Bus_475_Strategic_Plan

Final Strategic Plan BUS/475 – Integrated Business Topics Waseem Boshra May 7, 2012 Tosh Stuart Final Strategic Plan Total Wellness therapy business focuses on relaxation as an moderate help for stress relief and healthy living. Total Wellness provides their clients with products and techniques to practice home relaxation therapy from the comfort of their own home. The variety of products, include aromatherapy, perfumes, and herbs that ease in self- healing and self relaxation. Total Wellness goal is to achieve a healthy balance of mind, spirit, and body. Their goal is to provide their clients with 100% customer satisfaction. Business, Products, and Customers: Mission Statement Total Wellness is created to provide special services to their clients by combing a variety of culture, and religions all with one goal, which is achieving total relaxation and stress relief. With any business, Total Wellness Centers face competition from existing businesses that retail in similar products that specialize total mind, body and soul. Also they compete with other gyms and spas. Clients find themselves with a choice between going to a spa and paying top dollar for services needed or purchasing their own products and using them in the comfort of their own home. Total Wellness goals are to provide the same atmosphere and creating a niche for their business by providing the same products at a discounted price for their clients and to be used in the comfort of their own homes. To establish the brand name and niche in the market, Total Wellness will have to display a variety of guided imagery, which is different techniques used for stress relief. These guide images will be available to clients to use in the comfort of their homes. Total Wellness mission statement is to provide the highest quality of products and services at a discounted price providing the client with a balanced mind, body soul wellness. Organization Vision [pic] In most successful businesses a vision statement is stated as an attraction to the public.“A vision statement presents the firm’s strategic intent that focuses the energies and resources of the company on achieving a desirable future” (Pearce & Robinson, 2009, “p”37). Total Wellness vision is to provide top products, tools, and techniques available from all over the world to satisfy the clients wellness needs in the comfort of their own homes. The future vision of Total Wellness is to have employees who believe in their products as well as the public to be 100% satisfied of their product lines. By establishing all the above, Total Wellness will achieve their goals and become a company embodied with their values and visions. “Values are standards which we strive to achieve. Values are practical habits that enable us as individuals to live, be successful and achieve happiness” (Pearce & Robinson, 2009, “p”45) Clients as well as employees can understand that standards set by a company can be met and achieved. Total Wellness values will direct the company to achieve their stated missions and visions statements. These statements, describe the type of products, services, and sets a direct emphasis on the company core values and strategic planning. Guiding Principles: Culture, Social Responsibility, and Ethics Total Wellness establishes a value-oriented niche that will provide a direct emphasis on their variety of different methods, cultures, products, and services. By accomplishing this, Total wellness will be incorporating the culture experience and the needs of the clients in the store. Total Wellness will have a comfortable quite and relaxing atmosphere for clients when shopping in the store. The store will have a wide range of perfumes, spices, and aroma therapy oils that provide clients with stress relief and promote total mind, body, and soul relaxation. This is to achieve total mind, body and soul balance. Total Wellness will practice their core values of integrity and honesty when conducting business transactions with their clients. Total Wellness must commit to all the stated above while remaining social responsible and offering their client 100% satisfaction guarantee. Total Wellness will maintain being socially responsible by contributing back to their community. Social responsibility will also be demonstrated by Total Wellness by conducting business with investors, customers, and its employees in an honest manner. The company will provide society with programs that contribute back to the community. This will establish and demonstrate the company values to the community. Organization Strategic Direction The company’s strategic direction can be defined as their plans and value are aligned with their intended mission, vision statements. In defining the company’s vision, goals, values, a company can start to move in the right direction and prosper. This direction allows the company and its employees to have an idea of what to expect from the company and to achieve the company goals. Total Wellness vision and values gives the company a goal plan to achieve its goals while standing behind their vision and values statements. Customer Needs and Competitive Advantage Total Wellness vision is for the company to provide a relaxed atmosphere for its clients. The mission of this company is to provide location where customers can shop in a relaxed atmosphere. Their locations are open to the public regardless of religion, gender race. Total Wellness strives in conducting business with integrity and honesty achieving 100% satisfaction to its clients. This helps the company grow and conduct business