Develop and Implement Strategic Plans

This document discusses the process of developing and implementing strategic plans for business success. It covers topics such as mission and vision statements, SWOT analysis, competitor analysis, and strategic objectives. The document also includes a progress plan and suggestions for improvement.

Running head: DEVELOP AND IMPLEMENT STRATEGIC PLANS
Develop and Implement Strategic Plans
Name of the Student:
Name of the University:
Author’s Note

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DEVELOP AND IMPLEMENT STRATEGIC PLANS
Table of Contents
Task 1...............................................................................................................................................2
Assessment 2...................................................................................................................................3
SWOT Analysis...........................................................................................................................3
PEST Analysis:............................................................................................................................4
Competitor Analysis:...................................................................................................................5
Task 3...............................................................................................................................................6
Strategic Objectives.....................................................................................................................6
Strategies which needs to be Implemented..................................................................................7
Task 4...............................................................................................................................................8
KPI progress Plan............................................................................................................................8
Milestone progress...........................................................................................................................9
Overall Progress.............................................................................................................................10
Improvement Required..................................................................................................................11
Reference.......................................................................................................................................11

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DEVELOP AND IMPLEMENT STRATEGIC PLANS
Task 1
Dear Stakeholders
Subject: Mission and Vision Review
This mail is formulated for the purpose of reviewing the changes which has taken place
in the mission and vision statement of the business and would also be citing the reasons for the
changes in the mission and vision statement of a business.
Existing Mission and Vision
Australian Hardware provides the best quality hardware, homewares, garden supplies and
building materials from Australia and the world. Australian Hardware is committed to providing
customers and tradespeople with value through everyday low prices, product quality.
Current Approach
The current approaches which is followed by the business is to promote the quality of the
products which is offered by the business. The focus of the business is to offer the best quality of
products to the business so that appropriate revenue can be generated from the operational
process of the business.
Revised Mission and Vision
The revised mission and vision statement should be focused on effectively combating the
competitive pressure in the market and thereby ensure that the quality of the product is
maintained and also the management needs to offer the products at low price. The management
aims to expand the operations of the business so that the overall revenue which is generated by

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DEVELOP AND IMPLEMENT STRATEGIC PLANS
the business is of appropriate quality1. The business also intends to follow a low-cost model so
that the overall operating costs of the business can be reduced.
Organizational Values
The organizational values which is followed by the business needs to be focused on
maintaining the quality of the products which is offered by the business2. The products which are
offered by the business would be offered at a low price so that the business can attract more
customers to the business. The business has the policy of focusing effectively on the needs of the
customers and provide the best quality of tools which is available in the market.
Assessment 2
SWOT Analysis
The situation being analysed is for Australian Hardware.
Strength
 The strength of the business is that it
is financially secure with growing
amount of revenues
 Wide range of product offering
 Strong community focus
Weakness
 Business would be required to adjust
to begin from behind the competitors
 It is unknown brand for Australians
 Little understanding regarding
Australian marketing and
1 Amran, Azlan, Say Keat Ooi, Riduan Toani Mydin, and S. Susela Devi. "The impact of business strategies on
online sustainability disclosures." Business Strategy and the Environment 24, no. 6 (2015): 551-564.
2 Killing, Peter. Strategies for joint venture success (RLE International Business). Routledge, 2013.

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DEVELOP AND IMPLEMENT STRATEGIC PLANS
advertisement realm
Opportunities
 Earning potential from the market
with propensity of improved revenue
 Can share best practices from the
Australian in new market
 There is a scope of gaining higher
amount of profit with increased sales
Threats
 Regulation to restrict competition
and speed of innovation places
strong restrictions on the entry of
foreign owned business.
 There as few established hardware
firms that are losing profit.
PEST Analysis:
A PEST analysis is conducted on the Australian hardware market including the
competition from the viewpoint of business3.
Political
 Australia’s business climate makes it
a suitable place for making
investment.
 The political situation in Australia
appears to be stable which allows the
investors to be confident in their
purchase.
Economical
 The economy of Australia has grown
by 3% and the business investment
is anticipated to grow gradually.
 A lower income tax rate of 27.5% is
applied on the company that has the
annual turnover of less than $25
million.
Social Technological
3 Drucker, Peter. Innovation and entrepreneurship. Routledge, 2014.

