Business Plan for UK Staffing Agency: Market, Strategy, and Growth

This business plan outlines the formation and operation of a UK Staffing Agency, detailing the nature of the business, its unique selling proposition (USP), and its competitive advantages. It includes a comprehensive market analysis, identifying competitors and providing statistical data on the UK staffing industry. The plan applies McCarthy's 4Ps (Product, Price, Promotion, Place) to the agency's strategy, and explains the roles of employees, including managers, recruitment consultants, and coordinators. It also analyzes the advantages and disadvantages of zero-hour contracts and agency staff. Furthermore, the plan identifies the target market, customer cohorts, and future expansion strategies, such as networking and utilizing software to manage client resumes and skill sets.

BUSINESS PLAN

Table of Contents
MAIN BODY...................................................................................................................................1
PART 1............................................................................................................................................1
New Business Venture.....................................................................................................................1
Outlining nature of business and what product it provides.........................................................1
Stating USP and explaining why business would have a competitive edge...............................1
Business Type .................................................................................................................................1
Choosing business model of firm................................................................................................1
Research...........................................................................................................................................1
Identifying existing competitors and research of business.........................................................1
Illustrating UK and local statistical data regarding business......................................................2
PART 2............................................................................................................................................2
Apply McCarthy’s 4Ps.....................................................................................................................2
Employees/ staff...............................................................................................................................4
Explaining job roles assigned to the business employees...........................................................4
Explaining advantages & disadvantages of having Zero-hour contract workers and Agency
staff..............................................................................................................................................4
Customers/ clients............................................................................................................................5
Identifying customer target market and customer cohorts..........................................................5
PART 3............................................................................................................................................6
Future Plans.....................................................................................................................................6
Explaining how business could expand in the future..................................................................6
REFERENCES................................................................................................................................8

MAIN BODY
PART 1
New Business Venture
Outlining nature of business and what product it provides
The staffing agency is termed as the entity which has employees that could be hired out
for temporary work or permanent work. Staffing agency is required for filling out gaps in the
firms which requires employees for carrying out work on temporary basis. The business venture
will offer positions to workers by acting as a recruiter by hiring candidates for vacant positions
which then be directly hired by employers.
Stating USP and explaining why business would have a competitive edge
USP of UK Staffing Agency is to work with skilled and professional workers. The firm
will have a competitive advantage in the market as other businesses pays only cursory attention
for skilled employees which provides way for company in making position for non-permanent
and permanent basis (Shutt, 2017). The four divisions will be targeted by UK Staffing Agency
such as computers, event planners, graphic artists and writers.
Business Type
Choosing business model of firm
The business will be formed as company type. This business model is chosen as
operations can be handled in effective manner with more availability of resources. Thus, more
profits can be achieved.
Research
Identifying existing competitors and research of business
The existing rival business located in UK are Staff UK Bolton, At Your Service Event
Staffing Ltd, Morgan Hunt, Hays Belfast, Manpower UK Ltd and many other competitors. The
business of employment agency has been successful in UK which shows average 21 % year on
year growth in the business start-ups (Wallace and Webber, 2017). This shows that competition
is fierce in staffing industry and business needs to implement well-defined strategy for attaining
growth.
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Illustrating UK and local statistical data regarding business
The statistical data as generated by ONS (Office for National Statistics) UK shows that
there 39,232 staffing agencies are registered in UK, 2.67 million limited firms at the end of
March 2018. This indicates that 67 businesses are available per recruitment agency. From the
start of 2018, 3957 firms are registered (Wilson. 2018). It means that market is favourable for
UK Staffing Company in order to attain right candidates for injecting efficiency.
PART 2
Apply McCarthy’s 4Ps
Product-
UK Staffing Company is required to provide emphasis on providing services for business
indulged in various sectors. The skills are not within every employee and firms should not waste
time in getting right candidate. In order to fill the gap, UK Staffing Company will hire skilful
workers which will then provide desired skills for company in effective manner. In relation to
this, business will act as mediator in providing skilful workers to companies for increasing their
productivity. Thus, business will specialise in various industries and look for divisions namely
computers, event planners, graphic artists and writers which are needed for firms in getting
desired position in the best way possible.
Youth talents are needed to be acquired by the firms in range of industries. Skilful and
capable employees are short and time factor is a constraint for companies in order to hire
employees which can work for them to effectively achieving stated goals with ease. For easing-
off, UK Staffing Company will recruit skilful employees and then place them to organization in
accordance to their demands. Thus, better services will be imparted to them.
