Entrepreneurship Background - Assignment Example

? Table of Contents 0 Introduction……………………………………………………………………………2 1 Company Background………………………………………………………...2 2 Problem Background………………………………………………………….2 2.0 Problem Exposition……………………………………………………………………3 3.0 Methodology…………………………………………………………………………..4 4.0 Analysis………………………………………………………………………………..6 4.1 Where the Client Is……………………………………………………………9 4.2 Where the Client Wants to Be………………………………………………...9 5.0 Outputs and Conclusion……………………………………………………………...11 References………………………………………………………………………………..13 1.0 Introduction The ability to change the way in which a business works is reliant on altering both the internal and external environment. There are several applications that can provide a better outlook while ensuring that there is the ability to receive better alternatives with the competition. By working with a consultant, there is the ability to analyze and identify the problems which are occurring in a business as well as change several aspects to ensure that easier functioning occurs. When looking at the situation with News 4 U, it can be seen that alterations in the main system will also assist with a higher profit, ability to grow substantially and will help with alternatives in the business and the needs that are associated with this. 1.1 Company Background ‘News4u’ is a family newsagent business which was established in 2006 by Tanveer Ahmed. The independent sole trader is located in Southbridge of Edinburgh. There are four members of staff to help to run the business and to help assist with the store who are all members within the family, ‘News4u’ is open daily for fourteen hours between the hours of 8-10pm. The newsagents provides to their customers daily products such as News papers, cigarettes, juice, crisps, stationary and a wide variety of Scottish Souvenirs. 1.2 Problem Background There are two areas that are continuing to provide complexities with “News 4 U” one which is based on the internal environment, and one which is based on the outcome from the external environment. The internal environment is currently having issues with the staff, specifically because of the small size of the business. There isn’t the ability to keep enough staff available for continuous shopping and to meet the demands of those that are in the store. This has created complexities in keeping the shop open for a longer period of time and is not allowing customers to receive the necessary support. Parallel to this problem are also issues with the paper work, which is currently out of date, and doesn’t provide a systematic way for employees and those overlooking the business to keep up with the changes being made in the store. The second level of problems is based on the return from customers as well as the inability to keep up with competitors who are offering similar alternatives. Promotional deals are not providing the right alternatives for those working within the store. There are also difficulties with customers that are shopping in the store, specifically because of a lack of space that is available and a layout which is not conducive to seeing the variety of items which are available. By examining these aspects, there will be the ability to change the way in which the News 4 U works and to make the return more effective from customers and into relation to the competition. 2.0 Problem Exposition When looking at the particular problems with News 4 U, it can be seen that there needs to be an alteration first in the internal environment while connecting this to more efficient means with the external environment. The News 4 U is a small store, meaning that there are limits in the work hours, ability to compete and the options available for those who are working in the business. However, there can be a streamline of products, information and other concepts by adding in technology. This can be connected to an Intranet and to the Internet, both which will help with the paperwork and which will streamline the information needed for customers. This will help with investments in more staff in the future and will create a larger set of options for the competition. By doing this, there is the ability to stream line everything from the staff needs to the promotions which should be used with the current systems available. 3.0 Methodology To determine which changes needed to be initialized with News 4 U with technology, different approaches to the business needed to be taken specifically with consulting initiatives. This was based on redefining the goals of the current business while finding a solution which could be agreed upon. Finding more information about the situation and ensuring that the potential options would help with the overall performance of the company were the main objectives. This particular concept followed three main categories for consulting, including appraisal, assessment and application. Within these, are several sub-steps which will be taken. The first is with the steps in appraisal, as seen in chart 1. Chart 1: Appraisal Steps (Margerison, 2001: pg 13). The contact will be initiated through an initial conversation and a meeting which follows. The preparation for the meeting will consist of a questionnaire that clarifies the specific issues with the business and what needs to change. This will be followed by a contract of agreement on how to alter the changes within the company as well as any negotiations necessary. This will all take place through an initial consultation with the business. The assessment steps will include data collection, analysis, diagnosis, feedback and discussion. This will move into looking at the internal and external environment to see where the problems are arising and what needs to be done. This will take place over a period of time with observations that occur on the work environment, internal pressures of employees, responses from customers, understanding of the competition and