be achieved, it is essential the related
strategies be further mapped out in an operational plan that details specific actions to be
undertaken.

 I will pull together a diverse, yet appropriate group of people to make up our
planning team.
 By allowing time for big-picture, strategic thinking
 Getting full commitment from key people in my organization
 I will always welcome open and free discussion regardless of each person’s
position within the organization.
 Thinking about execution of business before I start my own business and start
dealing with clients.
 In my organisation strategies will be a habit, not just a retreat.

Activity 2
How would you describe your organisation’s vision? How would you describe your
organisation’s mission? What are your organisation’s objectives?

Our Vision is that our organisation that we intend to provide our customers with the best
online shopping experience from beginning to end, with a smart, searchable website, easy-
to-follow instructions, clear and secure payment methods, and fast, quality delivery.

Our mission is to enhance our customers' experience by providing the very highest quality
products and services possible. Our customer support strategy is based upon total, no-
compromise customer satisfaction and we continually strive to offer a complete package of
up-to-date value added solutions to meet our customers' needs. We value above all our
long-term customer relations.
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Organisational Objectives:
 Grow Shareholder value
 Ensure financial Sustainability
 Reduce cost by a certain amount annually
 Reduce waste by a certain amount
 Improve and maintain workplace safety
 Diversify and grow revenue streams

Activity 3
In groups, or as directed by the instructor, conduct an exercise in identifying consultation
with key or other stakeholders and a review of various market requirements, using a
workplace example.

What are internal environment factors? What are external environmental factors?

 Internal Factors that might affect the organisation:

 Financial resources like funding, investment opportunities and sources of

income.
 Physical resources like company’s location, equipment, and facilities
 Human resources like employees, target audiences, and volunteers
 Access to natural resources, patents, copyrights, and trademarks
 Current processes like employee programs, software systems, and department
hierarchies

 External Factors that might affect the organisation:

The factors that occur outside of the company that cause change inside organizations and
are, for the most part, beyond the control of the company. Customers, competition, the
economy, technology, political and social conditions, and resources are common external
factors that influence the organization. Even though the external environment occurs
outside of an organization, it can have a significant influence on its current operations,
growth, and long-term sustainability. Ignoring external forces can be a detrimental mistake
for managers to make. As such, it is imperative that managers continually monitor and
adapt to the external environment, working to make proactive changes earlier on rather
than having to take a reactive approach, which can lead to a vastly different outcome.
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Activity 4
In groups, or as directed by the instructor, conducts an exercise of consultation with key
stakeholders to develop information on performance objectives and measures that may
impact on your business plan.

The setting of Key Performance Indicators (abbreviated as KPI) is an important aspect of

the strategic planning process and plays a major role in the measurement of progress of
the organisation towards the attainment of its planned goals. This measurement of progress
is an essential feature of strategic plan implementation (i.e. plans are one thing, but making
things actually happen is quite another). Organisation management must periodically
assess progress and take corrective action if progress is not being achieved. Without
periodic assessment of progress, strategic plans are likely to fail.

Five strategies that will help you manage your project’s stakeholders are:
 Stakeholder mapping- early in the project, conduct a thorough stakeholder analysis
to identify your stakeholders. 
 Influence is key- to measure the possible influence of your stakeholders, identify
their level on a scale ranking from high, medium to low:
 Identify the triggers
 Look for opportunities
 Proactive mitigation

Activity 5

what three types of resources do you have to think about when creating a business plan?
Give specific examples. Give examples of intangible physical resources. What might affect
an organisation’s ability to raise new funds?

 Financial Resources: Arrange adequate business start up money

 Educational Resources: Knowledge and skills about the different aspect of
business.
 Human Resources: Hiring of experienced professionals with track records of
excellence within their area of expertise.
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The best example of intangible resource: Goodwill usually results from taking over
another business or acquiring their assets. It is the difference between the tangible value of
assets that you buy and the price you pay.

Factors might affect an organisation’s ability to raise new funds:

 The size of an organization may affect the return on investment.

 The age of an organization. A well-established organization will likely have a
greater return on investment than a newly established non-profit.
 The location of the organization. An organization located in an affluent region of
the country should expect a higher return on investment than one located in a less
affluent area.
 The age of the fundraising department. A mature, professionally run development
program will be expected to produce a higher return on investment than a newly
formed department.