Price-
The UK Staffing Company is not business for making money in effective manner. But it
is a business that will focus on talent management (Johnson and Garvin, 2017). It is a platform
for various division of posts which can focus on providing relevant job profile to candidates and
also helping employers in getting right talents for achieving productivity with ease. For
generating client base, UK Staffing Company will apply penetrating pricing strategy which will
attract employers and employees for making them buy services at least possible cost. Corporate
Social Responsibility (CSR) will be provided in order to help clients get desired services.
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On the other hand, pricing strategies are penetrating pricing, cost-plus pricing, price
skimming which are highly used. Penetrating pricing is used for lowering prices in comparison
to competitors for getting desired customer base. Cost-plus pricing is applied by calculating costs
of services and adding mark-up on it and then quoting final price on it. While, price skimming is
used for setting higher price and to lower the same when market evolves at a rapid rate. Thus,
favourable one for UK Staffing Company will be to penetrating pricing strategy as it is a new
start-up which requires gaining attention from customers.
Promotion-
Promotion is one of the key aspect of business start-up so that it may be able to attract
customers with ease. It is needed that promotion should be done in order to provide knowledge
to clients regarding availability of services in effective manner. Promotion is necessary which
will be done through using social media in marketing of company's services quite effectually.
The social media platforms namely Facebook, Twitter and Instagram will be used so as to
promote company's offerings in a better way. By implementing this, employers will gain
knowledge about services of company and they will hire skilful talents as employees will also be
hired (Loizides and Schmidt, 2016). Thus, by promoting through social media channels,
employees will join firm which will then be placed to employers in need of skilful talents.
On the other hand, advertisements on TV, newspapers are also good ways for promoting
business. These resources will be utilized so that business could gather efficient staff and serve
the needs of recruiters in the best possible manner. Furthermore, social media will be used as it is
a cost-effective option for promotion with ease. Social media marketing will be relied on for the
main reason that posts made by business will be instantly sent to people and they will be
attracted to company in effective manner.
Place-
The place is another important measure in which company offer services to customers
quite effectively. Physical location is important and should be located in main city so that
majority of the people may attract to company in a better manner. It can be analysed that UK
Staffing Company will be located in London which is major city in England which then will be
beneficial for business in attaining efficiency and garner youth talents with ease. Firm will
develop rapport with employed and unemployed people in UK which then be bridged by offering
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personal growth programs and talent development programs. By accomplishing this, they will be
on eyes of employers and will get recruited resolving unemployment rate in the country.
The competitors identified in London are Staff Heroes, Bluefire Consulting, Salt and
Pepper Events, London Staff Bureau, Bumble Events and other rivalries which offer similar kind
of services. However, UK Staffing Agency will be a temporary staffing services in London. The
penetrating market strategy will be applied for attaining more customer base and outreaching
rivalries.
Employees/ staff
Explaining job roles assigned to the business employees
Role of Manager-
Manager has the main role of managing business operations in effective manner.
Moreover, to oversee functional activities in company. He is also responsible for managing
budgets in a better way (Edmondson, 2016). Dealing with internal affairs of company in order to
strengthen operations with ease.
Role of Recruitment Consultant-
The recruitment consultant will offer employer for identifying, selecting and recruiting
staff for their vacancies which help employment will help individuals find and gain appropriate
employment for accomplishing gain in effective manner. He is responsible for negotiating
contracts, headhunting, screening and drawing shortlists of workers for interviewing with client.
Role of Recruitment Coordinator-
The role of recruitment coordinator is to know needs of employers suiting their needs for
clients. He should have excellent communication skills and articulate things in a better manner
(Henderson, 2017). Advising employers as per their requirement, interviewing workers and
overlooking consultants and dealing with numerous enquiries related to recruitment.
Explaining advantages & disadvantages of having Zero-hour contract workers and Agency staff
Zero-hour contract is explained by UK government is that staff are on call for working
whenever employers' need them. Employers don't have need to provide work to employees and
they don't have to accomplish work when asked instead. The advantages and disadvantages from
employers' perspective are as follows-
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Advantages
 The main advantage of having zero-hour contract is flexibility which is achieved by
employers
 To deal with unforeseen events e.g. to manage sudden elevation in demand
 To have flexibility particularly when starting new business which is useful for UK
Staffing Agency.
