Report on Operational Plan Implementation for Lakeview Motel, Analysis

This report presents a detailed operational plan for Lakeview Motel, addressing its current challenges and proposing strategies for improvement. The plan encompasses human resource management, financial requirements, and risk assessment. The report suggests hiring new employees and securing a bank loan to enhance services and achieve financial goals. It includes an action plan with a Gantt chart and network diagram, outlining the implementation process, which is estimated to take 68 days. Risk mitigation strategies are provided to address potential issues such as financial constraints, unrealistic assumptions, and communication problems. The report also covers monitoring and evaluation processes to ensure the operational plan's success. Overall, the plan aims to increase the motel's competitiveness and improve its financial performance through strategic operational changes.

Implement Operational Plan

TABLE OF CONTENTS
Executive summery........................................................................................................................1
introduction......................................................................................................................................1
Human & other capacity requirements............................................................................................2
Financial Requirements...................................................................................................................2
Risk Assessment and mitigation strategy........................................................................................3
Implementation................................................................................................................................5
Action Plan......................................................................................................................................5
Monitoring/Evaluating.....................................................................................................................9
conclusion......................................................................................................................................10
references.......................................................................................................................................11

TABLE OF FIGURES
Figure 1: Gantt chart for operational plan.......................................................................................8
Figure 2: Network diagram for operational plan.............................................................................9
LIST OF TABLES
Table 1: Action plan for Lakeview Motel.......................................................................................5