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DEVELOP AND IMPLEMENT STRATEGIC PLANS
 The upper class is usually 5 to 10
percent population that has property,
capital and ownership being the
main source of income.
 The country has more than 20% of
the population as the manual worker.
 Australia is better known for its
technological innovations. The
country invests around $65 billion
every year in technology.
 The government also funds 50% of
the research and development
expenses.
Competitor Analysis:
Bunnings Warehouse: Bunning warehouse is one of the competitor for Australian Hardware. It
is mainly involved in the retail home improvement and outdoor living products that includes the
tools, gardening and storage products4. Additionally, the company has the estimated annual
revenue of around $8.4 billion and estimated employee strength of 31,000.
Elraco Distributors: Another competing company of Australian hardware is the Elraco
Distributors that is mainly engaged in the supply of cabinet hardware and furniture. The strength
of the company is that it has the online hardware supply facility and restoration supplier.
Overall Australian hardware with its strong revenue funding is anticipated to dominate
the competitors and it will be a tough competition for Bunnings.
Summary Statement of Australian Hardware Potential Ally:
4 Kirzner, Israel M. Competition and entrepreneurship. University of Chicago press, 2015.

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DEVELOP AND IMPLEMENT STRATEGIC PLANS
To summarise the potential ally the competitor has the mission of enabling faster supply of
hardware requirement among its potential customers. The company here Australian hardware
aspires to attain its mission where it seeks to be leader in the market5. By aligning the company’s
vision with its competing firms, it can be stated that it mainly exists for both the employees and
external community. This involves adopting new marketing strategies to move closer to its
vision.
Task 3
Strategic Objectives
The management of Australian Hardware need to formulate appropriate strategies so that
the so that the management of the company is able to achieve all the goals and objectives of the
business. The strategic objectives which can be identified are listed below:
 To reduce the costs of operations of the business so that the business can enhance the
profits of the business6.
 The management aims to increase the net profits of the business by 5% so that the overall
performance of the business can be increased.
 The business also aims to enhance the scale of operations of business by opening new
stores so that the business can serve a wide range of customers in the market.
Strategies which needs to be Implemented
Objectives Strategies Time Frame
5 Kuratko, Donald F. Entrepreneurship: Theory, process, and practice. Cengage Learning, 2016.
6 Wheelen, Thomas L., J. David Hunger, Alan N. Hoffman, and Charles E. Bamford. Strategic management and
business policy. Boston: pearson, 2017.

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DEVELOP AND IMPLEMENT STRATEGIC PLANS
Reduce the costs of
operations
 Implement Budgeting
 Implement Standard
Costing techniques
1 year
Increase the net profits of
the business by 5%
 Improve the quality of
products.
 Reduce the costs of
operations
6 months
Enhance the scale of
operations of business
 Open new stores in the
business.
 Invest in promotion and
advertisement
6 months
Task 4
KPI progress Plan
The main business of the Australian Hardware is sell the hardware and homeware
products as well as the provide services related to the hardware and homeware to the purchaser
while the company is looking forward to expand its business in every state of Australia. To
expand its business over every market of Australia successfully, the management of company
made a growth plan to analyse the actual performance of the company in the basis of the key
performance indicators. The management try to identify the different objectives as well as the

