MBA600 Business Report: AACo Strategy, Performance, and Analysis

This business report provides a comprehensive analysis of the Australia Agriculture Company (AACo), examining its organizational strategy, competition strategy, and performance measurement. The report begins with an executive summary and introduction outlining the company's operations, challenges, and goals. It delves into AACo's organizational strategy, including Porter's generic strategy and SWOT analysis, and explores how the company can leverage its strengths and address its weaknesses. The report also investigates AACo's competitive strategy, including Porter's five forces, and analyzes factors such as competitive rivalry, bargaining power of buyers and suppliers, and the threat of new entrants and substitute goods. Furthermore, the report discusses performance measurement techniques, including the use of a balanced scorecard to assess employee performance and identify areas for improvement. The report concludes with recommendations for enhancing AACo's future performance, emphasizing the importance of innovation, customer satisfaction, and strategic planning. The report includes a balanced scorecard with financial, customer, internal processes, and learning and growth perspectives, along with key performance indicators (KPIs).

Business Report

Table of Contents
INTRODUCTION..............................................................................................................................................................................................................................5
MAIN BODY......................................................................................................................................................................................................................................5
Summary of organisation strategy....................................................................................................................................................................................................5
Competition strategy........................................................................................................................................................................................................................5
Performance measurement...............................................................................................................................................................................................................6
Balanced scorecard...........................................................................................................................................................................................................................6
Future opportunity to enhance organisation performance................................................................................................................................................................8
CONCLUSION....................................................................................................................................................................................................................................8
REFRENCES......................................................................................................................................................................................................................................9

Executive summary
Agriculture company is one of the fastest growing industry and it provides employment to many people. AUSTRALIA AGRICULTURE COMPANY is a
public company and it provides best service to its customers such as operates properties, cattle stations, feedlots, farms and beef processing. It faces some
challenges like, competitors strategy and they have to make plans so that goals can be achieved. To measure performance of employees balanced scorecard is
being used which helps in identifying which worker is performing well and provides training if required. It is important to make plans so that goals and
objectives can be achieved ad it will help in generating more profit. AUSTRALIAN AGRICULTURE COMPANY produces beef and selling it, it provides
facility across western Australia, New South Wales and the Northern Territory. The main aim of company is to do innovation and use latest technology to
improve business and give good products to customers.

INTRODUCTION
Agriculture industry is very popular nowadays and it has positive impact on employees because people are getting employment and it will help in
increasing overall productivity of organisation and it contributes to economy (Schleicher and et.al., 2018). Australia agriculture company is a public company
which was founded in 1824 and its headquarters is situated in Brisbane, Queensland, Australia. 500 employees are working in the company and operate 24
cattle stations. AUSTRALIA AGRICULTURE COMPANY is producing and sells beef. The company is making operates properties, cattle stations, feedlots
and farms, beef processing facility. Organisation strategy which is used by company is porter’s generic strategy, SWOT analysis which will help in identifying
strengths, weakness, opportunity and threats. Porter’s five forces refer to various strategy which organisation can apply
MAIN BODY
Summary of organisation strategy
In every AUSTRALIA AGRICULTURE COMPANY there are some issues which managers has to face and they have to find creative solutions so that it
can be solved. It is important to make plans or strategies so that goals and objectives can be achieved. Employees of company should get proper working
environment and all should work properly so that targets can be accomplished. For survival managers have to take necessary steps which is beneficial for
company’s growth and more revenue can be generated. In this fast moving world, competition is increasing so managers should take essential steps or actions
so that customers can be satisfied and more revenue can be earned. Nowadays, competition is increasing because all the companies want to earn profit and they
make changes in plans or policies so that they can get competitive advantage and successful in satisfying needs and wants of consumers (DeNisi and Murphy,
2017).
Employees are also responsible for success of company because if they will not perform well then good products will not be made and it will lead to
negative impact in minds of consumers and company has to suffer loss. To attract customers managers should make strategies so that god quality products can
be made and it will help in earning more profit. Strategy which can be applied by company is penetration pricing strategy I which they should keep the prices
low as compared to competitors so that more customers are attracted. In penetration pricing strategy initially prices are kept low as compare to other companies
and after sometime prices are increased to earn profit.
In starting prices are kept low because AUSTRALIA AGRICULTURE COMPANY is new in market and they have to make good image in minds of
customers so to attract them it is essential that less prices should be charged. The managers of company should conduct market analysis to identify strategy
which is being used by competitors so that plans can be made according to that. It is important to make rules and regulations, policies and procedures which is
to be followed by employees to maintain good environment in company and all employees should be given equal treatment. They should make organisation
structure and according to that distribute roles and responsibilities among workers to achieve goals and objectives. In structure proper work is divided among
employees and there is no confusion, all can do their work properly (Fabus, 2018). In AACo organisational strategy that can be applied company is porter’s five
forces in which they can define goals and objectives. It will help them in identifying market condition so that they can provide good products to customers and
it will help in determining competitors strategy. These five forces of porter will help in making plans like what innovation can be done in beef processing.
Competition strategy
To run business smoothly it is important that managers should make some plans or strategies to accomplish targets of company. Managers of Australia
agriculture company should identify market condition and choice of customers, it will help them in making products according to need and wants of consumers
so that their needs can be satisfied and it will help in earning more profit. Porter’s five forces can be applied so that managers can identify what steps they have

