BSBMGT616 Project: Strategic Planning for Canterbury Renovations

This document presents a strategic plan developed for Canterbury Renovations, a cabinet making company specializing in custom cabinets. It includes an analysis of the company's mission, vision, and values, along with a SWOT analysis identifying strengths, weaknesses, opportunities, and threats. The plan outlines strategic objectives and marketing strategies aimed at building brand awareness and a strong network of contacts. It details pricing strategies, advertising means, and location considerations, with a focus on providing first-class customer service. The document also includes a time frame and measurable performance indicators for each strategy, an overview of the business's strategic plan, and an allocation of responsibilities, measuring and monitoring performance, and recommendations for improvement. This project aims to enhance Canterbury Renovations' competitive advantage and ensure its long-term viability.

Running head: DEVELOP AND IMPLEMENT STRATEGIC PLAN
Develop and Implement Strategic Plan
Name of the Student
Name of the Student:
Name of the University
Author Note
Table of Contents
Assessment 1..............................................................................................................................2

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Introduction:...............................................................................................................................2
Vision and mission of business organization:............................................................................3
Identification of relevant organizational values:........................................................................3
Identification of strength and weakness of existing and potential competitors:........................3
SWOT analysis:.........................................................................................................................4
Analyzing the external and internal environment of Canterbury Renovations:.........................6
External and internal environment is analyzed by identifying political, social, economic and
technological development.........................................................................................................6
Political factors-.........................................................................................................................6
Social factors-.............................................................................................................................6
Economic factors-......................................................................................................................6
Technological factors-................................................................................................................6
Formulation of strategic objectives and strategies needed for future:.......................................7
Time frame and measurable performance indicators of each strategy:......................................9
Assessment 2............................................................................................................................10
Strategic Plan of the Business..................................................................................................10
Overview Strategies of Business..............................................................................................11
Allocation of Responsibility....................................................................................................12
Measuring and Monitoring Performance.................................................................................13
Assessment 3............................................................................................................................14
Effectiveness of the Strategies.................................................................................................14
Productivity of the Strategies Implemented.............................................................................15

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Areas of Under Performance....................................................................................................16
Recommendations....................................................................................................................16
References list:.........................................................................................................................18
Assessment 1
Introduction:
Canterbury Renovations has been established as a cabinet making company with
specialization in custom cabinets for commercial markets, resorts and high end residences.
The founder of business has extensive experience in cabinet and construction industry. A full
range of service is provided by company along with installing and supplying the tools and

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equipment and fittings. Since, Canterbury Renovations has started up recently; they do not
have existing history, clients or projects for supporting business. The main activities of
Canterbury renovations are to renovate kitchens, laundries and bathroom. The proprietors
have enough experience and thereby having strong financing background for running their
business1. The need for cabinet line was felt by owners of company with broad selection of
high end finishes, design choices, quality and customer service.
Vision and mission of business organization:
Mission of Canterbury Renovations- The mission of organization is to deliver
customers high quality products within their budget and on time alongside providing error
free and prompt ordering system.
Vision of Canterbury Renovations- The vision of organization is to become leading
provider of cabinets to luxury homes in regional markets and high end commercial
development segment.
Identification of relevant organizational values:
A Canterbury renovation is basically a proprietorship organization which strives to
respect their customer homes. It is ensured by organization that the customers are provided
with high quality of materials. For carrying out renovation services, they make use of
materials such as paint, timber, plastic and tiles. Company contributes to the home
improvement program by providing some very common products. Solutions is provided by
the professionals that makes property of owner look beautiful than it was before. They also
intend to provide some other services such as roofing, plumbing, repairs and electricity.
1 Abu, Falah, and Mansur Ahmad. "Screw Fixing Fracture and Fatigue Failure on Particleboard Surface using
Different Style of Screw Insertion Technique." Applied Mechanics & Materials(2014).

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Identification of strength and weakness of existing and potential competitors:
The local cabinet market has many competitors with many of them delivering quality
products to their customers. Costing of projects is governed by four relevant factors that
include product, scope, services and design. It is mistaken by most customers that the best
results are delivered by brand choice and project size. Nevertheless, the factors that influence
the value and quality of customer investment are the design and service of company. There
are two main types of suppliers of cabinet in the industry. Customer shops with in-house
fabrication facilities and they are product oriented. The competitive edge of company would
lie in providing superior project management, high volume work and superior quality while
low overhead maintenance2. Furthermore, the existing competitors have been surveyed by
proprietors alongside identification of their weakness.
 Most of the companies are not located nearby their target market
 Higher price with large overheads
 Their target market has few strong personal contacts
 Manufacturing of subcontractors to external contacts
SWOT analysis:
Strength, weakness, opportunities and threat of business are identified by conducting
SWOT analysis. Such analysis helps in identification of factors in regard to business external
2 Bijaoui, Ilan. "Business Model." In The Open Incubator Model: Entrepreneurship, Open Innovation, and
Economic Development in the Periphery, pp. 34-68. Palgrave Pivot, New York, 2015.

