Development Plan: Electricity in Your Backyard - Coursework Example

 Executive Summary The business plan for my project is fairly simple and easy to comprehend. It deals with the biggest problem we humans face-the domestic electric requirements. We spend thousands of dollars on wasted electric bills which we can easily save if we learn the technique to produce electricity in our backyard. Through the means of my new project, which I have fondly termed “Energy At Your Backyard”, I would like to help people generate electricity through the means of both wind as well as solar energy. The crux of the plan is to devise a suitable methodology through which we can actually devise a strategy after which we would never be dependent on paying our electric and other power related bills to the state authorities. (Chiras & Chiras, 2006, pp. 15 - 18) While we spend at least a $1000 a year on our electric and utility bills, we never really realize that this is an additional burden which can easily be done away with. For this very purpose, we would be designing a suitable method through which we can use the natural energy sources such as the sun and the wind to harness the required power and that too at our backyard. The biggest advantage of this project is its cost effectiveness. With the entire product available at less than $200, the chances of people saving money are relatively high. At the same time, our environment too gets to breathe a sign of relief, for the energy we would be using is through natural sources and it is free from pollutants. (Sobha, 2007, p. 14) Energy At Your Backyard would be a structured program through which individuals would be able to assemble our product with ease. We would also be providing an instructions manual for the same so that people do not have any difficulty in doing so. Then again, Energy At Your Backyard, would be a user friendly program which can be used by just about any and every individual. You need not be an engineer to use this set up. It is easy to install, simple to use and simpler to maintain. In the end, it is a win-win situation for all. Description Of Venture Owing to the ever increasing cost of living, Energy At Your Backyard aims at creating a product which stops you from throwing your money out of the window and start generating your electric requirement from home. The consumers, after having installed Energy At Your Backyard, can reduce their electric bills by up to 80%. Likewise, they can also eliminate their bills completely. There are many reasons why you need to generate your power at home. Let me list some of the major ones in accordance to their degree of difficulty. (Smith, 2004, pp. 71 - 89) Through the means of Energy At Your Backyard, you have the ability to save hundreds of dollars each time you get an electric bill. Energy At Your Backyard is a completely non-polluting device through which you can allow your children to live in an environmentally safe atmosphere. The project is fairly easy to build. This ensures that you can now simply build the product at your backyard without the need of any external assistance. It would therefore be considered a fun project at home. The biggest advantage of Energy At Your Backyard is that now you would be able to generate your home electric power for well under $200. This is a great way of saving your hard earned money. After using Energy At Your Backyard, you would be able to use the money that you just saved on various other things. You would therefore have a wider range of options at your hands. The very feeling that you are aiding your planet is the biggest thrill so far. Energy At Your Backyard is a non-polluting product and hence it is supposedly healthy for your environment as well. Contrary to the popular belief, Energy At Your Backyard has the potential to be built without any external help. Its user friendly nature allows the product to be dismantled and assembled at you personal convenience. So, you save the unnecessary hassles of seeking the assistance of an engineer and the cost of maintaining the same. Industry Analysis The use of solar as well as hydro technologies is being looked on as the next best alternative to the conventional sources of energy. Immense research and analysis is being done to enhance the uplift these technologies and bring them at par with the other resources. As coal and natural gas are stated to finish by the end of the century, the need for finding suitable alternate sources is the need of the hour. At the same time, the energy derived from coal and natural gas is stated to cause immense pollution and is therefore best left alone. Solar power is fairly quick to develop and even quicker to harness. You can place a solar generated plant in six months flat. As compared to this, utility systems which are based on nuclear power take as much as 20 years to build. Likewise, the overall cost of placing a solar power plant is fairly low. Solar panels are easy to build as it involves melting silicon powder on cheap conducting substrates. You may also reduce the costs by creating a ribbon of silicon, which could either be an octagonal column or a plain two dimensional strip. This can then be pulled to shape through the means of a silicon melt. The growth of solar powered energy sources was pegged at $10 billion in the year 2007, which is stated to reach up to $78.7 billion dollars by the year 2014. This is a huge growth wherein a grid powered by solar energy is going to shoot up from 0.3% in the year 2007 to 6% in the year 2014. The advantage of solar as well as hydro powered units is considered essential as not only are they cheap, they are also conducive to saving our environments from the wrath of global warming. Taking cue from the above statement, Energy At Your Backyard, has the potential to ease your electricity requirements by a wide margin. (Porter, 1980) Marketing Plan The marketing plan for Energy At Your Backyard is not very difficult to comprehend. It is even simpler to execute. If we take into consideration the five elements of marketing mix then, the marketing strategy for Energy At Your Backyard, would be fairly simple to execute. (Luther, 2001) The Pricing Strategy If we go by the books then the product strategy for Energy At Your Backyard is fairly simple. The biggest advantage of this product is the pricing factor. As compared to numerous related solar products, this one is way cheaper. While conventional solar panels cost a minimum of $3000 to provide power to an ordinary household, Energy At Your Backyard would cost a mere $200 or even lesser. Likewise, for the hydro model, the overall price would be approximately $100. Now, this is no less than a steal. The Product Strategy Energy At your Backyard is a fairly strong product which has the ability to sustain on its own. It has immense potential and is therefore considered ideal for the global market. The name Energy At Your Backyard also exhibits the true colors of the product and relates to the usage as well. The name itself foretells the usage as the product is supposed to be assembled and used from your