Posted: July 30th, 2015

case study + strategic plan

case study + strategic plan

Order Description

This assignment focused upon a (fictional) SME, located at a small industrial unit in Newport, South Wales. You are to take the role of a consultant called to advise the Managing Director (MD) and his wife about the possibility of installing e-Business solutions to grow the business. The MD only requires you to consider the business case for implementation and not the technical detail.

CASE STUDY – RESIT Assessment 3
StayDry Umbrellas Ltd.
This assignment focused upon a (fictional) SME, located at a small industrial unit in Newport, South Wales. You are to take the role of a consultant called to advise the Managing Director (MD) and his wife about the possibility of installing e-Business solutions to grow the business.  The MD only requires you to consider the business case for implementation and not the technical detail.
Company details:
The company manufactures the popular ‘Keep Dry’ range of umbrellas, which may be customised. The prices involving the product portfolio are as follows:
Product    Sales price    Profit (per unit)    Annual unit sales    Profit (appx)
Basic Small    £4.99    £1.00    20,000    £20,000
Basic Small Foldable    £6.99    £1.70    20,000    £34,000
Basic Large    £9.99    £3.00    26,000    £78,000
Quality Large    £14.99    £4.00      5,000    £20,000
Custom, quality, Large    £24.99    £7.00      7,000    £49,000

Based on last year’s figures (which are typical of previous years), the business turnedover around £750,000. The wages bill was around £250,000, other running costs amounted to £150,000 (inc. advertising) and raw materials amounted to £150,000 leaving a pre-tax profit of around £200,000.
The firm currently employs the Managing Director, the Company Secretary (his wife) and a further 11 staff, 7 of which are involved in the manufacture and testing, 1 Production Manager, 2 administration staff (inc. receptionist) and 1 full-time salesperson.
The current market involves only Business to Business (B2B) transactions. By far the biggest customer is Marks and Spencer who typically account for 55% of the sales. Despite excellent sales figures last year, the MD is very concerned that the company might struggle next year having acknowledged that their biggest customer Marks and Spencer is experiencing a substantial drop in sales due to the current recession and could possible not extend the contract.
The management and staff have little knowledge or experience in e-Business. There are 6 desktop computers at the site that have full internet access but there is no server meaning that each computer operates as a separate entity.
Note that the MD will consult technical consultants with regards to the hardware and software required and you need not concern yourself with any technical detail. However, he has commissioned you to present a business case as to how the implementation of e-Business may help the SMEto grow and in non-technical terms, how systems may be implemented with minimal disruption. You will need to convince the MD that this implementation can be advantageous whilst also outlining the potential problems. You need also alleviate his concerns that the currently excellent staff morale could evaporate in consideration of their possible fear of change.
THE STRATEGIC PLAN IS AN INDIVIDUAL EFFORT
Higher scores will be awarded to students who apply research and offer theoretical underpinnings. Effective utilisation of the theoretical models presented in the course will increase your score as will evidence of reading around the subject literature.
Some items that you may wish to consider include the following:
1.    Supply and capacity
2.    Cultural issues
3.    Websites and e-commerce
4.    International business structure and strategy
5.    International marketing
6.    International politics
7.    Timescale
8.    Target (international) market – why?
9.    Potential benefits and potential shortfalls
10.    Conceptual model (e.g. Value Chain, 4Ps, 5-Forces, Product Positioning Map, etc.)
11.    Ethical issues
12.    Language and communications
13.    Resources (non financial)
14.    Any other items you believe to be relevant
15.    Theories on growth Klofsten, Greiner, Burns etc
Research is essential (e.g. surrounding literature, newspaper articles, web pages, etc.). You will need to make sure that all sources are properly referenced.
The word count for the report should be no more than2,500 words.
The re-sit submission date for this work is the 5h of August at 11.59pm via Turnitin.
Please alsobe aware that any attempt to plagiarise work will result in disciplinary action according to the standard University procedures. The assessment material is changed annually to reduce the possibility of plagiarism so it is your responsibility to ensure that you have the correct version.
Marking Scheme:
A logical and realistic strategy    30%
Critical evaluation of strategy    30%
Evidence of research / effective referencing    20%
Links to theoretical concepts    10%
Presentation    10%
100%