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environment. Canterbury Renovations would be able to make use of their competitive
advantage by minimizing the external threats and exploitation of opportunities in the market.
Strength- The competitive edge of company lies in providing flexibility in style and
high volume whilst high quality product and excellent service. This competitive edge is
regarded as one of strengths of Canterbury renovations. In addition to this, there are some
other factors contributing to the strength of company. These includes the kind of financial
resources which company has, staffs and personnel dedication in the country, ability of
organization to respond to basic needs of customers in the market3. For the requirement of
suppliers, potential clients and trade person, Canterbury has a very good network of contacts.
All the projects is supervised by owner of company who has experience in this field.
Weakness- There are some weakness associated with the business of Canterbury
Renovations such as size of premises and lack of management skills by some employees
initially. For the management succession, there is not any prominent plan and track of
business record. Furthermore, the equipments possessed by organization for providing service
of renovation are not enough.
Opportunities- The target market has high disposable income along with existing
numbers of valuable and old homes that are already included in the target market. In the local
market, the reputation of renovation business and build of tradesperson are poor. Moreover,
the rapid growth of the market where increasing preference is given by owners to renovate
their homes rather than shifting is the opportunity to Canterbury.
Threat- However, there are some threats facing the business of Canterbury. Firstly,
the reputation of cabinet making business has been poor in respect to reliability and quality.
The industry itself has many future and existing competitors. Threats is also witnessed in
3 Bildsten, Louise. "Buyer-supplier relationships in industrialized building." Construction management and
economics 32, no. 1-2 (2014): 146-159.

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terms of increase raw materials cost, sub contract businessmen and equipments4. In addition
to this, difficulties would also be experienced by business of Canterbury in getting reliable
sub contractors and good staffs.
Analyzing the external and internal environment of Canterbury Renovations:
External and internal environment is analyzed by identifying political, social,
economic and technological development.
Political factors- The operations of business of Canterbury Renovations are impacted
by the political forces of the country where it is operating. Political instability can disrupt the
supply chain of business and sourcing of furniture from different areas. Trade restrictions,
policy of import and export and labor unrest and labor laws are some other political factors
impacting the operations of business.
Social factors- The size of potential market and needs of customers are impacted
social factors such as social status, level of income, family size, occupation, fashion trends
and cultural factors. Personal preferences of customers impact the demand of particular
project of company.
Economic factors- The purchasing power of customers and the cost of capital of
Canterbury is impacted by economic factors of country where it is operating. Such factors
include rate of inflation, economic growth, and cost of labor, interest rate and industry trend.
Technological factors- The efficiency of production level, barriers to entry and
outsourcing decisions are influenced by technological factors. Supply chain management,
communication, information, ease of accessibility and technology incentives and service
automation of Canterbury Renovations are impacted by technological factors.
4 Cheever, Ellen. Kitchen & Bath Products and Materials: Cabinetry, Equipment, Surfaces. John Wiley & Sons,
2014.

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Formulation of strategic objectives and strategies needed for future:
The marketing strategy that would be used by Canterbury Renovations is intended to
build the reputation of company by way of developing good quality of network of contacts.
For building awareness of the services and products provided by company, Canterbury will
build brand awareness program. The main objective of creating the program of brand
awareness is to develop effective marketing tools using brand strategy. Such marketing tools
would include uniform of staffs and introduction of business cards.
It is believed by proprietors that the best marketing strategy employed by organization
would be the combination of reputation for quality, good network of contacts, personal
referrals and reliability. Some other strategies that would be complementing this strategy
include direct contacts with home buyers, brochures and small display in local rented shops.
A first class customer service would be provided by Canterbury renovations in terms
of:
 Hours of providing service to meet the needs of customers
 Minimal disruption during installation of household
 Finishing and starting the jobs to budget and on time
 Cleaning up site on job completion
 Providing after sales service
Strategy of pricing
The target market is the location where people have high disposable income and
therefore, it is believed by proprietor that customers will not be particularly price sensitive.
They would value service and quality of product. The competitive advantage of business will
be based not on offering cheap prices but on quality.
Advertising means:

