Strategic Management of Australian Post

STRATEGIC
MANAGEMENT

Contents
Introduction............................................................................................................... 2
Environmental analysis................................................................................................. 2
Industry analysis......................................................................................................... 5
Internal analysis.......................................................................................................... 7
Current strategy of Australian Post.................................................................................. 8
Recommendation in the construction of future strategy..........................................................9
Conclusion.............................................................................................................. 10
References.............................................................................................................. 12

Introduction
Australia Post has lawmaking domination while transporting bulk mails. The company has
changed its outdated business of bringing mail to find it additional broadly in logistics
industry. The company is ordered at the 23rd position amongst the top 100 financial products.
The company deals in parcel, business solution, prepaid cards, e-commerce solutions,
finance, payment, and mail (Nowak, and Paton, 2018). It was founded in April 25 1809 and it
has been headquartered in Melbourne. The report avails a clear understanding regarding the
strategic management of Australian Post. In order to conduct a competitive analysis,
competitors named as TNT, DHL, and FedEx have been evaluated. The company operates
more than 4400 post offices and 11.4 million distribution centres that are achieved at diverse
sites in Australia (Chubb, and Watermeyer, 2017).
This analysis will bring out a tactical analysis of the Australian Post including SWOT
analysis to analyse the internal business, as it is a tool for Australian Post to benchmark its
business performance (Rhoades, and Smart, 2018). It will also conduct a PESTLE analysis
that includes the analysis of six external factors such as legal, political, technological,
environment, social and economic factors. The report will conduct competitive analysis
through porter`s five forces model which is an tool to examine the level of competitiveness as
experienced by the organisation while evaluating the profitability (Rhoades, and Smart,
2018). It constitutes several factors such as threat of substitution, Threat of new entrants,
bargaining power of suppliers, bargaining power of buyers, and threat of competitive rivalry.
Further, there is a discussion on current strategy formulation and recommend the
improvement in the future strategy so that it can enhance the future strategy (Rhoades, and
Smart, 2018).

Environmental analysis
Macro-environmental factors are uncontrollable and changeable as they affect the
organisation and influence the decision-making. PESTLE analysis is a technique through
which a company can evaluate the external factors including political factors, social factors,
legal factors, economic factors, environmental factors and technological factors (Chubb, and
Watermeyer, 2017).
Political factors- Australian political environment is stable that affect the occupied of
organisation. Australia is an industrial country with lot of opportunities to improve the
business and finally increase the market sharing with the help of modernization and better
facilities when it is associated with the competitors (Chubb, and Watermeyer, 2017).
Australian political conditions support Australian port. Business operating in Australia has
high degree of the certainty, as political conditions are progressive, open, stable and with
high degree of certain and confidence. The nation operates with transparent and efficient
legal framework with strong system of balances and checks (Rhoades, and Smart, 2018).
Economic factors- Australia has solid economy with high per capita GDP (Gross domestic
product). The nation is the attraction of diverse natural resources with high scope of FDI due
to extensive reserves of iron ore, natural gases, renewable energy, with extensive uranium. It
operates in larger service sector that is significant exporter of energy, food, and natural
resources (Connell, 2016). Each year, GDP Growth rate is nearly 0.5 percent and annual
growth of 2.5 percent. With campaign, it is seen that Australia is a strong economy. Australia
is at 13th rank among 50 nations while considering GDP. It is a mixed economy with GDP of
1.69 trillion dollars. The nation is comprised of service sector inclusive of 61 percent GDP
with retaining 79.2 percent of labour force in 2016 (Rastogi, and Trivedi, 2016).