Morgan Sindall Group: Pre-placement Evaluation Report Analysis

This report provides a comprehensive analysis of the Morgan Sindall Group, a British construction company. It begins with an introduction to the business environment and its impact on company performance. The report then delves into a PESTLE analysis, examining the political, economic, social, technological, legal, and environmental factors affecting the company. A SWOT analysis is conducted to identify the company's strengths, weaknesses, opportunities, and threats. Porter's five forces analysis is used to assess the competitive landscape. The report also explores management practices, including reward systems and training and development programs. Finally, it reflects on the author's personal and professional development, highlighting skills gained and areas for improvement. The report aims to provide a thorough understanding of the company's operations and strategic positioning within the construction industry.

Pre-placement Evaluation
Report

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
Pestle Analysis.............................................................................................................................1
Swot analysis...............................................................................................................................2
Porter's five forces analysis..........................................................................................................3
Management practices.................................................................................................................4
TASK 2............................................................................................................................................5
How personal development plan change you as an individual person. ......................................5
Explain what are the new skills, knowledge and would require from your workplace. .............7
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
Business Environment refers to internal and external factors that effects the Company
performance. These factors are dynamic in nature and keeps changing so firm decisions are
influence through these components. It is consist of outside forces that controls working of
enterprise. It affects the overall effeciency and sustainability of the business.
The project report is based on Construction industry which is Morgan
Sindall Group. It is a British construction company. It was founded in the year 1977 by John
Morgan and Jack Lovell. The Company operates through five divisions of construction and
infrastructure, fit out, urban regeneration, affordable housing and investments. However, this
assignement will cover topics as PESTLE, SWOT and Porter's five forces Analysis on Morgan
Sindall group to identify the internal and extenal wotrking of enterprise. Further, it will outline
management practices such as Reward system and Training and development. Lastly, focus will
be given on audit personal and professional development.
TASK 1
Pestle analysis
Pestle analysis refers to a strategic tool used to analyse the affect of macro environment
factors upon business. Thus, it aids to provide great detail about the Morgan Sindall Group
which is helpful for its operating challenges (Pestle Analysis, 2016).
Political factors – Polictical factors plays crucial role in determining the factors that can affects
Morgan Sindell group Plc long term profitablity. Goverment policies of the United Kingdom and
EU directives impacts over planning that affects the sustainability of quoted enterprise. By
diversifying risk of political enviornment, it can be possible to get long term achievement.
Therefore, political condition towards construction business in UK is not stable and that affects
the working of enterprise at the huge level. Goverment introuduces changes in laws and
legislation and this impacts the operational working of enterprise.
Economical factors – In this, the factor like inflation rate, savings rate, economic cycle and
foreign exchnge rate determine the aggregate demand and investment in an economy. Hence, it
can be stated that the health of economy and rate of interst affect the demand for the commercial
and residential proper within United Kingdom (Laudon and Traver, 2016). Therefore, UK legal
authorities uses taxation as means to encourage in inproving enviornment performance. Hence,
economical condition affects the demand of the construction industry in negative manner.
1

