Strategy Formulation of Pure Ponics: Company Analysis Report

This report provides a detailed analysis of Pure Ponics, an aquaponics business based in Geelong, Melbourne, Australia, focusing on its strategy formulation. It begins with an introduction to strategy formulation and its importance for organizational success. The report then delves into Pure Ponics' company background, mission, vision, and value statements, evaluating their appropriateness and offering recommendations for improvement. The discussion includes an assessment of the company's strategic objectives, highlighting their relevance and suggesting the use of the SMART model for more effective goal setting. The report concludes by summarizing the key findings, emphasizing the need for measurable objectives and a clear strategic direction to enhance the company's growth and contribution to sustainable urban farming. The analysis covers aspects of sustainable farming solutions, aquaponics systems, and the elimination of global food production issues, making it relevant for entrepreneurship and business strategy studies. The report also highlights the importance of adapting to market changes and communicating the benefits of the company's mission to the public.

Running head: STRATEGY FORMULATION OF PURE PONICS
STRATEGY FORMULATION OF PURE PONICS
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Table of Contents
1. Introduction.........................................................................................................................3
2. Discussion...........................................................................................................................3
2.1. Company Background.................................................................................................3
2.2. Vision Mission and Value Statements of Pure Ponics................................................4
2.3. Appropriateness and Recommendations.....................................................................5
2.4. Strategic Objectives of the company and their appropriateness..................................5
3. Conclusion..........................................................................................................................7
References:.................................................................................................................................8

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1. Introduction
Strategy formulation is all about the process of choosing the best course of action for
realising the organisational objectives and goals of a particular company (Van den Heuvel,
Alison and Power 2014). It is a broad plan that is developed by the company for taking it
from where it is to where it desires to be. Well-designed strategy helps a company to reach
the maximum level of efficiency and effectiveness in reaching its goals while continuously
allowing itself monitoring its environment for the adaption of the strategy as required.
However, this paper shall elaborate on analysing some of the key components of the process
of strategy formulation for the organisation named Pure Ponics. A clear description of the
company and the industry will be provided along with the evaluation of its vision, mission
and value statements. All these would be evaluated for discussing about their appropriateness
and providing suggestions to make further improvements. With the same, strategic objectives
of the company and their appropriateness shall be assessed.
2. Discussion
2.1. Company Background
Pure Ponics is one of the commercial aquaponics business that is launched in Geelong,
Melbourne, Australia. It was founded by Steve Gleeson with an active interests in the field of
farming and food preparation. In order to respond to change, the company was started for
improving the future of growing and supplying some premium quality, secure, fresh and
clean food to the customers who care and are conscious about what they eat as well as the
world they live in (Love et al. 2015). It is a sustainable farming solution that brings in some
safe, clean and chemical free fresh food that are local. With the help of Aquaponics plants
and fish growing together, the company is using comparatively less water, energy and waste
for growing a lot more in the areas that creates minimum footprint (Floyd 2014). The
company believe in the future of urban farming as well as the development of smart cities.

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The main focus of the business is to eliminate the issue of global food production by means
of exploring on the potential solutions to overcome it. It wants to grow clean and fresh food
close to where people eat and live become a significant part of the urban planning for the
smart cities. The company makes use of an innovative system and business model like
aquaponics in order achieve scale, profitability and sustainability. It is to note that aquaponics
is one of the very obvious urban farming application for the smart cities as it forms a highly
productive usage of space for fresh and clean production of food (Specht et al. 2014). It is
expected that the system like aquaponics could attain above 90 percent of reductions in the
usage of water for producing the same volume of food as compared to the soil-based farming.
The harvested rainwater from the roof top or any other surrounding city structures can also
provide secure supply of water for the commercial scale farm of aquaponics
2.2. Vision Mission and Value Statements of Pure Ponics
The mission statement of the company- “Sustainable local and fresh farming”- illustrates
that the mission of the business is to eliminate the issue of global food production by means
of exploring on the potential solutions to overcome it (Arcese et al. 2015). The vision of the
founder of the company after this is to grow clean and fresh food close to where people eat
and live become a significant part of the urban planning for the smart cities. Its value
statement include “We Care About What You Eat”. It is also to note that the company is
determined to become the best solutions for growing food that are of highest taste and quality
and that are produced in the most effective way with minimal environmental and waste
impacts. With the help of Aquaponics plants and fish growing together, the company is using
comparatively less water, energy and waste for growing a lot more in the areas that creates
minimum footprint (Delaide et al. 2017). It is expected that the system of aquaponics could
attain more than 90 percent reductions in the usage of water that is used for producing food.
Also, the harvested rainwater from the roof top or any other surrounding city structures can

