Report: Nisa Retail Ltd. - Business Analysis and Recommendations

This report presents a comprehensive business analysis of Nisa Retail Ltd., a small business enterprise in the UK retail sector. It begins with an introduction to small business enterprises and a detailed profile of Nisa Retail Ltd., including its history, nature, products, services, mission, objectives, organizational structure, and customer segments. The report then conducts a comparative analysis with a competitor, Unicorn, examining sales, marketing strategies, human resources, technology, and financial ratios. A SWOT analysis is conducted, followed by a discussion on ways to overcome weaknesses such as employee turnover and insufficient R&D, and ways to maintain strengths like easy store availability and skilled employees. Expansion areas are explored, including consolidation and market penetration. The report also covers Nisa's objectives, revised plans, and an action plan for implementing changes, focusing on the impact of changes, change management, and supervision for improvement, with the information covered in a PowerPoint presentation as well. The report concludes with a summary of the key findings and recommendations for Nisa Retail Ltd.

SMALL BUSINESS
ENTERPRISE

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1.1 Brief details of Nisa Retail Ltd.............................................................................................1
1.2 Comparative analysis............................................................................................................2
TASK 2............................................................................................................................................4
2.1 Justified ways to overcome from weaknesses.......................................................................4
2.2 Ways to maintain strengths and existing performance.........................................................4
2.3 Expansion areas.....................................................................................................................5
TASK 3............................................................................................................................................5
3.1 Objectives and plans of the company....................................................................................5
3.2 Appropriate changes adopted for revised plans....................................................................6
3.3 Action plan for implementation of changes..........................................................................7
TASK 4............................................................................................................................................8
Covered in PPT...........................................................................................................................8
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
Enterprises which are having small-scale business, less number of employees, workers
and does not have large amount of sales that type of enterprises are covered under Small
Business Enterprises. These types of enterprises are usually privately owned and operated by the
sole proprietors, partners or corporations. 'Nisa Retail Ltd.' is a private limited company which
has been considered in the given report. This company is independent retailers of small grocery
and wholesalers in United Kingdom. The report throws light on the profile of this company and
comparative analysis with the competitor. The SWOT analysis of the company has also been
covered and how to overcome from weaknesses are discussed below. The different ways have
given to maintaining its strengths. The expansion strategies for the organization are also
explained. The report presents current objectives of the company, the revised objectives and its
implementation. The impact of changes made on the employees, how to manage these changes
and supervision for improvement are discussed in the present report.
TASK 1
1.1 Brief details of Nisa Retail Ltd.
Company Profile:
 History – Nisa Retail Limited was incorporated in the year 1977 with 30 stores. Its
headquarters are in n Scunthorpe, Lincolnshire, United Kingdom. In the present time, this
company is serving more than 2500 local stores independently owned stores across UK. It
has completed 40 years of successful journey.(Altman, Sabato and Wilson, 2010) It has
been awarded by Convenience Tracking Programme Awards, Five retail industry award,
Independent retailer of the year, Symbol Group Fresh produce Retailer of the Year in
2016. Nisa has launched new Heritage own label range in the year 2014.
 Nature – Nisa Retail is a private limited company. The nature of this company is
“Activities of the business and employers membership organizations”. The status of the
company is 'Active'.
 Background information – The founder of Nisa ltd is Mr. Dudley Ramsden and co-
founder is Mr. Peter Garvin. Mr. Nick Read is the Chief Executive Officer. The annual
turnover of the company is around £1.5 billion. There are 974 members with 213
numbers of employees.
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 Products and services –The organization has huge supply chain of distribution with the
number of 2500 retail stores. It deals in food and drink markets and provides benefits to
independent retailers. It provide services in the form of online solutions to its users
including bulletin boards, deals system, news content, click to create websites and online
forums.
 Mission statement – To serve people with wide range of availability of products and
increase number of independent retailers.
 Objectives – The objectives of the company are to provide better services to its users and
enhance the supply chain distribution.
 Organizational structure – Mostly, the small business enterprises do not have hierarchical
system in their organization. Since, these are small so instead of vertical organizational
structure it has flat structure for the operations.
 Customer segment – By customer segmentation, retailers can build their marketing
strategies. The customer segmentation for retailers is begin with put focus on
supermarkets, as they provide various services to the customers.
 Constraints and restrictions – The strong strategies of the competitors may become the
constraints for the company.
Strengths-
 Easy availability of the retail stores.
 Highly skilled employees.
 Presence in the online market.
 High quality products and services at the affordable prices.
 Strong reputation in market.
Weaknesses –
 Lacking behind in retention of workers.
 Lacking in Research and Development of needs and wants of customers.
 Low social media promotional strategies.
1.2 Comparative analysis
Hypothetical example is to be taken for the comparative analysis.
Nisa ltd Unicorn
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Sales 150000 136000
Expected sales 145000 142000
Net profit 30000 23000
Net profit ratio (net profit/sales * 100) 20.00% 16.91%
Last year net profit ratio 17.83 15.40%
Basis Nisa retail Ltd. Unicorn
Sales The actual sale of the company is
more than the estimated sales.