in the next few years. The company’s strategic planning will consist of a review of the company’s vision and mission statements on a constant basis so that the company can identify they are proceeding in the right business path. A benchmark will be developed through the company’s vision, mission, and values. This will measure and determine that all business decisions are made in the right manner to accomplish all company goals. These decisions will determine the company’s success and prosperity. Total Wellness mission is to provide the best quality products and services in a manner that it will provide goods to a diverse range of cultures. The company has a strict set of goals and values, which hold integrity and honesty at the highest business level in conducting business with their clients and community. Total Wellness values are important to the company officials, and its employees because it must support the company’s vision, mission, and values in conducting business with the public. Total Wellness strategic direction will be based upon establishing their defined mission, values, and goal. SWOTT Analysis To conduct a SWOTT analysis, Total Wellness Centers need to answer questions relating to the company’s strengths. Question asked in the SWOTT analysis are resources, strengths in market segment and what does the company exceed more in over the competition. Once the above points have been addressed, the company needs to assess the factors that contribute to the loss in revenue sales. Total Wellness leaders need to consider these angles from an internal and external perspective as well giving attention to customer’s reactions and feelings. Once Total Wellness has indentified the strength and weaknesses, the company can identify the opportunities for the company in the future. Some topics to be investigated in conducting a SWOTT analysis are, trend purchasing pattern of the clients, different opportunities the company can identify in the future. Finally changes in technology and market segment. Additional areas for Total Wellness to look for opportunities are to assess the company’s strength and identify which ones can lead to new prosperous opportunity. Another way for the company to identify opportunities is to identify the company’s weaknesses and identify which opportunities can be developed by eliminating the company’s weaknesses. The final step in conducting a SWOTT analysis is to identify potential threats that the company can face. This can be identified by finding the obvious obstacles that the company is facing currently and in the future. Some of these obstacles and threats are, competition of products, changes in technology that threaten the position of the company and cause financial standing or problems. In some businesses, a minor weakness overlooked can cripple a business and cause it to fail but if the proper SWOTT analysis is conducted, certain problems can be avoided. Economic Total Wellness’s economic environment will include geographic information of related household income levels. This will help aid in pricing the products and identify the tools and techniques offered to clients. Total Wellness will be budget friendly in the eyes of its clients. Each location will stock products that will appeal to everyone and every culture preference. Each location will make efforts to adapt new products to accommodate all local cultures and community. Each location may encounter some type of economical weakness and threat, this will have to be closely monitored. A weakness that (TW) will have to deal with on a daily is the present economy. In a slow economy, (TW) will have to identify new ways of attracting as well as helping customers to finding the best value for their dollars. One economic trend to create for each store is to have each store meet the growing demand of these relaxations products. In a slumping economy, clients are in search for alternative ways to experiencing relaxation on a budget. This is an opportunity for (TW) to build a niche as well as a brand name for themselves in the community. This will also help increase customer loyalty as well as customer retention and constant increase of sales revenues. Legal/Regulatory In owning, a business, it is important to understand the legal structure of a company. (TW) goals is to influence the purchasing strategy and price of the products offered. (TW) is a Sole Proprietorship. In this business structure the assets are held by the owner and the only stakeholder is the bank or lender. The company’s major strength is that it does not have to obtain any type of special license. (TW) well be required to obtain a health inspection certificate, state business license and a sales tax license will be necessary in order for the store to sell merchandise. Another strength that (TW) centers have is the ability to purchase insurance for each locations as well as employees, (TW) also protects their assets and initial investments by having insurance that protects the customers in case any injury or occurrences happen in the store. By making sure the company has the proper insurance, the company is safe guarding their locations as well as their assets. (TW) leased each location with an option to purchase the land and property later if they wish too. Technology Technology and the tremendous impact it has on marketing decisions. (TW) technological strength will offer locations that will allow clients to purchase products and participate in store workshops that will inform them of new tools and techniques to aid in self relaxation in the comfort of their own