Planning for Growth: Exploring Growth Options, Ansoff's Growth Vector Matrix, Funding Sources, and Business Plan for Accenture

This report discusses the growth options for Accenture, including PESTLE analysis, Ansoff's growth vector matrix, and potential funding sources. It also includes a detailed business plan for growth that outlines financial information and strategic objectives.

Planning For Growth

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK...............................................................................................................................................1
P1 Explain the growth options for the business with Justification. .......................................1
P2 Evaluate the opportunities for growth applying Ansoff’s growth vector matrix................2
M1 Discuss the options for growth using a range of analytical frameworks to demonstrate
the understanding of competitive advantage within an organizational context..........................4
P3 Assess the potential sources of funding available to businesses and discuss benefits and
drawbacks of each source............................................................................................................4
M2 Evaluate potential sources of funding and justification for the adoption of an appropriate
source of funding for a given organizational context..................................................................6
P4 Design a business plan for growth that includes financial information and strategic
objectives for scaling up a business............................................................................................7
M3 Develop an appropriate and detailed business plan for growth and securing investment,
setting out strategic objectives, strategies and appropriate frameworks for achieving
objectives.....................................................................................................................................8
P5 Assess exit or succession options for a small business explaining the benefits and
drawbacks of each option............................................................................................................9
M4 Evaluate exit or succession options for a small business comparing and contrasting the
options and making valid recommendations...............................................................................9
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
Planning for growth of an organisation is very crucial aspect as it contains the information on
how owner of the business is going to expand operations of the company in respect to provide
growth. Growth plans for an organisation helps in expanding facilities in the operations through
additional economic resources and in order to meet increased customer demand. It contains
foundation and fundamental principles that helps in enhancing the growth of the company. A
business growth plan is a framework which outlines where an organisation sees itself in the
upcoming years. The growth plan should be made in order to met the organisational goals. It is
very important in order to generate growth and helps in multiple aspects such as it minimizes the
future risk, recouping early losses in the organisation and recreate revenue plans. This report is
being made in the context of highlighting all the necessary development planning of the
Accenture company which is an UK based company dealing in global professional services with
leading capabilities in digital , cloud and security(Djumanov and Babadjanov, 2020) . The aim
of this report is to highlight all the essentials that is PESTEL analysis , proper action plan
suggested from porter's generic plan and development analysis. This report also evaluates the
Ansoff model with source founds facilitated in business expansion.
TASK
P1 Explain the growth options for the business with Justification.
Each and every business needs to develop their market area in respect to earn more profit and
success . And an organic growth can be generated when all the activities and task gone as per
the plan. Before making any plan it is important to analysis external and internal factors of the
organisation , which is discussed through implementing PESTLE analysis.
PESTLE Analysis
 Political factors- It includes all the decision and laws taken by government which makes
impact on the working of the organisation (Gilbar, 2021). Political stability and
information technology services have major connection and there are legal framework
which an organisation have to adopt , if they are engaging in the operations in
information and technology.
 Economic factor – These are the factors and rats such as inflation rate , saving rate,
interest rate and inflation. These rates affects the infrastructure of information and
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technology industry. There are multiple aspects which depends on the technology and
information in a country such as enhancing business operations in terms of technology,
providing better amenities to the students in their learning process , skill development and
many more.
 Social factor- It states that culture and the environment which is influences in the
working structure of specific organisation. It includes beliefs and attitudes of the
residents where organisation is operating its functions. Accenture is a the company which
deals in information and technology and the demographics and the skill level of the
populations affects the company operations (Helmold, 2021) . With respect to manage
their employees and customers its really important for the company to operates their
function at a place where people are more favourable towards technology.
 Technological factor- In order to develop the operations technology plays very
imperative role in it. And Accenture is the technology based company and are updating
their functioning as per the customer expectations. Recent technology development
affects the Accenture and also its competitors and technological development also
impacts the cost structure of company.
 Legal factors- Having proper legal framework in the company affects the rights and
regulations of the organisations. There are laws and rules which helps the organisation in
protecting their rights such as copyrights, patents, consumer protection and e-commerce,
health and safety laws and many more.
 Environmental factor- Different markets have different rules and regulations which
impacts the working structure of the organisation. Accenture is have to implement
policies that also work in terms of the environment protection. In a present scenario they
have implemented various plans which affects the environment in positive ways.
P2 Evaluate the opportunities for growth applying Ansoff’s growth vector matrix.
There are bundle opportunities that a business can grab in order to enhance the functions of the
organization. The evaluation of the opportunities can be generated through implementing Ansoff
model on the Accenture company.
