Business Strategies – 3 Tasks – SWOT Analysis

Business Strategies – 3 Tasks – SWOT Analysis

TASK 1

1. Describe the organizational culture of EZ-Pleeze.

When ensuring adequate analysis of the EZ-Pleeze organizational culture, it is essential to have an understanding of what organizational culture is a key element in an organization. Organizational culture can be explained as the shared values, beliefs, and norms that are found to impact the feeling, thinking, and conduct of the organization’s members towards their performance in the business. EZ-Pleeze is presented as valuing its workers through the recognition of the fact that the employees make up the biggest asset of the business. The organization offers multiple benefits to the workers, which is a depiction that employees in the company are appreciated. As a result, the benefits channeled to employees significantly contribute to the improved performance as well as increased levels of productivity of the employees. Besides, EZ-Pleeze offers chances for the employees to undergo professional development and growth, which serves to foster the feeling of trust in the organization, especially from the workers. EZ-Pleeze has also demonstrated good corporate citizenship through active participation in volunteer and philanthropic activities. Through corporate social responsibility, the company earns a good reputation from the public and the society members. Besides, this forms a source of profitability increase as the community members are willing to support the operations of the business.

I believe EZ-Pleeze has a hierarchical structure where the information flow emanates from the top levels to the bottom level. The leadership style, however, is more of an autocracy. The innovation of the leadership gives the company the push to encounter the multiple difficulties they may face. Through this, the company has been in a position of adjusting from an economic slowdown through the diversification of the operations to meet the demands of the business. The use of new technology is also a key step that helps the business stay ahead (EZ-Pleeze Case Study).

A1. Discuss the appropriateness of the current mission statement for EZ-Pleeze.

An ideal mission statement covers certain key elements of an organization, including their production practice, the target customers, and their needs, as well as identifying and explain who the company is and how they ratify their customers. The mission statement for EZ-Pleeze has some of the above-identified elements. It spells out its products, including the provision of corn and potato products (EZ-Pleeze Case Study). Besides, the mission also states how they believe in investing in their employees. Nevertheless, the mission does not state how they will meet the customer’s demands, which will ensure that customers receive excellent services. Therefore, I believe the mission does not amount to a sound or valid mission statement.

A2.  Discuss the appropriateness of the current vision statement for EZ-Pleeze.

The vision statement of an organization declares its objectives and gives insights regarding the company’s future goals. Besides, the vision is helpful in inspiring the company members in attaining the vision. It also explains the ideal state of the company. EZ-Pleeze offers light about their future goal; it inspires their employees, and it is also easy to understand, especially by the employees of the business, about the future of the company. Nevertheless, the vision fails to ensure that it brings a sense of identity, and thus the company does not stand out in the market. Therefore, I believe the vision statement does not form an appropriate vision for the organization.

1. Describe the structure of the strategic team at EZ-Pleeze.

When making a strategic decision, the strategic team structure is the key to attain a sound decision. EZ-Pleeze has a functional structure strategic team that is made up of the Chief Executive officer (CEO) as well as five more executive leaders. These include the chief operations officer and chief financial officer. There are three directors in the executive, such as the director of manufacturing, marketing as well as research and development. All the leaders of the executive are key during the process of decision making.

All executive members have distinct roles in organizations based on their positions. The CEO head the company and reports to the board of directors, shareholders, and board chair. The CEO is dedicated to the future opportunities of the organization. The COO reports to the CEO of the organization and oversees the daily activities in the company to ensure that goas lar being met. The COO provides that strategies are formulated and executed and also assess the data received from manufacturing, marketing, and research and development departments to identify areas where efforts need improving to meet goals. The CFO of the organization is responsible for the financial activities and reports to the CEO.  The CFO will influence the process of decision making in the company by formulating and executing the organization’s strategies through the provision of a financial situation. The CFO may approve or decline to approve the expenditures of the company.

The director of marketing reports to the COO and influences the process of decision making through the identification of the target market to facilitate successful marketing strategy formulation and execution. The manufacturing director reports to the COO and is key in the decision making process through the execution of strategies that the executives line up regarding the goals of production. The director of research and development also reports to the COO and influences the process of decision making through the execution of the strategies developed by the executive leadership to establish innovative ways that make the organization attain a competitive edge. This involves identifying new concepts that improve production efficiency.

C1. Discuss internal influences on the strategic decision-making process at EZ-Pleeze.