Social factors – Social beliefs and attitudes of people plays major role in terms to understand the
changes in preferences of customers. However, changes in birth and divorce rates, and average
number of living in housholds affects the demand for housing. Therefore, increasing crime,
social dimension and ageing populations are majorly affects the construction bsuiness.
Technological factors – Technical advancment is fast disrupting the working of variosu
industries. Therefore, new construction technical advancment impacts over the working practices
in the busilding industry, constructing more components system at the building site aids to
produce innovative offerings. In order to cope up with the new entrants, it is crucial to have the
use of mordern equipments so that working of engterprise aids to attract customers. With
technological upgradation, the construction industry can have long term profitablity and
sustainability.
Legal factors – The Anti-trust law in Construction & Materials industry influencing the business
of Morgan Sindall Group. Thus, legal authorities of United Kingdom believe that working of
construction bsuiness highly fragmented (Sharma, Simi and Forlin, 2015). To improve safety
and enviornmental performance, it is crucial to increase legislation.
Environmental factors – In UK government pays more concern on Environment safety.
Therefore, the two main issues are that the industry is meeting the Kyoto Agreement in
production of Carbon Dioxide from the burning of fossil fuels and waste. It leads to create
pollution and affect the health and safety of the individuals. Therefore, environmental standards
must be introduce so it can aids to enhance the profitablity of the enterprise.
Swot analysis
Swot Analysis refers to Strategic planning tool that is helpful for evaluating Morgan
Sindall Group plc Strengths & Weakness and will also helpful for identifying its threats and
opportunities (Swot Analysis, 2019).
Strengths -
 The Company has highly skilled level of workforce. As they are providing training and
conducting learning programs for their employees (Kolk, 2016). They invest highly on
training and development programs this leads to improve overall efficiency of business.
 The Company has Strong free cash flows that is helpful for providing resources in hand
in order to expand their business into new projects.
2

 The Morgan Sindall Group has strong distribution network. The Company has built a
reliable distribution network that reaches potential markets.
Weaknesses
 They got limited success outside there core business even though they are leading brand
the industry is facing major challenges while moving into other segments (Virglerová,
Dobeš and Vojtovič, 2016).
 Morgan Group needs more investment to improvise their technology. They are occurring
high costs on technology up-gradation which leads towards high debt ratio.
 Company is not able to tackle challenges from the new entrants and from existing
competitors.
Opportunities
 The adoption of new technology standard and government free trade agreement can be an
opportunity for the Company. They can expand their business through improvise
technology.
 Decreasing cost of transportation makes shipping prices lower for Morgan Group. This
will give them cost advantage and this they can pass to their contractors.
 The stable free cash flow creates an opportunity for the Company to invest in adjacent
products segments.
Threats
 There is shortage of skilled labour force in certain global market that can be a threat to
Morgan Sindall Group.
 The imitation of counterfeit and low quality products could also be a threat to the
Company.
 Growing strengths of local distributes can also be a threat for the Company.
Porter's five forces analysis
It refers to a business model that identifies five forces that impacts the firm's
sustainability. Porter's five forces analysis will shape the business strategy of Morgan Sindall
Group.
Threat of New Entrants – Due to New Entrants there is huge pressure on construction industry
to come up with innovations. Thus, it has been identify that economics of scale is fairly difficult
to achieve in construction industry (Hillary, 2017). Therefore, capital requirements are high in
3

this industry that leads to difficulties for new entrants to set up their business. Product
differentiation is strong within the industry. These factors makes new entrants weak force in this
industry.
Bargaining Power of Suppliers – Bargaining power of Suppliers is dominant in construction
Industry. The Organization doesn't not have sufficent number of suppliers beacuse they are using
negotiating power to demand higher prices from the Company (Porter's Five Forces: Analysing
the Competition, 2018). Higher bargaining power of suppliers impacts the overall productivity of
Morgan Sindall Group. The Company can overcome this through building effecient supply chain
with multiple suppliers.
Bargaining Power of Buyers – The Bargaining power of buyers is high due to they have others
Companies that offers less price so buyers can easily switch towards them. This puts pressure on
Morgan Group to minimise their price. The Bargaining power of customers are strong they
always seeks for discounting offers. The company can innovates products to reduce the barging
power of buyer. New products will also help Company to improvise its existing products.
Threat of Substitute products – There is threat of Substitutes to Morgan Sindall Group like
there is emergence of innovative methods and processes in construction industry (Kljucnikov
Belás and Paseková, 2016). Emerging methods are at lower cost than traditional methods and as
there competitors are using new innovative method this can be a major threat for the Morgan
Group. The Companies competitiors are Kier and Balfour Beatty and they are using innovatives
methods such as Automatic product installation, Augmented Reality and Remote monitoring.
Rivalry among the existing players – There is high competition in construction industry.
Competitors of company are reducing prices and cutting costs. There is high price competitive
rivalry among the competitors. The Morgan Sindall group has high price than its existing
competitors. There competitiors are Kier, Balfour Beatty and Galliford Try. The Company is
building sustainable differentiation in order to take competitive edge.
Management practices
Management means getting things done in effective manner. By using effective
management practices in Morgan Sindall Group it improves the overall efficiency and
performance of organization.
Reward System – The Reward System in Morgan Sindall group boosts the Employees morale.
The effective reward system is linked with the performance. The Employees focus more on their
4