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Ansoff is the matrix and method that facilitates and guides company to work in order to
provide opportunities (Jensen and Webb, 2020). There are different aspects through which
company can make increment in their process and success. With the implementation of different
matrix Accenture can increase their productivity , which are discussed below:
 Market Penetration- It provides the framework which increases the sales of existing
products into an establish market. Accenture offers could native solutions these are the
software which helps in data virtualization, business intelligence, drone analytics, text
analysis and many more. These are the services that Accenture is offering in the market.
 Market Development- These aspects focuses on selling existing products and services
into new markets. Accenture should cater different customer segments or target
demographic in order to increase sale(Langemeier, 2019) . They are currently working in
domestic environment as well as foreign market in order to generate expansion in the
company. They are making growth in markets and captures north America and Europe
market in order to sell existing products.
 Product Development- this states that a company should introduce new products into an
existing market in order to continue expansion. Accenture make expansions in their
business or working structure time to time in order to stand in the competition and for
generating effective profits. They have invested in developing of new products in the
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company which provides greater expansion. They are offering creating and offering new
products and software and selling it into existing market.
 Diversification- It is the altogether new aspects that states that entering new market with
new products. Diversification is the strategy that contains highest risk because entering
new market with new product have doubled the risk for an organization(Mahmudovich,
2022) . Accenture have making operations in different market such as North America,
Europe and many more and conducting their strategy with implementation of technology.
They have not selling their new products in new market.
M1 Discuss the options for growth using a range of analytical frameworks to demonstrate
the understanding of competitive advantage within an organizational context.
Accenture consider or favours the implementation of price leadership scheme which impacts
on the its business positively. There are multiple benefits that cost leader strategy provides by
the company. They have providing the software in the information and technology market at the
effective price. The company is not only providing the good pricing but also have the quality
services. It is evaluated that the cost leadership strategy is generating huge revenue for the
company and used as the investment by the Accenture. They are using it as the benefit and
expanding their operations. Accenture needs to adopt some strategies in respect to expand its
business within the boundaries of the UK by opening range of organisations at various location
through covering all the important cities. This will helps the Accenture in maintaing their base
and gain major share in the K market as well as other countries.
P3 Assess the potential sources of funding available to businesses and discuss benefits and
drawbacks of each source.
It is very important for the company to make alignment in their monetary resources in order
to expand the functions and operations of the business. Accenture have introduce its products
and services into the market of UK (Mathur and Kothari, 2020) . And in order to make functions
and operations of the organisation smooth there is a need to implement appropriate financing in
the organisation, in the market there are huge options to get finance. Some of the options are
discussed below:
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 Angel investor- In includes the an individual investor or the group of individuals that
provide funds to new small business in respect to set up the business functions or to
develop business. But they also charge interest in their investment with the customer.
Benefits
No repayment- These investors did not claim any repayment of the capital even the
organisation bear the loss with that they also not claim any assets of the company.
Understanding of business sources- These angel investors very well know about the potential
that startups consists as they gather the information and get knowledge about the strategies that
of other organisations are implementing. These information can be collected with the help of
different funding institutions.
Limitations
Loss in the control of the organisation- As the finance generated from the anger investor is
highly risky because when the business or organisation winds up and at the end business
investors their part in the profit.
Availability- In many cases angel investors proves to be negative for the organisation as they
also want to be a part ODF the business at some point of time or if the owner did not agree with
the idea they did not provide enough funds.
 Bank Loan- This is the source of fund is available for all type of business whether it is
small scale business or large business (Mihaylov and Zurbruegg, 2020) . Banks are acts
as the lenders and provide help in finance as per the requirements and the terms and
conditions. It is very much used source in order to obtain funds.
Benefits
Did not claim in profits- banks do not claim any amount in the profits in the organisation and
did not claim any rights in the company.
No loss of control- As banks only wants their timely payments they have no interest in the
management of the business. Banks are concerned about their interest and the amount they have
landed to the customers.
Limitations
Very high lending rates- As it has been evaluated that banks charge very heavy interest rates
or if it is business financing then they charge very heavy amount as interest.
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Collateral security- When the banks lends money they in accordance to law take possession on
the assets of the company as the part of the security.
 Capital venture- These are the type of business who invest in the small scale business
or the businesses which are going to establish as they want long term monetary benefits .
They mainly invest in the business after analysing the growth and success factor of the
particular organisation.
Benefits
No need of repayment- Capital venture does not required any repayments because they want
equity rights in the business as a part of business exchange.
