Frank Drop Centre Expansion: PEST Analysis and Recommendations

This report examines the viability of Frank, a free advisory service addressing substance misuse, expanding its services with a Drop Centre in London. The report employs a PEST analysis to evaluate the political, economic, social, and technological factors influencing the expansion's feasibility. The political landscape, including Brexit's impact and government policies, is considered, alongside economic instability and potential financial support. Social factors, such as societal demand for such centers and the importance of face-to-face interaction, are analyzed. Technological advancements and their role in reaching a wider audience are also assessed. The report concludes with recommendations for managing the expansion, including thorough market research, leveraging existing networks, establishing a unique brand identity, and prioritizing resources to ensure the Drop Centre's success in the competitive healthcare environment. The report emphasizes the importance of effective expansion management for long-term sustainability.

HEALTHCARE
ENVIRONMENT

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
PEST analysis to explore the viability of this expansion............................................................1
TASK 2............................................................................................................................................4
Recommendations for managing expansion...............................................................................4
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
In the modern times there is a considerable changes in the business environment. This has
changed the working methodologies so that they can smoothly work. In health and social care
industry, the environment has not only benefited the users but has also helped health care settings
in flourishing. The environment is of two types internal and external. Both needs to managed in a
proper way so that there no negative effect that is put upon the business of the firm. There are
several factors that makes this environment (Almutairi, Dahinten and Rodney, 2015). Frank is a
free advisory service offering information and advice to anybody who are concerned about
substance misuse or drugs. It was established in the year 2003 by the Department of Health and
Home Office. This report highlights the viability of expansion in terms of Drop centre. It also
includes the ways in which this expansion will be managed.
TASK 1
PEST analysis to explore the viability of this expansion
Frank is the firm that wants to open its Drop Centre in London. Since expansion is one of
the basic need of today's business environment and hence it has became essential for the
organisation to manage their expansion. Drop In Centres have become the need in the
environment where large number of addicts are becoming the pray of unusable substances like
Drugs. There are many factors that effects the viability of the expansion. There are many tools
and techniques that can be used by the firm like Frank to understand their viability of expansion
in the modern competitive environment as well as its accessibility to the people. One of the
primary tool to understand expansion capabilities as well as the environment of that is PEST.
This analysis gives the picture of the external environment prevailing around the company and
its suitability in term of its expansion plan. PEST analysis is as follows:
 Political: In London there have been serious change in the political approach and so is
their decision making that has altered. These political decisions have made company to
focus on the business that is more country friendly (Garkoti, Peddoju and
Balasubramanian, 2014). The decision of Brexit will have serious impact on the firms
that is operational in UK or trying to expand in the Britain. Government of UK is
enforcing company to invest more on the business that supports the standard of life
people are living in this nation. Government is making many kinds of plans and policies
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for the companies that is in the health care sector and hence Frank also have to comply
with all those so as to ensure that their business is flourishing effectively. London
Borough also plays an essential role in monitoring the operations of such firm. Opening
an drop box may not be difficult if its concerned with political aspect as government is
also supporting the medical assistance facility in UK. Since there are large number of
youngster who are becoming the addict of drugs and NHS performance has degraded
over the years in providing support people who need such kind of attention. Hence
opening a Drop can beneficial for the firm in order to increase their growth as well as
increasing their consumer base. In the words of Gibbs, (2011) Political aspect of the
expansion strategy needs to be taken care of more nicely so as to ensure that there is
smoothness in the operations of the firm. It is not that company can survive by
overlooking the ways in which political approaches is swinging. The legal frame work
that is made by the government of UK has to be considered so that there will not be any
legal issues. It is essential that Frank understands all the legislations associated with
opening a Drop in Centres.
 Economic: There has been shift in the flow of economy in many regions of the world.
This has shivered the economy of many rich states all around the globe such as UK. The
economic instability has been noticed in UK since 2009. This has not supported the SME
in their expansion plans. It can be noticed by the fact that more than 50% of the SME
have closed in just five years of their opening. In such economic environment it is not
easy for Frank to make their expansion plans successful hence it is essential that company
takes a detailed analysis of the resources it has and its ability to invest in such drop in
centre. Taking the support of financial resources it has gained from its previous years
business it can make it possible. But if it seen in term of today's economic environment it
is not suggested to invest in such type of centres at least till the time American economy
is gaining its pace and UK economy is making itself stable for operations. But its is also
to be checked that in modern times Drop in Centres is an effective way of dealing such a
mass problem. Since there is large of amount of money that is invested by Government of
UK for the rehabilitation of such kind of youngster who have indulge in the in taking of
such kind of materials and hence authoritative body gives financial assistance to these
firms in such kinds of openings. As per the views of Howarth, Bown and Whitehouse,
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(2013) many companies have tried such kind of expansion in the last few decades but
they have failed to make success in the present economic environment for the nation. On
the contrary Huang and Weng, (2012) believes that if Frank can make an balance
between the digital mediums of interaction as well as face to face assistance then they can
easily survive without having substantial loses in the starting years of its establishment.
