ECB College Unit 7 Business Strategy – BTECHND
Business strategy is a lifeline of any business and without which it is very difficult for the business to survive for long run. Every organisation requires an effective business strategy that will cover all the important aspect of the business (Bryson, 2011). The ECB College Business Strategy Assignment report will discuss about the case study EasyJet where there is a detailed discussion of the company’s detailed discussion and its unique business strategy. The report will discuss in detail about the case study as well as it will also discuss various concept of business strategy that includes understanding the strategy planning process and various aspect of it. Further it will discuss the method of formulating the new strategy which will also cover the stakeholder review. In the next section the report will discuss about the evaluation and selection of strategy with regards to the case study. Finally the ECB College Business strategy assignment report will discuss about the strategy implementation.
Task 1 : Strategic planning Process
Explain the context of EasyJet’s business strategy as well as the terminology used in their strategy formulation process.
- Mission statement of EasyJet: – The company is established as a cost effective organisation which sell cheap and affordable air flight tickets. To achieve cost effective business strategy the company adopted various strategies which help them to reduce the cost and provide cheap air tickets without affecting the profitability of the company (Bryson, 2011).
- Vision statement: – EasyJet is among those few companies which also introduced the facility of internet booking in April, 1988 (Bryson, 2011). Almost 90% of people book ticket online and EasyJet has become one of the biggest internet retailers in the world (Bryson, 2011).
- Objective of the company: – the main objective of the company is to provide a safe, easy and affordable airline to the customer (Jackson, 2011). The model adopted by the company is quite simple and hassle free and manages the cost very effectively (Johnson et al, 2011).
- Core competencies of the company: The Company has promoted the concept of no frills strategy (Jackson, 2011). According to this strategy, the company eliminates all those activities which contribute in the increasing the price of the service. EasyJet believed in eliminating all the luxuries like cosy sitting and no lunch policy (Bryson, 2011). To promote the no frills policy the company has also promoted ticketless travel. Under this strategy, the company send the detail of the ticket on the email (Jackson, 2011).
Outline the stages involved in strategic planning.
Strategic planning is very essential aspect of the business and it is continuous process which helps in improving the organisational performance (Jackson, 2011). Strategies help in achieving the goals set by the organisation and gives the direction to the management about how to go forward. The stages involved in strategic planning are discussed in detail as follows: –
- Preparation: the first stage is related to preparation and most crucial step in strategic process. In this step, the company should focus on developing effective vision and mission statement. The company should also analyse different situation which a company can face and should be prepared for it (Jackson, 2011). The foundation of developing manager the strategy takes place in this process.
- Planning the strategies: planning before executing the actual process is very important and to establish effective plan, the company have to make an extensive research on various issues like recognising the need in the market, analysing the strength and assets of the company and also allocating the resources for the organisation. A rough copy should be prepared and the copy should be sent to the people in the organisation for the feedback (Jackson, 2011). All type of feedback should be welcomed and the company should pay attention to the feedback and change the wherever it is required.
- Implementing the final strategies: this stage is very crucial stage where the plan has to take place in real. It is very essential to communicate the plan to the people so that they become clear about main motive of the plan and how it should be executed. After effectively communicating the process to the staff then the plan should be implemented. Implementation requires continuous supervision by the management so that it can take place effectively (Jackson, 2011). Supervision helps in improving the step at every stage. The continuous monitoring and reporting of the functions help the top management to understand all the loopholes and the management which are required in the organisation.
- Review and revise: this stage basically involves reviewing the complete process of strategic planning. The planning ensures that the plan is updated from time to time and it should be revised on fixed amount of time (Holmes, 2011). This stage helps in continuous progress of the company because all the steps are continuous reviewed.
Discuss the planning techniques used by EasyJet.
Following is the detailed discussion of planning techniques: –
- The planning techniques used by EasyJet are scenario planning under which the developing manager, instead of sitting and trying to forecast the future tries to reduce the current risks and uncertainties and plan everything as per the situation (Holmes,. 2011). The manager recognizes the important situations which have the potential to reap big profits and that can work under various conditions. The approach mainly focuses on the target group and plans all the strategies on the basis of the situation and market demand. Therefore, the approach focuses on the situations prevailing in present and planning all the activities as per the situation. The planning involved analysing the situation and then deciding the targeted customers.
- Trans active planning: – this planning was basically propounded by Friedman and the main focus of the approach is the target audience while setting goals and further planning and aiming various activities of management. The approach is demand driven. The basic philosophy which is involved in this planning process is the people in the decision making of the planning process. Therefore, knowledge and experiences play a crucial role in this type of planning.
- Advocacy planning: – the meaning of advocacy is directly related to the development and this is why, advocacy planning approach is reaction to an issue or a problem. This is type of planning has proved to be very successful which help in eliminating intensive activities or plans and promote activities which are challenging and are in public interest.Order Now