Advanced Diploma: MacVille's Leadership & Management Strategies

This report provides a comprehensive analysis of MacVille's leadership and management strategies, focusing on the company's mission, vision, and objectives within the context of its import/export business in Sydney. It includes a PEST analysis to assess external political, economic, social, and technological factors, as well as a SWOT analysis to examine internal strengths, weaknesses, opportunities, and threats. The report also identifies existing and potential competitors, such as Bean Ex and Nufix Inc., and explores potential strategic alliances with companies like Home Espresso Trades, Ambrosia Coffee Roast, and Java Estate. The analysis highlights the importance of corporate social responsibility and recommends organizational values to support the company's revised vision and mission, emphasizing innovation, customer focus, and strategic partnerships. It also points out the need for improvement in inbound and outbound logistics for MacVille.

Running head: ADVANCED DIPLOMA OF LEADERSHIP AND MANAGEMENT
Advanced Diploma of Leadership and Management
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Task 1
From: General Manager
To: The Stakeholders
Subject: Mission/ Vision Review
Dear Stakeholders,
Macville has been one of successful import/ export business centre in Sydney in last two years.
The company has been known for providing espresso coffee machines that is known to meet
reliability, sustainability and the efficiency needs of the clients. The existing vision and mission
of the company lay in its stewardship and about its adherence to the moral and professional
standards in whatever the company does. Besides, the company is also committed towards
encouragement of self directed teams through cultivation of leadership and maintaining higher
safety levels. The company is also committed toward wiser environmental practices and offering
of meaningful value to the customers.
After having conversation with one of the board members, it is well understood that the company
not have a bright future but also have the capability of becoming the national brand. With the
ability of serving the entire nation with sophisticated and classy coffee machines, the company
has steered clear that the success is not difficult to achieve. The review of the records and the
statements of the previous year show that MacVille acts as one of the potential market holders
having immense business prosperity since it considers that generating revenue is not the sole
concern but it is also vital in providing required services to all the customers. The large chain of
customers of MacVille is believed to be given best service with best products.

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As far as the current approaches are concerned, MacVille has been maintaining the top values.
Till the time, employers and the stakeholders has been working under same management with
higher standards and have remained aligned with the existing vision and mission. The
stakeholders have always been nurtured by morale of MacVille and have therefore learnt in
adhering to policy and compliance. The values of the company have enabled the stakeholders in
cultivating their talents that have encouraged them with the opportunity of having self directed
teams while maintaining higher standards. In other words, Macville tried to offer the customers
best possible values and service. There was hardly any change in the vision and mission of the
business flow of company for closer to two years although there has been formulation of fewer
strategic changes. These changes have been vital in bringing about a change in total system. The
vision and the mission of company should reflect change in strategy for carrying on best services
brought to customers.
Adding newer systematic changes along with incorporation of newer trends in serving customers
have been essential. As stakeholders are provided the opportunity of running self directed team
they are therefore believed to incorporate innovation into the system. Having served the older
ways the customers would remain glad in welcoming newer changes. Evaluation of the newer
processes would provide rooms for not only better thinking and improvement but also planning
and better customer service. There have been instances when an incorporation of newer idea and
proper planning has been expected. In other words, it was long lasting expectations of customers
who have been eagerly waiting for changing the system. There it became long lasting
expectation of customers who have been eagerly waiting for bringing about a change in system.
Therefore, it became necessary in raising the standards by striving towards better and drive
towards the best achievement. Here comes in the need for innovating newer ideas and planning