 Social: There is demand from the side of society to have more such of centres. Since
families are facing large amount of problems due to their younger members becoming
addict of drugs. These youngsters need many kind of attentions that too from time to time
and it is not possible that other members of family can provide them assistance what they
require. Since the need of the society is changing and hence it has beneficial that this
company open such kind of Centres. Providing assistance through digital media can be
beneficial but assisting people face to face has more impact. There are many reports that
suggests that many students have gone homeless and Frank aims to provide assistance to
them also which cannot be possible by only using digital mediums. It is true that many of
the consumers prefer to use digital mediums for finding advices but they can also go to
such kinds of centres for getting major assistance. As per the viewpoint of McDermott
and While, (2013) there are several aspects of society that is changing the business
environment. Since it is not possible to convince people by just talking to them using
digital means and hence such kind of face to face interactions with them where they are
showed with many live examples of such previous cases as well as giving them ample
time. This kind of interaction is useful in understanding the demand and needs of such
youngsters and the provide them assistance accordingly. Since they are dealing with
much sensitive issue of the society hence they have to work with more social
responsibility.
 Technological: There are many technological changes that have been noticed in many
parts of the world. This technological systems have ensured that company can be able to
reach to larger part of the society. Frank has been using many of the digital mediums for
several operations of its. Since the advancements in technology has been very high which
has increased the need of implementing them at faster rate. This company can take use of
Mobile Apps for many kinds of assistance as well as ensuring that they are doing the
business that is beneficial in the longer run. It helps in providing assistance in the
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expansion plan. It is helpful in suggesting families that at which instant they need Drop In
Centres and when digital assistance can be beneficial. Without the introduction of
technological media it cannot be possible that Frank can provide 24 hours assistance.
According to Schattenkirk, (2012) there have been many kinds of positive changes in
technology in reference to data management, customer assistance as well as the function
like bookings for appointment.
This company is applying the strategy where it wants extend itself from one kind of
business operations to another. Since the company wants to extend its business by being
physically present for the assistance where everyone can go and take the assistance they require
and hence it has become essential for the firm to take use of strategy that is new business
development. It is to be understood that on the longer go company cannot be able to solve all the
problems by just using telephonic mediums for their business. It is a kind of extension strategy
that is helpful for providing more consumer satisfaction to the users.
TASK 2
Recommendations for managing expansion
In the modern business environment it is essential that company expand their business by
taking use of various strategy. But the more important task in this regard is to manage the
expansion. If is not being done in a effective way then it is possible that company can fail on the
longer go. In the views of Siani and Maillard, (2015) there is many expansions that have failed in
the recent past. It was either due to ineffective market reach or inefficient strategy they have
used. Without managing expansion it is not possible that company can maintain its position in
the market and ensuring that high market capital is received by them. On the other hand
managing expansion is not only the role of some of the top officials rather it is the job of the
whole workforce to make successful. There are many kinds of expansion strategy that is used
within the company so as to make sure that there expansion plans becomes a success. SME do
not have large amount of resources hence it is essential that Frank utilises its utilisation easily.
There are various types of recommendation that can be suitable:
 Do a through market research: It is essential that company understand the local
environment so that there may not be problems related to establishing in that market.
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 Lean on your inner circle: Company must take assistance for the firms tat already tried
this in their business. It will help Frank in understanding the difficulties tat is faced by the
firms from time to time. It also helps to determine the bumps in the path to success. It is
important that a company identifies the requirement for their firm like in terms of
resources it will use as well as the type of talents it will require for its operations and are
capable of providing assistance to the consumers who are in need. There are various other
requirements like the inventories and the communication mediums.
