Business Plan
In order to accomplish our mission we set forth the following strategic goals, they include:
Build the Financial perspective of our business by addressing how shareholders view the firm and which financial goals are desired from the shareholder’s perspective. Goals are closely linked to the business lifecycle and must be adjusted over time. For example, in the early stages, our goal is revenue growth, but as the company becomes more sustainable, profitability will become more important.
Increase customer value by discovering what a customer’s needs and value expectations are and then meeting or exceeding these expectations. Some examples of things that customers value include a broad selection of products, quality, service, performance, and low price.
Achieve operational excellence through the internal productivity that optimizes those business processes that will best satisfy customers. Productivity is more than efficiency; it depends on the value of the products and services (utility, uniqueness, quality, convenience, availability, etc.) and the efficiency with which they are produced and delivered to the customers.
4. Recognize the importance of learning and growth by understanding changes in the infrastructure that are required to meet the above financial, customer and internal process objectives. This involves investment in the people, systems, and organizational perspectives. In other words, employees must be retained, satisfied and productivity, must have need access to information to do their jobs well and the objectives of the business and the strategy for their implementation must be identified, agreed and communicated.
External Environment:
In this step the external environment is defined in terms of the four segments of the environment (social, technological, economic, and political). Here is where the firm has no choice but to attempt to remain in dynamic equilibrium with its environment, those processes over which the firm has no control. (Briefly describe each of the four)
Social
Social factors include the demographic changes, trends in the way people live, work and think and cultural aspects of the macro environment. These factors are important because they affect customer needs and the size of potential markets. Examples of social factors that businesses need to consider include population growth rate, age distribution, career attitudes, stakeholder expectations, etc.
Technological
Technological factors are vital for competitive advantage, and are a major driver of change and efficiency. Technological factors can lower barriers to entry, reduce minimum efficient production levels, and influence outsourcing decisions. Further, new technology is changing the way business operates. For example, the Internet has had a profound impact on the business models of organizations. Technology means a faster exchange of information beneficial for businesses as they can react quickly to changes within their operating environment.
Economic
All businesses are affected by economical factors nationally and globally. Whether an economy is in a boom, recession or recovery will also affect consumer confidence and behavior. Some economic factors a business must consider include economic growth, interest rates, inflation, employment level per capital, and long-term growth aspects.
Political
The political arena has a huge influence upon the regulation of public and private sector businesses, and the spending power of consumers and other businesses. Political factors include government regulations and legal issues and define both formal and informal rules under which a business must operate. A business may have to consider political issues such as the stability of the internal/external political environment, the impact of employment laws, the impact of environmental regulations, and trade restrictions and tariffs.
Bibliography
Inman, Mark Lee. “The Balanced Scorecard.” 01 Feb. 2000. Available: http://www.acca.co.uk/publications/studentaccountant/44001 (Accessed 8 May 2005).
“PEST (Political, Economical Social and Technological Environment) Analysis.” Available: http://64.233.179.104/search?q=cache:_RfG0vbgwu4J:www.ucc.ie/quality/INTERNET/PESTAnalysis.pdf+social,+technological,+economic,+political+STEP& hl=en (Accessed 8 May 2005).
“The Balanced Scorecard, NetMBA. Available: http://www.netmba.com/accounting/mgmt/balanced-scorecard / (Accessed 8 May 2005).
Tolentino, Arturo, L., “New Concepts of Productivity and Its Improvement.” Available: http://64.233.179.104/search?q=cache:iFpuwCNeFvAJ:www.ilo.org/dyn/empent/docs/F1715412206/New%2520Concepts%2520of%2520Productivity.pdf+%22internal+productivity%22+priorities& hl=en (Accessed 8 May 2005).
“The Balanced Scorecard, NetMBA. Available: http://www.netmba.com/accounting/mgmt/balanced-scorecard / (Accessed 8 May 2005).
Tolentino, Arturo, L., “New Concepts of Productivity and Its Improvement.” Available: http://64.233.179.104/search?q=cache:iFpuwCNeFvAJ:www.ilo.org/dyn/empent/docs/F1715412206/New%2520Concepts%2520of%2520Productivity.pdf+%22internal+productivity%22+priorities& hl=en (Accessed 8 May 2005).
Inman, Mark Lee. “The Balanced Scorecard.” 01 Feb. 2000. Available: http://www.acca.co.uk/publications/studentaccountant/44001 (Accessed 8 May 2005).
“PEST (Political, Economical Social and Technological Environment) Analysis.” Available: http://64.233.179.104/search?q=cache:_RfG0vbgwu4J:www.ucc.ie/quality/INTERNET/PESTAnalysis.pdf+social,+technological,+economic,+political+STEP& hl=en (Accessed 8 May 2005).
Ibid.
Ibid.
Ibid.
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