ways in which changes can be made in regards to the employees, customers and competition. Interviews of all employees were expected as well as random interviews with customers and the main attraction to the store (Margerison, 2001: pg. 14). The application steps will consist of proposals, executive decisions, implementation of the decision and reviews. During this time frame, there will be proposals based on ways to build the internal system with the use of technology with a plan to alter the internal environment within a 1-2 year time frame while looking at other prospects for building the environment (Margerison, 2001: pg. 15). The project for consultation and the launch of the project will take place over a 10 week time frame, as seen in the chart below. Chart 2: Project Gantt Chart Week 1 2 3 4 5 6 7 8 9 10 Consultation Submit Project Brief / Contract Analysis of internal / external environment Submit Report Progress Meeting 2 Launch Project Close project Prepare Reports & Presentation Submit report and deliver presentation 4.0 Analysis The ability for News 4 U to change and alter the way that they work with the competition and internal environment is to look at the several angles which are now affecting the business and the way in which it is functioning. The first way in which this will be conducted is through a SWOT analysis, which will consist of defining the internal and external environment, all which will point the main areas that News 4 U needs to change their overall focus with major changes that will implement growth within the company (Lancaster, Withey, 2008: 48). The results are seen in chart 2. Chart 2: SWOT Analysis of News 4 U Helpful Harmful Internal Origin Strengths: Wide variety of products based on daily needs Open for 14 hours Weaknesses: 4 Employees leads to inefficiency with times, payments, etc. Not up to date with paperwork Difficulties w/ overall layout of organization External Origin Opportunities: Customers are aware of the store and are loyal to the daily offerings Good location Threats: Competitors with similar ideas & better systems Promotional deals inefficient Not enough advertising The different applications to the SWOT analysis show that there are two areas that are lacking. One is based on the organization of the internal environment, specifically which was leading to staffing issues and problems with organization in the store. The second is based on reaching a larger target market through promotions for those interested in the store while allowing this to change the efficiency of the internal environment. The second analysis which was developed was the PESTLE analysis. This particular analysis defines ways in which the competition can remain ahead of News 4 U as well as what the areas and strengths are for the company to begin to expand and grow into the business which they are conducting (Bensoussan, Fleisher, 2008: pg. 169). The results can be seen in chart 3. Chart 3: PESTLE Analysis The current trends which can be seen from this analysis are based on the several changes which are now occurring in the surrounding environment. Customers are now looking at daily applications through the use of the Internet, specifically because of the convenience and because of the environment. The topics of interest are reliant on changes with politics, various regions throughout the world and from various social groups (Wei – ci, 2008: 42). The changes that are continuing to alter, specifically in relation to daily news and needs are one which should be applied to the current standpoint of News 4 U. The trends can be used for growth of the corporation while allowing for alterations to be available according to the demands of customers. 4.1 Where the Client Is When looking at the above analysis, it can be seen that there are several opportunities for expansion, both within the internal and external environment that aren’t being taken advantage of. Currently, the attraction of the store is based on reaching daily needs as well as convenience for providing a diverse set of supplies. The location as well as the overall presence which has been built provides the main strength. However, the internal organization as well as the ability to meet needs of the customers is both seen as strengths that can hinder the business. 4.2 Where the Client Wants to Be The needs of the client are based on having an organization that has a strong presence and which can reach the different trends within the community. This needs to begin with the internal environment, specifically with adding more organization to the environment. The need of technology is one of the areas that need to be addressed first. An intranet should be established specifically which will track the employees needs and will help to monitor the different organizational applications. This can also help to hire other employees if needed. The intranet will need to be combined with better organization of the products both with a product list and changing the layout of the store while ensuring that all products can be accounted for with better sections. The client also needs to find ways to meet more of the demands of those in the external environment. While customers are coming to the store, it is based on location, convenience and loyalty to the store. To attract more individuals, there needs to be a response to the economic changes first, such as offering promotional deals for daily needs. The client can expand this by relating to the customers with the products offered, all which are associated with current social trends, such as the environment. The responses to political and technological components can be added in with News 4 U creating a website that shows the new political news and becoming a reliable source of information. This can be added in with technologies that attract clients to the store for more political news and for other shopping components that can be added into the