Strategic Management: BSc BMP6002 - M&S Strategic Plan & Action Plan

This report provides a comprehensive analysis of strategic management principles applied to Mark and Spencer (M&S), a prominent British multinational retailer. It defines strategic management, critically assesses the processes organizations use to determine strategy, and evaluates the impact of internal and external environmental variations on organizational strategy using PESTLE and VRIO frameworks. The report also reviews an organization’s strategic plan (Business Plan), providing an action plan for the organization on the basis of a change. The analysis covers environmental scanning, strategy formulation, implementation, and evaluation, highlighting the importance of adapting to changing conditions and identifying opportunities for competitive advantage. The report concludes with a discussion of the findings and recommendations for M&S.

BSc (Hons) Business Management Top up
BMP6002 Strategic Management
Strategic Planning
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Contents
Contents
Introduction............................................................................................................................2
Definition of strategic management.......................................................................................2
A critical assessment of the process used by organisations to determine their strategy........3
A critical evaluation of the impact of internal and external environmental variation on
organisational strategy...........................................................................................................4
A review of an organisation’s strategic plan (Business Plan), providing an action plan for
the organisation on the basis of a change...............................................................................8
Conclusion..................................................................................................................................9
References..................................................................................................................................9
1

Introduction
Strategic planning is an organization process which refers its strategy that shows One
Direction and making the decision making on the basis of it. It also shows the process in
which organizational leader focus their vision on the future prospective as well as they
identify their goals and objectives for organization (Augier and Dew, 2018). The process
which includes establishing the sequence on the basis of of goals that must follow certain
guidelines to achieve the vision successfully. Only purpose of strategic planning is to set
overall the goals and objectives of business and improvised the plan to achieve them. for this
report, the company has been consider is Mark and Spencer which is British best retail
multinational company. In this report the topics covering on the basis of strategic
management and determine the business plan on the basis of measuring International factors
effectively
Definition of strategic management
Strategic management is a process of maintain and setting the goals rules and
procedures which related to the objectives in order to company need to achieve. The another
use of strategic management is to include certain formulation and implementation that helps
to company to attain all the complex objectives through to certain process (Chumburidze and et.
al. 2019). Importance of strategic management that it facilitates overall direction by
improvising plans and policies is designed to accomplish objectives in allocating the right
resources to the right people. In context of company such as Mark and Spencer is one of the
most strongest premium manufactured retail products and services. Importance of strategic
management are highlighted below:
 Allowed the forms to dissipate changing condition : An organisation that changing
occurs on the basis of situations where it requires proper long term planning. Some of
the irony about changes that it makes planning more difficult it requires time to take
advantage and make that that a change implementation in workplace. In terms of
Mark and Spencer company they bring the changes annual basis to gain more
competitive advantages from the competitive market for long term sustainability. This
will also allow the form to innovate in time to take advantage of new opportunities in
environment and reduce the challenges that can create use impact on the profitability.
As per the strategic management also allows an enterprise to based decision on long
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range forecast not for of the moment reaction also allows the form to take action at
early stage of a new trend and consider the lead time for effective management
 Provide the clarity of objectives and direction for employees: In strategic
management the clarity of objectives and goals must be provided to the Employees
for task completion. Managers and leaders are liable to provide a better clarity of
goals and objectives to enhance more work flexibility of employee to generate better
positive outcomes effectively (Cosenz, and Noto, 2016). In perspective of Mark and
Spencer managers are the one who brief about a task as well as the project description
to employees which would help them to make their own planning to generate better
positive outcomes.
 Identify the opportunity: strategic management is necessary to identify
opportunities as every business needs strategic planning while to rectify the strengths
and weaknesses of each opportunity. Within every team and individual is having a
potential to need the tension in strategic two great more development in the
organization. Similarly for Marks and Spencer company they have to rectify the
opportunity while implementing the strategic management practices.
 Being action oriented: This rectify the opportunity employee must be action oriented
to complete the task objective. They need to be required resources where employee
can generate their actions to attain more opportunity and development within there
workforce development
A critical assessment of the process used by organisations to determine their strategy
Strategic management is the process means defining the organization strategy define
the process on which managers make their choice as per the situation and set the strategy for
the organization that will enable to achieve the better performance. Is also a constant process
that recognize the business requirement on which organization involves their competitors and
fixed goals that needed to be accomplished for future development. Similarly for Mark and
Spencer there was a strategic management process on which they stood nice and nature their
challenges and opportunity to obtain more business outcome effectively:
 Environment Scanning: In this process of scanning refers the collecting and
scrutinizing the proper providing information for strategic purpose. It also helps to
analysing the internal and external factors it helps the business to identify the
opportunities and challenges to evaluate for better improvisation. With the context of
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Mark and Spencer the managers and employee first scan the market and measure that
there is a required of implement of strategic management process or not. After
executing of environmental scanning measurements should evaluate it on a
continuous basis for further improvement.
