Business Decision Making: SWOT Analysis of Posture Parcel Delivery Company

This report discusses the different aspects associated with the business decision making practice adopted by Posture Parcel Delivery Company. It includes SWOT analysis, plan for data collection, methodology to analyze the information, and problem-solving techniques.

BUSINESS DECISION
MAKING

TABLE OF CONTENTS
TABLE OF CONTENTS..............................................................................................................2
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
Task 1...............................................................................................................................................3
1.1 Using business decision making model................................................................................3
1.2 Plan for data collection.........................................................................................................5
1.3 methodology to analysis the information..............................................................................6
Task 2...............................................................................................................................................7
2.1 Competitors and SWOT analysis of Posture parcel delivery company................................7
2.2 Decision making model........................................................................................................9
Task 3.............................................................................................................................................10
Problem solving technique and proposed solution...................................................................10
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12
Books and journals....................................................................................................................12
Online........................................................................................................................................13

INTRODUCTION
Business decision making is a strategic approach that is about to make the best suitable
decision in the interest of the organisation. The role of the business decision making is to make
various decisions that can support the business aim and objective. This report will discuss the
different aspects associate with the business decision making practice adopted by the company.
Henceforth report will discuss the appropriate business decision making model. Plan will form to
collect the data. Appropriate methodology will also select that will allow the business to collect
the respective data and further to assess the same. Appropriate business decision making model
will select in this project. Further, discussion will be made over the problem solving approach
taken by the organisation.
MAIN BODY
Task 1
1.1 Using business decision making model
There are various tools used within the business that helps in making highly effective
decision which are generally referred as decision-making models. These models are meant for
suggesting different approaches to make decisions considering the problem faced by business.
One of the most important of these models is the rational model of decision-making. This model
suggests that a decision maker should follow a series of steps in order to find effective solution
to their problems.
The steps are quite simple and easy to implement within most of the organizations which
includes, beginning from problem definition, determining the criteria through which that could
be used to brainstorm numerous solutions to resolve the defined problem where criterion is based
on the importance of and intensity of resolving problems, and accordingly, all the possible
alternatives are listed out (Fang and et.al., 2018). At last each alternative are evaluated keeping
in mind organizational capability, resources and end goals and a most effective or best solution is
determined and implemented.
This model is beneficial in minimizing and managing risk and uncertainty. Also, the
model is quite useful for resolving complex issues. Therefore, for the given case of Posture
parcel company which is going to enter UK market, so it is known that there are many
opportunities for the company along with challenges that the company has to face in UK market

as the market is highly competitive due to the existence of powerful players already enjoying
great market share from decades. Thus, to compete with these existing players who are
established and enjoying high level of customer loyalty there is a need of effective business
expansion plan and subsequent decision-making to enter and establish themselves (Posture
parcel) in UK market to gain sufficient market share.
A problem that has been identified with reference to Posture Parcel where it is quite
difficult for them to integrate new technology immediately when it comes in the market, this
results in difficulty in maintaining reputation among target audience (Abdel-Basset and et.al.,
2020). This is because customer in modern time have become more advance as they raise their
voice on the ground of displeasure which made it compulsory for Posture parcel to maintain and
monitor their online reputations.
It is necessary for businesses to understand when to embrace change as it must be
understood by managers and executives that every new thing coming in the market may not be
good. Accordingly, a professional opinion must be there to make effective decisions. At this
stage, decision-making models are taken into consideration such as the rational decision-making
model. For resolving Posture parcel issue of lack of technological integration, they have
rationally decide upon which technology should be adopted and how it must be implemented by
considering each alternative, so that negative reputation and customer reviews could be avoided
to a reasonable extent.
Key characteristics of business decision-making problem
Every business makes decision to ensure appropriate performance of business activity and
achievement of final goals and objectives (Tseng, Chiu and Liang, 2018). However, there are
various decision - making problems that arises having the following characteristics:
 Decision – making problems are the outcome of relying heavily on rational thinking that
is supposed to be worked well in the past, but such heuristics may not apply in similar
way for every business related issues and thus leads to many errors.
 Problems associated with decision - making may take place also due to the
overconfidence of decision makers because of which tendency of overestimating own
skills, knowledge and judgement could take place resulting in poor and inefficient
choices for the business problems.

 Decision – making problems could be felt when the decision makers are trying to foresee
the result of situations that are actually not predictable.
 Decisions are made through application of intellectual process where decisions are based
on logical deliberations which results in errors and mistakes because it is not necessary
that the decision maker is sufficiently skilled, experienced and knowledgeable (Tseng and
et.al., 2018).
 Decision making involves selection of the best alternative out of available choices where
it is quite difficult to evaluate and choose the best option.
1.2 Plan for data collection
Aim:
 To collect the most appropriate information for addressing the business problem.
Objectives:
 To collect data and information in context to specific business issues.
 The quality of the information is measurable with the success of business.
 Proper strategy makes it achievable to collect the required information.
 The collection of information is realistic.
 The 3 months time will be taken to collect the information.
Strategies
The data will be collected with the use of the following strategic choices.
Primary method: will be used to collect the required information. Primary method involves
questionnaire technique that will use to collect the primary data to address the respective
business issue. The primary method or technique of data collection is very authentic technique
and would support the professional to generate the most suitable information so that best amount
of information and knowledge can gain against aggressing the business issues (Blom and et.al.,
2020). Primary method will involve collection of data from the sources that are most experienced
and knowledgeable that can highlight to address the issue in the most appropriate manner. This
data collection technique is well advanced and suitable enough to overcome the different
business issues face by the organisation. Primary method or technique is well suitable and
effective enough to provide the relevant information to the organisation so that the most
sustainable control and management establish over the business situation.
Secondary method: is another core technique that is used to collect the required information.