Huge networking- As these capital ventures associated with multiple financial consultancy
organisations and because of that they can provide various consultations options for the business.
Limitations
Demand high returns- After taking finance helps from these institutions, the company has to
pay higher returns to the lenders because they have majorly contributed in the business capital.
They also demand some control in the business.
Put self interest before- They make various conditions such as condition of early returns
within the specified times in order to gain more capital.
Accenture is the company which operates on very high level and have generated huge profits ,
the source of finance which is suitable for the company is bank loan as they are able make
repayments in the given time with that banks also didn't demand any sharing in the profits or any
control over the organisations.
M2 Evaluate potential sources of funding and justification for the adoption of an
appropriate source of funding for a given organizational context.
For a business organization there are wide range of funding that are available in the market.
These funding sources can be chosen as per the requirement and suitability of the business. There
are various type of sources of funds that are business loans, funding from personal savings ,
angel investors, venture capital and family and friends. Accenture is the company which
provides services and solutions to more than 40 industries (Moffitt, 2019) . They are working on
a very high level and want a source of funds which lends huge amount in the company. The most
suitable source of funds are banks loans as it helps business to expands its network in the market.
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P4 Design a business plan for growth that includes financial information and strategic
objectives for scaling up a business.
In order to expand the business of Accenture company with a view of establish its operations in
new markets, there need to make appropriate plans which helps company to build its base in the
different markets . The strategic plan are discussed below:
Summary
Accenture with the objective to enhance their market share with their existing products attempt
to establish their product and services in New York and other countries. It requires to develop
and create a plan which not only attract customers but also make company effective in terms of
stand in the competition. With the evaluation of the pro and cons of the new market and by
identification of the new opportunities and threats in the new markets Accenture can implement
their operations. This whole process needs huge capital investment in establishing business,
infrastructure and for the promotional activities. The funds can be generated from bank loans.
Vision
Expanding market area of the Accenture through covering major markets in different countries
involves creation of huge market base.
Mission
The mission of the Accenture is to expand its operations in different countries and meet the
expectations of the customers by innovating new software and technology (Morano, 2020) .
Accenture wants to develop the functioning through implementation of different strategies in
order open business in different areas in the market with the help of advance technology.
Plan of action
Accenture need to implement their strategies effectively with respect to improve market action
plan to achieve the combative advantages and market share. The concept is to adopt cost
effective methods for information and technology in different software with the strategy in
Accenture cloud and consumer goods. They also wants to enhance their consulting services in
business and management.
Marketing Mix Strategy
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There is need to implement several parameters in order to generate business growth or build
strong customer base. In respect to enter new market Accenture required to adopt marketing mix
strategy which is discussed below:
 Product strategy of Accenture- They have combines the deep industry expertise and
advanced capabilities with the human made design methods which helps its customer to
act in accordance with speed and confidence. They have provided very good
management consulting to its customer.
 Pricing strategy of Accenture- Accenture beliefs that the quality comes with the cost as
Accenture have the premium prices services as they states that services should be best
quality and a customer should not compromise with quality.
 Distribution strategy- Accenture is the well known consulting firms and their
distribution strategy states value delivery systems which is what makes company
different from competitors(Zhang, 2021). They deliver services in a cost effective way
and make sure that the services are not restricted in a particular area.
 Promotion strategy- Accenture has gone to very high extent when its about promotional
activities. The company is making its promotions through the digital channel and they
are also advertise by digital display, banners and hoardings. Accenture promotes lots of
events and ensure the the public is aware about its services.
M3 Develop an appropriate and detailed business plan for growth and securing
investment, setting out strategic objectives, strategies and appropriate frameworks
for achieving objectives.
Business plan is the essential element in company and provides overview of the future of
company. The plan evaluates the strategies of the business with a key goals of where business
want to be in near future(PORTNOVA, 2018) . Accenture is planning to the new brand strategy
which states that their customers transfer and reinvestment in their business and re-skill the
workers with the new technology and software and become more sustainable in their working.
They have also includes monitoring policies in the strategic plan with the objectives of impactful
formulation of strategies.
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P5 Assess exit or succession options for a small business explaining the benefits and drawbacks
of each option.