 Strategic formulation: The strategy formulation is the process of deciding best
course of action and accomplishing the organizational objectives. It has the achieving
organizational purpose after conducting environmental scanning (Humenyuk, and et.
al., 2020). After conducting environmental scanning major formulate corporate
business and functional strategies.
 Strategy implementation: The implementation implies making the strategy work as
intended or putting the organizational issues strategy into action better manner basic.
The strategic implementation of designing of organization relation structure
developmentalism making process and also managing the human resources. In
situation of Mark and Spencer where tractor organization structure to attend all the
situation form mapping no situation of company e reduce the challenges.
 Strategic evaluation: It is the final step of strategic management process. Is also key
strategic evaluation activities are appraising internal and external factors that present
challenges and opportunities and what are the the process in which outcomes has been
generated to rectified. Perspective Mark and Spencer when they formulate and
implement a strategy after that the monitor and control all the project plans and
objectives to measure about the main agenda to meet their organizational objective
effectively
Evaluation:
On the above process of studying management is evaluate that how organisation can
implement and formulate a strategy to generate more positive outcomes. The reason to
implement the strategic objectives to mitigate the challenges and attain more competitive
advantages where it has to scrutinize better information and also improves the employee
performance to generate more productivity with an effective manner
A critical evaluation of the impact of internal and external environmental variation on
organisational strategy
Impact of internal and external factors which better determines challenges and
opportunities towards the business development. In strategic management, internal and
external factors create major roles in providing information regarding market trends and other
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issues. In the perspective of Marks and Spencer their team implement strategic planning to
bring some changes to generate better positive outcomes effective manner. Macro
environment of an organization is related to the external factors that influence the working or
decision-making of a company (Intrama, Uiyamatiti and Vadhanasindhu, 2019). Furthermore,
these elements have a viable impact on the firm's strategies either takes, or is willing to take.
Hence, below are certain prominent external environment factors, which are applied and
analyzed using PESTLE Analysis. To internal analysis by using VRIO framework for
measure the internal capabilities of Marks and Spencer.
VRIO Analysis: As per the analysis, while the firm stands effective towards its
innovation and product portfolio, it also must effectively enhance the scope of improvement
in its production capacity and vehicle safety (Reynolds and Yetton, 2015). However, apart
from this, the firm has several capabilities, for which, VRIO framework has been utilized,
which is an appropriate tool to analyze the capacity and capabilities of an organization.
Hence, this model is explained below:
RESOURC
ES
VALUABL
E RARE INIMITAB
LE
ORGANISAB
LE
COMPETITI
VE
ADVANTAG
E
Brand
Image Yes Yes No No
Temporary
Competitive
Advantage
Manufacturi
ng Capacity Yes Yes Yes No
Temporary
Competitive
Advantage
Innovation
Capabilities Yes Yes Yes No
Sustainable
Competitive
Advantage
Human
Resources Yes Yes Yes Yes
Potential
Competitive
Advantage
Evaluation:
Based on analysis, there are several appropriate resources which related to the
organisation. However, it is important to showcase which one of these is valuable, rare,
imitable and organized. In the perspective of Marks and Spencer, their internal capabilities
are quite stable and described below:
 Brand Image: This factor is one of the important element for every business. In the
perspective of Marks and Spencer, it is one leading premium retail business of the UK
and their brand image is valuable and rare, but they are not imitable and organized.
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Due to high competition in the market, Marks and Spencer's brand image fluctuates
by its competitors Burberry, Tesco, IKEA, Zara etc.
 Manufacturing and capacity: In this, Marks and spencer company would have
valuable, rare, imitable but not organized as because manufacturing process changes
as per the policies or situation aspect.
 Innovation and capability: Each innovation of the Marks and Spencer could be
prominently patented, enhancing the inimitableness within all the new features
introduced within the organization's products. Further, employees of M&S are skills,
talents, and competence cannot be imitated by employees of any other organization,
making them quite inimitable.
 Human resources: The workforce in Marks and Spencer is effectively trained, using
modern age technologies and essential training equipment. This enhances the scope of
organizing the employees of Tesla in working within the company and assisting them
in developing better products and services.
Pestle Analysis of Marks and Spencers:
 Political: This factor reflects the potential environment of the country, which
influences the strategies and tactics adopted by the company. In perspective of Marks
and Spencer is based of UK country. The political condition of UK is quite stable in
terms of foreign polices, taxation etc. this ensures the sustainability and growth of this
organization within this market (Ivanov, 2019). However, the current environment of
the nation is quite unstable due to the anticipated events of Brexit and hence, have
could be a threat for the organization as well. Such political instability could cause a
major disadvantage for the company to develop its designs in alignment of such
unstable laws and legislations
 Economical: According to this factor, it defines about the current economic
performance of the country by measuring their GDP, inflation and recession etc. In
perspective of Marks and Spencer company could face several challenges in context
of opting raw materials and other necessary resources on preferred prices. Thus, to
appropriately and effectively enhance the scope of sustainability, Tesla must fetch
effective ties with its suppliers in EU countries, which might help the firm in sustain
in such tough market conditions.