work when they get performance based pay and this also creates learning opportunities in
Morgan Group. The reward system focus on minimizing the dissatisfaction among the
Employees (Prajogo, 2016). The reward system will help to reduce service operating costs and
promotes team work in Company. The Employees got bonus, salary increment and incentives for
there brilliant performance and they also gets promoted. Basic rewards are being given to
Employees of Morgan Sindall Group for their superior performance and in accordance with their
pay scale.
Training and development – Training and development is a crucial part of Morgan Group to
improve overall efficiency and performance of Employees. They invest highly on giving training
to their Employees. Special skills are teaches to Employees through conducting practical
sessions for adopting new innovative methods to drive construction industry. Research and
development is conducted to improve performance of company and for adopting new
methodologies to make work easier. The Company is conducting induction program in order to
make new recruited employees familiar with their work. Attaining New skills add value to
Morgan Sindall Group. The Employees are facilitating with the Job rotation and Cross training
in order to improve the overall productivity of Company.
TASK 2
How personal development plan change you as an individual person.
I am working as manager in the Morgan sindall group. I have analysed my strength and
weakness by the help of professional devlopment plan. I am working in the company in last few
years and i can anayse that there are some skills and knoweldges that i improve in myself but
there are also some skills which i cannot improve as an individual. For example,
Strength weakness
 High knowledge
 Better communication
 Influence members easily
 problem solving
 Time management
 Decision making
 improve leadership quality
Plan helps to me for increases my personal growth so now I manage all the work
because this plan gives ideas to me that which type of skills and knowledge I can improve in
5

my personality that helps in my future growth (Highhouse, Doverspike and Guion, 2015). So
there are different skills which I am improved in my personality there are.
Time management
As an manager of the Morgan Sindall group. I have an ability of manage the time
according to the work. I have ability to distribute the work in the different departments according
to the time that I distribute all the work on time which helps to increase my personal growth.
This plan helps me to identify my weakness. Moreover, my work helps me to improve my skill
of time management training is also the best way of improving my skill of time management.
Further. So I strengthen myself as an individual person.
Decision making
plan helps to me for increase my individual growth this plan help me for enhance my
skill of decision making that I understand which type of skills I improved and what is different
techniques which helps to enhance my skill of decision making. Further, this plan help to me for
self actualisation that I am managed the work and I can make the best decision for the company
It helps to develop talents and potential of work also helps to build my motivation as an
individual person. So this plan helps me to increase my personal growth as manager of the
construction company.
Improve leadership quality
Personal development plan helps me for enhance my skill of leadership quality. This plan
gives me many ides and techniques which increase my growth. So that I am managed all the
group of team individually and I also provide the best guidance to the team members because
during the training I will learn many things which help to improve my leadership style. Forther
it enhance my quality of life and contribute to making the best personality and help to achieve
the dreams and aspirations. Furthermore, development plan help to identify my weakness and
increase my individual growth because it gives me many strategies to increase my growth as a
manager of the Morgan sindall group.
Personal development plan help me to increase my personal development it covers all
the activities that helps to improve my skills, knowledge and also identify the awareness
regarding to the knowledge and experience.
6