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with the alliances and partnerships that would be eager in promoting the thoughts and raising the
standards over time.
The actual need for incorporating innovation let to the revised vision and mission of the
company towards innovation and searching for newer means for improving the efficiency of the
process and the effectiveness of the customer solution. The mission has also been to constantly
challenge the methods and ask for ways that would not only improve but simplify the business
and try newer concepts and ideas. Mac Ville also had the mission of embracing the strategic
alliance and seeking out the newer partnerships that promoted and supported the desired
outcome, mission and the strategies.
Given, the current need of Mac Ville to identify more closely with community served, it became
necessary for the revised vision and mission to incorporate the aspect of corporate social
responsibility that closely identified the community it served. Corporate social responsibility
(CSR) represented a self-regulatory business model that aided the company to remain
accountable socially not only to itself but to the public and the stakeholders. Implementation of
CSR policies as a part of the company’s mission would not only help the company in becoming
active participants within local communities and donate percentage of their profits for the
betterment of the community.
The organizational values required for supporting the vision and mission of the company would
include recognition of the crowd that the company is working with. This implies anticipation of
surrounded people. The management can also promote a favorable culture of innovation by
bringing about a change in leading and interacting with the employees. The ways of defining
leadership responsibilities, different systems of management and the ways of coordinating and

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integrating the management practice can be adopted for supporting the revised vision and
mission. Besides, the company should engage itself in the customer and customer research and
development and improvement of quality and product. MacVille could also support the revised
vision and mission statements through expansion of the operations across the Queensland and the
New South Wales and thereby create a higher performing organization. As far as the corporate
social responsibility is concerned, it is a voluntary commitment of the business organizations for
taking account and aligning the interest with the customers, employers, environment,
community, shareholders and all the relevant parties. The organizational values of Macville in
supporting this vision might range from donating substantial amount of money to the nonprofits
and implementation of the environment friendly policy within workplace. Corporate social
responsibility is not only important for the employees and the companies alike.
Your’s sincerely,

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Task 2:
MacVille has been operating as one of the leading espresso coffee machine providers to
the hospitality industry in Sydney. The company has revised its mission, vision and objectives to
gain a competitive advantage in the industry. In order to fulfill this purpose, the company must
analyze the internal and external environment and review the existing and potential competitors
and based on the analysis, new strategies should be developed.
PEST analysis
This framework is used to analyze the external factors, that is, political, economic, social
and technological, which cannot be controlled by the company.
Political  Australian government is focusing on carbon tax to ensure
sustainability and that enables the company to use energy
efficient products, which is aimed to increase profitability.
 There will be planned changes in trade, in which tariffs on
imported goods, including espresso coffee machines will be
removed as per free trade policy
Economic  Due to resource boom, higher-than-expected economic growth is
expected in coming years
 Strengthening of AUD against the international trading partners
is a concern as that would make their imports costlier and hence,
could affect the exports
Social  Australia will experience a steady population growth, from 22

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million in 2010 to 36 million in 2050.
 There is steady growth in the home market for espresso coffee
machines
 The lifestyle trend of eating out is increasing among consumers
Technological  New espresso machines are being developed, which consume
30% less energy for operating and also include more innovative
and efficient heat exchanger
SWOT analysis
This analytical framework is used to examine the internal environment, that is, strength
and weaknesses of the business along with its opportunities and threat in the market.
Strengths  High quality customer service
 Strong brand image in the market
 State-of-the-art Management information system (MIS) under
infrastructure
 Strong internal control in finance and accounting
 High quality marketing and sales
Weaknesses  Inbound logistics is a weak point due to lack of experienced personnel
in the importation and customs operations
 Inefficient human resource management causing delay in services
 Outbound logistics is also not adequately efficient, with frequent
delays in delivery of goods to the customers due to lack of appropriate

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vehicles
Opportunities  The market for espresso coffee machines are expanding in Sydney and
a major but ineffective competitor has withdrawn.
 Strategic alliance with coffee bean suppliers across the world increases
opportunities for easy market penetration with shared costs of services
and advertising
Threats  Increasing value of AUD
 Increasing global competition and disposal in the company
 Entry of Bean Ex Company in the espresso market
 Nufix Inc. is shifting from instant coffee to espresso coffee machines
 Prediction of higher-than-expected growth in the economy
Existing/ potential competitors and Allies:
1. Bean Ex
This competitor of MacVille will be importing espresso machines for the wholesaler clients.
2. Nufix Inc.
This company is shifting its business from instant coffee making and selling to supplying
espresso machines
Nufix Inc. Bean Ex
Company profile Global corporation that deals
with espresso coffee beans for
Large coffee bean supplier in
the market

