Strategic Analysis Report: Macville Organisation Review

This report presents a comprehensive analysis of Macville, a company focused on selling and delivering espresso machines. It begins with an organizational review, including vision and mission statements, current practices, and stakeholder engagement. The report then delves into an environmental analysis, covering political, economic, social, and technological factors, followed by a value chain and SWOT analysis to assess the company's strengths, weaknesses, opportunities, and threats. The core of the report focuses on strategic planning, outlining organizational objectives, strategies to achieve those objectives, and associated KPIs. Finally, it reviews the implementation of these strategies, measuring progress against milestones and KPIs, identifying areas for improvement, and providing recommendations. The report provides a detailed overview of Macville's operations, strategic direction, and performance evaluation.

Running head: ORGANISATION ANALYSIS
ORGANISATION ANALYSIS
Name of the student:
Name of University:
Author Note:

1ORGANISATION ANALYSIS
Table of Contents
Assessment task 1........................................................................................................2
Organizational review:..............................................................................................2
Current approaches and practices:...........................................................................2
Organizational values:..............................................................................................2
Meeting with the stakeholders:.................................................................................3
Assessment task 2........................................................................................................3
Environmental analysis:............................................................................................3
Value chain analysis:................................................................................................4
SWOT analysis:........................................................................................................4
Competitor analysis:.................................................................................................5
Assessment task 3:.......................................................................................................6
Strategic Planning.....................................................................................................6
Organizational objectives:............................................................................................6
Strategies to achieve objectives:..................................................................................7
Objective 1:....................................................................................................................7
Strategies:.................................................................................................................7
Objective 2:...............................................................................................................7
Strategies:.................................................................................................................7
Objective 3:...............................................................................................................8
Assessment task 4:.......................................................................................................8
Reviewing Implementation:.......................................................................................8
Scope:.......................................................................................................................8
KPI Progress:............................................................................................................9
Milestone Progress:..................................................................................................9
Overall progress:..........................................................................................................9
Improvement:............................................................................................................9
References:................................................................................................................10

2ORGANISATION ANALYSIS

3ORGANISATION ANALYSIS
Assessment task 1.
Organizational review:
Vision statement- to provide best experience to customers.
Mission statement: to open café in new areas to be recognized as national brand
These are the agreed upon statements by the company and explain the
reasons for survival. This is no essential to include more perspective in the company
through improving diversity in the organization. Despite the fact that the mission
statement is not precise at all hence need to be revised periodically by Macville. This
will help to check whether this statement still encompasses all the essential and
relevant activities of the company.
Current approaches and practices:
 The company aims to engage new and existing customer as well as conduct
research on them
 It aims to develop and improve products and services
Revised vision statement: to be innovative to increase proficiency in process and
efficiency in customer service.
Revised mission statement: to apply strategic alliance and incorporate new
partnerships
Goals to reach the targets as well as sustainable growth with 4Ps:
˃ Profit: maximizing return to the shareholders simultaneously serving all the
responsibilities
˃ People: increasing more motivated employees
˃ Partners: building loyal network of partners
˃ Portfolio: bring a portfolio of beverages and satisfy customers requirements
Organizational values:
 Identifying community needs
 Participating in the local communities
 Donating certain profit percentage to the communities

4ORGANISATION ANALYSIS
Meeting with the stakeholders:
 Identifying and developing new areas which are yet unrecognized during
previous planning (Hsu, Fournier & Srinivasan, 2016).
 Being innovative by motivating the self-directed teams.
 Participating in the community
 Forging strategic alliance
Assessment task 2
Environmental analysis:
Political:
the government of Australia is stable
the market regulations are perfect for business providing the investors
scope for certainty
anti-discriminatory laws make the region highly effective
open, efficient and transparent legal framework have contributed to the
low level of corruption
tariff on the import of coffee espresso machines will removed
possibility of imposing carbon tax on the energy intensive products
Economic:
the economic condition is growing to ease the functions of doing
business index
lower unemployment provides cheap yet skilled labor
open market with limited restrictions
low public debt
strong as well as stable economic system
strengthen of Australian dollar against the trading partners in the next
few years will help the company greatly
social:
huge number of diversity in the communities
constantly changing social trends
high education level
changing customer attitudes and demands

