Leisure and Luxury Travels Company - Strategic in Tourism - Business Plan Example

Strategic plan in tourism Name Institution Table of Contents Table of Contents 2 Strategic Focus 4 The Aim of this Plan 4 Our Mission 4 Core Organizational Competencies 5 Organizational Values 5 Highest Priority Goals 6 Performance Objectives 6 The Business 8 Market Analysis 9 Products 9 Marketing 10 Research And Development 10 Production and delivery 11 Supply Chains 11 Business Systems And Processes 12 Stakeholder Relationships And Alliances 12 Organisational And Management 13 Environmental And Social Impacts 13 Risk Factors And Regulatory Compliance 14 Risk Management 14 Regulatory Compliance 14 Corporate Governance 14 Financials 15 Application Of Investment Funds 15 Strategic Action Plan 15 Plan Improvement 16 Strategic Focus The Aim of this Plan This plan aims to bring into foe a clear understanding of the proper and the basic elements of the business plan which shall among other things clarify issues as to what it takes to attain the required degree of concise integration of issues that arise out of improper presentation of facts pertaining to a good business plan (Sahlman, 2008). With the example provided of the Leisure and Luxury travels company, this business plan seeks to help with the attainment of the needed degree of concise needs of business plan. The plan also seeks to prove some of the theories that surround the needed protocols that need to be observed in relation to the formulation of a business plan. The luxury and travels company offering clearer insights into the needs that may be needed in the realization of a proper and concise business plan . Our Mission The luxury tours and travels company seeks to bring into the tourism industry a whole new level of experience pertaining to customer service and experience. The travels company seeks to introduce new dimensions into its areas of coverage as well as the introduction of a cultural aspect of the diverse regional destinations that it ought to traverses. The provision of travel chances to the less advantaged as a way or creating awareness to the world of the underlying challenges relating to the social responsibility duty of all stakeholders in the private and public sectors (Sahlman, 2008). The company seeks to issue travelling services to all who seeks its provision despite the regional or racial, particularly tourists who visit the local community. In accordance to discussions by Honig & Karlsson (2004), the company seeks to set offices in all the probable areas where tourists are expected to tour for instance in the wild life areas and the coastal land as well. Core Organizational Competencies The Luxury and Travels Company seeks to mainly offer touring services to the customers who visit the America nation in general. The staff is required to be trained best in customer relation issues as well as the arising issues in the tourism field. It is thus of huge relevance that there is a clearer understanding of the customer service. The prowess to converse in diverse languages is also an added advantage since the customers will be coming from a number of areas, not necessarily English-speaking countries. The understanding of such languages as French, Germany and Spanish is a core foundation of competent ground upon which the agency shall stand its operations. The provision of travel consultancy services is also in the radar of the agency among other critical areas as may be mentioned (Honig & Karlsson, 2004). Organizational Values The Luxury Travel Company is built on the firm foundation of integrity and reliability to the customers. The organization boasts of a diverse extent to which the agency shall be able to remain open to the services and inquiries of the customers at any given time through the provision of unlimited access to the management at any time. Mason & Stark (2004), speaks about the just-in-time approach of its services is the main way in which it seeks to remain reliable in a long-term focus as it dedicates its resources and time towards the services of its customers. The enabling of a sharing and listening staff is all aimed at the betterment of the level of services offered by the organization. Highest Priority Goals According to Mason & Stark (2004), the goals of the organization are listed in their priority order to enable a well planned attainment of each against a strictly set timeline which is also not so adequate. They include: 1. To increase the number of countries in which tours are able to visit in a year. 2. To provide richer and more unique travel experiences to clients who seek to use the services of the organization. 3. To increase customer satisfaction 4. To increase the number of clients that uses the services of the luxury travel organization. 5. To improve the quality of services offered by the luxury travel organization. Better that that of its competitors. Performance Objectives The performance objectives were used as the open scorecard providing evaluation against which the management of the targeted objective of the organization as was written by the plan. The objectives are as shown in the grid below and was determined by the planning team (Chen, Yao & Kotha, 2009). Performance Area Performance Measures Target Time Frame Financial Performance -Returns on investment -cost to benefit ratio -the profit report semi-annually $ 1 million profit in five years 3-5 years Customer and Market Performance The increase in the number of customers seeking the services of the agency -Create more partnerships in more countries - To inquire from customers which destinations they would like to see added. 