Stakeholder Engagement Plan for Super Retail Group

This report discusses the stakeholder engagement plan of Super Retail Group and how it helps in understanding the needs of stakeholders and formulating better strategies. It also explores the corporate level strategic initiatives taken by the company and provides recommendations for enhancing stakeholder engagement and strategic initiatives.

DYNAMIC STRATEGY
AND DISRUPTIVE
INNOVATION

EXECUTIVE SUMMARY
Stakeholders are vital for the success of any organisation. This report has discussed the case
study of Super retailer group which has achieved immense success on the basis of its corporate
strategies. The study has provided stakeholder engagement plan so that organisation can
understand the various needs of its stakeholders and better strategies can be formulated. It has
been analysed from the report findings that for retaining the success organisation must give
proper attention to influence and power of its various stakeholders. It will help company to
incorporate strategies as per changing demands and needs of business.

TABLE OF CONTENTS
Introduction to Super Retail Group.................................................................................................1
Stakeholder engagement plan..........................................................................................................1
Strategy adopted by Super Retail Group.........................................................................................3
Corporate level strategic initiatives Super Retail Group.................................................................4
Recommendations............................................................................................................................5
REFERENCES................................................................................................................................7

Introduction to Super Retail Group
Super retail group is an Australian based company that owns and operates a portfolio of
retail brands across Australia. Main brands included are: outdoor and leisure retailers Macpac,
automotive retailer Supercheap Auto, boating campaign and fishing also known as BCF, and
sporting retailer Rebel Sport. Super Retail Group Limited was founded in 1972 founded by Reg
Rowe who’s main headquarter is in Queensland, Australia. This company was founded as a mail-
order business selling automotive accessories from Brisbane home of founders Reg and Hazel
Rowe. In following decades, they opened several stores after which in 1981 they changed their
name to Super Cheap Auto and then back to Super Retail Group in 2010. According to 2018-19
report their overall revenue was AU$ 2.71 billion and net income was AU$ 139.3 million. They
have approximately 12,000 employees working for them across Australia, New Zealand and
China.
Today they have grown to one of Australasia's largest retailers. They sell products of
brand icon such as BCF Boating Camping Fishing, Macpac, Rebel and Supercheap Auto that has
further helped them to enhance their overall annualised turnover above AU$ 2.5 billion.
Different brands offer different products such as BCF sell products such as lures, rods & reels,
tackle boxes, fishing nets and many more. industry dynamics of this industry has changed over
time that has further helped them in bringing changes within their products and services
accordingly. Like in 2010 they focused upon acquiring camping and outdoor goods store, in
2011 they acquired sorts brands and merged into the Rebel Sport brand. Due to increasing
awareness about online shopping and increasing usage of online platform for buying and selling
products, Super retail group focused upon expanding their business into online sales in 2018.
Stakeholder engagement plan
Stakeholders are group of members of organization or of a group who support the
organization and who can either affect the company or can get affected by the company
(Bahadorestani, Naderpajouh and Sadiq, 2020). Some of the main stakeholders of Super Retail
Group are: customers, suppliers, shareholders, employees, managers, competitors, government
agencies, contractors, Board of directors etc. Engagement of stakeholders is extremely important
as it helps in achieving or providing support to organization.
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Stakeholders Customers Suppliers Shareholders Employees Competitors
Power &
Influence
Medium Low High High Medium
Interest level Medium High High High Medium
Most
desirable
outcome
Consumer
loyalty
Long term
association
with good
relations
High
investment
Good
organisational
outcomes
Gaining
competitive
advantage
Least
desirable
outcome
Poor
customer
retention and
dissatisfaction
Poor support
and
coordination
Least
investment
Lack of
efficiency
Increasing
competitive
gap
Stakeholder
expectations
Good quality
services
High profit
margins
Higher
investment
returns
Personal and
professional
growth
Least
competition
Engagement
objectives
Regular
purchasing
Timely
delivery of
goods
Active
participation
in decision
making
Timely
accomplishment
of goals
Contributing
in improving
organisational
outcomes
indirectly
Engagement
methods
Purchasing
and selling
Supplying
resources
Buying and
selling shares
Decision
making and
executing tasks
Competitive
impact
Stakeholder engagement plan of Super Retail Group has been explained below:
Stakeholders list:
Stakeholders of Super Retail Group are: customers, suppliers, shareholders, employees,
managers, competitors, government agencies, contractors, Board of directors
Phase:
Involvement of all the stakeholders in organization is at different phases, that are:
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 Customers are involved at purchasing phase where they make purchases by buying products
or services sold by Super Retail Group.
 Suppliers are involved in manufacturing and production phase as they are the one who supply
raw materials for production or manufacturing.
 Shareholders are involved at financing phase as they are the one who invest in organization
by buying shares of the organization (Silvestre and et.al., 2018)
