Final Business Plan
Executive Summary 3
Introduction 4
SWOT Analysis 6
Balanced Scorecard 9
Organizational Assessment 9
Mission 10
Vision Statement 10
Value Statement 10
Strategy and Tactics to realize Strategic Objectives 10
Marketing Strategy 11
Monitoring and Control 11
Ethical Issues including Legal and regulatory Issues 11
Corporate Social Responsibility 12
Conclusion 12
References 13
Executive Summary
The Eco Food Company was incorporated in the year 2012 as an entity to provide eco-friendly and high-quality food to the consumers. The sales were executed against the orders gathered. However, with the help of its talented and dedicated staff, the organization was able to attain its goals and objectives. However, as the demand for organic food increased across institutions there was a shortage of supply. The Eco-Food Company is proposing a new department to grow exponentially in the local and global market. The new division will leverage its competitive advantage of gathering from trusted sources and experience gained in the eco- friendly food industry. The sources will be expanded by including more and more local suppliers. This will be done by interacting with local farmers, conducting classes to impart the knowledge on the importance of organic food and the methods of organic farming. The locals will be included in this mission, of the company, to make the world a pest or poison-free food. The company will conduct constant SWOT Analysis to upkeep its standards and meet external competition and trends. There will be constant upkeep on quality standards by monitoring and controlling the processes. The new department will consider more than production and distribution of eco-food. It will be focused on maintaining the environment as well. The company will cultivate group cultures on the importance of organic farming, organic food production, and organic food consumption as well. The new division will also provide training and impart teachings of methods of cultivating on organic lands and up keeping of organic lands. This will ensure a long-term culture of organic farming and healthy eating. The company has added many producers and suppliers to its supply chain, over years. Such kind of initiative will make the company grow and prosper multifold times.
Introduction
Over the past decade, healthy lifestyle has become a part of consumers. Many efforts are taken by consumers to live healthily. However, the products consumed by customers (vegetables, eggs, chicken, meat, etc.) generally come after treatment of pesticides, insecticide, and preservatives, etc. This leaves a negative impact on the health of consumers. It doesn't matter if these products are consumed directly or indirectly. It leads to many critical diseases as well. there is a need to create a culture of organic eating. The Eco Food Company meets this objective by procuring and supplying organic food to customers. The supply of eco-food is limited in quantity as the yield is less than nonorganic crops. There is a limit on procuring eco foods. The company's purpose is to generate awareness among growers and farmers about the importance of organic farming. This will be achieved by creating the new department. It will ensure delicious and healthy food supply to the consumers. The products will not only be delivered to retailers but also institutions like hotels, restaurants, etc. It is well known and accepted fact that fast food is not healthy. It has a negative impact on lives and health of the consumers. Healthy food does not have any negative impact on the eating habits of consumers. Eco food will have a positive impact on lives of people. There is increased demand for eco food among consumers. Such a plan will tend to meet the growing demands of customers. It is believed that such a move will be well accepted among the customers and supply chain. It will not only improve the profitability of suppliers and distributors but it will be delivering the boon of good health to the end consumers. Over years to come, the company will expand its volume in terms of supply and customer base as well.
Conceptualization of New Product or Service
The new product and service proposed are an Eco food company. It will be eco-friendly food procurement and supply organization. The concern will not only provide its customers with healthy food but also spread awareness about the importance of eating healthy food. Since food items are perishable in nature, emphasis will be laid on the sustenance of the supply and industry. This will involve working closely with suppliers and farmers and influencing them to produce better yields. The firm will involve studying about various effective mechanisms of sustenance and organic agricultural growth. It will also spread the knowledge to neighboring farmers and groups. This will help in maintaining a healthy and chemical free food in the neighborhood. It will also promote the growth of local farmers, agriculturists, and consumers. There will be growth in awareness of healthy food which is free from chemicals and pests. The firm will also educate the consumers about various diet tips and recommendations. A combination of healthy organic food clubbed with advice on the diet will promote a healthy culture among localities. The proposed new division will enable enjoying healthy working relationship between supply chain partners. The operations and structure of business will be enhanced such that the firm is competent to meet the growing challenges. It can also lead to excellence in the performance of the organization. The new proposal will be a combination of nourishment with nature. The eco-food entity will not only fetch food from local suppliers but also emphasize on clean and chemical free food. As per the current trends, consumers are increasingly being aware of the benefits of organic and eco-food products, its benefits for health and impact on the environment. They are also aware of the negative impact of chemicals on food, individual's health and the environment. It is highly likely that local suppliers and consumer demand for eco-friendly products will make this idea a success. Also, the expertise and skills of existing human resources will support the proposal through their quality of knowledge and awareness about eco-friendly products. This will also promote efficient supply chain management. There will be an exchange of crucial information at various levels which will also support good governance. The idea will be more oriented towards the goal of procuring good food locally and supplying to customers worldwide.