80 destinations in 10 years. Internal Efficiency and Effectiveness Smooth running organization with highly motivated staff and customers as well. To ensure there is no reported cases of civil cases in the court of law which may, to some extent lead to the loss of time resource in the sorting out of some of the critical issues relating to employee affairs To fully subscribe to the international labour organization by the end of the 2nd year. Long Term Development and Innovation -well established and running modern information technology Attainment of a digital system of operation fully operational at all departments of the organization. 1-2years The Business The Luxury Travels Company has a rich history with the ultimate service of the touring interests of customers. Dating back to five years since the conception of the idea by the competent teams of project managers, the company has been at the front of the travels services in the east coast of the pacific. Chen, Yao & Kotha, (2009), with the oversight in team in place to oversee the implementation of strategies of the company, luxury travels boasts of achieving an upsurge in the number of customers who seek its service over that of its competitors. The company is operated by the managing director who sits at the helm of its operational activities, assisted by a number of managers who represent the activities in the field bearing in mind the competitive nature of business in the current field (Barton & Walker, 2006). The company falls short of the information and technology team which can drive its operations to take to the innovative stages of development. The company stands a better chance of overcoming the stiff competition given the record it is steadily building in relation to the best customer care service. It has build a strong confidence on the stakeholders as its shares in the stock market continues to develop in the stock market (Chen, Yao & Kotha, 2009). . Market Analysis In accordance to Hill (2008) the luxury and travels company is an ISO 900 standard compliant. With the key customers being from the foreign countries, the company seeks to enlarge its market share by the improvement of the variety of services provided from just the tour and travel services and incorporate such services as the spa and body treatment. Also language teaching services would improve the market share from the currently 15% to about 30% within five years (Barton & Walker, 2006). The business seeks to build a strong customer base locally, especially in the private sector workers who have a strong tendency to spend their holidays on the coastal tours (Hill, 2008). The biggest challenge of entry to the travels and tourism business remains the strong base built by the initial inhabitants of the business operators in the same field. The internet stands out as a strong challenge with the provision of virtual tour of the areas which are visited physically by the customers. Products The Luxury travels and Tourism Company is currently offering the customers with the options to visit the local and foreign tourist sites with the provision of travel and tourism guidance services. The personalised customer care is the main foundation for the current success experienced by the company in the market, which is rife with competition (MacMillan, Siegel & Narasimha, 1986). The strength of the company being on the best service to the customers, it is of most importance that there is observation of the just in time customer service delivery on the part of employees. Drawing from (MacMillan, Siegel & Narasimha, 1986), the research shows a large number of customers opting for the company due to the quality of customer service, it is therefore of necessity that there is an implementation of important customer test and response on the quality of services needed. Marketing The Luxury and travels company is a service industry, which relies heavily on the advertisement on the social media for the publicity of its services. With the establishment of a strong social media team, which is responsible for the identification of new markets (Barton & Walker, 2006). The use of the daily newspapers has been of instrumental significance in getting the company to the public knowledge. The company is currently on the plans to set up community services on various children’s homes and other needy areas of the society so as to win over the support of the community and the marketing of its services in the process. The product differentiation through the quality service delivery is a proper way by which the organization seeks to expound its customer base. Research And Development Currently, the company operation is based on the linkage of the service between the tourist’s sites and the customers who chooses to visit them. There are efforts, to improve and stretch the services to incorporate other areas given the financial status of the company (Hill, 2008). The operations of the company are governed by the intellectual