Strategic Plan II
Instructions:
Conduct an internal and external environmental analysis, and a supply chain analysis for your proposed new division and its business model.
Create a SWOT table summarizing your findings. Your environmental analysis should consider, at a minimum, the following factors. For each factor, identify the one primary strength, weakness, opportunity, threat, and trend, and include it in your table.
External forces and trends considerations:
Legal and regulatory
Global
Economic
Technological
Innovation
Social
Environmental
Competitive analysis
Internal forces and trends considerations:
Strategy
Structures
Processes and systems
Resources
Goals
Strategic capabilities
Culture
Technologies
Innovations
Intellectual property
Leadership
Write a synopsis of no more than 1,050 words in which you analyze relevant forces and trends from the list above. Your analysis must include the following:
Identify economic, legal, and regulatory forces and trends.
Critique how well the organization adapts to change.
Analyze and explain the supply chain of the new division of the existing business. Share your plans to develop and leverage core competencies and resources within the supply chain in an effort to make a positive impact on the business model and the various stakeholders.
Identify issues and/or opportunities:
Identify the major issues and/or opportunities that the company faces based on your analysis.
Generate a hypothesis surrounding each issue and research questions to use for conducting analysis.
Identify the circumstances surrounding each issue; classify the circumstances; attribute the importance of each classification; and test the accuracy of the importance for each classification.
Format your paper consistent with APA guidelines
Solution.
Strategic Plan II
Introduction
SWOT analysis is an essential tool that is utilized by anyone before the start of the company or within progress of the enterprise. It allows the company to distinguish their current stand on where they are in the market and where they can take it in the future. Amur Fitness is a corporation that deals with providing training facilities and expertise to athletes and other fitness enthusiasts. Amur has many gymnasiums that serve its members all over the country. People visit the gyms and seek advice from their experts. In the paper, the SWOT analysis analyze the external and internal factors based on strengths, weaknesses, opportunities, threats and trends that the company of Amur is facing.
External forces
Amur Company has a variety of forces and trends that do impact strategic choices.
Legal and regulatory- it plays a significant factor in the strategic plan and company’s success. Key factors such as taxes and availability of qualified employee have a significant effect (Steiner, 2014). The new division has been added to the original site of qualified trainees, nutritionist, and some staff and this will make the company avoid any legal issues.
Economic- In Amur Company, the factor will play a big part since it is relying on significant expansion of physical fitness. There is a downfall in economic in many regions of the world and having to work out videos and recipes of new division will help the company remain fixed despite the defeat.
Environment analysis- Amur Company may get influenced by some of the outside elements in reaching its goal and in mission accomplishment, and the company can only overcome this by determining the proper strategy that can sustain the business.
Internal Forces
Nevertheless, internal environment is uniformly essential because it analyzes the inside aspect of the operation of the company and internal guidance. “Performing an internal environment will enhance better understanding of the functioning of the business such as marketing, production, and leaders of the group” (Sadler & Craig, 2003). The understanding internal factor of the company will enable the business to design strategies that can minimize risk.
External Factors
| Factors | Strengths | Weakness | Opportunities | Threats | Trends |
| Economic | Small capital on implementing the new division and still on giving services that are quality | Problem in determining the outcome due to depression of the economic. | Big opportunity when growing the brand name and when growing franchise domestically and overseas | Global downfall of economic | Higher presence of internet and recovery of economy is still going on. |
| Global | All over the world, physical fitness along with healthy living is an essential aspect | Not everyone has access to computers and internet even with access of videos on online | With minimal cost, expanding globally is very possible. | Many competitors in the industry are many and may be able to duplicate our products. | Physical fitness and healthy living is widely growing globally. |
| Legal and Regulatory | In improving strategic ideas, rules and regulations are regulated. | When dealing with online exercise training, it may be difficult to monitor rules and regulation. | Awareness of rules and regulations access, increases trust leading to more profits. | The growth of the company can be slow when there are big amounts of online scams. | With access of rules and regulation, it is becoming easier to access online. |
| Environmental | With qualified and certified employees, there is excellent support. | Now days, the community is busy convincing people well being does not take much time could be a challenge. | Ability to be able to exercise in any environment. | There are no personal interactions | Growing trend of working out at home. |
| Competitive | New type of service that currently no other membership of gym is giving and whole day access to videos and recipes. | Duplicate by other competitors. | Profits from the new division could be maximized to expand business and grow franchise. | Not only there can be competition duplicating facility, competition can as well grow. | Business of physical fitness has the capability of growing globally without brick and mortar. |
| Innovative | With technology, combination of both physical fitness and well being gives better training and service. | New division addition has the possibility of slowing advancement for workers. | Fitness and technology can attract new clients. | It could be difficult when coming up with new ideas for exercises. | Consumers are always on the look for something better and fast impacting. |
| Technological | It is quick, dependable and to maintain is easy. | Due to economic downfall, not everyone has access to devices of mobile and computer. | Possibility of more workouts online on personal can be possible with constant growth technology. | It can result to loss of profit when videos are copied and shared as torrent file. | Consumers are always on search for options. |
Internal factors
| Factors | Strengths | Weakness | Opportunities | Threats | Trends |
| Structure | A well structured design will increase the new division along with the older one. | Low moral within employees if there is a mistake on the structure thus slowing down growth process. | Proper structure will permit monitoring company’s progress. | Ignorance of the employees on the structure thus potentially hurting the business. | Consumers tend to move towards a well structured company. |
| Strategy | Rapid growth if there is aggressive strategy along with proper marketing campaign. | Rapid growth can lead to risks that are unexpected. | Continues presence particularly through flat forms of social media. | Slow growing process if not well accepted by other culture. | If there is provision of convenience, a demand for physical fitness is expected to grow. |
| technology | Increased service of the customer | Needs to be monitored with constant security update so as to avoid any risk. | There can be more concise if there s constant technology growth. | A better idea from the competitors and even develop the idea. | Prices seem to decrease with growth in technology. |
| Culture | The company has a corporate culture based on innovation | Culture and happiness of employee lags behind the gym operation | Improve corporate help to attract resources of human that are quality | Widespread dissatisfaction of jobs if there is failure to keep workers happy. | The company has a continued effort to maintain high level of culture in the culture of the organization. |
Conclusion
Any organization must evaluate its
both attributes of external and internal that can give proper decision so as
the company can succeed. Amur Company has difficulties and problems ahead, but
they have used SWOT analysis to guide them and help them achieve their
goals.
References
Steiner, G. (2014). Strategic planning. [Place of publication not identified]: Free Press.
Simerson, B. K. (2011). Strategic planning: A practical guide to strategy formulation and execution. Santa Barbara, Calif: Praeger.
Rafinejad, D. (2007). Innovation, development, and commercialization. Boca Raton, Fla: J. Ross.
Retrieved 30 September 2016, from https://www.edmonton.ca/programs_services/documents/PDF/StrategicPlanningForDummies.pdf
Sadler, P. & Craig, J. (2003). Strategic management. London: Kogan Page