EXECUTIVE MEETING OCT XXXXXXXXXX
PERFORMANCE SUMMARY - YEAR 10 TO 12
Management Team
Agenda
1. Operations Strategy
2. Human Resources and Culture
3. Marketing and Advertising
4. Financial
5. Key Initiatives for the Following Yea
Operations Strategy: Utilizing a focused differentiation strategy and reaching the best value for money. We are in the middle in terms of the number of models and SQ rating was pegged as mid-high end (cu
ently second highest at 7.5 stars vs top 7.7) vs. the saturated low cost market the competitors are fighting over.
· Use of above average styling investment for designs, TQM, and Six Sigma training, and manufacturing systems along with lean teams and incentivized only for acceptable pairs
· Maximising only the plant domestic market to eliminate cu
ency risk (did not work for Latin America) as well as Invested in Option B for North America and Asia Pacific plant as well as purchasing added facilities and equipment in Asia Pacific
Human Resources and Culture - We have established a core emphasis on CSR and investing heavily on almost all options excluding charitable contributions for now. Worker productivity has slightly decreased compared to previous years due to more employees being employed in the company, but improved working conditions are still being maintained. Supervisors have also increased so as our reject rates count as among the lowest in the industry (2.7% total) and our workers will have enough supervisory exposure.
Marketing
Cu
ently, we sit at having the most retailers ca
y our
and (retail superiority) as well as the strongest investor (double vs. competitor efforts) in terms of advertising expenditure, which is reflected in our best-in-industry image rating (cu
ently at 87 and projected at 90 in Year 13). Our two cele
ity endorsements have provided us with a solid consumer appeal with not much cost. To boost demand and maximise capacity for production, we will explore private label or reinvest in other demand driving activities while maintaining our market share.
Financial
Risk of Default and Debts to Asset Ratio continues to be at a good low level in spite of the intentional overstock on Year 12 and a 2-year 0 cash on hand due to overspend and underfinance. While we cu
ently have the highest net revenue in the industry (we are only second for net profit behind company L). ROE decreased from 29.6% to 29.0% due to increase in Fixed Assets and Liabilities which we plan to recoup on Year 13 following the readjustment of facility upgrades in lieu of Latin America. Opportunities arise in improving the operating profit margin and dividend payout is scheduled once we have been cleared of the existing overdrafts and reviewed the marketing expenses to see where else we can either cut costs or invest further into maintaining our retail superiority; payment is expected around Year 14-15.
Key Initiatives for the Following Yea
1. Price Change for both internet and retail segment following exchange rate impact per region and comparative to industry standards
2. Purchase of additional production machines for Asia Pacific
3. Shutting down of Latin America factory due to foreign exchange loss year-on-year to lower overall operational expenses overall
4. Re-open the Private Label as an optional revenue segment (Year 13) following capability to produce
1
2
Strategic Business Simulation
Performance summary -Executive Meeting
Items to consider in your Executive Performance Summary, note these are by way example you should tailor the report to the areas the highlight the performance of your company, both positively and where appropriate negatively. 1-2 pages maximum
· Summary of profit for the 3 years
2010
2011
2012
2013
revenue
XXXXXXXXXX,000,000
profit
XXXXXXXXXX,500,000
profit %
11%
· Consider market side - growth in revenue
· Highlight market share relate this to advertising spend, or some other parameter such as average pricing
· Strategy adopted – identify and determine the indicators of success of that strategy – commentary in relation to this
· Highlight the main initiatives employed in relation to operations infrastructure. comparative
· Consider Some comparative intelligence regarding y competitive position
· Identify possibly three to four key initiative to introduce in the next year.
Here is a sample of Questions that could be asked at executive meetings, Any number of questions can be asked depending upon the circumstances of your organisation however,
In addition to questions on the data you have provided
1. How has your company performed in relation to the industry
2. Explain the strategy that you employed in your company,. How successful were you in meeting the targets set in your strategy
3. What would you improve
4. What Part of your operations would you as managers change
5. What you do differently?
6. Have you identified any weaknesses inyour organisation
7. Do you believe you are working as a team?
8. What are the cost structures in your organisation
9. What compensation policies have you adopted for the employees and why were they adopted, What is the impact on the profitability
10. What are your pricing policies? Why did you adopt these? Are they the same in each region?
11. Is your strategy working? If not why not?
12.
Remember the executive meeting is design for you to demonstrate how effectively you and your business partner have managed your organisation