Disadvantages
 No obligation for work and payment is made only for number of hours worked which
suits employers for managing work in higher demand
 It is cost-effective for employers as otherwise they have to pay agency fees and
commissions (Guide for Employers | What are the pros & cons of zero hours contracts?.
2018).
 Getting privilege for higher amount of work proves to be beneficial for employers as they
get higher productivity within stipulated time which seems to be opposed by employees.
Agency Staff
Advantages
 Working can be done from temporary basis and can convert in permanent job.
 Opportunity of learning new skills is done which helps employees to enhance career.
Disadvantages
 No contract based work as it is based on length of assignments and not favourable as job
security does not prevail.
 Lower pay for employees which could have been generated from permanent job.
Customers/ clients
Identifying customer target market and customer cohorts
The target market of UK Staffing Agency involves computers, writers, graphic artists and
event planners. For computer divisions, candidates will be hired for posts such as computer
application specialists, computer programmers, web specialists etc. On the other hand, writers
would involve multi-lingual, PR (Public Relations) and technical writers. For graphic artists,
target positions would be designer, production and web artists. Event planners would involve
fund raisers, large and small etc.
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Customer cohorts will be developed which would involve groups sharing similar
characteristics in effective manner. It can be analysed that UK Staffing Agency will be able to
target the customers and will attain skilful candidates and transfer the same to employers in need
of potential employees.
PART 3
Future Plans
Explaining how business could expand in the future
UK Staffing Agency will be able to attain proficiency in a better way. It can expand in
the future by following strategies listed below-
Networking with businesses-
Business could expand in the future by increasing its network with firm. For maximising
business, availability of slots for placement will need to ascertain. This is important as UK
Staffing Agency will be more visible for employers and will gain contact with them leading to
increase chances of filling gaps as per slot availability (How to Grow Your Recruiting Business.
2018). Business functions should be provided to company so that more network should be made
and as a result, business will be able to attain more companies who will receive skilful
employees from it.
Software for gaining contacts-
The resumes and skill set of clients help to provide skills set for filling the gap between
business positions in various industries where firm needs to expand quite effectively. Keeping
information of clients resumes within software package will seem to be fruitful. This will
provide company with firm and finding resumes matching skills set in the best way possible. It
is required that business should use software to track it and manage profiles of clients in effective
manner.
Implementing Referral system-
After implementation of business with software and strengthened network with
businesses, it is the time for applying referral system for employees and company which it places
with an agency. Referral system could be implemented either for offering discount and or even
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making payment effectively for referring new customers or clients who are placed by agency and
will increase client base in the best way possible.
Thus, by implementation of above strategies, UK Staffing Agency will be able to attain
its business objectives in a better manner as they would easily expand its current base in the
future. Hence, business seems to be viable and staffing services for temporary basis will be
offered to clients.
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REFERENCES
Books and Journals
Edmondson, D., 2016. Small Business Start-Up/Entrepreneurial Aid Plan.
Henderson, J. C., 2017. Enterprise Business System Effects on Workforce Staffing Levels:
Examining Organizational Learning and Knowledge Transfer within the Department of
Defense, Defense Logistics Agency (Doctoral dissertation, Northcentral University).
Johnson, J. E. and Garvin, W. S., 2017. Advanced practice nurses: Developing a business plan
for an independent ambulatory clinical practice. Nursing Economics.35(3). p.126.
Loizides, F. and Schmidt, B., 2016. Sustaining the growth of library scholarly
publishing. Positioning and Power in Academic Publishing: Players, Agents and Agendas.
p.42.
Shutt, J., 2017. New regional development agencies in England: wicked issues. In Regional
Development Agencies and Business Change (pp. 81-108). Routledge.
Wallace, M. and Webber, L., 2017. The disaster recovery handbook: A step-by-step plan to
ensure business continuity and protect vital operations, facilities, and assets. Amacom.
ONLINE
Wilson. 2018 Recruitment industry edges closer to 40,000-agency mark [Online] Available
Through: <https://www.recruitment-international.co.uk/blog/2018/05/recruitment-industry-
edges-closer-to-40000-agency-mark>
How to Grow Your Recruiting Business. 2018 [Online] Available
Through:<https://exelare.com/grow-recruiting-business/>
Guide for Employers | What are the pros & cons of zero hours contracts?. 2018 [Online]
Available Through:<https://elliswhittam.com/blog/pros-cons-zero-hour-contracts/>
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