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One of the best forms of promotion that can be used by business is word of mouth5.
There will be employment of direct marketing strategies to customers seeking renovation,
local print media and specialized and selective market promotion.
Visibility and location of business:
The manufacturing facilities and business unit of Canterbury Renovations will be
within ten kilometers of the farthest boundary of market and business will be location in the
geographical centre. The reason for choosing such location is that some competitors are
located in sub urban region that is not inconvenient to clients6.
5 Randl, Chad. "" Look Who's Designing Kitchens": Personalization, Gender, and Design Authority in the
Postwar Remodeled Kitchen." In Buildings & Landscapes: Journal of the Vernacular Architecture Forum, vol.
21, no. 2, pp. 57-87. University of Minnesota Press, 2014.
6 Lenker, James A., Laura Lien, Mahiyar Nasarwanji, David Feathers, and Victor Paquet. "Universal design as a
conceptual framework for describing usability of products and environments: an applied example using the
kitchen environment." Journal of Design Research 14, no. 3 (2016): 219-240.

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Time frame and measurable performance indicators of each strategy:
Strategies Timeframe Responsible parties Measurable
performance
indicators
First class customer
service
One year Suppliers, Customers
and other personnel.
Increased brand
reputation and number
of clients.
Good network contacts
and referrals
Five to six months Proprietors, suppliers,
customers and other
relevant parties to
business
Increase in total
number of clients
Pricing policy Two months Management and
strategic partners to
business
Growth in gross profit
margin and growth in
revenue.
Advertising means Three to four months Third parties to
business such as media,
Number of customers
retained, net promote
score and number of
nee contracts signed
Location and visibility One to two months Time to market, order
fulfillment time,
percentage of market
share and employee

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churn rate7.
Assessment 2
Strategic Plan of the Business
The management of the company needs to discuss the strategic plans of the business
with all the employee personnel of the business. The main plan of the management of
Canterbury Renovations is to offer Cabinet fillings for houses at a lower price and the same is
to be of the highest quality as possible. The management of the company tends to offer best
quality of products to its customers at an affordable price8. The business model of the
company is based on cost reduction strategies which allows the business to offer best quality
of products to its customers.
The strategies of the management is to ensure that the business is able to develop a
brand name and loyalty among potential customers and market as a whole. The mission of the
business is to become one of the leading cabinet providing businesses for luxury houses as
well as general uses9. In order to attain the objectives which are discussed above, the
management has formulated marketing and operational plans respectively for ensuring that
the business is able to adapt to the necessary changes which are taking place in the market.
The management plans to utilize the contacts of the business and also the referral program
which will be bringing in new clients and thereby it gives an opportunity to the business to
7 Espinoza, Omar Alejandro, and Robert Lee Smith. "Business management practices for small to medium sized
forest products firms." (2015).
8 Finch, Brian. How to write a business plan. Vol. 35. Kogan Page Publishers, 2013.
9 Lacity, Mary C., and Leslie P. Willcocks. Outsourcing business processes for innovation. MIT Sloan
Management Review, 2013.

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widen its contact list and customer base. Moreover, the management has formulated a
strategy which will be highlighting the reputation and brand image of the business and the
overall quality which the products of the company can be associated with. The management
of the company recognizes the importance of strong market presence and brand loyalty
therefore the business has introduced a brand awareness program. The program aims to
remind the customers about the attributes of the business, retain customers and attract back
those customers who have gone to its competitor10. The business will also be promoting the
products which are offered and also displaying the range of prices which are charged for
different products. The management will be expending extensively on advertisement and will
be using both printed media and television advertisement for promoting the products of the
business.
Overview Strategies of Business
The main goal of the business is to be become one of the leading businesses in
supplying cabinets and other materials for homes in the market. In order to achieve these
strategies, the management has formulated plans which will allow the business to achieve the
same.
 One of the primary goals which has been identified in the strategic plan of the
business is to build up a band image and create customer loyalty towards the brand.
This goal of the business can be achieved by following effective marketing and
promotional strategies11. The management can advertise about the cost effective
products which are offered by the business in order to attract customers to the
business. The management has invested significant amount of funds in advertisement
10 Blackburn, Robert A., Mark Hart, and Thomas Wainwright. "Small business performance: business, strategy
and owner-manager characteristics." Journal of small business and enterprise development 20, no. 1 (2013): 8-
27.
11 Smith, Ronald D. Strategic planning for public relations. Routledge, 2013.