Internal influences describe the factors that are within the company and which impact the process of decision making. They include equipment and supplies financing, labor costs, shared knowledge among workers, and availability of inventory. The leadership role and knowledge form an important aspect of strategic planning in the organization. The new CEO’s insights and vision could potentially transform the organization’s direction in the future. The integration of new technology and marketing costs resulted in a financial drain, compelling a transformation in the strategic thinking since the executive is forced to focus on the sustainability of the company. Nevertheless, failure to incorporate new technology and adopt a marketing approach would mean the organization lacked exposure to new markets. Financial budget adjustments were necessary to address their shortfalls experienced.

C2. Discuss external influences on the strategic decision-making process at EZ Pleeze.

The external influences include the factors that are outside the company affecting the process of decision making. These include the cost of raw materials, rivals with the industry as well as customer demands. The market was characterized without competitors, where the company initially struggled to break into the market. Reevaluation of the strategy adopted by the executive was done, and considerable changes made. The current trends where competitors exited the market and acquisitions implemented between the competitors meant an increase in demand from the customers. Therefore, Z-Pleeze should review their approach to establish what they needed to focus on to meet the customers’ demand. This would call for a budgeted adjustment to increase supplies and identify opportunities for the increasing workforce.

D1. Explain two advantages of the current strategic plan at EZ-Pleeze.

EZ-Pleeze makes use of a differentiation strategy or an integrated cost leadership that has witnessed the efficient production of products that bring in differentiated characteristics. Efficiency is essential in lowering the production costs and hence the cost of the products. In contrast, differentiation is used to broaden the organization’s customer base.

The are multiple advantages from the EZ-Pleeze’s strategic plan. Firsts, the company ensures that it focuses on the community where it performs research that allows them to establish the needs of their customers, such as healthy foods as well as food with great taste. The second advantage includes where the company focuses on making use of a diversified portfolio that includes corn and potato products (EZ-Pleeze Case Study). They also ensure that there is further diversification through the addition of product customization.

D2. Explain two disadvantages of the current strategic plan at EZ-Pleeze.

The companies face two risks of negatives in their operation. First, if the company decides to lower their prices as a market entry strategy, it will eventually mean extra cost on the advertising and marketing operations. This saw their financial resources very much stretched and were nearly filing bankruptcy. Second, the downturn in the industry, including demand and prices, also impacted the organization negatively, compelling EZ-PLeeze to cut down its workforce to provide that they were sustainable (EZ-Pleeze Case Study). Therefore, there is a need to review their objectives, which will ensure the budget is balanced towards attaining sustainability in the organization. Besides, all departments need to ensure that they focus on strategic decision making that will see the company improve on their performance in the market.

TASK 2

1. Include a SWOT analysis for the EZ-Pleeze company

SWOT ANALYSIS

1. 1. Discuss the importance of a SWOT analysis in the strategic planning process of EZ-Pleeze.

The primary aim of performing the SWOT analysis is the creation of a framework that reveals the EZ-Pleeze’s capability in dealing with their threats in the market as well as the ability of the business to tap the opportunity advantages in the market. The primary goal of the company is set establishing a competitive edge compared to its rivals in the industry. Consequently, the organization needs to initiate successful business strategies while at the same time making use of the benefits over its rivals and scaling down its negatives. A robust strategic growth plan linking the strengths of the internal business and the weaknesses to the external opportunities and threats is associated with the SWOT analysis. It is thus essential for EZ-Pleeze to ensure they attain a competitive edge over their competitors. The company can make use of their vast strengths to address their threats and weaknesses in the business. Therefore, EZ-Pleeze should ensure that they evaluate the external setting to identify and attempt using the new presenting opportunities to attain the competitors ‘ level. SWOT analysis is thus helpful in backing the strategic planning mechanisms of the organization.

2. Discuss internal strengths for EZ-Pleeze.

As it has been identified in the report of SWOT analysis for EZ-Pleeze, their strengths include creativity and innovation, service to their customers, technology adoption, and employment strength. Creativity and innovation form the underlying competencies between the distinct integral elements in the organization. The company adopts the creativity and innovation in its strategy of improving corn and potato products. They attain this through the promotion of new concepts for the betterment of the company. Nevertheless, the organization should ensure that they nurture a second key advantage while understanding that it makes the use of new technology within their activities. The company has been reported to have made tremendous investments in modern technology, which allows them to prepare corn and potato products. As a result, the business can launch a robust competition against its competitors in the market while at the same time, meeting the consumers’ demands. The company reports that they take a leading position in the US market especially in their research and development that is usually focused on genetic modification, nutrition as well as technologies that are associated with the processing of corn and potato products. Through the use of these approaches, EZ-Pleeze is able to generate good quality as well as healthy corn and potato products in the contemporary industry. The next strength of the business is that they strive to ensure customer satisfaction is attained. This is achieved by making contact with their customers as frequently as possible, which provides that they fulfill the requirements of their customers. In addition, the company also includes customer services in its mission statement, which serves as a reminder, especially to the employees of EZ-Pleeze that they need to emphasize on customer satisfaction. Asa result, the company remains focused on generating the significant best quality products.

