Data Analysis and Decision Modelling Assignment 2022

Running head: DATA ANALYSIS AND DECISION MODELLING
Data Analysis and Decision Modelling
Case study of Cunningham Gudgal Golf Resort
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DATA ANALYSIS AND DECISION MODELLING 2
Introduction
As environmental sustainability initiatives continue to be paramount to the society,
companies across several industries are beginning to initiate business practices that are in line
with the sustainability concept. This demands that managers are more creative and ready to offer
an extra effort to ensure the actions initiated are economical. Sustainable business activities are
characterized by environmentally friendly initiatives that are fronted by firms so as to become a
more sustainable venture (Taylor, 2019). The firms do aim at reducing their environmental
pollution by inventing processes that minimize waste products remitted to the environment as
well as discouraging unethical environmental practices (Capra, 2015). Even though sustainable
business practice is easily associated by environmental protection the concept is wider than that.
Sustainability also entails the process of implementing managerial practices that are able to keep
the business brand active and dominant in the long run. It involves coming up with ideas that
continuously grow the business market share as well as strengthen its brand name.
In this report will look at the activities at the Cunningham Gudgal Golf resort as a case
study of sustainable business ideas in practice. Cunningham Holdings Limited (CHL) is a family
business under the leadership of Oscar Cunningham as the company CEO. The firm does offer
diversified services under the hospitality industry. Currently the firm owns 300 hospitality
venues which are spread across Australia. The strategic planning of the firm is in accordance
with its corporate vision of creating sustainable products and services for Globally connected
communities. As a way of developing the rural communities, the management of the firm under
the leadership of the CEO has suggested investing in a Golf resort with a standard clubhouse at a
cost of $ 20 million. This is aimed at increasing the firms’ brand name while at the same time
growing its revenue base. The investors of the firm are to the opinion that the firm ought to
invest in a golf resort with an exclusive clubhouse. Being the senior business analyst of the firm,
I was tasked with analysing the investment options available to the firm and afterwards coming
up with a recommendation of the most viable idea.
Description of the implementation of the decision models
To arrive at the best feasible option to undertake, the various options available to the
firms were modelled. The modelling was done using the solver add in in Microsoft excel with
the objective of maximising the total consumer enjoyment derived from each plan. The

DATA ANALYSIS AND DECISION MODELLING 3
enjoyment index was used to measure the golfer’s enjoyment and quantify the satisfaction that is
derived from the golf course in general.
The first model to be implemented was the management plan, this model did account for
the managers’ suggestion of constructing an international standard golf course with a standard
clubhouse. The clubhouse was to be constructed at a cost of $ 3.5 million and was to occupy a
and area of 2 hectares. The second model entailed modelling of the shareholders request.
According to the shareholders, the firm ought to construct an international standard golf course
with an exclusive clubhouse. The clubhouse was suggested to cost $ 6 million and occupy an
area of 4 hectares. Being that the shareholders option was found not to be in line with the
company resources addition three options were availed for selection. Option 1 suggested
constructing clubhouse which occupies an area of 3 hectares at a cost of $ 6 million. On the other
hand, option 2 did suggest cutting down the cost of the exclusive clubhouse to $ 5 million while
retaining the size to the shareholders original suggestion. Lastly, option 3 retained the
shareholders requirements but demanded the project budget be raised to $ 21million. After
reviewing the options three of them were fund to be feasible and will be discussed in details in
the subsequent chapter.
Analysis of the feasible models
The three models that can be implemented by the firm using the available resources
include the managers plan, option 2 and option 3.
Managers plan
So as to put the managers suggested plan in place, CHL need $ 19.050 million, this
amount is less than the budgeted $ 20 million which makes the plan to be financially viable to
the firm. In addition, the total golf resort will fit a land space of 40.75 hectares which is less than
the 42 hectares that is at the disposal of the firm. By putting the plan in place golfers will be able
to derive a total enjoyment index of 35 from the hole configuration. The clubhouse does add no
additional enjoyment but is necessary to attract clients to the resort. The golf holes configuration
of the resort is as follows;
Golf Resort
Type of Golfing
hole SP5 DP5 SP4 DP4 LP3 SP3