home. The company will also hire employees who are majoring in health care and relaxation therapy. This will help each location by having constant up to date techniques and tools of relaxation therapy. A weakness that the company will encounter is the limitation of funding for start-up capital for new equipment. This equipment is new computers and certain message tables. The company will have to rent some of these tables. Innovation Innovation and its strength is centered on customer diversity that will require each location to offer variety of products that are appealing to everyone from different ethnicities. (TW) will expand their operations in the future allowing their clients to participate in workshops that will teach people how to alleviate and cope with stress. One weakness that the store will encounter is the challenge of properly marketing products to the public. The company will be threatened by competition if not meeting client expectation, which is 100% satisfaction guarantee. Strategy A vision statement presents the firm’s strategic intent that focuses the energies and resources of the company on achieving a desirable future” (Pearce & Robinson, 2009, “p”37) (TW) must develop a strategy that will give the company the opportunity to prosper and expand offering products that competitors are not able to. Another opportunity and strength that (TW) posses is the ability to choose a good location for the store where it will be easily accessible by the public. The store will be strategically located in a downtown area where it can be easily accessible to the community. The economy will be one of the largest weaknesses and threats that (TW) will encounter and have to overcome. The store will be strategically located in a downtown area where it can be easily accessible to the community. Structure (TW) biggest structural strength is the company can use an existing building to conduct business instead of building a new one. The locations are in the downtown area where the community can have easy access to the store. In using an existing building for business, the company encounters another weakness The weakness is the company cannot use the full potential of the building because it may not be large enough in the future if business prospers for the company. An opportunity that the company may encounter in the future is to purchasing a new building that will allow the company to sell products and conduct their weekly workshops. Since (TW) does not hold ownership to the building of either of their location, this can be a serious threat, especially if there is a natural disaster. An example of these disasters would be a tornado or any type of natural disaster. The company cannot have the ability to have control over the timeframe repairs of rebuilding potential damage. Resources (TW)’s strength is it has the power to use fully the company’s resources. Some of these resources are the company’s employees knowledge of products, equipment, and an undisclosed funding available from the bank. At the same time, some of the company’s strength can be its weakness. Making sure that all staff members, are fulfilling their job duties and also properly trained in providing relaxation therapy, is a company weakness that the company may encounter. In conducting business with company resources, a big part of business is to find better suppliers that will help provide different items at a good wholesale price. The only threat that store can encounter is if clients start searching for different methods of alternative healing therapy. Culture (TW) strength is the ability to attract and appeal the store and its products to a vast diversity of cultures in the community. The company will pride itself in holding the niche name brand for these types of products within the community. The company will also incorporate honesty and integrity while conducting business transactions between clients, employees, and suppliers. The company will also contribute to the community as well as the environment. One cultural weakness that the company may encounter is the poor economic growth. This will limit the company’s financial ability to embrace the cultural differences and customs. While embracing, different cultures, the company has to be couscous of how to conduct this aspect and point of business because it may offend others. Balanced Scorecard A Balanced Scorecard is, “A set of four measures directly linked to a company’s strategy: financial performance, customer knowledge, internal business processes, and learning and growth” (Pearce & Robinson, 2009, p. 202). Total Wellness will develop a balanced scorecard that will assist in identifying the organization’s mission, values, and vision. This will also assist in the organizations SWOTT analysis. This paper will explicate four perspectives of the organization, which aligns to the company’s mission, vision, values, and SWOTT analysis Shareholder Value/Financial Perspective Total Wellness will need to look at the company’s asset utilization, customer satisfaction, increased Internet sales, to achieve financial stability. One method to identify the measures is to monitor earning per share, business operational cost, return of investment. By conducting the above Total Wellness will achieve the company’s goals defined in the mission and vision statement. Customer Value Perspective Total Wellness is new company in the downtown area; customers will be determining the success of the company. Increase in customer satisfaction, increase in market share along with the delivery of products and services promised to