 Make a trademark: It is essential that every company expands its business by ensuring
that there is some motives to achieve with it as well as it must have uniqueness in terms
of how they will benefit from the operations of the firm (Yu and Hou, 2012). If there is
any kinds of ambassadors associated with opening of such kind of Drop in Centres then it
becomes easier for the firm to manage its growth. This also need some kind of serious
planing where several parallel plan needs to be ready so that if one fails than others can
be applied so as to ensure long term generation of profits.
 Prioritising resources: It is also essential that a firm prioritises its resources so as to make
sure that they do not fail after making a rigorous efforts. There can be the case where
there can be serious economic failures in the business but if financial resources is
prioritise appropriately then company can make long term profits. One of the exercise in
this regard that this company can use is reverse lifeboat which determines which resource
needs to be used when especially in the phase of downturns.
 Expand at the right time: It is essential that Frank expands its business at the right time so
as to ensure that maximum benefits an be achieved through business. Since the political
and economic condition is not so suitable for trying some other kind of business hence
without the support of UK government it is not advisable that Frank open its Drop in
centre before Brexit. Company must always focus on the exponential growth before
making any kind of expansion plans. The expansion must be from single platform and
must take the use of partners so as to ensure stability.
 Let revenue dictate spending: It is essential that a company makes a perfect balance
between its spending and earnings. If there is imbalance them there can be long term
loses to the people. Since opening a Drop In centre requires various kinds of investments
in many resources hence revenue must dictate the spendings. It is no point in spending
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that is taken as a loan or taking the helps of others rather it is always beneficial that
company uses its revenue for future investments. This spending is in terms of buying
hardware and software, hiring staffs etc.
 Take use of baseline metrics as a guide: It is essential that firm takes use of appropriate
baseline metrics in order to track the success and the ways in which ROI can be
measured. Plan B as previously suggested must be with the management. It is also to be
taken care of that working culture does not shifts in any manner other than what is
required. Sometimes it also happens that firm in the race of having higher growth lose
sights related to values that they have adapted over the years.
CONCLUSION
From the above based report it can be concluded that there is large variations that are
going on in the business environment of UK. This can also be seen in the healthcare sector where
the health advisory companies such as Frank is facing many kinds of problems through their
business. There have been considerable changes in the political and economic environment in the
UK. This has a direct effect on the expansion plans of many firms. In this economic scenario
where many of the SME have faced problems in expanding its business and have failed in their
business, It is necessary that Frank understands each and every aspect of the business as well as
underline the resources that it has which they will utilise in the process. This company has been
using technology in their business just need to adopt the changes that occurs continuously in the
industry. Apart from this the society needs more such kind of Drop in centres as the larger part of
the youngster's population is in the grasp of drugs and substance misuse.
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REFERENCES
Books and Journals
Almutairi, A.F., Dahinten, V.S. and Rodney, P., 2015. Almutairi's Critical Cultural Competence
model for a multicultural healthcare environment. Nursing inquiry, 22(4), pp.317-325.
Garkoti, G., Peddoju, S.K. and Balasubramanian, R., 2014, December. Detection of insider
attacks in cloud based e-healthcare environment. In Information Technology (ICIT),
2014 International Conference on (pp. 195-200). IEEE.
Gibbs, V., 2011. An investigation into the challenges facing the future provision of continuing
professional development for allied health professionals in a changing healthcare
environment. Radiography, 17(2), pp.152-157.
Howarth, G., Bown, S. and Whitehouse, S., 2013. The importance of comprehensive protection
in today's healthcare environment. SAMJ: South African Medical Journal, 103(7),
pp.453-454.
Huang, C.Y. and Weng, R.H., 2012. Exploring the antecedents and consequences of mentoring
relationship effectiveness in the healthcare environment. Journal of Management &
Organization, 18(5), pp.685-701.
McDermott, M.S. and While, A.E., 2013. Maximizing the healthcare environment: a systematic
review exploring the potential of computer technology to promote self-management of
chronic illness in healthcare settings. Patient education and counseling, 92(1), pp.13-22.
Schattenkirk, D., 2012. Building sustainable internal capacity for quality within a healthcare
environment. The TQM Journal, 24(4), pp.374-382.
Siani, H. and Maillard, J.Y., 2015. Best practice in healthcare environment decontamination.
European Journal of Clinical Microbiology & Infectious Diseases, 34(1), pp.1-11.
Yu, Y.C. and Hou, T.W., 2012. Utilize common criteria methodology for secure ubiquitous
healthcare environment. Journal of medical systems, 36(3), pp.1689-1696.
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