SWOT Analysis
SWOT Analysis of proposed division will include analyzing the Strengths, weaknesses, opportunities, threats and trends . The strengths include the appreciation of eco-food from various sources, price advantage, the presence of organic food segment in many local stores, presence on the internet, increasing customer base, the legal basis for production, import and export and experience of staff in handling food products. There has been appreciation in sources of eco-food products which will ensure a stable supply of genuine products. Since the food is produced under strict conditions and provides health benefits it will conveniently meet price advantage. There is increased presence of organic food in many local stores. This will lead to increased distribution and sales. This is also applicable to online shops. The customer base for eco-foods is increasing on a constant basis with growing awareness among consumers. There is a stable legal basis for production, import, and export of organic food . This enables a clear flow of business and eliminates any ambiguity. The experience of existing staff in handling food products will add to support the new proposed project. It will not only avoid pitfalls but also promote following the robust path to growth. The existing strong financial and resources will act as a key pro to promote the proposed department. The organization follows a healthy culture, which will lead to easy adoption to the standards set by the new department. There exists a healthy working relationship among employees which will promote increased cooperation and success of the idea. The quality of human resources can also be upgraded by providing training and development plans.
The weaknesses comprise of low share of biological products, less awareness about organic food, the existence of imitations, lack of distinctive markets, lack of reputed brand names, complicated quality system control, limitation of supply to large hotels and insufficient subsidies. The eco-products industry is still in a development phase. The customers are not sufficiently aware of the benefits of eco-food. Many duplicates and imitations of eco-food exist in the market. There are no distinctive markets and distinctive brands for organic products. The system of quality control is very complex and involves many processes and steps. The production capacity is limited compared to giant demands by the hotel industry, which can act as a limitation for success . There also exists bureaucracy in supply chain management which can hinder the smooth functioning of the proposed new department. Poor change management practices can lead to the slow and ineffective adoption of the new proposal. There can also be a delay in the supply chain which can impact the effectiveness of new division. Low participation by employees can also act as a weakness. The lack of coordination at various levels of management could also lead to ineffectiveness of the new division.
The opportunities will include increased range of eco-friendly products, offering more organic products in retail outlets, expanding distribution channel, raising awareness and increased production. There can be the addition of more eco-friendly products like meat, eggs, cosmetics, etc. Increased supply can be made to retail channels like hotels. By expanding distribution channels, the proposed department can reach more customers. There is a scope of raising awareness and production of eco-products . he advanced methods and technologies can also be adopted for this purpose. It will lead to improved performance and profitability. The availability of ample training and development methods can lead to improved employee productivity. The core competencies of the business provide it with a robust position in the market. Process improvement could also lead to efficiencies within the industry.
The threats include ever-changing and dynamic business environment. The increased competition with independent agencies managing such task can act as a threat to the new business proposal. Global recession is impacting businesses worldwide and can also spell a cast on the proposed business. Any lack of innovation and creativity in the supply chain could act as a major barrier in the long run. Lack of sound leadership can be another threat for the new proposal. Any aversion of customers from this can also act as a crucial threat to the new proposal.
The trends include increasing urbanization which has led to more customers using internet, apps, and websites to make online purchases. The new department should be aware of this trend and adopt the use of technology to reach its customers. Customers are increasingly being aware of health facts and importance of healthy food. More emphasis is laid on consuming eco-friendly products. The new department can circulate notes and papers to develop the awareness further. The increased awareness about Genetically Modified Organisms (GMOs) or seed which impact the environment has increased. The newly formed department should also spread awareness about Genetically Modified Organisms and restrain its supply chain from using such products.
The proposed new division not only promotes healthy relationship among supply chain but also facilitates improved coordination across various departments of the organization. It will remain committed to constant improvement of the services and products of the company to attract high traffic of clients and win their loyalty. The move will contribute to establishing and maintaining a repeat business with tie agency, a situation that will increase its sales and gains. The company will be committed to identifying and working with reliable partners and suppliers to realize its goals.
Balanced Scorecard
Balance scorecard of proposed division will create a management system which can translate vision and strategy into actions. It will provide continuous feedback on internal and external business process. It will be aimed to improve the performance and results of the organization. It will not only analyze the financial results but will also consider other angles of corporate results .
Organizational Assessment
The strategic theme selected is eco-foods for health conscious customers. Eco Food Company is a dynamic sustenance organization which considers multi-faceted means for dealing with building neighborhood nourishment frameworks. It will likely make sound and economically developed neighborhood food reasonable, available, and helpful to those people group it provides its services. Its main goal is to build food frameworks and organizations that address our groups' most noteworthy sustenance challenges. The company not only sells the organic food but provides the clients with the healthy advice on their diet, the specialists could create a menu for each customer where only healthy and organic ingredients will be included.
