Assessment 2: Woolworths Stakeholder Analysis and Business Strategy

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BUSINESS ENVIRONMENT
ASSESSMENT 2
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Executive summary
In the report analyses the business stakeholder’s techniques for increasing the interest of
employees towards their work and able to achieve the goals and objectives of Woolworths. In
this assessment analyses the internal and external stakeholders of Woolworths for operating the
business as well as increasing the communication with relevant stakeholders has been done. In
this assessment examine the organisation work and identifying the functional areas of business
that helps it achieve the goals and objectives of the Woolworths.
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Contents
Executive summary.....................................................................................................................................2
Introduction.................................................................................................................................................4
Stakeholders............................................................................................................................................5
Internal and external stakeholders...........................................................................................................7
Stakeholder matrix...................................................................................................................................9
Discuss chosen stakeholders and industries in the context of relevant theories and frameworks...........11
Compare two industries with each other................................................................................................13
Conclusion.................................................................................................................................................14
References.................................................................................................................................................15
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Introduction
Woolworth is a renowned company, which are deals in grocery product and services. Woolworth
was established in July 1879 in Lancaster and it is successfully American and international retail
company. Woolworth has to develop its mechanism for direct purchasing, sales and customers
practices in the market. It provides proper product and services to their customers in the market.
Woolworth has the largest retail chain in the market as well as there are lots of competitors in the
market. In this assessment, Woolworth has to analyses the function areas of this business as well
as identifying their stakeholders. The main aim of the Woolworth provides proper satisfaction to
their stakeholders and maintains the relationship with them. In this report analyses the internal
and external stakeholders for systematically operating the business in the market and engage
with the relevant stakeholders for increasing the business reputation in the market. In this report
mainly discuss the stakeholder's roles, influence, and matrix for understanding the stakeholders.
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Stakeholders
In the business, stakeholders may be individual, group and the organisation which is directly
impacting the business of Woolworth in the market. Stakeholders have big hands to success the
Woolworth business as well as sponsoring the Woolworth business for achieving the goals and
objectives in the market. Stakeholders are the person who has an attractive personality for
managing the others and internal and external activities in the business for understanding the
main goals and objectives of the business in the market. Stakeholders increase their attention
towards their work for maximising the demand of business in the market (Malgas et. al, 2017).
PESTEL analysis
Political factor:- Woolworth is the successfully retailing company which provides an attractive
design of their product and services to attract the customers towards their services in the market.
Woolworth has benefits in export and imports the business because the Australia government has
coordination and cooperation with retailing business in the market. Along with Woolworth has
main participation with their customers and maintains the relationship with them for increasing
the demand in the market. In Australia has political stability so Woolworth provides quality
services to their customer at a low price as well as Woolworth increasing the interaction with
customers for understanding the needs and wants of customers (Getkate, 2017).
Economical factor: - The government of Australia has to increase their several policies in the
market as well as increasing the taxation and economic fluctuation which is direct affects the
business. After increasing these policies Woolworths has skills and abilities to increase their
demand for the product and services of Woolworth for achieving the goals and objectives in the
market. After implementing these policies in Australia so demand management of Woolworths
understanding the customer’s roles as well as needs and wants for provides the proper
satisfaction to their customers in the market.
Social factor: -It is essential for Woolworth to understanding the social factor of Australia.
Woolworth provides the different product from the market it firstly understands the customers
taste, beliefs, tradition, and preferences from the product and Woolworth are eligible for provides
the product according to their customer's needs and demands in the market. Woolworth has skills
and abilities to provide an effective product to their customers for increasing the demands of
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retailing products in the markets. According to the customers’ demands and generation
Woolworth manage their product development management to developing the new product that
increases the demands in the market. Woolworth uses different technology in product
development for attracting the customers towards their effective product and services in the
markets.
Technological factors: - Technology is essential for Woolworth for managing their functional
areas. Advances technology helped in managing the Supply chain management for providing
relevant information from suppliers and made a different product. This process is increasing the
supplying chain from suppliers to manufactures then wholesaler to retailer and from retailer to
customers. Technology factors providing the quality product and services to their customers in
the market as well as fulfil the needs and wants of customers as well as increasing the working
efficiency in the Woolworths.
Environmental factors: - It is essential for Woolworths to analysing the environmental factor
for reducing the use of water and reuse the products. This factor helps to improve the workplace
of Woolworths (Naidoo and Gasparatos, 2018).
Legal factor: - According to the government of Australia Woolworth has essential to maintain
their records in the workplace. In Australian companies has essential uses the government
policies in the workplace.
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Internal and external stakeholders
Woolworth identifies the internal and external stakeholders for operating the work and work plan
for achieving the goals and objectives of the Woolworths in the market.
Internal stakeholders: - Internal stakeholders are main and important for managing the
operations of the Woolworths. Internal stakeholders may be individuals and groups within a
business that are owners, management and employees who provide their services in the
Woolworth for achieving the goals and objectives in the market. It shows their interest in
managing the operation of internal activities of Woolworths for providing the proper satisfaction
to their customers and increasing the demands of product and services in the market. These
stakeholders help to the Woolworth for thrashing the other competitors as well as achieving the
goals and objectives of Woolworths in the market (Rambe and Mangara, 2016).
Roles of internal stakeholders
Employees: - In the Woolworths employees plays an important role in the workplace.
Employees use their skills and abilities to provide a better service to their customers. Woolworth
provides the proper training and development to their employees to immediately solve the issues
and problems of the customers which are related to product and services in the market.