5ORGANISATION ANALYSIS
huge scope for advertisement and publicity
the organization will be influenced by steady growth rate of population
(Martínez-Torres, Rodriguez-Piñero & Toral, 2015).
changing lifestyle and tend to eating out is more affluent and frequent
Technological:
Technological factors include automation and technology incentives
with the improved rate of technological changes
Government supports technological advancements (Martinez-Simarro,
& Llopis-Albert, 2015).
New expresso machines are being developed reducing energy
consumption
Home market recording high growth in espresso machines.
Value chain analysis:
Inbound logistics: lack of experience personals for importation as well as customs.
Operations: Art management information system provides for strategic planning and
internal control. This comprises transformation of inputs into final products (Martins,
Rindova & Greenbaum, 2015).
Outbound logistic: for fast expansion plans the associated delivery company is not
able to deliver machines
Sales: sales and marketing departments are doing well and strong contributors of
profit
Service: the company has a good reputation among the customers after selling
products.
SWOT analysis:
Strengths Weaknesses
 Good state of art management
information system
 Good advertising and
management mix
 Great reputation after sale
 Absence of experience personnel
to manage customs and
importation
 Late delivery service

6ORGANISATION ANALYSIS
Opportunities Threats
 Advertising over internet
 Lessening competitors from the
market
 Changing lifestyle of people
 Growing population
 Increasing interest rate can effect
disposable income of the people
 New entrants in the espresso
and bean market
Competitor analysis:
I. Nufix. Inc. shifting from instant coffee to espresso machine
Strength Strong human resource, marketing and
finance
weakness Struggle to adopt in niche market
II. Bean Ex:
Strength Easy entry
weakness Absence of service department for
providing after sale services
Potential alliance As required in the tenders
III. Home espresso trades:
Strength Home consumer marker approve
commercial consumer market
Weakness Alliance focuses on non-hospitality
sector
Risk Partner has access to trade secrets
IV. Ambrosia coffee roast
Strength client based sharing
Weakness Commodity based product image
Risk Long term contract of alliance

7ORGANISATION ANALYSIS
V. Java estate
Strength Highly committed to hospitality as well
as coffee market
Weakness May not be recommended
Risk Outstanding amount
Assessment task 3:
Strategic Planning
Strategic planning is the managerial process that helps in developing a strong
relation between the organizational goals and resources as well as its ever changing
market opportunities.
Strategic Planning
Goals
SWOT Analysis
Strategy
Implementation
Measurement
and Evaluation

8ORGANISATION ANALYSIS
Organizational objectives:
The main aim of Macville is to sell and deliver the espresso machines
throughout the Australian states by accepting the tender of java estates and looking
for an opportunity to get warehouse in other estates with high volume.
 To increase the established profit margin by 10% from the original benchmark
that was set in the year 2010.
 To set brand recognition for Macville within the next five years among its
major markets.
 To reduce the wastage of energy by 10% from the standards that was set up
prior to five years.
Strategies to achieve objectives:
Objective 1:
To sell and deliver effective service of the espresso machines throughout the
country by accepting the tender for java estate and further look for a warehouse
opportunity that would prove helpful in expanding the business in different estates
with high volumes (Hayran & Gürhan-Canli, 2016).
Strategies:
 Implementing actions and setting up the strategic alliance with the java estate.
KPI Plan: the main plan of the firm is to install at least 200 machines
altogether per annum.
 Establishing warehouse for Macville company
KPI Plan: the main plan is to set a warehouse in Melbourne, which is possible
only after the business is well-established in Sydney.
 Outsourcing maintenance cost and setting up agents in various other states in
Australia.
KPI Plan: In South Australia, it would be important to outsource all the
maintenance contracts, the plan is to set agents in different states (Lin & Wu,
2014).
Objective 2:
To raise the profit margin by 10% from the previous benchmark that was set
in the year 2010.