Mission
The company’s mission is to enhance the accessibility of a different scope of high caliber food as well as to associate nearby food producers and agriculturists to culinary specialists, restaurateurs, sustenance associations and people in general. Furthermore, to bolster little family cultivates and advance a more advantageous society through instruction and thankfulness for nearby, new, economically raised produce and items. The company wants to raise awareness in the society about the healthy diet and menu that could be easily implemented with the use of goods that are sold in the company.
Vision Statement
The Eco Food Company is a center for circulating, advancing and instructing about neighborhood reasonably developed farming and providing the customers with the healthy diet. Value Statement
The Company’s Values comprise of instruction about quality sustenance and its source; farmers who deal with the area; conservation of economically cultivated area; an energetic flourishing group of neighborhood farms; utilization of privately developed nourishments; providing professional assistance on healthy diet and menu for maintaining a healthy lifestyle.
Strategies and Tactics to Realize Strategic Objectives
The strategies and tactics used to realize strategic objectives are increasing customer collaboration, educating the suppliers to provide quality eco-food to customers, training the staff about importance of quality eco-friendly food, spreading awareness about importance of organic food among customers, creating new customer base by providing uninterrupted supply, maintaining quality of products, sharing health and diet related advises to the customers.
Marketing Strategy
The marketing strategy to be used for the proposed unit will be internet marketing. The rapid proliferation of the internet is making the world more connected as companies in one part of the world can easily and efficiently advertise, communicate and sell their products to clients on the other side of the world. The ease of connecting and convergence has made it easy to consider the brick and clicks model. The focus can also be made in generating institutional sales (like hotels, restaurants, etc.) which will be of continuous nature.
Monitoring and Control Methods
Monitoring and controlling will involve the collection, recording and reporting the performance of the new proposed project. Critical Control Point (CCP) can be used to monitor and control eco-food products. It is the step at which control will be applied to prevent or eliminate food safety hazards and make food available to customers at an acceptable level. There will be planned sequence of measurements upon control levels to ensure the standards are under control .
Ethical Issues including Legal and Regulatory Issues
Ethical issues will involve the firm ensuring genuine eco-food products. The business should also ensure that the food products fetched from various suppliers are 100% eco-friendly. failing to do so can attract inspection from food safety department. this can result in defamation of the product or brand at large. The legal and regulatory measures should be strictly followed by employees. This can be done by training the employees with respect to legal and regulatory aspects of the eco-food industry. The quality too can be ensured by training the employees.
Corporate Social Responsibility
As a part of the Corporate Social responsibility, the firm can adopt localities and train the farmers to produce eco-food. This will not only ensure a stable supply of quality food but also ensures the firm meets its corporate social responsibility aspects. It will help the farms to be organic. It will also promote health among consumers. The locals can also be taught about the importance of organic food items. The delivery can be done by employing local suppliers. This will help in growing local economy as well.
Conclusion
It can be concluded that the new department plan will be well accepted by supply chain, retail customers, and institutional customers. Through this project, the environment will also be taken care of as it will reduce land pollution by avoiding harmful pesticides, etc. It will also cultivate the culture of growing and eating healthy, thereby saying goodbye to diseases.
References
Dennis Herhausen a, ∗. J. (2014). Integrating Bricks with Clicks: Retailer-Level and Channel- Level Outcomes of Online–Offline Channel Integration. Journal of Retailing , 1-17. Retrieved August 3, 2016, from https://www.alexandria.unisg.ch/236109/1/Integrating%20Bricks%20with%20Clicks.pdf
IŠORAITĖ, M. (2008). THE BALANCED SCORECARD METHOD: FROM THEORY TO PRACTICE . INTELLECTUAL ECONOMICS , 1 (3), 18-28. Retrieved August 3, 2016, from https://www.mruni.eu/upload/iblock/d42/Isoraite.pdf
IVANOVA-PENEVA, S. (2014). Swot analysis of organic market in Bulgaria. В R. G. U (Ред.), 4th ISOFAR Scientific Conference. (стр. 97-100). Istanbul: Organic World Congress. Retrieved August 3, 2016, from http://orgprints.org/24019/1/24019_MM.pdf
Kleinschmidt, K. (2010). Discovering the bayou:Successional restoration of Bayou Bienvenue. Manhattan: University of Kansas.
Safefood 360, I. (2013). Basic Microbiology for Quality Managers. Safefood 360º Whitepaper. Retrieved August 3, 2016, from http://safefood360.com/resources/Design-of-CCP- Monitoring-Programs.pdfK