customers. This will display the company’s consistency displaying value and quality to everyone. This special treatment will include special populations, increase in public awareness and visibility to the community. This will aid in the company’s engagement with the community. This will help improve the brands image. The best method for (TW) on achieve and be successful at the company objectives is to create a set of performance tools that will help measure the success in reaching the company goals. (TW) will need to monitor promotion, customer surveys, store brand awareness and be constantly in search of lower wholes prices to purchasing products for retail. Any poor company or employee surveys or reviews can lead to a company’s turmoil. It is important for (TW) to know customers perception of the brand name and to for customers also to identify if the company’s values and mission align with their statements. A good way to initiate new customers is to promote in surrounding cities offering discount promotion and customer reward cards. . Process/Internal Operations Perspective To excel in satisfying customers, Total Wellness strategic goals should be developed in a way that will internally meet the customers’ needs and satisfaction. The company’s strategic goals should align with the company’s mission, vision, and value statements. Total Wellness strategic company goals will be to improve business process, improving marketing of store and products. The company’s strategic objectives should be constantly monitored daily to ensure 100% satisfactory for the company. The best method for (TW) to ensure this is to develop a set of performance agents or tools that will measure the objectives to monitor they ate achieved. The company will need to decrease in products duplicated in the store. Monitor revenue earned from new and existing programs. The company will also need to monitor that orders are received on time as well as increase in products and services offered. (TW) should start a new marketing program, which offers customers a frequent purchasing program. This will assist in attracting new customers. Learning and Growth Perspective For Total Wellness to achieve the goals and mission, the company must learn to improve. This s initially based on how the scorecard is built. In achieving this aspect of business the company will include employee training and the company’s cultural attitude, and the relation between these two are related to the company’s self-improvement. This particular area of the balance scorecard is to primary focus the company on the facilitation of future and further improvements in moving forward in technological changes. (TW) strategic objectives is to hire and retain a highly skilled workforce, increase of employee satisfaction and retention, improvement of organizational trust within the community as well as lenders and vendors. Another strategic objective that the company has aligned is the improvement of teamwork and also the improvement of technology within the company. There will be performance reviews that will implement and ensure customer satisfaction and customer retention as well as decrease employee turnover. Total Wellness has defined the four perspectives, which are, Financial, Learning, and Growth, Customer, and Internal Process. With each perspective Total Wellness has displayed and identified three strategic objectives targets performance measures of the internal and external objectives of the company. This company will need to incorporate their mission, vision, and values, and ensure that their strategic objectives are both aligned in achieving success in the public eye and also in the return of investment. Improve Corporate Citizenship Improvement in corporate citizenship is about organization considerations about the society and environment. It is the organizations responsibility that will ensure their scope of simple commercial relationships. Corporate citizenships is noticed by major companies as both a moral responsibility and an economic necessity. Corporate citizenships can be developed in about eight different business topics. Reputation management Risk profile and risk management Employee recruitment, motivation and retention Investor relations and access to capital Learning and innovation Competitiveness and market positioning Operational efficiency License to operate(Business Citizenship) Organizations that take corporate citizenship into consideration, can end up improving their business reputations as well as their operational efficiency. This will reduce risk exposure in all areas of business and encourage loyalty and innovation. Total Wellness will follow this method and is noticed as a great company to work for and also seen by the public a great company. In conclusion, Total Wellness must develop a good strategic plan that is clear and can define the company’s mission and vision. Strategic planning is a key factor in the success and prosperity of a company. The strategic process includes defining the company goals and objectives of a company. This will help guide the company on the correct path to achieving these goals. Total Wellness has developed a mission and vision statement that will help the company be successful in the present business era as well as the future Reference Pearce, J. A. II, & Robinson, R. B. (2009). Strategic management: Formulation, implementation, and control (11th ed.). New York: McGraw-Hill. World Business Citizenship; Improve business Citizenship. Retrieved May 7, 2012 from http://www.csrwire.com/pdf/Business-Case-for-Corporate-Citzenship.pdf