The actual sales have not
beaten the expected sales.
Marketing strategy Company has adopted penetration
market strategy for selling the
products.
This company is working on
promotional marketing
strategy.
Human Resources The human resources in the company
are fully satisfied with their work and
all benefits.
Company has satisfied their
human resources.
Technology Adaptable to the advanced
technology with the changing
environment.
Not easily adjustable with the
dynamic changes in the
technology.
Ratios In the above example, the net profit
ratio has improved from the previous
year.(Bridge and O'Neill, 2012) This
shows the sound profitability of the
company and it has maintained by it.
The company is required to
improve its probability and
work on strategic part.
Budget information The budget information has provided
the potentiality of the company, so
that it may work accordingly.
Company is required to
improve its budget information
and work accordingly.
Business report Business report shows that the
overall condition of the company.
The condition of business
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And it stands at good level. report is not up to the mark.
TASK 2
2.1 Justified ways to overcome from weaknesses
As it has been mentioned above that there are some weaknesses in small business
enterprises. Company can overcome from these by adopting appropriate actions and can achieve
their targets in an effective manner.(Burns, 2010) Various ways that can be adopted are setting
new SMART objectives, Problem solving strategies Outsourcing etc. According to the
weaknesses company can go with the following ways:
 With the help of organizing various training and development programs the employee’s
turnover can be reduced. Organizes training programs periodically like quarterly, half
yearly.(Chittithaworn and et.al., 2011) So, employees and works can feel that company
is giving attention towards their needs and they will not turn out. By this, their efficiency
level will automatically increase.
 Since research and development is very much important in now days. Company should
improve its research or survey department for identifying the actual needs, wants and
expectations of the customers and then provide products and services accordingly.
 Company can adopt problem solving strategy so that the grievances of employees can be
resolved timely and they will not be distracted from their work.
 Outsourcing is one of the options to reduce the workload.Promotion through social media
is growing like anything.(Forsman and Temel, 2011) It has become the popular way for
advertisement in front of the customers. Company should work on its promotional
strategies by social media. In return, it will reach to maximum number of the customers
across the its market hub.
2.2 Ways to maintain strengths and existing performance
For achieving more success and survival of the business, it is required to maintain the
existing position and try to enhance it. Strengths play an important role in achieving the
objectives.(Gronum, Verreynne and Kastelle, 2012) The effectively use of strengths may lead to
the business at the high position. In the changing environment company should not loose any
opportunities. The performance of the company helps in increasing the strengths. There are
following ways through which company can maintain its strengths and position:
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 As retail businesses has large number of stores in the market, so they are having the
strength of easy availability to the customers.(Jones and Iredale, 2010) For maintaining
this company can go with the expansion strategy approach and attain its objectives.
 Satisfaction of employees of the company is required to maintain the existing
performance, these are the unique element for the organization. By adopting performance
appraisal system company can retain its highly skilled personnel. And in return they will
give their best to the company due to high motivation.
 Providing services through online and to maintain this is very important for the company.
As customer satisfaction is the ultimate objective of the company.(Malhotra and Temponi,
2010) By using different ways like feedback from customer, address them for any
complaints, manage all the quires etc.
 Maintaining quality standards in products and services are very important to hold the
customers toward the company. This may tend to maintain the affordable prices to the
customers so that, they don't turn up to the competitors and maintain loyalty.
2.3 Expansion areas
Expansion for any type of business is become necessary as per the changing competitive
business environment. For survival and growth it is essential to extend the business units into
potential markets. Therefore, the new customers could aware about the products and services
offered by the company. For expanding the business units company can approach new
technologies, export mechanism, acquisition, collaboration etc. As far as the Nisa Retail Ltd. is
concerned it is planning for consolidation in the 'crowded' convenience sector. Company is doing
this for enhancing the supply chain of distribution in various potential areas or locations. Through
this expansion plan company may establish its store in large numbers. But implementation of this
strategy is not an easy task for any organization. Company is suppose to arrange various
necessary requirements for the execution. It has to hire more human resource, huge capital is
required, plant, building etc. Therefore, company should carefully implement the expansion
strategy and also getting benefits from it.
TASK 3
3.1 Objectives and plans of the company
Setting objective is the first and foremost step of the company. After that plans has to be
made accordingly. Every enterprise prepare objectives and future plans on the basis of its current
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performance. Objectives should be smart in nature so that it can be understandable by the
employees. It gives the proper direction of doing the actual work and plans give support to the
objectives in its fulfillment. With the help of goals and objectives company take decisions for the
future achievements. It can be one or more than that.(Rae, 2010) The objectives of Nisa Ltd. are
to increase the supply chain in the potential market zones and to provide better services to its
online users. For the achievement of these company is planning in execution part. Because
without proper planning for implementation it could be prove meaningless with no worth. The
current business position decides the growth of the company. Sound business reports give the
direction for making future targets to the managerial department. For increasing the distribution
channel of retail stores company is planning for the consolidation strategy in new the market
areas. Entering into new area with market penetration approach would give best results to the
retail sectors. Attractive promotional strategies via social media and offline medium would be
beneficial to the company.(Stokes, Wilson and Wilson, 2010) The achievable and realistic
objectives may reach the company at the high position. At the same time proper planning is to be
required for the same.
