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A Case Study on the Expansion of Business into Sales

   

Added on  2023-04-23

15 Pages2834 Words379 Views
Business DevelopmentMechanical EngineeringPolitical Science
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Running head: EXPANSION OF BUSINESS INTO SALES
Expansion of Business into Sales
Name of the Student:
Name of the University:
Author Note:
A Case Study on the Expansion of Business into Sales_1

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EXPANSION OF BUSINESS INTO SALES
Assessment 1:
Answer 1:
A review of the simulated documents which includes the workforce data and information
about the employee retention juxtaposed against the number of personnel required in each
position in conjunction with the case study reveals several facts about the business. First, the
name of the firm reads ‘JK Industries’ followed by the phrase ‘is an Australian company’. It can
be inferred from these two phrases that the firm is a proprietary limited company registered with
the Australian Government and ASIC (Business.gov.au. 2019). The second finding from the
analysis of the case study reveals that the company was the company had its headquarters in
Sydney with branches in Brisbane, Melbourne, Perth, Adelaide and Canberra. This means that
the company enjoys a strong market presence in Australia and is financially strong. This
financial stability is evident from the fact that the company had sustained in the competitive
market of Australia 12 years and in fact received sales rights of medium and large range trucks
from an overseas company. The fourth finding from this statement is that the company enjoys a
strong market goodwill not only in Australia but also in other countries. The fifth finding from
the analysis is that core business of JK Industries was selling fortlifts, small trucks and ancillary
parts of trucks. The company also leased forklifts and small range trucks. The company post its
receipt of new sales rights from the overseas company would shift its business to retailing trucks
of small, medium and large ranges. The company would also withdraw from the truck rental
market. An analysis of the fifth finding shows that the company had in depth knowledge about
the trucking market in Australia. An analysis of the workforce data provided shows that in spite
of its business growth, the company had suffered high employee turnover. The reasons
responsible for this, as shown in the appendices provided were retirement, better job
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EXPANSION OF BUSINESS INTO SALES
opportunities, work culture issues and lack of job development opportunities within the
company. The sixth finding as per the annexures provided shows that company would require
more personnel. It can be inferred from this finding that JK Industries would be required to
reduce its employee turnover rate and acquire new employees to meet its increasing business
requirements.
Answer 2:
Part a.
A review of the current data of staff turnover and demographic of JK Industries show that
the rate of turnover was very high in the company. The turnover of staff was in fact higher in the
managerial level. This means that company failed to provide legitimate opportunities to the
managers to attain career growth. This factor led to managerial staff to switch to other companies
offering better opportunities. The second reason responsible for high staff turnover as reported
in the company was unhealthy work culture. The current requirement of staff in JK Industries
was pretty high in various levels. For example, the current required numbers of staff in senior
managerial level was 4 and branch manager level was 6. The number of line managers required
as reported by the provided annexure was 18 while sales force and customer services required
80. The high turnover rates at these four positions of 1, 2, 3 and 25 roughly amounted to a
quarter of the requirements. Thus, it can be inferred that the rate of turnover in the middle level
management at JK was affecting the operations at the company. It can also be summed that the
apex management of company in order to support its new business requirements of marketing
middle and large run trucks in Australia should take steps to reduce this high staff turnover.
A Case Study on the Expansion of Business into Sales_3

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EXPANSION OF BUSINESS INTO SALES
Part b.
The projections for future requirements of staff at the middle level management of JK
Industries shows that the company would require more number of staffs in the reported positions.
The future requirements of staff in the company would 4 in senior managerial roles, 6 in branch
managerial roles and 12 in line managerial roles. It can be pointed out JK Industries decided to
concentrate in truck retailing and servicing as its new future business strategy. The requirements
of sales force and mechanic in the company would increase keeping the new business
requirement in view. The company would require 80 sales staff and 32 mechanic in financial
year 2013-14. The requirement of sales staff and mechanic in financial year 14-15 would be 84
and 34 respectively. It can inferred from this analysis of future requirements of JK Industries as
per the annexures provided that the apex management of the company should take two steps. The
first step should be acquiring new talents to fill up the aforementioned vacancies and secondly
reduce employee turnover.
Answer 3:
Part a.
The following are the external factors which may affect workforce supply:
Macroeconomic factors affecting workforce supply of JK Industries (as per the provided
annexures)
Political factors:
1. Political stability: The Government of Australia is Federal Parliamentary Constitutional
Monarchy with Queen Elizabeth II as its head represented by Governor-General at the central
level and Governors at the state levels. The actual executive powers lie in the hands of the
A Case Study on the Expansion of Business into Sales_4

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