to take to achieve targets of company. There are five factors according to porter such as, competitive rivalry, bargaining power of buyer and supplier, threat of
new entrant and close substitute goods (Tweedie and et.al .,2019).
Competitive rivalry
It means that managers of AUSTRALIA AGRICULTURE COMPANY should identify competitors present in market and make plans or strategies
accordingly to accomplish goals and objectives. It helps in determining strategy which is used by competitors like they are applying competitive pricing
strategy or penetration pricing strategy to attract customers. This will help in making good plans so that more customers can be attracted and it will help in
generating more revenue.
Bargaining power of buyer
It means to identify how much buyers can spend to purchase a particular product. If any company is making new product then they should conduct
market survey to determine whether people will buy it or not, demand of consumers should be identified and then planning should be done. It will help in
achieving goals of AUSTRALIA AGRICULTURE COMPANY and they can make changes or improvements in plans that are made. buying power of
consumers should be identified and fix prices of products on the basis of that (Franco‐Santos and Otley, 2018).
Bargaining power of supplier
It means to identify bargaining power of supplier and good relationship should be maintain by managers with supplier so that they will supply raw
materials. It is important to maintain good relations with suppliers because if they will not supply raw materials on time then products can be made on time.
AUSTRALIA AGRICULTURE COMPANY maintain good relationship with suppliers so that they can supply raw materials on time.
Threat of new entrant
Managers of AUSTRALIA AGRICULTURE COMPANY should identify new companies which are entering in market. There are many companies
which are coming in market and make plans to attract customers. It is essential to identify new industries who are entering into market because may be they are
providing good facilities to customers and they will earn more profit. It is crucial for managers to make changes in policies or procedures and rules should be
made which is to be followed by everyone.
Threat of substitute goods
Competition is increasing so it is important to provide good quality products and services to customers so that they can generate more profit and it will
help in building good image in minds of customers. There are many firms who are providing same type of products but the difference is in prices or quality. It
is important to use strategy so that competitive advantage can be gained and customers can be attracted (Gray, 2019). AUSTRALIA AFRICULTURE
COMPANY should make new and innovative products so that similar type of products is not available in market. It will help organisation in earning more
profit and helps in gaining competitive advantage.
Performance measurement
In every organisation it is important to measure performance of employees because if work done by employees is not measured then managers will not
able to give rewards and punishments to workers. It is important that rewards should be given to employees who are performing well and punishments should
be given to workers who are not giving their best in achieving goals and objectives of company. It is the responsibility of managers to determine that who is
working good and in which area or field training is required. It is the duty of managers to check work done by employees and provide them training and
development sessions so that they can improve their performance and contribute in achieving targets of company. If all employees will get training then they
will know how to complete work and they will work efficiently (Habib and Hasan, 2020). There are many ways to determine or measure performance of
employees, managers can collect feedback from seniors or 360 degree feedback can be applied so that overall productivity can be increased and it will help
company in earning more profit.

There are many ways too measure work done by employees like, standards should be set by managers for every employee and after completing work they
should check that workers have achieved targets or not. If they have work up to standards which is set then rewards will be given to them and if employees did
not reach set standards then training should be given to them so that next time work can be done efficiently. If employees will give their best then organisational
goals can be accomplished easily and it is easy for managers to distribute work on the basis of specialisation of individual employee. Key performance indicator
can be used by managers to measure performance of employees and they should try to provide good working environment to workers so they can work properly
and give their best (Schleicher and et.al., 2019).
Partners Key activities Value preposition Customer relationship Customer segments
Farm equipment system Spray operations, farming
operations, deleting
operations, weigh tag
operations and harvest unit
of measure versus unit of
measure
It is the main source of
national income. Agriculture
sector provides fodder for
domestic animals. AACo
organisation provide good
services to consumers like,
beef processing.
AUSTRALIA AGRICULTURE
COMPANY maintains good
relationship with customers.
Managers of company make
innovative products like,
cattle stations and making
changes in process so that
goals can be achieved.
Customer segments are,
farmers, government,
vendors and consumers.
Managers of AACo should
focus on satisfying
customers.
Irrigation system Key resources Farming technology, land,
distribution services.
Channels Agents, wholesalers,
provide products at all
stores.
Cost structure Fixed cost and variable cost
should be calculated.
Revenue less all expenses and
remaining is net profit.
Revenue structure Revenue less variable cost
and fixed cost. After that
less all expenses and
remaining is net profit.
Balanced scorecard