property right as a company with the rights of the shareholders well protected by the company constitution. The company secrets and plans remain confidential and exposure by any of the board members shall lead to prosecution. The statutory law that protects the rights of the company are fully complied with in accordance with the law of the land. However, the customers are only limited to some particular information such as the financial status, whether or not the company is solvent. Production and delivery The Luxury and travels company is based on the northern part of USA. With small sized offices, the company is endowed with a fleet of vehicle in the sizes of minibuses and travel vehicles. The purchasing of offices on the coastal areas of the country is in plans to ensure that there is adequate access and booking offices in the reach of customers. The company shall among other things take into considerations the necessary steps in the risk management so that there is a limited exposure to the amounts of risks relating to the loss of its inventory by taking insurance premium covers on all its assets. The delivery of services to the customers is taking an advanced route through the internet approach. The amount of customers opting for the online bookings and ticket printing is also increasing drastically. The staffs are motivated to bring about any kind of innovative ideas which may be of help to the company in the achievement of its objectives. Supply Chains The services vans, which the company uses for the ferrying of customers are obtained from the manufacturer company based abroad in Asia. The finances are done by the local banks through the electronic funds transfer which is at times causes delays in the delivery of goods due to the time lags between the activities. The company shall seek to create a broad collateral base by which the company shall be able to obtain loan from the commercial banks for the financing of its operation and assets purchase. The supply chains of the Luxury Travels Company do not end at the company but also at the tail end of the service delivery by the staffs to the customers. Business Systems And Processes The company is expected to observe the quality standards of service delivery. The company is observant of the international standards requirements and observations. The risk management is observed in accordance to the NZS risk management standards. The information pertaining to the business operation is guarded by the standards of NZS ISO 17799:2000 security standards requirements. The luxury travels company has a great team of financial management strategies with the assistance of a competent team of professionals with high team spirit and service delivery. The business shall implement an up to date innovative ideas which shall drive its efforts to attain a new height of prosperity. The board is in a pole position to drive the company to attainment of peak heights of success attainment (MacMillan, Siegel & Narasimha, 1986). Stakeholder Relationships And Alliances The shareholders stand out as the biggest contributors to the financial process at the Luxury travels company. The majority of the shares are held by the sister company luxury hotel. With the pending gap in the field of delivery, it remains a big chance for the company to step up and fill up the gap left in the tourism field as is shown by the underlying discontent amongst the customers using the other travels companies. With keen interest shown by a number of investors, it is estimated that in the next decade the Coca-Cola Company shall be the biggest shareholders in the company with the contract in the process. The shareholders are the biggest contributors to the success of the company given the constant consultations made between the board and the shareholders. Organisational And Management The Luxury travels company is led by a competent led by the managing director. The management is of the lateral form comprising of human resources, operational manager and also the financial manager. The recruitment of new staff into the organization is conducted by the human resources manager helped by the operation manager. The managing director shall be the last person to approve the selected personnel after going through their resume. Environmental And Social Impacts The Luxury and Travels Company is facing a number of challenges pertaining to the social and environmental issues. The local business environment remains wrought with many challenging issues such as the hostility of some of the local communities in the areas visited remains also another key challenge to the smooth running of the business. It thus shall force the business to hire the services of the local security offices to ensure that there is safety of the customers during the site visits. The business, however, seeks to impact positively on the social lives of the local people by creating an understanding between the tourists and the local social lives. Risk Factors And Regulatory Compliance Risk Management The business is under a numerous risks ranging from the fire hazards, road accidents all the way to the economic fluctuation times. The company is taking steps to insure against such risks by the purchasing of insurance covers which shall guard it against such adverse effects of risks. The