EXECUTIVE SUMMERY
Case study analysis has reflected that Lakeview Motel was facing some specific
operational issue which have negative impact on competitive position of this motel. So, current
report has developed appropriate operational plan for getting competitive position in the market.
For implementing operational plan in effective manner Lakeview motel needs to hire two
external; employees with appropriate skills and experience. Including this, motel can make
appropriate arrangement of funds by using bank loan. It will help in getting £2504. Including
this, current report has used Gantt chart for developing operational plan which has reflected that
implementation of operational plan will take 68 days. So, project manager needs to mitigate
different associated risks such as financial, communication, planning and strategic, etc. Else
these risks may harm the project deliverables and outcome. Including this, monitoring and
evaluation process has reflected the success if implementation process of operational plan
because of no difference between actual and expected time and cost.
INTRODUCTION
Operational plan can be defined as a plan which is prepared by an organization that
clearly defines actions to support strategic objectives and plan of top management. It focuses on
day to day activities of the organization and tactical plan of the company. Operational plan
includes extremely detailed information about the organization strategies. The current research is
based on implementation of operational plan. Regarding this study will focus on a case of
Lakeview motel which is operating its business in a small town from last ten years. At present it
has only small debt remaining on the business. Major objective of this motel is to be debt free
within two years (Kriz, Gummesson and Quazi, 2013). At present it is offering accommodation
and home style meal facilities to its customers. Its ambiance and view are also very attractive for
families, couples and corporate executives. But from last one year several families have started
their own business and provide accommodation and food services to customers. Some of these
are quite expensive but offer excellent facilities. It has increased competition for Lakeview motel
and declined the overall sales of the firm. Including this changes in taxation and insurance
requirements have also increased higher overheads for the business.
So, owner of this organization wants to develop new strategies and plan to remain
competitive and cope up with the changes. Regarding this, the current report will include
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information about the human and other capacity requirements. Along with this, study will also
comprise financial requirements, risk assessment and mitigation strategy. Further
implementation, action, monitoring and evaluation plans are also describing in the following
paragraphs of the report.
HUMAN & OTHER CAPACITY REQUIREMENTS
As per the given case study Lakeview hotel does not have appropriate number of human
resources for providing services to customers. At present Mark and Dennis and their wives are
the major human resources. Therefore, human resources capacity of Lakeview motel is 4. For
attaining competitive advantages and improving organization’s services motel needs to hire two
new employees which will help in improving different services such as food, accommodation,
housekeeping, customers services and spa and other additional facilities (Stevenson and Hojati,
2007).
At the time of hiring new employees owner of Lakeview motel needs to focus on
required skills for implementing operational plan in effective manner. It will help in hiring those
people who have appropriate skills, of communication and hotel management. Along with this,
they must have financial, human resource and operation management skills. All these skills are
required for implementing operational plan in effective manner.
Current human resources of Lakeview motel are Mark, Dennis and their wives. On the
other hand interview is one of the major potential source which will help in hiring new human
resources for motel (Darren, 2012). Along with this, online job portal and advertisement are also
important source for increasing human resource capacity of motel.
Along with this, form improving capacity Lakeview motel can implement Customer
Relationship Management (CRM) system also. It will help in making contract with customers
which h will improve customer relations. It will be effective for improving customer’s
satisfaction which will leads increment in overall financial performance. So, CRM system is one
of the important capacity needs which will reduce the additional workload of human resources of
the motel.
FINANCIAL REQUIREMENTS
Implementation of operational plan increase the requirement of finance. Improving the
existing facilities of Lakeview hotel is one of the important project and will require huge amount
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of money. As per the estimation this project will require £2600. This amount of money is
required for hiring human resources, managing other capacities and adding additional services
for customers (Hobbs, 2009).
As per the given case study Lakeview hotel has planned to be debt free in coming two
years but this financial requirements will raise the amount of overheads. So, organization needs
to select most appropriate sources of finance which can help in getting money at low cost.
Current source of funds is retained earnings of Lakeview motel. It will be effective because it is a
cost free source of fund and there is no need to repay this amount of money. Along with this,
there are number of external sources of finance by which Lakeview motel can raise the existing
capital and implement the operational plan. These include bank loan and bank overdraft, etc. But,
bank loan will be potential source of money for this organization because £2600 is a big amount
of investment (Olhager, Rudberg and Wikner, 2001). So, bank loan can provide huge amount of
money for long time. Along with this, interest rates of bank loan is also low as compare to other
external financial resources. Current financial position and goodwill of Lakeview Motel are
enough to get bank loan without any issue. So, this organization can satisfy the financial
requirements and fulfil the finding gaps by getting loan from bank (Purpose of an Operational
Plan, 2016).
RISK ASSESSMENT AND MITIGATION STRATEGY
Determining associated risks of the project is one of the specific process which is
required for successful implementation of operational plan. Lakeview motel needs to mitigate
these risks by taking appropriate actions (Cervone, 2006). Risk assessment and mitigation
strategies for operational plan are described as under:
S.
No.
Types of risk Cause Impact Mitigation strategy
1 Lack of
financial
resources
Changes in business
operations increase
the requirement of
huge amount of fund,
so, Lakeview motel
can face problem in
It may have negative
impact on
implementation
process of operational
plan.
Lakeview motel can
get appropriate
amount of finance
from bank loan
because it will help
in getting huge
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getting funds from
different sources
because of the