environment for stronger responses with the environment. When proposing the intranet and Internet, several components were involved, specifically which would mainstream the online store with the intranet as well as the needs of the employees. It is expected that this will change the way that the employees work while offering different components to ensure that individuals have the ability to get the needs met with those that are interested in the store. The project planning to be given was as follows: Week 1: - meet with the company about the Intranet and Internet approve specific needs – to include workflow schedule, product inventory, internal arrangements, link to the Internet strategy to build the intranet and Internet Week 2: - structure the intranet for workflow, product inventory, etc. Week 3: structure for the Internet including product buying online, updates with news, information, etc. Week 4: Launch of both intranet and Internet for the store with outcomes to be monitored over time - Training of 4 employees on the intranet and Internet to ensure that the change is mainstreamed and understood by all 5.0 Outputs and Conclusion The initialization of the project and the ability to build the Internet and intranet into the workspace is one which is assisting with the development and growth of News 4 U. This allows the company to be more competitive and mainstreams more capabilities for promotions and meeting the needs of both the internal and external environment. While there are still missing links, this closes the gap as seen from the PESTLE analysis and the SWOT analysis conducted. The News 4 U can use these new tools to continue to grow and to adapt to the main components that are a part of the competitors. It also will provide flexibility to the business so they can continue to grow as a corporation. The changes which were made with News 4 U differed from the initial ideal, which was based on changing the outlook of the store and working toward a different aesthetic look. After conducting the analysis, it was found that the problems would continue to arise if there weren’t any changes with the organization of the company. Even though it is a smaller organization, the use of technological tools can assist with the overall growth and the ability to remain in the competition in the area. This will also support changes such as changing the environment and other components that are related to the product inventory because of the ability to monitor what is sold and what isn’t, as well as determining the conditions that are seen when individuals come into the environment. The concept which was applied was the innovation adaptation theory, which states that the more innovative which concepts are within the internal environment, the easier it is for employees to adapt and change in a positive manner. This tool will then assist with other adaptations that need to be a part of the company (Obra, Melendez, 2006: 94). Not only does the use of the Intranet and Internet assist with overall changes which can be made in the environment. There is also the ability to combine this with the different components which are available in the store. The company can grow into an e-commerce site to change the amount of income and profit which comes into the store. This will work with the environmentally friendly strategy while providing a connection to social trends that are currently available. By doing this, there will be the ability for the company to expand with the available information and commerce online. This will fit into the several trends that are associated with politics, economy and social changes while allowing promotions and other offers to be mainstreamed online and through the store (Hsu et al, 2006: 9). The different options that were approached when observing this company and working toward solutions was based on the need to mainstream the different needs of the employees as well as those of the customers. To organize this, there is the need to change the information which is available so further analysis can be achieved. Even though the Intranet and Internet doesn’t solve all problems, it allows for documentation to be developed based on the needs of those within the work force. The other problems which are associated with the company, including the employee needs with work and the product environment can now be thoroughly analyzed. Changes can be made by looking at trends which are connected to the Intranet. There is also the ability to expand the use of the technology with specific needs for the company by customizing the software which has been added in. This will help to provide substantial solutions to the company while using information for future analysis (Buffa, 2006: 3). The ability for a company to grow effectively is one which is first dependent on the internal organization and the way in which the environment is set up. This is also dependent on strategies which can continue to be developed. However, this has to be available for analysis in an organized manner (Kaplan, 2001: 4). When looking at the weaknesses of the organization, there is a direct relationship to the employee work flow, problems with the layout of the company and ways in which the organization works with specific supplies. There are also several gaps that News 4 U can look into with the external environment and current trends that are a part of news sources. By looking into these various aspects, News 4 U will be able to implement changes and growth within the corporation. However, there is also the need for the company to reconsider the organizational elements and to begin to build the changes by evaluating the conditions that are most affecting the needs within the internal and external environment. References Bensoussan, Babette, Craig Fleisher. (2008). Analysis Without Paralysis: 10 Tools to Make Better Strategic Decisions. 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