company shall also develop a good rapport with the government to ensure it gets some subsidies from the government business funds. Regulatory Compliance The company being regulated by the ISO 9001 standards is a compliant of the business ethics such as tax compliance and timely payment. The business has in place proper health insurance provisions for its customers and the staffs alike. The privacy act which protects the operation of the company is also the platform on which the business seeks to anchor all its operations. Corporate Governance The luxury and travels company has a well defined corporate structure which is up to par with the changes in the business environment. The board of directors are seven in total at the help with the chairman of the company being at the helm and the managing director seating to represent the company’s interest to the directors. The managers and their assistants are helped by the employees who are at the fields serving the customers interests. The team of professionals are the key advisors to the company and the board on the ay forward, taking into consideration the changing business environment. The shareholders agreement is a key aspect of the company agreement which is well grounded on the company constitution to stop violation of the same. Financials The company is credit worth. Wit estimated returns to improve by 10% in the next five years; the profits are expected to be shared amongst the shareholders and the rest to be used for the expansion of the business. With the increasing number of customers which is also estimated to increase in the near future, it is therefore important that there care is taken against such cases that may arise out of dishonouring of contract between the company and the customers. Application Of Investment Funds The business shall need an input of about $ 1 M for it to meet its market objective. This money is expected to come from the loan obtained from the commercial banks and the attraction of new investors expected to finance half of this amount. Abrams & Abrams, (2003), the first round of investment the moneys shall be used to purchase new offices and travel vans which shall ease the operation of the business. The capital shall among other things, be determined by the degree of returns on the investment at semi-annual conferences. The government subsidies shall also come handy at the financing of the investment amount. Strategic Action Plan With the clearly set out objectives of this business plan, the business shall bring into consideration all the necessary steps at ensuring that there is every strategy is achieved at the stated time frame. The action plan is to start by restructuring the board of directors to put into place a competent team which shall be able to attract investors and alternative sources of funds (Abrams & Abrams, 2003). The management led by the human resources, shall also ensure that there is employment of a competent team of employees who shall drive the business to attain the required level of success and objective attainment. The managing director shall ensure that by 2020 the team in place is able to realize the organizations dream of doubling the customer base to match that of its biggest rivals. Training of the employees to adapt to the quality customer service delivery is also a key way by achieving the goals of the organization. Typically, management in consultation with staff and key stakeholders implements each Goal and its supporting objectives, strategies and action plans. Plan Improvement This plan is probe to review very six months after checking against the action objectives marking the attained plans and those that have not yet been attained. The changes in the plans shall be done with the approval of the board as well as the business needs (Abrams & Abrams, 2003). Some of the unattained shall be postponed to later dates or next financial budgetary allocation. References Abrams, R., & Abrams, R. M. (2003). The successful business plan: secrets & strategies. The Planning Shop. Barton, M. R., & Walker, J. H. (2006). Building a business plan for DSpace, MIT libraries' digital institutional repository. Journal of Digital Information, 4(2). Chen, X. P., Yao, X., & Kotha, S. (2009). Entrepreneur passion and preparedness in business plan presentations: a persuasion analysis of venture capitalists' funding decisions. Academy of Management Journal, 52(1), 199-214. Hill, C. (2008). International business: Competing in the global market place. Strategic Direction, 24(9). Honig, B., & Karlsson, T. (2004). Institutional forces and the written business plan. Journal of Management, 30(1), 29-48. Karlsson, T., & Honig, B. (2009). Judging a business by its cover: An institutional perspective on new ventures and the business plan. Journal of Business Venturing, 24(1), 27-45. MacMillan, I. C., Siegel, R., & Narasimha, P. S. (1986). Criteria used by venture capitalists to evaluate new venture proposals. Journal of Business venturing, 1(1), 119-128. Mason, C., & Stark, M. (2004). What do investors look for in a business plan? A comparison of the investment criteria of bankers, venture capitalists and business angels. International Small Business Journal, 22(3), 227-248. Sahlman, W. A. (2008). How to write a great business plan. Harvard Business Press. Read More