Advantages of Implementing Processes for Organizational Objectives

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ACC203 Assignment

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Answer 1:
1: Report for the Managing Director of Delicious Cakes Outlining the Advantages of
Implementing Processes to Determine Organizational Objectives, Strategies and Planning
Systems
As analyzed from the case study above, Delicious Cakes is facing the issue of decreasing
sales over the past few months due to changing needs of customers. As such, the company is
required to bring changes in its product offering for meeting the customer needs and
expectations. The advantages of the business processes for meeting the organizational objectives,
strategies and planning systems are stated as follows:
 The managing director of the company need to develop business processes for
determining organizational objectives, strategies and planning systems for providing
direction to the company for meeting the determined goals.
 The development of clear business processes is essential for establishing an overall
direction to the employees and formulation of effective strategies by the business
managers for attaining them. The establishment of objectives assists in developing
detailed plans that leads to creating targets against which the performance of the
company can be measured.
 The business processes leads in establishment of strategies that determines the long-term
plan that involves taking decisions about the ways in which a business can compete and
maintain its distinct competitive advantage. Strategic planning helps in taking important
decisions relating to costing, budgeting and performance measurement systems for
meeting the determined goals and objectives. The formulation of strategies leads in
developing future plans that are required to be undertaken for achieving the growth
objectives (Barwise, 2012).
 It also assists in business planning that can be regarded as a much broader concept
assisting in analysis of all the resources that will be required for carrying out future
operations in order to meet the long-term objectives. Planning must be done at all levels
of the company so as to move as per the new strategic goals and objectives developed.
Planning is essential to organize the business operations and activities in an effective
manner for achieving the growth objectives.
 The establishment of formal business processes will enable business to acquire new
resources by considering the cash flow implications so as to remove any restrictions that
can negatively impact in achieving the growth objectives of the company. As such, the
company can analyze the potential feasibility of introducing new products by analyzing
whether the resources required are present or not. The managing director can develop
plans for acquiring new resources for ensuring the achievement of growth objectives
(Steiner, 2010).

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2: Nature of Control System Required for Reporting on Monthly Performances and the
types of information required for Slick and the managing director
Delicious Cakes required developing and introducing a system that enables it to analyses
monthly performances for identifying the gaps and thus taking proactive measures for removing
them. This is essential to ascertain whether the company is progressing as per the new objectives
developed for meeting the customer needs and expectations. As such, the control system that
could be implemented in place for reviewing the monthly performances are developing monthly
targets that are derived from the annual budget developed. The monthly performances need to be
measures against the standard monthly targets and thus identifying any gap in performance and
implementing control measures for overcoming any hurdles. Slick and the managing director of
Delicious Cakes may require both financial and non-financial data for developing monthly
targets. The financial information may be required for determining the targets of costs and sales
revenue. The non-financial information is required for developing the targets of product quality,
new features of the product, customer preferences and competitor products and services. The
incorporation of both financial and non-financial information is required for developing monthly
targets that enable and riving the continued business performance. The managing director need to
analyze all this type of information and taking decisions relating to the areas those are most
important for driving the growth of the company. The information can be used by Slick and
managing director of the company for anticipating the changes in the demand of the products and
this implementing changes in its sales strategy (Heisinger, 2009).