Taking into consideration that EZ-Pleeze’s strength of an employee, the company perceives their employees as their most important asset in the business. As a result, the company ensures that their employees receive better health facilities that serve as enabling them to attain sufficient ability to deliver their best while performing their duties in the work setting. Besides, employees enjoy significant freedom provided in the organization that allows them to bring in their creative and innovative ideas into their production activities. Allowing employees to exercise their freedom makes them feel part of the organizations they are involved in key activities that impact the performance of the company. Consequently, EZ-Pleeze’s strengths give them an opportunity of gaining a competitive edge to win the market. Therefore, the organization needs to provide considerable importance to their strengths if they want to gain competitive advantages.

3. Discuss internal weaknesses for EZ-Pleeze.

The business experiences numerous weaknesses in the industry it operates. The factors as a result of the competitors pose challenges for the organization to achieve their objectives and goals. One of the factors that the company faces is the increased costs of labor in the market. The corn and potato products industry requires a high labor scale as there is the impossibility of moderating the corn and potato product cost. Due to the increased costs of labor, it is a demonstration that there is a need to cater to the labor force, and this is often passed on to the client. The prices of the products are set high, which allows the organization to effectively manage their labor costs. This translates to expensive products, which becomes a primary concern for the company. In most cases, customers will look for affordable and quality products in the market, particularly in the event there are numerous options in the market. It is evident that there exist other competitors of EZ-Pleeze in the industry that offer their customers similar products such as corn and potato as processed food. In the event, the customers understand that EZ-Pleeze prices their products higher than their competitors; they immediately would shift to the low prices from other companies. This is especially the case with the price-sensitive customers who may not be much concerned with the quality of the products they buy. EZ-Pleeze also faces the challenge of financial instability, which is attributable to increased costs of advertisements as well as marketing costs. The company has also incurred financial strain following the adoption of the new technology in production. All the identified elements contribute to financial stretch in the company, which can potentially drive to lay off their workforce to at least address their financial issues. The weakness of a company tends to scare away customers and investors. If this happens, the earnings of the company are severely affected and would lead to a bankruptcy situation.

4. Discuss external opportunities for EZ-Pleeze.

In line with the external setting of EZ-Pleeze, the company has several external elements that they can make use of to attain their competitive advantage. One of the opportunities that the organization can seek to exploit is competitors. EZ-Pleeze can utilize the chance created by the exiting companies to serve the customers that the firms previously served. Due to the escalated customer base, the company will realize increased sales, which would translate to increased profitability for the business. The next opportunity in the market is ensuring that they practice product differentiation. This is attained through the use of technological advancement to drive innovative operations in their production and provision of services. This helps in product differentiation based on quality compared to what their rivals offer to the market. This opportunity is especially for customers who are health sensitive corn and potato products. Through the exploitation of the yet to be flooded market, the organization is in a position of yielding substantial returns. For the business to reap higher profits, they need to embrace the provision of better prices.

5. Discuss external threats for EZ-Pleeze.

The external factors of the organization impact negatively the efforts to attaining their objectives and goals. These threats include government laws and regulations, competition levels, technological changes, as well as changes in the preferences of customers. When embracing the new ways of production in the organization, it attracts vast expenses based on the training of employees to attain the relevant skills to apply the new technology in production. The transforming laws and regulations of the government are also the risk aspect of the company. These include labor laws, safety laws, and taxes imposed by the administration. To ensure that the company acts in line with set laws and regulations, they need to adjusts their strategies to fit the prevailing regulations. This is an expensive process for EZ-Pleeze, and it can amount to significant loss while attempting to conform to the regulations.

EZ-Pleeze also faces the threat of competition in the industry from rivals. Intense competition leads to the company adopting a low price strategy to win the customers, although it would mean slow returns or even losses. The next factor is the change of customer preferences that can adversely affect their products if the change does not act in their favor. Generally, the company faces several threats that it needs to address to see their success in the business.

6. Describe three recommendations for strategic action at EZ-Pleeze (based on the completed SWOT analysis) and justify your recommendations.