This method or technique involves approaching the existing sources or information that is
already available to overcome the issue for the business (Lobe, Morgan and Hoffman, 2020).
Addressing the practical issue secondary sources play a very critical role as it empower the
businesses to achieve the best suitable control over sustaining a key balance in processing the
information in such manner that the issues can be solved. Academic article, journal, literature
will use to collect the information under secondary method of data collection. Secondary method
is effective enough to collect the required information as almost researches have been done over
each and every business issue or problem that businesses are facing at this point in time. This
technique is suitable enough to address the respective issue of the business. Secondary method of
data collection is a strategy that saves time as well money of the stakeholder to collect the
required information. This practice will support the business to address all its various issues that
will resist the business to achieve success in the new market of UK. Secondary sources are
convenient enough to support the business for collecting the best suitable information to
overcome any of the issues associated with the business.
Control and evaluation
The team of professional will look at the data collection process. Professional will follow
the practice with the use of this plan. The regular assessment and evaluation will be done to
analysis the findings. The team will critically analysis all the data and information to measure the
relevance of the information.
1.3 methodology to analysis the information
The methodology is a practice that is about to analysis the all information collected at the
data collection stage. The methodology that is used in the current situation is mixed
methodology. This is a very suitable technique and approach that is used to assess and analysis
the qualitative and quantitative both type of information. The business will require the proper
assessment tool to understand the issue and to identify certain ways to overcome the respective
challenge or issue business is facing (Ghouri and et.al., 2020). The qualitative type of
methodology is suitable enough to overcome the qualitative and theoretical form of issue and
challenges. The qualitative methodology is suitable enough to assess the theoretical form of data
and information. In order to understand the actual situation this is essential to get to know the
basic crux of the issue of the problem. Qualitative type of information will empower and favour

the business and the researcher to get to know clearly about the theoretical context to the
information. Qualitative methodology will guide and direct the professional to know all the facts
and detail about the qualitative aspect of the research.
In order to analysis the quantitative data spss, descriptive statistic and regression analysis
like tools are used to assess the entire information. The statistical tools are very effective and
suitable to assess the quantitative information and data related to the study. In order to identify
the suitable business solution and problem these tools and technique are very healthy and
effective to use so that best suitable form of information can achieve to identify the suitable
scope to maximise the business growth (Abakare, 2021). Quantitative analysis technique is very
effective enough to approach the best suitable business solution and to overcome the practical
business issue. This is supported as a fact that the role of practical solution is to overcome the
issue and achieve the better control to address the respective issue. SPSS software and regression
analysis will allow the organisation to identify the relationship between different variable and
will further guide to take the best suitable decisions that can overcome the real issues of the
organisation.
The mixed approach is a very healthy technique that will support Posture parcel company
to overcome all different issues and challenges which company is facing in order to enter into the
new market. Competition in the market is a key challenge which company require to face every
time it look forward to enter in the new market. Mixed methodology will direct and guide the
management to identify the practical based solution to overcome all different business issues.
Task 2
2.1 Competitors and SWOT analysis of Posture parcel delivery company
One of the most popular UK's parcel delivery company is Royal Mail till now. There are many
more players that are competing within the parcel delivery services sector of UK such as
Hermes, DPD group, Parcelforce, DHL and Yodel. These companies are supposed to give tough
competition to the entrants like Posture parcel as they are already established in the parcel
delivery services industry and are also enjoying customer loyalty within the market. The highest
market share is being enjoyed by Royal Mail which is considered to be a monopolist in the
parcel delivery market sometime earlier. However, various new players entered the market
making competition tougher than earlier.