9ORGANISATION ANALYSIS
Strategies:
 Instigating high buying negotiations so that the prices of suppliers can be
easily reduced.
KPI plan: the main target is 100% purchases of the stock through bulk load.
 Operate all the departments of the organization at an optimum productivity
and capacity.
KPI Plan: the wages are to be held at a turnover ratio of 12.5%.
Objective 3:
To set up the brand recognition for Macville within the next five years.
 Establishing internet and social network marketing
KPI Plan: Macville should advertize in several websites so that the website
can gain more than 1000 visitors per day.
 Join with the other java estates and facilitates in co-branding banners and
cups.
KPI Plan: to increase the buyers for the cup so that the café buying its
machines also purchases their machines.
Objective 4: to decrease the wastage of energy by 10% from the previous
benchmark that was set in the year 2010.
The strategies for achieving these objectives include the following:
 Setting up the reward and innovation programs:
KPI Plans: at least introducing more than five innovation techniques and
suggestions every year to reduce wastage (Lechner & Gudmundsson, 2014).
 Implementing and developing awareness programs for the proper usage of
energy.
KPI plans: to reduce the energy usage by 10kw from each and every person.
The major parties responsible are the Human resource manger and Research
and development manger.

10ORGANISATION ANALYSIS
Assessment task 4:
Reviewing Implementation:
Scope:
To measure the organizational performance against all the milestones and
KPI. In addition to this recommendations and refinements is provided for
implementation procedures.
KPI Progress:
As per the KPI Plan, it was estimated to install more than 200 machines each
year but as per the actual KPI only 190 machines were installed. The warehouse that
was about to be set in Melbourne is still not opened. There were no service
contractors assigned for the territory in north but agents are appointed in various
states though it is quite expensive. More than 5 innovative techniques were
introduced and the firm has 30 new innovations. More than 10kw energy
consumption was dripped for each person. The KPI progress was effective as the
number of clicks per day on the websites also increased. The wages turnover ratio
were actually high than the KPI Plan.
Milestone Progress:
Objective 1: The machines installed by the Macville were installed mostly in all
of the states except in the northern parts as it was too expensive. Moreover to hire
the contractors and agents were also time consuming.
Objective 2: The profit margin increased by 2% in the last few years
Objective 3: more than 50 % of the potential target market recognized
Macville brand and it further resulted in a positive outcome.
Objective 4: the energy wastage was reduced by 2% against the earlier set
benchmark.
Overall progress:
Macville is performing efficiently and the profit margin has also increased by 2% due
to increase in demand and bulk buying. The marketing strategy proved to be
beneficial to increase the profit through networking and social internet (Keller, 2017).
Strategy for the reduction of energy is also beneficial as the energy consumption per
person is gradually decreasing.

11ORGANISATION ANALYSIS
Improvement:
Macville should open a warehouse at Melbourne for maximum profit margin.

12ORGANISATION ANALYSIS
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Hayran, C., & Gürhan-Canli, Z. (2016). Brand extensions. The Routledge
Companion to Contemporary Brand Management, p.136.
Heding, T., Knudtzen, C.F., & Bjerre, M. (2015). Brand management: Research,
theory and practice. Routledge.
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value: how leveraging, separating, and distancing the corporate brand affects
risk and returns. Journal of the Academy of Marketing Science, 44(2), pp.261-
280.
Johnson, G. (2016). Exploring strategy: text and cases. Pearson Education.
Keller, K.L. (2017). Managing the growth tradeoff: Challenges and opportunities in
luxury branding. In Advances in Luxury Brand Management (pp. 179-198).
Palgrave Macmillan, Cham.
Lechner, C., & Gudmundsson, S.V. (2014). Entrepreneurial orientation, firm strategy
and small firm performance. International Small Business Journal, 32(1),
pp.36-60.
Lin, Y., & Wu, L.Y. (2014). Exploring the role of dynamic capabilities in firm
performance under the resource-based view framework. Journal of business
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Martinez-Simarro, D., Devece, C., & Llopis-Albert, C. (2015). How information
systems strategy moderates the relationship between business strategy and
performance. Journal of Business Research, 68(7), pp.1592-1594.
Martínez-Torres, M.D.R., Rodriguez-Piñero, F., & Toral, S.L. (2015). Customer
preferences versus managerial decision-making in open innovation
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Management, 27(10), pp.1226-1238.
Martins, L.L., Rindova, V.P., & Greenbaum, B.E. (2015). Unlocking the hidden value
of concepts: a cognitive approach to business model innovation. Strategic
Entrepreneurship Journal, 9(1), pp.99-117.