 Employees are involved at almost all the phase of the organization as they work for Super
retail group in selling products and services, providing excellent customer service to
customers, in packaging and at other phases as well.
 Managers are involved at management phase as they are the one who motivate employees
and focus upon management of employee’s performance.
 Competitors are involved at market performance phase of the organization as they give a
tough competition to Super retail group. Top competitors of Super retail group are Advance
Auto Parts, AutoZone, Lordco Parts, Repco etc.
 Board of directors are involved at decision making phase of the organization as they take
major decisions related to organization.
Area of influence and power:
Area of influence of all the stakeholders is different within Super retail Group.
 Customers directly influence sales of Super Retail Group and they have the power to either
increase or decrease overall sales of the organization.
 Suppliers can influence availability of raw materials areas because they are the one who
supply raw material to the organization. But they do not have much power over organization
because there are many suppliers who will readily supply required material to Super retail
group.
 Shareholders can influence financing area of the organization because if they do not purchase
shares then it will become difficult for organization to collect funds.
 Employees can influence manufacturing, production, selling and service provision areas of
the organization. They have high power and can influence an organization drastically.
 Managers can influence overall management of the organization as they are the one who
manage overall work of employees and motivate them.
Engagement Approach:
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Each stakeholder engages with the organization in different ways and their frequency of
engaging with Super retail group is also different (Conallin and et. al., 2017). Not only this each
of them have different mode of communication as well.
 Customers engage with Super retail group daily either though online portal or though brick or
mortar store.
 Suppliers engage with Super retail group weekly or monthly though emails when material is
required to be ordered and supplied.
 Shareholders engage with Super retail group daily by buying or selling shares.
 Employees engage with Super retail group daily in many ways like though face to face
meetings, phone calls, emails etc.
 Managers engage with Super retail group daily with employees though face to face meetings.
Strategy adopted by Super Retail Group
It is important for every organization to adopt a proper strategy in order to operate in
market in a proper and appropriate manner. there are various kinds of models or framework that
can be used to adopt and identify strategy which is required to be adopted by an organization in
order to remain competitive in the market and operate. Porters five generic strategy framework is
a kind of framework that can help an organization to adopt a strategy that can help them to
achieve competitive advantage (Seifzadeh and Rowe, 2019). Porters five generic strategy
framework helps in explaining five generic strategies that can be adopted by any organization in
order to operate in the market in which they operate and gain competitive advantage. As per this
framework before choosing an appropriate strategy it is important for an organization to identify
competitive advantage that they wat to focus on which is cost leadership for ensuing that their
cost is lower than competitors, and other one is differentiation that ensures that their products
and services are different from their competitors (Naidoo and Gasparatos, 2018). Other than this
they should also focus upon identifying and chose competitive scope that are either broad market
scope or narrow market scope. Five generic strategies according to Porters five generic strategy
framework are as follows:
 Cost leadership: This strategy help organization to focus upon broad customer base based
upon price or cost (Gorondutse and Hilman, 2019). This strategy helps an organization to
gain competitive advantage but return on investment for organizations due to this strategy is
lower.
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 Differentiation: This strategy focuses upon broad customer base based upon uniqueness of
the product. This strategy is used by organization to introduce unique features of a product
into marketplace and gain competitive advantage.
 Focused cost leadership: This strategy focuses upon niche market and compete on the basis
of pricing.
 Focused differentiation: This strategy focusses upon very narrow segment and compete on
the basis of differentiation by introducing uniqueness in strategy (Walter, Lechner and
Kellermanns, 2016).
 Integrated cost leadership/ Differentiation: This strategy focuses upon producing low- cost
products on the basis of differentiated features it is known as hybrid strategy.
Super retail group focus upon adopting differentiation strategy where they provide unique
products or uniqueness in features of products and maintain higher level of accuracy and focus
upon broad category.
Expand or
defend
current
business
Expand/
Defend
position in
industry
value chain
Expand into
value chain
adjacent
business
Expansion
into related
industries
Diversification
into different
businesses
Super
retailer
group
Expansion
into online
sales
By means or
differentiation
strategy
Expanding
business
through
recreational
and sports
accessories
Acquisition
with Macpac
Acquisition of
rays
Corporate level strategic initiatives Super Retail Group
Corporate level strategic initiatives can be defied as a kind of plan to hit specific target
needs in order to Achieve pre- defined goals and objectives. These initiatives can be both long-
and short- term in nature (Reyes‐Rodríguez, Ulhøi and Madsen, 2016). Corporate level strategic
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initiatives can help an organization to gain competitive advantage, bring improvement within