Activity 6
what is a new activity? Why might a new activity need to carry out risk management?

New Activity defined as, any activity engaged in the business primarily for the purpose of
making profit. The core activities of a business are closely related to organisation's strategy
expressed in customer service, marketing, and product design.
Whenever we are dealing with new activity, we need to make sure that we are placing
client needlessly in the path of hazards. For this reason, when we plan activities for elderly
clients we need to assess the activity for potential hazards and their associated risks. An
Activities Risk Assessment can support good client care.

Step-by-step process to manage risk of new activity:

 Identifying hazards—find out what could cause harm.

 Assessing risks (if necessary)—understands the nature of the harm that could be
caused by the hazard, how serious the harm could be and the likelihood of it
happening.
 Controlling risks—implement the most effective control measure that is reasonably
practicable in the circumstances.
 Reviewing control measures—ensure control measures are working as planned.

Activity 7
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What should a written business plan include? What are the components that make up a
typical business plan? Explain each in turn.

The written business place should include:

 The Executive Summary
 Business Overview
 Operational Plan
 Market Analysis
 Products and Services
 Sales and Marketing
 Competitive Analysis
 Management Team
 Financial Plan
 Projections


The components that make up typical business plan are:

 Business concept. Describes the business, its product and the market it will serve.
It should point out just exactly what will be sold, to whom and why the business
will hold a competitive advantage.
 Financial features. Highlights the important financial points of the business
including sales, profits, cash flows and return on investment.
 Financial requirements. Clearly states the capital needed to start the business and
to expand. It should detail how the capital will be used, and the equity, if any, that
will be provided for funding. If the loan for initial capital will be based on security
instead of equity, you should also specify the source of collateral.
 Current business position. Furnishes relevant information about the company, its
legal form of operation, when it was formed, the principal owners and key
personnel.
 Major achievements. Details any developments within the company that are
essential to the success of the business. Major achievements include items like
patents, prototypes, location of a facility, any crucial contracts that need to be in
place for product development, or results from any test marketing that has been
conducted.

Activity 8
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what areas do you need to address in a communications plan? What are the advantages of
segmenting your stakeholders and employees?

Developing a communication plan by providing:

 A statement of purpose
 Your current situation (PEST Analysis, SWOT Analysis and Competitor Analysis)
 Organisational objectives and communications objective.

The advantages of segmenting your stakeholders and employees:

 Draw on in-house knowledge and relationships to identify possible stakeholders.

 Analyse socio-economic profiling information to identify sub-sectors within the
community.
 Call for expressions of interest from groups or individuals. Public announcements
such as meetings, advertisements, newsletters, community networks or the media
may be used to promote the call for interest.
 Useful information sources include records of submissions received or attendance
at public meetings, and social and economic profiles.
 New approaches to considering stakeholders are a good way to think more broadly
than the ‘usual suspects’. Preparing checklists is a useful mechanism to share
information between staff members. Classifying the stakeholders into broad
groupings helps to clarify in what way they are a stakeholder, and how they are
interacted with.
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Activity 9
Complete the table below. Drawing on examples from your workplace, or as provided by
the instructor:

 Describe the
parameters of your
skilled labour that
would be available to
implement a new
business plan.

 Describe examples of  Integrated Justice Information System (By

the governance Kelly J. Harris)
structure in place.
 A board capable of providing objective oversight
  An independent nominating committee to ensure the
appropriate succession of the board
  An audit committee, whose primary responsibility is
to report whether the organization is in compliance

with the laws, rules, regulations and contracts that
govern it
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Give examples of measurement tools you have used and what they are good for.
 Measurement tool  Your comments

 Questionnaires  It a form that contains

question to know market
demand & supply

 Interviews  It gives more detailed

analyses regarding needs and
wants of the customer as it’s
mostly Face-to-Face.

 Observation  It is creative and captures the

reality of customer.

Activity 10
what aspects of the business may you need to report on?What is meant by user-friendly
and how can you achieve this?