Management: - It is essential for Woolworth for managing human resource management for
provides the proper training and development of workers and employees for quality work in the
workplace. Human resources management of Woolworth has skills and abilities to manage their
work as well as providing the work according to the capabilities of employees in the workplace.
Owners: - Owners has the responsibility for analysing the internal and external factor of
business. Owners have to increase the profitability in the business as well as operating the
management activities in the Woolworths. It helps in adopting the innovating technology which
provides quality work and efficiency work in Woolworths.
External stakeholders: - The external stakeholders are also important for the Woolworth, it
helps to invest the money and participating in the Woolworths business that helps to achieve the
goals and objective of the Woolworth. External stakeholder helps in increasing the demand for
product and services in the market. In the Woolworths have different external stakeholders who
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are suppliers, customers, shareholders, creditors, government and society which helps to increase
the services in the Woolworths and able to achieve the goals and objectives of Woolworth in the
market. In Woolworth have needs of external stakeholders for supporting in financial terms and
investing the money into the Woolworths business (Bosiu et. al, 2017).
Roles of external stakeholders
Supplier: - Suppliers is the essential stakeholders of Woolworths for providing the raw material
and maintain the supplying chain in the market.
Customers: - Customers can more take an interest in the product and services of Woolworths for
achieving the target in the markets.
Government: - Government plays an important role in the external stakeholders of Woolworth
in maintaining their government policies in the retailing market. It helps to the Woolworth for
achieving their goals and objective in the market.
Shareholders: - Shareholders helps to increase the financial condition of Woolworths and able
to more investing the business is outside the boundaries.
Creditors:- Creditors provides the monetary term to Woolworths for managing their activities in
the workplace and provides effective product and services to their customers.
Society: - In the Australia society accept the product and services of Woolworths and helps to
increase the growth of the Woolworths.
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Stakeholder matrix
Stakeholders Key interest/ action Important of strategy Participation
Owners Goals and objectives Overview and helps to
achieve
High participation
Manager/
management
Proper implementing
the strategy
Supervision the work
planning and process
High participation
Employees Quality work with
efficiency
Helps to increase the
skills and abilities.
Moderate
Stakeholder matrix helps in understanding the working process and effective planning of strategy
for easily achieving the goals and objectives of Woolworths. In Woolworth use the different
matrix for determining the effective ways of their goals and objectives as well as it is necessary
to do the action plans in the Woolworths towards their targets in the market. There are three
stakeholder matrixes which are used in Woolworth (Maponya et. al, 2016).
 Power interest matrix:- This matrix helps in identify the abilities of stakeholders
towards their work and evaluates the power of stakeholders for achieving the goals
and objectives of Woolworths.
 Stakeholder analysis matrix: - This matrix helps to analysis the engagement plans for
expanding the Woolworths business. Stakeholder analysis matrix helps in to manage
the activities in the workplace of Woolworth for achieving the goals and objectives in
the market.
 Stakeholder Engagement Assessment matrix: - This matrix helps in to implement the
new plans in activities for achieving the target in the market. It helps to increase the
working capacity of employees and provides efficiency work in the market.
It is essential for Woolworths to uses effective communication in internal and external factor for
proper work in the workplace. Effective communication helps to the manager for creates the
more in the market and provides effective planning in the Woolworth for understanding the
demand and capacity of customers who make able to their employees for easily fulfils the
demands of customers in the market. Effective communication is important for the manager to
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interact with the internal and external stakeholder of Woolworth. Proper uses of effective
communication help to easily implementing the strategy in the Woolworths to providing proper
satisfaction to their customer and society (Balmer, 2017).
Effective communication helps in to manage the activities and operation in the workplace of
Woolworths. Effective communication managing the employees work for effective work in an
efficient time in the Woolworths as well as this Woolworth has managed the effective supply
chain management for attracting the customers towards their product and services in the market.
Effective communication helps the manager for convincing the customers towards their product
and services in the market as well as managing the operational activities in the workplace of
Woolworths.
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Discuss chosen stakeholders and industries in the context of relevant theories and
frameworks
SWOT analysis
Strength: -Woolworths has strength positively that employees are capable of doing effective
work in efficient time. Woolworths perfectly uses the employee’s skills and abilities for effective
work which helps to achieve the goals and objectives of the Woolworths. Employees have
abilities to understanding the effective strategy for effective work which provides proper
satisfaction to their customers in the market (Acheampong, 2017). In the Woolworths,
management has abilities to manage the activities and delegating the work according to the
capabilities of the employees and workers in the Woolworths. Effective human resource
management managing the Woolworths policies for the benefit of their employees and work as
well as it is easily motivating their employees and workers towards their effective work.
Management and employees make proper coordination for reducing the conflicts and achieving
the goals and objectives in the market.
Weakness: - In Woolworths has the biggest weakness of their stakeholders that top-level
management and lower level management has a communication gap and relation gap which is
directly impacting the Woolworths business. In the market, external stakeholders are increasing
in the Woolworth so they are maximising their product and services prices in the market. If they
are maximising the product and services prices which reducing the customer's satisfaction in the
market.
Opportunities: - In the Woolworths owner and management maintain their stabilities in their
internal policies that they have opportunities to increases the growth of the Woolworths in the
market. Stability in internal policies increases the fundraising capital of the business which helps
to achieve the goals and objectives in the market as well as helps to expand their business
worldwide.
Threats: - In Woolworths increasing their product and services prices in the market so they are
reducing the customer’s satisfaction in the market and losses their relationship with customers. In
Australia, if there is no stability of government which is directly affects the Woolworth business
because different government policies are increasing the inflation in the market if inflation can
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increase in the market so Woolworth loses their suppliers in the market which directly affects the
profitability of Woolworths.
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