existing overheads
(Gay, Mills and
Airasian, 2011).
amount of money
for long time and
with low interest
rates.
2 Unrealistic
assumption and
inaccurate
estimation of
time and cost
Inappropriate
planning and lack of
skills and knowledge
Final deliverables of
the operational plan
may suffer and
increase the total time
and cost for
implementation
process (Craighead
and Meredith, 2008).
Lakeview motel
needs to hire skilled
and experienced
employees for
developing suitable
operational plan.
3 Change
management
issues
Unfavourable policies
for taxation and
insurance
It may affect business
operations and
augment the financial
cost of motel.
Lakeview motel
needs to consider
all these changes at
the time of
developing and
implementation
operational plan.
4 Project delay Lack of time and
delay in completion of
allocated tasks
(Devaraj and Kohli,
2001).
Delay in
implementing
operational plan
Developing a
schedule for
completing each
and every activity
because it will help
in managing time.
6 Communicatio
n risks
Inappropriate
communication
channels.
Delay in completion
of each and every
activity on time and
increase the
Using appropriate
communication
channels (internet,
mobiles and
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probability of project
delay.
meetings) Lakeview
motel needs to
develop strong
communication
among team
members (Bettley
and et.al, 2005).
IMPLEMENTATION
Sufficient understanding of the operational plan is one of the major requirements of
implementation process. So, at the time for implementation Lakeview motel will follow a
specific process which is described as under:
 Lakeview Motel will conduct regular meetings of all team members which will help in
increasing the awareness of every employees about this operational plan.
 Organization will allocate roles and responsibilities to each team member as per their
skills and requirements (Operational Plan, 2016).
 Owners of the motel will make communication with customers and staff members which
will help in determining the day to day progress of the operational plan.
 Motel will make appropriate arrangement of training and development program for
raising skills and knowledge of staff members.
 For analysing the performance of operational plan motel will develop monitoring and
measuring system also.
 If for attaining strategic and operational objective Lakeview motel needs to make any
changes than organization will make these changes in effective manner (Strategic
Implementation, 2016).
ACTION PLAN
Table 1: Action plan for Lakeview Motel
WB
S Task Name Duratio
n Start Finish Predecessor
s
Resource
Names Cost
1 Operational
plan for
Lakeview
68 days Thu
8/4/16
Mon
11/7/16
£2,504.0
0
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Motel
1.1 Initial phase 8 days Thu
8/4/16
Mon
8/15/16 £256.00
1.1.1
Market and
competitor's
research
5 days Thu
8/4/16
Wed
8/10/16
Employe
e 1 £80.00
1.1.2
Formulating
strategic and
operational
objectives
2 days Thu
8/11/16
Fri
8/12/16 3 Dennis,
Mark £160.00
1.1.3
Determining
improvement
gaps
1 day Mon
8/15/16
Mon
8/15/16 4 Employe
e 1 £16.00
1.2
Human
resource
management
plan
12 days Mon
8/15/16
Tue
8/30/16 £432.00
1.2.1
Determining
human resource
requirements
2 days Mon
8/15/16
Tue
8/16/16 4 Employe
e 2 £32.00
1.2.2
Recruitment
and selection of
new skilled and
experienced
personnel
5 days Wed
8/17/16
Tue
8/23/16 7 Mark £200.00
1.2.3
Training
and
development for
improving their
skills
5 days Wed
8/24/16
Tue
8/30/16 5,7,8 Dennis £200.00
1.3
Financial
management
plan
7 days Tue
8/16/16
Wed
8/24/16 £184.00
1.3.1
Analysing
financial
performance of
Lakeview motel
2 days Tue
8/16/16
Wed
8/17/16 4,5 Employe
e 2 £32.00
1.3.2 Determining
financial needs 1 day Thu
8/18/16
Thu
8/18/16 11 Employe
e 2 £16.00
1.3.3
Selecting
appropriate
financial
resources for
obtaining funds
1 day Fri
8/19/16
Fri
8/19/16 12 Employe
e 2 £16.00
1.3.4 Budget
considerations 3 days Mon
8/22/16
Wed
8/24/16 13 Mark £120.00
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or allocation of
financial
resources on
different
activities
1.4
Planning for
available
facilities
27 days Tue
8/16/16
Wed
9/21/16 £888.00
1.4.1
Improvement in
accommodation
facilities by
construction of
more rooms
15 days Tue
8/16/16
Mon
9/5/16 4,5 Dennis £600.00
1.4.2
Additional
services such as
Spa, laundry,
restaurant, etc.
7 days Tue
9/6/16
Wed
9/14/16 9,16 Mark's
Wife £168.00
1.4.3
Entertaining
environment by
changing
interior and
exterior
5 days Thu
9/15/16
Wed
9/21/16 14,17 Dennis's
wife £120.00
1.5
Risk
management
plan
7 days Thu
9/22/16
Fri
9/30/16 £112.00
1.5.1 Identifying
associated risks 3 days Thu
9/22/16
Mon
9/26/16 18 Employe
e 1 £48.00
1.5.2 Analysis of
the risk 2 days Tue
9/27/16
Wed
9/28/16 20 Employe
e 2 £32.00
1.5.3
Risk
mitigation
strategy
2 days Thu
9/29/16
Fri
9/30/16 21 Employe
e 2 £32.00
1.6 Implementatio
n plan
14 days Mon
10/3/16
Thu
10/20/1
6
£224.00
1.6.1
Making
necessary
arrangements of
all resources
7 days Mon
10/3/16
Tue
10/11/1
6
16,22 Employe
e 1 £112.00
1.6.2 Implementation
all activities
7 days
Wed
10/12/1
6
Thu
10/20/1
6
24 Employe
e 2 £112.00
1.7 Monitoring
and evaluation 9 days
Fri
10/21/1
6
Wed
11/2/16 £360.00
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1.7.1 Monitoring
project progress 5 days
Fri
10/21/1
6
Thu
10/27/1
6
25 Mark £200.00
1.7.2 Making
comparison 2 days
Fri
10/28/1
6
Mon
10/31/1
6
4,27 Mark £80.00
1.7.3
Make
necessary
changes if
required
2 days Tue
11/1/16
Wed
11/2/16 28 Dennis £80.00
1.8 Project closer 3 days Thu
11/3/16
Mon
11/7/16 £48.00
1.8.1 Documentation 2 days Thu
11/3/16
Fri
11/4/16 29 Employe
e 2 £32.00
1.8.2 Project
closing 1 day Mon
11/7/16
Mon
11/7/16 31 Employe
e 1 £16.00
Gnatt chart
Figure 1: Gantt chart for operational plan
Network Diagram
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Figure 2: Network diagram for operational plan
As per the above discussed action plan, Gantt chart and network diagram this operational
plan of Lakeview motel will require 68 days and £2504 (Walker, 2007). For effective
implementation of this operational plan Lakeview motel need to complete each and every
activity on time.
MONITORING/EVALUATING
Keeping record and inspecting activities are major ways to monitor the progress of
operational plan of Lakeview Motel. Along with his, Gantt chart if also one of the important tool
which will help in monitoring each and every activity in effective manner. Company will assure
about the completion of each and every activity on time and with specific cost. Therefore these
ways will help in measuring the progress of operational plan (Toni, 2012).
After monitoring progress of operational plan Lakeview motel will focus on evaluation
process which will help in determining that whether this plan has helped in attaining operational
objectives or not. Along with this, it will also help in determining scope of making improvement.
Along with this, success of operational plan can be evaluated by making comparison between
actual and planned performance. Monitoring and evaluation has reflected that operational plan
has implemented in planned time and cost as well as attained all strategic and operational
objectives of Lakeview motel in effective manner which will help in being competitive in the
market (Plenert, 2002).
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