Vision to increase sales of company by providing good quality products to customers.
Strategic priorities
or
Critical success
factors (CSFs)
or Key result areas
(KRAs)
1 Training will be provided to
employees so that they can perform
well and good quality products can be
made.
2 Performance of employees will be
measured by managers so that all workers
can perform well and contribute in
achieving goals and objectives of company.
3 Give instructions to employees so that they can
perform well.
Perspective Strategic objectives CSfs KPIs (Title) Targets Action taken
Financials 1. AAC
Oshould make
good quality
products so
that more
customers are
attracted and it
will help in
maintaining
good
relationship
with
consumers.
Managers of
AUSTRALIA
AGRICULTURE
COMPANY
should arrange
finance and
provide training
to employees so
that they can
give their best.
to provide
good products
to consumers
and face
competitors
strategy. Make
good plans to
face
challenges.
Maintain balance sheet
in which all expenses
and income of company
should be mentioned.
Customers
Plans should be
made to attract
customers.
Identify market
situation and
make policies
according to that.
to attract
customers by
providing good
quality
services and
prices should
be kept low.
Identify needs by
conducting feedback.
Internal processes Measure
performance of
To make good
structure in
Make changes or
improvements according
Increase
revenues
of
company
Develop
good
relationshi
p
New and
innovative
products
should be
made
Increase
sales of
company
Attract
more
customers
Organisati
onal
structure
Good
products Customer
loyalty
Good
services
should be
provided
Improve
employee
efficiency
Training
should be
provided
Organise
developme
nt sessions

Structure
should be made
so that goals
can be clearly
defined.
every employee
and set standards
so that
employees can
work according
to that.
which goals
and objectives
can be defined
and there will
be no
confusion.
to situation.
People
Provide good
facilities for
working.
Check and
evaluate working
pattern of
employees and
feedback can be
collected.
Managers of
AUSTRALIA
AGRICULTURE
COMPANY
should measure
performance of
every employee
by setting
standards.
All should
work properly
and focus on
achieving
targets of
company.
Laws should be applied
so that safe and healthy
environment must be
provided to employees
so that they can work
efficiently.
Future opportunity to enhance organisation performance
If managers will make good plans such as, technology can be changed, organisational structure can be applied, work will be distributed among employees
on the basis of their specialisation, changes in rules and regulations, then they can fight issues or challenges like, competition, technology is changing,
consumer taste and preference, price of products etc. which will come in their way. Competition is increasing day by day so it is the responsibility of managers
to make future plans and also define ways by which employees can achieve goals and objectives of company. It is important to take necessary actions so that
company can get future growth opportunities and they can plan to expand their business. When employees will perform well then it is easy for managers to
make plans for expanding firm in other countries. They should provide good quality products to customers to satisfy their needs and it will company in
expansion of business. Firstly. Industry should make good image in existing country then they should plan for expansion in other countries.
Future opportunity for company to enhance organisation performance is that they can make new and innovative products to attract customers and this will
help in increasing sale of company (Hamidi and Jahanshahifard, 2018).
Good
working
environme
nt
Rules and
regulation
should be
applied
Build good
relationshi
p with
customers
Work in a
team to
complete
the given
task

If products are made according to need of consumers then they are happy and it will lead to increase in sales of company and more revenue will be
generated. It is important to enhance performance of organisation because it helps in building good image in market and employees are motivated. It will help
in increasing brand awareness among customers and this will lead to increase in profit and sales of company will be increased. It is important to attract
customers because they are king of market and only source to run business smoothly (Namazi and Namazi, 2017). Some recommendations for AUSTRALIA
AGRICULTURE COMPANY is that they can apply SWOT analysis to identify strengths and weakness of employees as well as of organisation so that goals of
company can be achieved. For performance evaluation they can apply key performance indicator which will help them in making plans for future growth.
CONCLUSION
From the above report it can be concluded that, agriculture industry is fastest growing sector and it is crucial to make plans or strategies so that goals and
objectives of company can be achieved. Competition strategy has been discussed in which porter’s five forces are explained. Performance management used by
company and its importance in improving overall productivity of firm. Further, balanced scorecard has been discussed in which strategies used by company,
customers and many other factors are described. Future opportunity for Australia Agriculture organisation has been discussed and it will help in expanding
business and also help managers in making plans or strategies for future growth of industry. There are many challenges like, to handle employees, competition,
use the latest technology, consumer satisfaction etc. are discussed. Performance evaluation is important because it will help in improving work efficiency of
employees. Managers of AACo can apply key performance indicator to measure how much employee is doing and provide them training sessions so that they
can work efficiently.

REFRENCES
Books and Journals
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Management Reviews. 20(3). pp.696-730.
Gray, D. E., 2019. Doing research in the business world. Sage.
Habib, A. and Hasan, M. M., 2020. Business strategies and annual report readability. Accounting & Finance. 60(3). pp.2513-2547.
Hamidi, H. and Jahanshahifard, M., 2018. The Role of the Internet of Things in the Improvement and Expansion of Business. Journal of Organizational and
End User Computing (JOEUC). 30(3). pp.24-44.
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Tweedie, D., and et.al .,2019. How does performance management affect workers? Beyond human resource management and its critique. International Journal
of Management Reviews. 21(1). pp.76-96.