Strategic objectives 17 p a g e 2 for each strategic

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Strategic Objectives: 17 | P a g e
2. For each strategic objective, develop and describe strategies that you think could be used to meet the objective in the future. For the strategies described, you need to:
Strategy Priorit y Timetabl e KPI Person responsibl e Risk management Add more rows if needed When you have completed your draft strategic plan, you met with the CEO of your organisation to discuss your plan. They gained endorsement from the Board for the plan, and returned it to you with any required amendments. After you have received the endorsed plan from the Board: 1. Develop briefing materials (dot-point descriptors) for the identified responsible parties, outlining the requirements of their role in achieving the relevant strategy. 2. Develop a cover statement/letter to be sent out with the strategic plan that includes: a. a brief overview of key objectives b. a description of the research and process used to develop the plan. 18 | P a g e
Part D – Case study: Reviewing Implementation Objective 1 – To sell and service MacVille espresso coffee machines in every state of Australia in the next five years. All states have a MacVille machine, apart from the Northern Territory where it took some time to get an agent, and an experienced espresso machine repairer has not yet been found to take on the job due to the attractiveness of mining industry pay rates. Strategy (a) – Sign, action and establish the strategic alliance agreement with Java Estate. 19 | P a g e
KPI (plan) – 200 machines installed p.a. KPI (actual) – Agreement signed within the time limit and actioned, but only 180 machines installed in the past 12 months. There was a slower uptake in Northern Territory and North Queensland, due to the tourist slump with the strong Australian dollar. Strategy (b) – Establish a MacVille Melbourne warehouse. KPI (plan) – MacVille opens in Melbourne within two years after Sydney opens for business. KPI (actual) – Melbourne warehouse is still not open. It is currently being run on the more expensive agency model. Strategy (c) – Set up agents in other states and outsource maintenance contracts. KPI (plan) – Agent agreements and outsource maintenance contracts for South Australia, Western Australia, Northern Territory, Tasmania, ACT. KPI (actual): – Still no service contractor for Northern Territory. All others met the deadline, although agents in Western Australia, Tasmania and Northern Territory were very expensive. Objective 2: – To increase profit margins by 5% from our 2010 benchmark in the next five years. After two years, profit margins have improved by 2%. Some agent contracts and outsourcing contracts are very expensive. Strategy (d) – Instigate bulk buying negotiations to reduce supplier price. KPI (Plan) – 100% of purchase by the container load. KPI (Actual) – 100%. Volumes have increased to the point that all orders fill a container. KPI achieved in quicker time due to the initial increase in demand.

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