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DEVELOP AND IMPLEMENT STRATEGIC PLANS
KPI of objectives. The following objectives discuss the progress of the firm in the basis of the
strategic plan: -
Objective 1: - Selling of Australian hardware and homeware product in every states of
Australia in next five year
Strategy A. The strategy is focused to sell the 200 products in the next five years in the
every state of Australia can be implemented. The company reported the sell on 180
products in the last two years.
Strategy B. This strategy of the business is to establish an Australian Hardware and
Homeware in Melbourne. The firm also planned this in last two year but not yet
implemented.
Strategy C. In this strategy, the firm is planning to make a contract with the agent to
increase its sells and expend the business in every states of the Australia.
Objective 2: - To increase profit margin by 5 %
Strategy D. The firm is planning to buy the raw material in bulk as this helps the firm to
reduce the cost of raw material.
Strategy E. In this strategy, the firm is planning to operate its all department only with
the optimum capacity and productivity to optimise the production of the firm entirely.
Objective 3: - To establish the Australian Hardware and Homeware brand identity in the
Australian market in next five years
Strategy F. The firm is planning for the social and internet market by getting the 10,000
clicks in the website per day.

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DEVELOP AND IMPLEMENT STRATEGIC PLANS
Strategy G. The firm is planned to join the YYY in co-branding by making sure that the
100 % stores should have the product of the Australian Hardware.
Objective 4: - To reduce the waste and energy by 10 %
Strategy H. The firm is planning for the setting up the innovation and reward programs
for reducing the wastes of the firm.
Strategy I. In this the firm is planning to develop and implement the energy use
awareness campaign for to reduce the uses of the energy to the 10kw per person.
Milestone progress
Milestone: Action and/or
objective
(to achieve strategic aims of physical or
human resourcing)
Period Person
responsib
le
Status
(where
applicable)
Installing 200 machines per annum 1 years (5
years
period
considered)
Operational
Manager
Partially
Achieved
Set up a Melbourne Warehouse Within 2
years
Operational
Manager
Not Achieved.
Set up Agents in different States No time
limit
Sales
Manager
Partially Achieved
Set up an Agreement for Bulk buying
negotiation.
No time
limit
Operational
Manager
Successfully
Achieved
Operate all departments at optimum No time Sales and
different
Achieved but
Requires some

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DEVELOP AND IMPLEMENT STRATEGIC PLANS
capacity limit Departments work.
Social and internet Marketing No time
limit
Sales
Manager
Successfully
Achieved
Branding Agreement with Java Estate No time
limit
Sale
Manager
Partially Achieved
Reduction of Waste No time
limit
Operation
Manager
Successfully
Achieved
Efficient use of Energy No time
limit
Operation
Manager
Not fully
Implemented.
Overall Progress
The strategy plan that is developed by the management of Australia Hardware and
Homeware is favourable for the firm and help the firm to grow more in the future. The
implementation of the management’s developed strategic plan must be efficiently and careful
implemented in the business to report the growth in the performance of the firm or to achieve the
planned objectives of the firm.
Improvement Required
The followings are some important improvements that is required to achieve the planned
goal and objectives of the firm: -
 The firm need to minimize its cost of the production to increase the profit margin.

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DEVELOP AND IMPLEMENT STRATEGIC PLANS
 The agreement of the firm with the third parties should be implemented as soon as
possible to increase the efficiency of the firm.
 The firm also need to improve its control over the cost by budgetary practices.
Reference
Amran, Azlan, Say Keat Ooi, Riduan Toani Mydin, and S. Susela Devi. "The impact of business
strategies on online sustainability disclosures." Business Strategy and the Environment 24, no. 6
(2015): 551-564.
Drucker, Peter. Innovation and entrepreneurship. Routledge, 2014.
Killing, Peter. Strategies for joint venture success (RLE International Business). Routledge,
2013.
Kirzner, Israel M. Competition and entrepreneurship. University of Chicago press, 2015.
Kuratko, Donald F. Entrepreneurship: Theory, process, and practice. Cengage Learning, 2016.
Wheelen, Thomas L., J. David Hunger, Alan N. Hoffman, and Charles E. Bamford. Strategic
management and business policy. Boston: pearson, 2017.