A well planned report contributes to effective communication, whereas a hastily written

report frequently leads to misunderstanding. Some of the aspects that my business would
need to report on are:

 Identify the purpose, audience and context for a report

 Select appropriate report content
 Choose an appropriate medium(Direct or Indirect collection of data)
 Choose a report structure that complements its purpose, audience, context, and
content.
 Apply outlining strategies and electronic technology to develop your report
structure.
 Collaborate effectively to draft, revise, and edit a report
 Consider ethical implication that may arise during the planning process.

User-friendly describes a hardware device or software interface that is easy to use.User-

friendly products are typically more successful than those with complex, convoluted
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interfaces that are difficult to use. The following are several common attributes found in
user-friendly interfaces.

 Simple. A user-friendly interface is not overly complex, but instead is

straightforward, providing quick access to common features or commands.
 Clean. A good user interface is well-organized, making it easy to locate different
tools and options.
 Intuitive. In order to be user-friendly, an interface must be make sense to the
average user and should require minimal explanation for how to use it.
 Reliable. An unreliable product is not user-friendly, since it will cause undue
frustration for the user. A user-friendly product is reliable and does not malfunction
or crash.

Activity 11
Describe a system or product failure that has occurred at your workplace. (If you cannot
think of a failure that has occurred think of a potential one

Product and brand failures occur on an ongoing basis to varying degrees within most
product-based organizations. This is the negative aspect of the development and marketing
process. The primary goal is to learn from product and brand failures so that future product
development, design, strategy and implementation will be more successful.

Even in my organisation we launched a product and after 4 months the sales started
declining very badly. All this happened by incorrectly positioned productand not
understanding the target market segment and the branding process that would provide the
most value for that segment.
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Activity 12

 What is  How is it
analysed/measured analysed/measure
? d?

 

Measures to prevent organisation failure are listed below:

 Testing All Stages of the Customer Experience- First Impressions, Early

Experiences, and Maturity

 Real-World Usability Testing

1. Discover new or unanticipated product features that improve product
profitability.
2. Validate assumptions to create more effective upsells and cross-sells.
3. Validate assumptions early to avoid the high cost of changes late in the
development cycle.

 Avoid unintentional problems by revealing the real user experience.

1. Test your branding perception and create compelling marketing
communications that paint an accurate picture.
2. Improve product performance and compare it against competitors.

Activity 13
what are your weaknesses?How do you think you could overcome these weaknesses?

 First weakness - PowerPoint

Although I am very good with applications of PowerPoint, its tools and functions, I am
not the greatest when it comes to designing the slides.
 Second Weakness - Not a copywriter
I am not a copywriter. And my ability to write long reports depends on who I have in
my team.
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Weakness is an area of my life that I have accepted, something that I drag around, that
slows medown; because this is the way I was taught. I saw someone acting this way so I
took it as the truth; this was something that I observed.

To overcome from my weaknesses, I engage myself in the necessary pattern of thinking to

unlearn what is not working and build it into strength. When I get past the average,I will
pass the greatness on to others. All I need to do is to choose to change the way you were
taught or told. Unlearn my weakness and use them as stepping stones to greater strengths.
Start finding ways to turn my weakness into strengths. There are no weaknesses in people;
they are only the choices, because I have allowed those choices.

Activity 14
what steps do you need to take to review system process and work methods?Give
examples of some continuous improvements that have been made, or could be made, by
your business.

The best way to streamline system process and improve workflow is by assessing my
organisation operations, looking for the way to automate or remove steps that are not
necessary.

 Assess Existing Processes-Look at what you are currently doing with open eyes.
Ask for feedback from existing staff about what frustrates them in the day and what
works well.

 Analyze Results-Once you have collected data from your assessment, evaluate
your work processes. Maybe employees say that the order process stalls because
the computers freeze. Customers might complain about hold times on the phone.

 Prioritize Key Areas of Focus-After analyzing results; rank each process in the
order of importance, or rate on a scale of one to 10. This helps you focus on areas
that have the highest potential for improving workflow.

 Automate and Streamline-Take each process in order of priority and look at

exactly how the process works. You are looking for steps you can remove to
streamline the process.
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Prepare to Adjust-Change the processes based on your results. Once you have the new
process in place, train employees and explain that the new process is there to help
everyone be happier and more productive.