 Social: This factor determines the target market and people to demographic and
geographic factors for effective analysis. For Marks and Spencer company, , the
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social conditions within several markets, including UK are quite favorable for the
organization. The reason for the same is that lifestyle preferences and companies can
offer their product and services based on demographics and understand people's
culture, such as Age, Income, Gender, religion, etc.
 Technological: In this factor technological advancement and innovations are
effectively covered within these factors. The surrounding within the UK is quite
effective when it comes to advancement on technological fronts. In the perspective of
Marks and Spencer, Artificial intelligence and digital technology can encourage the
business to generate better productivity (Kleibrink, Gianelle and Doussineau, 2018).
However, with rapid advancements in this field, there is a high chance that the
technology used by the company becomes obsolete quickly, which gives a very short
life of its products in terms of sustainability in the market.
 Environment: On the basis of environment factor, it determines several regulations in
terms of the environment. Additionally, in this context of Marks and spencer, the firm
holds a very prominent image as the firm produces innovative home products, which
reduces fuel consumption to work. This is a prominent opportunity for the company
as it could adopt strategy concerning enhancing the benefits to the environment
through better innovation.
 Legal: This factor includes all the legal aspects, including the laws and regulations
that govern the organization's policies and procedures. Marks and Spencer must
follow the employment laws and regulation to maintain more positive sustainability. .
To ensure effectiveness in this, the firm must appropriately adhere to the legislations,
by effective testing procedures and appropriate product development process.
Evaluation:
From above, the use of Pestle and VRIO analysis utilised by Mark And Spencer to implement
better innovative strategic management. Pestle analysis helped to measure the positive factors
are Technological and Social for Marks and Spencer. As in the UK, there is a good scope of
advanced technology and a wide range of the population to target the people. VRIO analysis
provided the overall information that Marks and Spencer has high strength to generate more
competitiveness in the market effectively.
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A review of an organisation’s strategic plan (Business Plan), providing an action plan
for the organisation on the basis of a change.
Business plan is the refers formal written documents that comprise about strategies or tactics
to generate more competitive advantages. The company requires mission, vision and
objectives towards the new change implementation. In perspective of Marks and Spencer
they are brining their New Non leather jackets to promote in digital and social media
platform to interact with more client and attain more competitive advantages:
Mission and Vision Marks and Company:
The mark and Spencer raise the standard against which others to measured where the
mission states that to make aspirational quality accessible to all.
Objectives: The only aim to bring Non leather Jackets to promote ethical business practice to
generate positive outcomes.
Tactics: The company Marks and Spencer brings new idea of Non Leather Jacket \s in
market where they going to promote on digital platform and Social media marketing.
Swot Analysis of Marks and Spencer
Strength:
 They are one of leading premium based retail brand of top mind recall.
 Marks and Spencer is having 1000 above stores that present across within 40
countries.
 Through over 80,000 employees are working around the globe.
Weakness:
 Through strong competition from other retail brand means limited market share.
 Being a popular brand they need to protect their brand missue to fake imitation
Opportunities:
 M&S can better develop their own official website where they can promote their
product and services
 They can better introduce new market segments that offer new product profit.
Threats:
 There other small retail stores who can be threat for Marks and Spencer company.
Porter Five Forces:
Threats to Substitutes: For Mark and Spencer there is a low range of substitute as
because there is not having food and clothes.
Threat for new entrant: this is also having low threat of new entrant for Marks and
Spencer. Because M&S had already captured the market and they have their loyal customers
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Bargaining power of Buyers: there is high power of bargaining because Mark and
Spencer has their limited range of customers and also customers have many option to buy the
product from different range.
Bargaining Power of Suppliers: There is a low suppliers on which Marks and
Spencer has been listed huge capital with their goods on retail shelves in each large base.
Competitive Rivalry: There is high market competition rivalry for Mark and Spencer
where many companies like Tesco, Burberry, IKEA, Asda Stores etc.
Monitoring and Controlling:
As Marks and Spencer bringing their new Non leather Jacket product and services in
market where they are plan to promote digital m\platform and social media marketing to
generate more profitability effectively (Konovalova and et. al., 2018). To implement strategic
planning the company measure their market by implement Porter five forces and Swot
analysis these both model would help to provide internal and external capabilities.
Conclusion
From above report of Strategic Management is summarised about planning of
business as well as new strategic approaches creates better opportunities and challenges
effectively. To implement process of strategic management planning that would help to
rectified about new outcomes and mitigate the errors. At last, to build business plan that set
new benchmark and sustain for longer period of time to gain positive outcomes. to reflected
internal and external models Swot, porters five forces, pestle and to rectified opportunities
and threats.
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