Explain what are the new skills, knowledge and would require from your workplace.
Communication skills
As a manager of the Morgan sindall group. I have an ability of influence the team
members with my communication skill. The communication skill is one of the best skills for the
work place (Marsh,2018). Communication skill help to clearly express own ideas to others and
easily influence others through oral and written communication. Having communication skills is
enhanced the good relationship with the subordinates also helps to that I am able to share and
deliver the information through effective communication. So its necessary to having a good
communication on the work place.
Teamwork and Collaboration
Teamwork and collaboration is the necessary skill most of company requires this skill in
their employees. Further, as manager of the company I would require the Teamwork and
Collaboration skills in my own personality as well as in my subordinates. Having this skill is
provided the profit to the company because when employees are doing together work its
increase the production of the company so it helps to enhance the ability of work.
Creative Thinking
As a manager of the company I would require the knowledge in the employees that they
a have proper knowledge about the work and also they have ability of work that they manage
the work and distribute the work on the time. Further, I have an also creative mind that I can
provide the best ideas to the company so company use the ideas in their business to improve the
profitability of the company.
Problem solving
As a manager of the Morgan sindall group I would require the knowledge in the
employees that they easily solve the problem of the particular task. Problem solving is help to
identify the problem at work place and provide the better solution to the company (Sharma,
Simi and Forlin, 2015).
7

CONCLUSION
This is concluded from the above project report of Business environment that there is
influence of macro environment factors on Morgan Sindall Group. There is impact politcal factor
like trade & tariffs regulations on Company. There is positive impact of economic factor like
stability of host country currency in UK. Social factor are also in favour of Company like the
Entrepreneurial Spirit and broader nature of society supports the business. The laws in UK such
as Discrimination law, Employment law, Health and Safety law are influencing the decision
making of Morgan Sindall Group. It is summarise from the Swot analysis of Morgan Group that
Company has an opportunity of expansion as the transportation cost is decreasing and this makes
shipping prices lower. There is threat from the existing competitiors to the Company. It is
concluded from the Porters five forces analysis that the Bargaining power of Suppliers is
dominant in construction Industry. It is also summarise that Morgan Group is using management
practices such as Reward system and Training & development to improve overall productivity
and efficency of business.
8

REFERENCES
Books and Journals
Chillas, S., Marks, A. and Galloway, L. 2015. Learning to labour: an evaluation of internships
and employability in the ICT sector. New Technology, Work and Employment.
30(1).pp.1-15.
Highhouse, S., Doverspike, D. and Guion, R.M. 2015. Essentials of personnel assessment and
selection. Routledge.
Hillary, R. ed., 2017. Small and medium-sized enterprises and the environment: business
imperatives. Routledge.
Kljucnikov, A., Belás, J., and Paseková, P., 2016. The entreprenurial perception of SME
business environment quality in the Czech Republic. Journal of Competitiveness.8(1).
Kolk, A., 2016. The social responsibility of international business: From ethics and the
environment to CSR and sustainable development. Journal of World Business.51(1).
pp.23-34.
Laudon, K.C. and Traver, C.G., 2016. E-commerce: business, technology, society.
Marsh, L. 2018. Report on Social Security for Canada: New Edition (Vol. 244). McGill-Queen's
Press-MQUP.
Prajogo, D.I., 2016. The strategic fit between innovation strategies and business environment in
delivering business performance. International Journal of Production Economics.171.
pp.241-249.
Sharma, U., Simi, J. and Forlin, C. 2015. Preparedness of Pre-Service Teachers for Inclusive
Education in the Solomon Islands. Australian Journal of Teacher Education. 40(5).
p.n5.
Virglerová, Z., Dobeš, K. and Vojtovič, S., 2016. The perception of the state’s influence on its
business environment in the SMEs from Czech Republic. Administratie si Management
Public.
Online
Pestle Analysis. 2016. [Online]. Available through :
<https://www.business-to-you.com/scanning-the-environment-pestel-analysis/>.
Porter's Five Forces: Analysing the Competition. 2018 [Online]. Available through
:<https://www.businessnewsdaily.com/5446-porters-five-forces.html>.
Swot Analysis. 2019. [Online]. Available through :
<https://www.investopedia.com/terms/s/swot.asp>.
9