Most of the owners of the companies spend their lives in the building business through
developing strategies but at some point of time they also know that they will retire or settle
down. For that they have to prepare for the succession and exit plan. Both the succession or exit
planning needed planning and strategic management. The different options for the planning are
discussed below:
 Selling of business- It is the procedure of putting a business up for selling process. It is
also called disposing a business. It have different advantages or disadvantages such as
advantage includes if the business is reputed then its goodwill will be of high demand
and can be sold at very huge amount and with that amount business implements another
projects and grab opportunities (Sparkman, 2018). But with that it has certain limitations
such as facing legal issues in the process of selling and delay in negotiation.
 Franchising- It is the framework that provides extension of business through selling its
brand and name to any individual and business organization. It also covers both benefits
and limitations. Advantages involves increment in the brand value by opening different
outlets at different locations. Limitations includes damage of reputation if the franchise
does not provide appropriate functions.
 Winding up of business- It is termination of business activities through a complete
shutdown of organization operations. The advantage of this that termination of business
will help in payoff the lenders and creditors and minimize the burden on owners. But the
disadvantage is that the company had to sell their assets in order to pay the its debts.
 Merger- It is an another way to expand business operations through tie up with another
company. Its the process of joining with another company. The advantage includes that
it make company way more stronger than it was helps in expanding their market access.
But the disadvantage comprises company looses its single identity by merging with
another organization.
M4 Evaluate exit or succession options for a small business comparing and contrasting
the options and making valid recommendations.
There are different plans for the for the succession of the business and different for exit. A
small business can adopt multiple strategies for such as making direct succession through
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employee and leadership development plans in the company(Walker, 2021) . Succession plans
having another options such as enter into partnership program, Merger of business and providing
franchise. Whereas exit plans involves shutting down of business and selling of business to an
another entity. Small business can adopt these plans and strategies in respect to make succession
or exit in business.
CONCLUSION
From the above report it is concluded that Implementing plans in the business or regulate
business activities in order to make changes in the business with the aim of enhancing operations
and bring success. This report covers the aspects of how business can increase their performance
with the implementation of various approach. This report is being made in the context of
Accenture company which a consulting firm. Firstly it analyse the growth opportunities with the
organisational context. After evaluating that it covers the evaluation of growth opportunities with
the helps on Ansoff model. It also highlights the potential sources of funds for expanding
business such as bank loan, capital ventures and through angel investor. This report designs the
business plan for the Accenture company by following its objectives and scaling up business. At
last it comprises the succession or exit plan for an organisation with its benefits and limitations.
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REFERENCES
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практические исследования: основные итоги-2020 (pp. 39-45).
Gilbar, G., 2021. Population Growth and Family Planning in Egypt, 1985–92. In Middle East
Contemporary Survey Volume XVI 1992 (pp. 335-348). Routledge.
Helmold, M., 2021. Glossary of Management Terms. In Successful Management Strategies and
Tools (pp. 213-219). Springer, Cham.
Jensen, A. and Webb, F., 2020. Worker cooperatives as a model for family business succession?
The case of C-Mac Industries Co-operative Ltd in Australia. In Waking the Asian Pacific Co-
Operative Potential (pp. 335-343). Academic Press.
Langemeier, M., 2019. Sources and Uses of Funds Statement. Center for Commercial
Agriculture, Purdue University.
Mahmudovich, T.N., 2022. Accounting of liabilities and credit obligations of higher educational
institutions for extra budgetal funds. South Asian Journal of Marketing & Management
Research, 12(5), pp.10-18.
Mathur, M. and Kothari, S.P., 2020. Wealth out of Waste (WOW): a business paradox. Emerald
Emerging Markets Case Studies.
Mihaylov, G. and Zurbruegg, R., 2020. The relationship between financial risk management and
succession planning in family businesses. International Journal of Managerial Finance.
Moffitt, F., 2019. Practice management: Contingency and succession planning: A sole principal's
plan for the unexpected. LSJ: Law Society of NSW Journal, (52), pp.82-83.
Morano, D.C.E., 2020. Improving sales of a family-owned hospitality business through social
media marketing.
PORTNOVA, T., 2018. OBJECT-SHAPED WORLD OF BALLET IN THE EXPOSITIONS
AND FUNDS OF THEATRICAL MUSEUMS OF THE WORLD: TO THE QUESTION OF
THE STUDY OF CHOREOGRAPHIC SOURCES. Acta Musei Brukenthal, 13(2).
Sparkman, R., 2018. Strategic workforce planning: Developing optimized talent strategies for
future growth. Kogan Page Publishers.
Walker, L.J., 2021. Succession Planning Is About More Than Retirement. Journal of Financial
Planning, 34, pp.32-37.
Zhang, X., 2021. Developmant strategy for a software company (on example of GUANGZHOU
WOBO).
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