backyard. This is a catchy title which is sure to attract a lot of customers. The Distribution Network We would try and distribute the product through the means of our website, www.Energyatyourbackyard.com (not accessible/not yet created). Likewise, an effort would be made to formulate a campaign which makes ample use of SEO skills and PPC to attract customers to our site. Once the orders are placed, we would have the products dispatched from our warehouse to the consumer’s address. At present, the delivery would be limited to the US states only. Concept The concept of Energy At Your Backyard was devised by a team of leading research scientists who had a vision of spreading the advantages of a pure form of energy source which is not only permanent but also non-polluting. The Promotional Strategy Energy At Your Backyard would be promoted through the means of print as well as visual media. Likewise, PPC and SEO technique would also be used to enhance the overall advertising impact. Production/Operation Plan The best part about Energy At Your Backyard is the lack of complications involved. As compared to the huge operational plan which needs to be put in place before the onset of any major business project, Energy At Your Backyard involves the use of simple tools and spares which can be had through the means of a local hardware store. The solar as well as the hydro kit takes a few days to build, after which it is made to undergo rigorous quality tests. Once everything is in accordance to the plans, the kits are dismantled and placed in the garage. As and when the orders are placed through the means of the marketing mix, the kits, which can be dismantled into a small bag, are then distributed to the interested customers. So, this project does not involve the unnecessary expense of setting up a factory and hiring a huge workforce. (Luther, 2001) Organizational Plan The organizational plan in this organization is fairly simple and very different from the rest. Unlike other organizations wherein there are a lot of legal hang ups involved, Energy At Your Backyard, for the first year of its existence, does not believe in having more than five individuals in its board of directors. The first individual would be the chief executive officer, who also happens to be the inventor of this project. He would be required to look after the operational status of the product. The second person would be looking after the manufacturing unit. He would hire the required personnel to manufacture the solar as well as hydro powered units. The third person in the governing bodies would be responsible for looking after the advertising requirements of Energy In Your Backyard. The fourth member would be overseeing the delivery of the products. He would have a team of individuals who would keep a track of sales and a support staff which would allow the deliverables to reach the designated place through the means of an outsourced transport set up. The last member would be the legal advisor. It would be his/her responsibility to ensure that the organization is functioning in accordance to the legal framework. In a nutshell, the organization, which is also termed as Energy In Your Backyard, is fairly simple to establish and smooth to operate. This is very unlike a majority of large business houses. (Luther, 2001) Assessment Of Risk Energy In Your Backyard is a foolproof plan which does not have any scope of running into losses. The only risk involved here is the complete lack of predictive sales. Over here, the sales would increase as and when the marketing picks speed. To counter this, the advertising department would continue to adopt the latest technologies from time to time. Another risk could well be the loss of equipment owing to both natural as well as man made disasters. For example, if the storehouse is gutted in a fire and all the goods destroyed in the act what would we do? Well, in such a scenario, the company would seek an insurance claim for the same. Risk management would continue to analyze risks on a quarterly basis. On the basis of these risks, they would also continue to update their existing policies as well. Although there is requirement for a separate risk management team, if each of the five departments analyzes the risks in their own set up, the need for hiring an external staff to cover the possibilities of risk management would never arise. When the need of the hour is to involve a professional team, and this only happens when the organization expands, the organization would never hesitate from doing so. In a nutshell, Energy In Your Backyard is a relatively new concept of setting up an organization which has immense potentials without actually going ahead and spending a fortune in turn. (Sadgrove, 2005) Conclusion With the ongoing energy crisis, the need of the hour is to devise a product which is not only an alternative for the serious issue but also feasible in terms of affordability and usage. Keeping this in mind, we devised Energy In Your Backyard, a product which can be easily assembled in the backyard of a household and utilized to provide energy to your entire domain. Likewise, it does not involve elaborate spending in terms of organization, market research and promotion. Finally, it is a user friendly option to resolve your daily electric requirements and a hassle free method to keep your environment neat and tidy. If we are to adopt a suitable approach towards an alternative source, not only can we resolve major issues with ease, we would also be able to ensure that a user friendly product is made available at a reasonably low price. In a time wherein people are loosing their jobs owing to the ongoing recession, an alternative energy source, such as Energy In Your Backyard, is often considered as a feasible option for an ordinary household. Not only is it cost effective, it is also user friendly and maintenance free in nature. Although the action plan has been formulated with a different mindset, it would help create a path for others to follow. As compared to the ordinary concept of setting up a business house involving truckloads of money for the essential set up and workforce, Energy In Your Backyard is a grim reminder to the very fact that in order to run a successful business, you need not have unlimited monetary resources and manpower. A simple thought and action process can easily make all the difference. Works Cited Chiras, D. D., & Chiras, D. (2006). The Homeowner's Guide to Renewable Energy: Achieving Energy Independence Through Solar, Wind, Biomass and Hydropower. New Society Publishers. Luther, W. M. (2001). The Marketing Plan: How to Prepare and Implement it. AMACOM Div American Mgmt Assn. Porter, M. E. (1980). Competitive Strategy: Techniques for Analyzing Industries and Competitors. Free Press. Sadgrove, K. (2005). The Complete Guide to Business Risk Management. Gower Publishing, Ltd. Smith, P. F. (2004). Eco-refurbishment: A Guide to Saving and Producing Energy in the Home. Architectural Press. Sobha, G. (2007). Green Technology: Earth-Friendly Innovations. The Rosen Publishing Group. Read More