With the help of SWOT model, strengths, weaknesses, opportunities and threats of the company
can be identified, which has been done for Posture parcel company in the following section.
Strengths
 Posture parcel have superb
performance in each new market it has
entered and thus built expertize in
expanding operations and new revenue
stream. Accordingly, the risk associated
with economic cycle of different
markets are diversified (Tseng, Chiu
and Liang, 2018).
 A highly dedicated customer
relationship department helps higher
level of satisfaction among existing
customers and better brand equity
among potential target audience. Strong distribution network facilitates
easy reach out to potential market.
Weaknesses
 Face challenges in competing with
huge and established brand in the new
market due to inefficient sales force
and lack of training and development
opportunities for them.
 Having weak forecasting system to
predict demand due to which numerous
opportunities are missed in the hands of
competitors.
 Lack of investment for integrating new
technology making company a
alternative option for customers
(Borissova and et.al., 2020).
Opportunities
 Technological opportunities available
with the company allows for practising
differentiated pricing strategy in
different market it enters to maintain
loyalty among customers through
providing great services (Tseng and
et.al., 2018). Low transportation cost in new markets
allows for reduction in cost of Posture
parcel delivery services which provides
for opportunity to enhance its
Threats
 Lack of innovative approach exercised
over the years and whatever new
features introduced are in response to
the development by competitors.
 Local distributors enjoying higher
strength act as a threat to Posture parcel
in global markets as competition from
them never seems to be good in terms
of profitability.

profitability.
Courier service market trend analysis
There is a trend in UK's courier market in 2020 & 2021 such as automated parcel
terminals, demand delivery of parcels, customized delivery services to e-commerce companies,
drone deliveries, e – locker delivery systems and route optimization. Also, there are higher
opportunities in express segment where the revenue rise has been expected up to $200 billion by
the year 2025. The biggest player of the industry that is, Royal mail is expecting to have
operating profit between 395 and 400 million pounds in the upcoming six months as compared to
its low profitability of just 375 million pounds in the last year. However, it is higher than the
profit earned in 2019 which was around 344 million pounds. It has been expected that the
industry revenue will rise in 2021 & 2022 year due to higher demand from e-commerce
businesses. However, despite a demand surge in current years, the profitability has been
anticipated to fall to 6.4% of the revenue generated by the industry due to rising cost of fuel.
From last five years, compound annual growth rate in revenue is anticipated at 9.4% or 14.7
billion including the increase in current year's revenue by 10.5% (Courier Activities in the UK-
Market Research Report. 2021). Therefore, Posture parcel can expect revenue growth after
entering into courier service market of UK.
2.2 Decision making model
Royal Mail can hold the rationale model to make important decision in the business. This
model is further known as the classical model of business decision making. The model is based
on identifying the problem and to make a suitable decision to overcome the respective issue or
problem which company is facing at this point in time. This model includes problem that is
assessed and analysed (Westerman, Nafees and Westerman, 2021). Objectives are also clear of
this model is to overcome the respective business issue. The criteria are set on which the
management take approval of all the necessary stakeholder involve in the decision making
process. In order to overcome the issue in the classical model of business decision making all the
various alternatives are assessed and analysed. This involve based on the problem that has
identified this is about to identify the possible alternative solution that are available to overcome
the respective business issue. Identifying the suitable alternative ad to take the best suitable
decision for the business is a significant part of the classical approach of management to

overcome the issue. On the basis of the selected alternative option the potential consequences are
verified. This involve assessment about the potential consequences involve in addressing the
business issue. Decision make in this approach by the Posture parcel company is rationale. The
possible backup plan is also prepare to deal with any possible consequences involve with the
issue (Khan and et.al., 2021). This model is a classical approach that support the management to
overcome the various issue and challenges which company is facing at this point in time in order
to gain the success in the new market. This model support the management very strategically as
it could direct the business to overcome all the potential negative impact carried over the
business operations perform by the venture. The new market will consider the set of competition
that company require to fight and this model involve all the possible alternative to overcome this
respective business issue.
Task 3
Problem solving technique and proposed solution
The identified problem will undertake by the is with the use of certain steps. The first
stage is to identify the problem. Management will try to identify the real problem and based on
that the solution will be trying to identify. This is a very strategic process that is followed by the
company. On the basis of the problem is identified the possible solution and alternative options
will propose. This involves all the respective alternative to verify and assess so that possible
solution can identify. Generation of alternative solution is a key and significant part of this
approach to be followed by the management (Persis and et.al., 2021). On the basis of the
alternatives are identified the potential solution are proposed. This involves the strategic
evaluation of the capability of the organisation and the strategic aspect of all different alternative
options is proposed. Implementation of the proposed solution is done and based on the results
gained after implementing the solution follow up is taken to verify and assess the proposed
solution of the problem.
This is recommended that is order to attract the market in United Kingdom company can
provide a very cost friendly services to its target customers. This is a very crucial part and
approach associated with taking competitive advantage in the market. This is requiring for the
organisation that it will support the management to support the business for gaining the interest
of the target customer in market. This is further recommended that Posture parcel company must

focuses over improving the brand value in new target market. This will allow the business to
attract the decision making of the potential customer.
CONCLUSION
Entering into the new market is a very strategic choice related to the organisation. This
involve supporting the customer with the services of the organisation in such a manner that
customer get the best out of the business. The decision making will allow the organisation to
adopt different models such as classical approach, swot and many other models and tools that
can be used to make the best decision. Mixed methodology will involve the analysis of both
qualitative and quantitative type of information.

REFERENCES
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Online
Courier Activities in the UK - Market Research Report. 2021. [Online]. Available through
<https://www.ibisworld.com/united-kingdom/market-research-reports/courier-activities-
industry/>