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Planning for Growth

   

Added on  2023-01-13

4 Pages1769 Words66 Views
Leadership Management
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This strategy is followed by management of Clarasys Ltd which are as explained:
Cost leadership – This can be consider as low cost strategy where business
organisation need to provide their products and services at lower cost than their rivals.
This strategy can be adopted by management Clarasys Ltd where it can get competitive
advantages by providing consultancy services at lower cost. Such strategy will allow the
business to capture high market share and image of business by keeping low prices which
attracts clients more.
Differentiation leadership – This strategy consider as effective strategy in which
organisation need to introduce from unique products and services than rivals. If Clarasys
Ltd adopt this strategy, then it need to provide unique services to its clients than rivals.
Herein, management should bring new and unique services in their consulting
organisation which can attracts customers and increase the outcome than competitors.
INTRODUCTION: Planning is the main function of management which states what
need to do and how it be done in order to accomplish the business goals. This is
intellectual process which is used by business organisation to take effective action and
maintain the organisational profitability.
P1 Key consideration for evaluating growth opportunities
Planning is consider as important action which is designed by top executives in order to
maintain the effective performance and increase the organisational productivity. This
contains vision, mission and objectives which can be accomplished by implementing
planning in effective manner. This is the process of determining future course of action
which helps to understand about goals and objectives. In context to Clarasys Ltd
management are running their business by making effective plans and evaluate the
growth opportunity for SME's for the purpose of upgrading living standard of people. To
understand the growth opportunity of chosen organisation Porter's generic model is used
that is defined as:
Porter's generic strategy:
This model is consider as valuable model which is used by business organisation
for the purpose of getting competitive advantages and earning higher profits. It helps to
identify the suitable strategy which gives long term success to business corporation. This
framework is helpful to increase the performance of small business and make efforts to
covert in large organisation.
Planning for Growth
Planning for Growth_1

Political factor – This factor is under the control of government which includes
policies, plans, tax rates, government regulation and political stability of country. After
Brexit the European country has separated from UK which impacted positively as it
established its business in political stability which give opportunity to increase the
production. On the other side change in political stability became a challenge for
organisation that need to follow while running a business which may affect the operation.
Economical factor – This comprises with growth and development of country by
focusing on inflation, interest rate, population growth and GDP rates which has impacted
on business. After Brexit, the interest rate has been decreased which benefited Clarasys
Ltd to run their business and develop it effectively. This support the business organisation
by proving consultancy services.
Cost focus – This strategy means organisation focus on cost in niche market
segment where it provides products and services accordingly. In other words, in cost
focus firm seek cost advantage in target segment which helps to gain the competitive
advantages. This strategy can be adopted by Clarasys Ltd through providing consulting
services in target segment which can improve the business activities. Herein, organisation
need to provide their services at low prices than relatively firm which compete in target
market.
Differentiation focus – This is another strategy of porter's model which means
focus on unique features and products that can fulfil needs and demand of target segment.
For adopting this strategy by Clarasys Ltd need to bring some new features in their
services within target segment that can help to compete with its competitors and give
more advantages. Under this differentiation focus exploits the special needs of customers
in target segment which helps to get growth opportunities.
From the above discussed strategy Clarasys Ltd has adopted differentiation
strategy which is appropriate and valuable strategy, will help to get the business
opportunities in market. As this organisation, serves number of clients from small to
multinational corporation which helps to enhance the productivity by increasing number
of clients in UK. By using this, B2B clients are enjoying tailored consultancy advice on
business process, project management and business change which helps to take the
competitive advantages. This strategy is chosen by Clarasys Ltd because it provide
weekly coaching sessions and career development programme which increases capability.
Therefore, this is an opportunity for organisation to grow the business by providing
unique services.
External analysis – This is a framework which is used to stay on the top trend and event
in competitive market. There are some factors which are involves in external factor
impacts the operation of business organisation and maintain the growth of business. This
includes PESTLE analysis which helps to make and implement the decisions and become
more competitive. In Clarasys Ltd PESTLE analysis is done by management which are as
explained:
Planning for Growth_2

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