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also provide secure supply of water for the commercial scale farm of aquaponics. It is to note
that the Urban farms making use of the innovative system such as aquaponics in the protected
environments supply some real solutions to the existing and the future production of food
related problems.
2.3. Appropriateness and Recommendations
Businesses and companies often make and rewrite their strategic plans during the time
when the organisational structure is changing or for responding the changing conditions of
the market. Change is a very important component of the process of strategic planning. It
involves the movement of the company or the program forward for creating or changing
something. Mission and vision statements are always the two most critical and important
elements that help in communicating the goals of the plan for the employees as well as the
public. From analysing the current mission, vision and value statements of Pure Ponics, it is
clear that being a small scale firm, the company has not focused enough on clarifying the
measurable objectives of the company (Schumm et al. 2014). It is to note that a mission
statement is basically means for the leaders and the employees of the company and strategic
plans might involve the change in the mission statement for reflecting new direction of the
company. Hence, it is recommended for Pure Ponics that it must highlight the benefits of the
changes and minimise the deficits as this will help the staffs and the public to buy into the
change (Pearce 2017). The company should consider conducting and convincing credible and
evidence based science on the health and environmental impacts of the organic food farming
as its mission and must communicate about the results and findings to the general public in
order to make them aware.
2.4. Strategic Objectives of the company and their appropriateness
It is to note that the strategic objectives of the company are mentioned below:

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a) Of developing a sustainable system of agriculture for guaranteed sufficient production
of food in the foreseeable future.
b) Of developing some self-sufficient system of agriculture that will depend upon the
resources from within the own resources.
c) Of developing alternative strategy over the chemical faring that would be a significant
guideline for the working of the biological processes in this natural eco-systems.
d) Of eliminating the issue of global food production by means of exploring on the
potential solutions to overcome it.
These objectives of Pure Ponics are appropriate with the work that it does. However, it is
to be mentioned that these objectives are neither measurable nor time bound and therefore,
they fail to become strategic objectives for the company. Hence, the company must make use
of SMART model in order to frame its objectives. It is to note that SMART is an acronym
that can used to guide the goal setting of the company. It stands for Specific (S), Measurable
(M), Achievable (A), Relevant ® and Time Bound (T) (Ubilla et al. 2014). It is very
important to have measurable goals that this can help PurePonics to track its progress and
improvement and stay motivated. Also, it will help the company in assessing its progress in
order to stay focused and meet the deadlines. It must be kept in mind that the measurable
objectives or goals must addresses the questions- a) how much? b) How many? c) How can I
know when it can be accomplished? With the same, the objectives should also be achievable
and realistic in order to be successful. It must also stretch the abilities of the company to
remain possible. However, it should be noted that while setting an achievable goal and
objective, Pure Ponics should be able to identify its earlier overlooked chances, resources and
opportunities which could bring its closer to it. . It must be kept in mind that the measurable
objectives or goals must addresses the questions- a) how can I accomplish this goal or

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objective? B) How realistic is the goal, based on other constraints, such as financial factors?
Hence, below mentioned the appropriate strategic objective for Pure Ponics.
e) Developing a sustainable system of agriculture for guaranteed sufficient production of
food by the end of 2020.
f) Developing some self-sufficient system of agriculture that will depend upon the
resources from within the own resources by the end of December.
g) Developing alternative strategy over the chemical faring that would be a significant
guideline for the working of the biological processes in this natural eco-systems
within 15 days.
h) Eliminating the issue of global food production by means of exploring on the
potential solutions to overcome it by the end of 2020.
3. Conclusion
From the above analysis it is clear that the corporate vision and mission statement of Pure
Ponics show some strategic objectives for the leadership and global expansion in the market
of farming and agriculture. Its sustainable farming solution brings in some safe, clean and
chemical free fresh food that are local. It believes in the future of urban farming as well as the
development of smart cities and its main focus of the business is to eliminate the issue of
global food production by means of exploring on the potential solutions to overcome it. The
current mission, vision and value statements of Pure Ponics, illustrates that being a small
scale firm, the company has not focused enough on clarifying the measurable objectives of
the company. In order to correct this deficit, it is recommended to highlight the benefits of the
changes and minimise the deficits. Also, it is expected that conducting and convincing
credible and evidence based science on the health and environmental impacts of the organic
food farming as its mission will also be effective in this regard. Letting the public become
aware of all these things is also very important. Secondly, after assessing the strategic

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objectives of the company it is identified that the company does not planned any true and
clear strategic objective. Hence, it is recommended to make use of SMART framework in
order to develop the same.
References:
Arcese, G., Flammini, S., Lucchetti, M. and Martucci, O., 2015. Evidence and experience of
open sustainability innovation practices in the food sector. Sustainability, 7(7), pp.8067-8090.
Delaide, B., Delhaye, G., Dermience, M., Gott, J., Soyeurt, H. and Jijakli, M.H., 2017. Plant
and fish production performance, nutrient mass balances, energy and water use of the PAFF
Box, a small-scale aquaponic system. Aquacultural Engineering, 78, pp.130-139.
Floyd, M., 2014. Aquaponics for Teaching and Demonstration Duval County Florida.
Love, D.C., Genello, L., Li, X., Thompson, R.E. and Fry, J.P., 2015. Production and
consumption of homegrown produce and fish by noncommercial aquaponics
gardeners. Journal of agriculture, food systems, and community development, 6(1), pp.161-
173.
Pearce, J.M., 2017. Emerging business models for open source hardware. Journal of Open
Hardware, 1(1), p.2.
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