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the customers
Strength New business started from
instant coffee supplies and
they moved to coffee beans
Large bean supplier venturing
into the business of importing
espresso machines for
wholesaler customers
Weakness It has no established service
arm to help the wholesaler
clients.
It is unable to maintain the
machines purchased by them.
It is struggling to gain a
foothold in the market where
there is already strong
buyer/supplier allegiance.
It is also facing difficulties in
adapting to the needs of the
niche market buyers.
MacVille’s position The possible strategic alliance with the above companies:
Nufix: this company deals with both the coffee beans as well as
espresso machine marketing
Bean Ex: this company is unable to maintain the wholesale
business and marketing but could be probable alliance as it is
venturing into the business of importing new espresso machines
Review of the potential Allies
Home Espresso Trades
This company sells home espresso machines in the domestic market of Sydney for
individual consumers and not for commercial purpose and also incorporating other digital home

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entertainment products. The strength of the company lies in the fact that it covers the espresso
machine market, complementing the commercial market and the weakness is it works with a
strategic partner which is not solely focused on the hospitality industry.
Ambrosia coffee Roast
This company sells all grades of coffee beans to retail consumers, hospitality outlets and
supermarkets in Australia. It shares the cost of outdoor advertising for restaurants and cafes with
shared branding of umbrellas and barriers. The company operates in the coffee bean industry but
it is apprehensive about sharing information by citing intellection property protection. Product
image is more commodity based and not quality based.
Java estate
The above mentioned company sells high quality Arabica roasted coffee beans in all over
Australia. It provides MacVille espresso machines to the clients at no extra cost. It pays
MacVille the cost price for the delivery and installation of the machine and pays the reminder of
the purchase price on 12-month repayment program. It is a nation-wide partner for MacVille
which is totally committed to the hospitality and the coffee bean market, however, this strategic
alliance is not encouraged in the market by other competitors.
Summary
From the meeting with the supervisors, it has been noted that in case of MacVille,
inbound and outbound logistics are two major problems. Not only the supply system of raw
materials is inefficient, but the delivery of final products also faces problems. Final agreement
was made with the contract delivery firms to deliver the raw as well as final products to the
customers efficiently. More effective Management information system should be incorporated as

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a part of their infrastructure. For more efficient strategic or corporate planning, strong internal
controls in the finance and accounting must be maintained. Along with that, the company should
focus on innovation on the product range and implementing improved CSR policies in their
revised mission and vision. It should also focus on its strengths such as technological
developments that help to reduce costs, digital marketing techniques and high quality customer
service which helped MacVille to earn its reputation in this field of business.

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Task 3:
1. Strategic objectives based on Board minutes
As per the minutes of the Board meeting, MacVille should follow four objectives. CEO
of the company, Patricia Mees, announced these four objectives that could help the company
achieve sustainable growth in the next 5 years. The objectives include:
1) To sell and serve the MacVille espresso coffee machines in all states of the nation. This is
the top priority of MacVille as that would imply the acceptance of the Java Estates
tender. The Sydney warehouse is established and hence, MacVille should focus on
developing warehouses in other high-volume states. The operations and warehouses in
other states can be managed by agent networks and outsourcing the maintenance.
2) To increase the profit margins by 5% in the coming 5 years. It is expected to occur
naturally as sales will be increased and that would allow for improved price negotiations
with the suppliers and getting all the departments for making optimum use of the human
resources.
3) To establish brand recognition in the major markets of the untapped geographical regions
in the next 5 years through new technologies, and co-branding with the strategic partner.
4) To reduce the wastes and energy usage by 10% within the next 5 years by adopting
various sustainable technology and equipment. Different awareness and education
programs and the incentive rewards for the innovation activities or ventures will be
encouraged to exploit the growth opportunities in this market.