their business as per changing market conditions. Some of the main Corporate level strategic
initiatives taken by Super retail group are as follows:
 Merger and acquisition: In order to expand their business and gain competitive advantage
they acquired Rebel Sport and Amart Sports in 2011. In 2017 Amart Sports brand was
discontinued and was merged into Rebel Sport brand. This merger allowed Super retail group
to focus upon single sporting goods brand and reduce costs. This directly helped them to gain
competitive advantage and enhance their overall business. The main purpose of this merger
and acquisition was to enhance sales of sports products. This merger further helped them to
expand their business and enter into sports products sales as well by acquiring sports brand.
 Another Corporate level strategic initiative taken by Super retail group was of expanding
business into online sales. This initiative directly helped Super retail group to enhance their
overall sales of $203 million. This directly helped them to enhance their overall sales and
compete with international sports brands and maintain growth rate of the organization. This
initiative of expanding their presence online helped them to maintain sales of their products
even in this Covid-19 time period and enhance profitability (Sapapthai and et.al., 2020). For
enhancement of their overall sales, they focused upon adopting cost leadership approach for
online sales. The main purpose of this online sales initiatives is to enhance overall sales and
enhance their overall revenue and profitability.
 Another Corporate level strategic initiative taken by Super retail group was to enter into joint
venture with Bosch to open full-service auto repair workshops. This helped them to provide
fully automotive service backed by Bosch's diagnostic technology and Bosch parts and
equipment. However, impact of this joint venture will be assessed by Super Retail group by
assessing response of customers before opening any further workshops. This joint venture
has helped them to open Supercheap Auto Stores. This business model will be operated
similar to other ventures overseas and will be a joint venture not a franchise. Thigs or factors
that this Supercheap Auto stores joint venture will be incorporating car clinics, 60-minute
click-and-collect, windscreen chip repair, 24-hour parcel collection, Tesla electric vehicle
charging, nitrogen tyre inflation, and baby-seat fitting. The main aim of this joint venture is
to provide automated and cheap service to customers.
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Recommendations
Following are some recommendations that can be adopted by Super retail group for
management of stakeholder engagement, strategic initiatives so that they can defend their
competitive position and stimulate their growth.
 One of the main recommended way to enhance engagement of stakeholders is to understand
level of influence of all the stakeholders so that Super retail group can understand ways in
which they should interact with particular stakeholders so that influence of all the
stakeholders on organization can be positive and its negative impact can be reduced (Eskerod
and Larsen, 2018.). This can be done by scaling all the stakeholders on the scale of low,
medium and high. This will help Super retail group to identify ways in which desired
outcomes can be achieved in a positive manner.
 In order to make strategic initiatives taken by Super retail group successful it is important for
them to bring changes within their business level strategy adopted by them. This is majorly
because different strategic initiatives require different business level strategies in order to
ensure its success. For example, in order to make sure that the recent joint venture with
Bosch is successful they can focus upon adopting integrated cost leadership/ Differentiation
as it is a hybrid approach this approach will help Super retail group to provide unique service
to customers in lower cost. This strategy directly helps them to enhance success of this
strategic initiatives taken by Super retail group.
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REFERENCES
Books and Journals
Bahadorestani, A., Naderpajouh, N. and Sadiq, R., 2020. Planning for sustainable stakeholder
engagement based on the assessment of conflicting interests in projects. Journal of
Cleaner Production. 242. p.118402.
Conallin, J.C., and et. al., 2017. Stakeholder engagement in environmental water management.
In Water for the Environment (pp. 129-150). Academic Press.
Eskerod, P. and Larsen, T., 2018. Advancing project stakeholder analysis by the concept
‘shadows of the context’. International Journal of Project Management. 36(1). pp.161-
169.
Gorondutse, A.H. and Hilman, H., 2019. Testing the effect of business-level strategy on
performance of hotels. Global Business Review. 20(5). pp.1141-1154.
Naidoo, M. and Gasparatos, A., 2018. Corporate environmental sustainability in the retail sector:
Drivers, strategies and performance measurement. Journal of Cleaner Production. 203.
pp.125-142.
Reyes‐Rodríguez, J.F., Ulhøi, J.P. and Madsen, H., 2016. Corporate environmental sustainability
in Danish SMEs: A longitudinal study of motivators, initiatives, and strategic
effects. Corporate Social Responsibility and Environmental Management. 23(4).
pp.193-212.
Sapapthai, S. and et.al., 2020. A Stakeholder analysis approach for area business continuity
management: A systematic review. Journal of Disaster Research. 15(5). pp.588-598.
Seifzadeh, P. and Rowe, W.G., 2019. The role of corporate controls and business-level strategy
in business unit performance. Journal of Strategy and Management.
Silvestre, B.S. and et.al., 2018. Challenges for sustainable supply chain management: When
stakeholder collaboration becomes conducive to corruption. Journal of Cleaner
Production. 194. pp.766-776.
Walter, J., Lechner, C. and Kellermanns, F.W., 2016. Learning activities, exploration, and the
performance of strategic initiatives. Journal of Management. 42(3). pp.769-802.
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