3.2 Appropriate changes adopted for revised plans
Any type of change cannot be made very easily in the existing business activities as per
the revised plans. It is natural that the resistance comes from the side of employees. But it is the
duty of the managers to handle the resistance and their responsibility to get acceptable by the
subordinates. The alignment of individual objective with the organizational objectives is very
essential for the organization, as it affects the overall performance. Otherwise it may prove wrong
of setting new plans. Plans revise if they doesn't work but the ultimate goal doesn't change.
Management make their employee understandable about the change. Explain them by showing
past performances and compare with the set targets. If employees get to know the requirements of
the change and how the new plans are beneficial for him then they will accept the revised plans in
a positive way. It is the duty of the managers that to explain the forecasted and budgeted plans in
front of the employees to make them more participative in the performance. Also it should be
explained that what will be the benefits of the new plans for the employees. In this way they will
perform well and get self-motivated. Nisa retail is always make sure that its employees and
workers get satisfied by all means.
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3.3 Action plan for implementation of changes
The creativity of the managers can be seen in the accurate conversion of new plans into
action. Dealing with employee’s resistance is very difficult task for the management. Resistance
occurs because employees become habitual with their daily routine works and they have to come
out from their comfort zone. It is the art of managers that make them comfortable with the new
zone for accepting the change. Here the Conceptual Change model has to be adopted by most of
the organizations. This model is having three stages that are: Unfreeze, Change and Refreeze.
Unfreeze – The first stage states that managers must ensures that employees are ready for the
change. In this the existing situation of the organization has to be dismissed. And employees are
get to ready for the upcoming change in the way of working and what will be the new targets.
Change – On the second stage, the intended change has to be implemented by the side of
management. The performance of employees would depend on the way of executing the new
change. As much as the change has implemented effectively in the same way better results would
achieve.
Refreeze – At the last stage managers ensure that the change becomes permanent in the
organizational environment. It must be agreeable by all the employees in positive way.
On the basis of certain criteria changes can be manage effectively. These are as given below:
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 Set out plans - For the accurate implementation of the change proper planning is to
be required by the side of top management.
 Implement system - For the evaluation, supervision and management of the
change; there should be a system which undertakes all of these.
 Set measures for performance – Company should check results after the
implementation of change and compare with the before change results. Then they
get to know the improvement in performance level.
 Set deadlines – Employee should know about the deadlines so that he can work
according and achieve the targets. By setting the last date of work company can
come to know that whether the set goals have achieved or not.
TASK 4
Covered in PPT
CONCLUSION
The conclusion that can be made on the basis of the above report that small business
enterprises can achieve their objectives through strengths. Nisa Retail Ltd. can expand its
business by adopting market penetration strategy when entering into new market zone. Company
maintain its strengths and its existing performance. When the change takes place then for
managing this Lewin's model will be prove better in the performance of the enterprise.
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REFERENCES
Books and Journals
Altman, E. I., Sabato, G. and Wilson, N., 2010. The value of non-financial information in small
and medium-sized enterprise risk management. The Journal of Credit Risk. 6(2). p.95.
Bridge, S. and O'Neill, K., 2012. Understanding enterprise: entrepreneurship and small
business. Palgrave Macmillan.
Burns, P., 2010. Entrepreneurship and Small Business: Start-up. Growth and Maturity. Palgrave
Macmillan.
Chittithaworn, C., and et.al., 2011. Factors affecting business success of small & medium
enterprises (SMEs) in Thailand. Asian Social Science. 7(5). p.180.
Forsman, H. and Temel, S., 2011. Innovation and business performance in small enterprises: an
enterprise-level analysis. International Journal of Innovation Management. 15(03). pp.641-
665.
Gronum, S., Verreynne, M. L. and Kastelle, T., 2012. The role of networks in small and
medium‐sized enterprise innovation and firm performance. Journal of Small Business
Management. 50(2). pp.257-282.
Jones, B. and Iredale, N., 2010. Enterprise education as pedagogy. Education+ Training. 52(1).
pp.7-19.
Malhotra, R. and Temponi, C., 2010. Critical decisions for ERP integration: Small business
issues. International Journal of Information Management. 30(1). pp.28-37.
Rae, D., 2010. Universities and enterprise education: responding to the challenges of the new
era. Journal of Small Business and Enterprise Development. 17(4). pp.591-606.
Stokes, D., Wilson, N. and Wilson, N., 2010. Small business management and entrepreneurship.
Cengage Learning EMEA.
Storey, D. J., 2016. Understanding the small business sector. Routledge.
Thomä, J. and Bizer, K., 2013. To protect or not to protect? Modes of approachability in the
small enterprise sector. Research Policy. 42(1). pp.35-49.
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