There are multiple recommendations that can be proposed to the EZ-Pleeze company. First, the company needs to create a technology working group that will serve as a guide to the organization’s staff. This will have the responsibility of attaining development based on the economy, especially for new issues of technology. It is not possible to avoid the technological advances in the industry, and hence there is the impossibility of conceiving the monitoring of the new developments through the use of the static strategic approach. If the company is to ensure their employees are well equipped with fundamental skills, they require the team that will facilitate tracking the changes in technology. As a result, they will engage in the quality production of the corn and potato products for their customers.

Second, the company should evaluate their SWOT, which can give the company a clear path to attaining a competitive edge in the market. This is especially from their opportunities and strengths that they can utilize to offset the threats and weaknesses in the company and outside the business. If the company utilizes their SWOT, they will be in a position to improve their returns and achieving more sales.

Third, EZ-Pleeze needs to ensure that they comply with both state and federal laws and regulations based on issues including storage, distribution, as well as processing and food safety standards. This also allows the company to be prepared for any future laws introduced in the industry. If the organization follows all the laws and regulations regarding production in the country, it will earn a good reputation from the public as customers will ultimately trust their products as being safe for consumption.

 TASK 3

Provide an executive summary (suggested length of 1–2 pages) for EZ-Pleeze senior executives that summarize the purpose of the strategic plan, the SWOT analysis, and the strategic recommendations.

EZ-Pleeze is presented as valuing its workers through the recognition of the fact that the employees make up the biggest asset of the business. EZ-Pleeze has also demonstrated good corporate citizenship through active participation in volunteer and philanthropic activities. The innovation of the leadership gives the company the push to encounter the multiple difficulties they may face. Through this, the company has been in a position of adjusting from an economic slowdown through the diversification of the operations to meet the demands of the business.

The mission statement for EZ-Pleeze has some of the above-identified elements. It spells out its products, including the provision of corn and potato products. Besides, the mission also states how they believe in investing in their employees. EZ-Pleeze vision offers light about their future goal; it inspires their employees, and it is also easy to understand, especially by the employees of the business about the future of the company. EZ-Pleeze has a functional structure strategic team that is made up of the Chief Executive officer (CEO) as well as five more executive leaders. These include the chief operations officer and chief financial officer. There are three directors in the executive, such as the director of manufacturing, marketing as well as research and development (EZ-Pleeze Case Study). All the leaders of the executive are key during the process of decision making.

Internal influences describe the factors that are within the company and which impact the process of decision making. They include equipment and supplies financing, labor costs, shared knowledge among workers, and availability of inventory. The external influences include the factors that are outside the company affecting the process of decision making. These include the cost of raw materials, rivals with the industry as well as customer demands. EZ-Pleeze makes use of a differentiation strategy or an integrated cost leadership that has witnessed efficient production  of products that bring in differentiated characteristics

The are multiple advantages from the EZ-Pleeze’s strategic plan. Firsts, the company ensures that it focuses on the community where it performs research that allows them to establish the needs of their customers, such as healthy foods as well as food with great taste. The second advantage includes where the company focuses on making use of a diversified portfolio that includes corn and potato products. The companies face two risks of negatives in their operation. First, if the company decides to lower their prices as a market entry strategy, it will eventually mean extra cost on the advertising and marketing operations (EZ-Pleeze Case Study). Second, the downturn in the industry, including demand and prices, also impacted the organization negatively, compelling EZ-PLeeze to cut down their workforce to provide that they were sustainable.

As it has been identified in the report of SWOT analysis for EZ-Pleeze, their strengths include creativity and innovation, service to their customers, technology adoption, and employment strength. One of the factors that the company faces is the increased costs of labor in the market. The prices of the products are set high, which allows the organization to effectively manage their labor costs. EZ-Pleeze also faces the challenge of financial instability, which is attributable to increased costs of advertisements as well as marketing costs. One of the opportunities that the organization can seek to exploit is competitors. Due to the escalated customer base, the company will realize increased sales, which would translate to increased profitability for the business. The next opportunity in the market is ensuring that they practice product differentiation. The external factors of the organization impact negatively the efforts to attaining their objectives and goals. These threats include government laws and regulations, competition levels, technological changes, as well as changes in the preferences of customers.

There are multiple recommendations that can be proposed to the EZ-Pleeze company. First, the company needs to create a technology working group that will serve as a guide to the organization’s staff. Second, the company should evaluate their SWOT, which can give the company a clear path to attaining a competitive edge in the market. Third, EZ-Pleeze needs to ensure that they comply with both state and federal laws and regulations based on issues including storage, distribution, as well as processing and food safety standards.

References

EZ-Pleeze Case Study. (n.d).  EZ-Pleeze Food Company. Company and Industry Profile