Strategy Formulation & Business Decision Of Business Plan

1. Strategic objectives

Discuss about the Strategy Formulation & Business Decision of Business Plan .

The strategic objectives of the Cambridge collage focuses on the establishment of the high quality education for the students of the Kosovo with the creation of affordable prices. The objectives also determine the strengthening of the services as it becomes the engine for development of the company Cambridge collage. The most important objective of this company is to identify the core competencies of the English Literature and the German Literature. It also helps in the identification of the process thereby it also helps in the differentiating the customers in order to understand the categories of the customers (Fung, n.d.). The implementation of the objectives is also very much crucial for emphasizing results and thereby the company Cambridge collage can be able to differentiate the business with the provision of the clear and the viable alternatives. It also helps in the creation of relationship with the establishment of the relationship oriented business which provides the value to understand the long-term relationship.

The second strategic objective is to provide unique value proposition to the clients with the creation of the international channels. The identification of the channels also helps in the establishment of the customer segments with providing the different forms of the marketing (Galliers and Leidner, 2003).

Growth and the generic strategies help in the creation of the competitive advantage with the enhancement of the sustaining superior performance. It generally defines the Porter’s strategies with the creation of the categories that are the cost leadership, differentiation, cost focus and the differentiation focus. The first two cost leadership and the differentiation helps in the creation of unique desirable products and the services with offering the specialized services to the customers in order to capture the market (Gramlich, 2007).  The terms cost focus and the differentiation focus identifies the interpreted meaning in the creation of differentiation. It generally emphasizes the cost-minimization and the interpretation of the strategic differentiation on the focused market.

The cost leadership strategies help in identifying the gain and the competitive advantages in order to develop the edge and thereby the sales of the process help in the creation of the cost leadership strategies. The increment of the profits helps in reduction of the costs with charging the average prices.  The increment of the market share also helps in lowering the prices with making reasonable profits. The cost leadership helps in minimizing the profits with the cost and thereby delivering products and services appropriately (Kapferer, 2012). The cost leadership strategy involves the leaders in the terms of the cost and henceforth the lowest cost producers undercut the prices.

2. Growth and generic strategies, means of implementation

The differentiation strategy helps in the involvement of the product with creation of attractiveness for the competitors. The exact nature of the products and the services depends on the features, functionality, durability, support and the image created by customer value. In order to create success differentiation strategy, appropriate research, development and the innovation are requisite for delivering high quality products and services (Kendrick, 2010). The focus strategy also helps in the creation of concentration on the particular product that the company consists of. It enables to create attention on the unique needs of the customers with producing low cost with the creation of brand loyalty. This helps in the creation of the market segments less attractive for the enhancement of cost leadership qualities. The focus strategy also helps in the creation of the segment with focusing on the broader market for the creation of extra costs in order to make the market available for the increment of differentiation (Morrissey, 2016).          

The means of implementation implies the implementation of right generic strategies which underpins the enhancement of the strategic decisions. It provides the ways for the appropriate creation of decision for the implementation of generic strategies with the creation of warning against the decision with the implementation of the advices. These helps in the creation of focus on the people and thereby the requirement of the special approach helps in the creation of demands and thereby the approach seems to be high creative approach (Polo and Weber, 2010). The generic strategies help in the creation of the strengths and the competencies to face the market and thereby the organization seemed to be in the path of the development. The reduction and the appropriate management of the supplier power helps in the creation of the management of the buyer and the customer power. Henceforth it makes the organization in the creation of customer care with offering the unique features and henceforth the value helps in the involvement of the cost differentiation ways that benefits the organization Cambridge collage. It also helps in the appropriate creation of customer experience mapping for the organization Cambridge collage. Henceforth this strategy helps in the up liftmen of the organization Cambridge collage (Proctor, 2014).

The main aim of Cambridge College is to increase revenues and efficiency by developing its education quality and services. Teachers and other staff should be provided with appropriate training, knowledge and skills. The students should be provided with adequate facilities and education. The development of infrastructure and financial plans will also help to develop the college.      

3. Production/Operations - Explain how you intend to run your business.

Human resource is considered to be one of the major aspects in the business plan model. Human resource is considered to play vital role as it help to recruit or select the right candidate for the right job at the right time at the right place. The human resource is considered to be one of the major role player in the new business with core competencies which include providing service related to the educational sector. Recruiting right professor with high skilled expertise will uplift the morale of the new business and provide positive enthusiasm for the company to get the institute at the top (Neil, 2012). Human resource in the educational sector is considered to be playing a major role in the overall administration. Administration is considered to be playing a major role in determining and analyzing the company overall perspective related to analyzing and determining the key role in overall management of the work procedure and analysis.

Understanding HR

Human Resource is about overseeing representatives and their prosperity. Making arrangements for HR hence requires that team or personnel, as the little entrepreneur, match representatives with the occupation capacities that best meet their aptitudes and interests. As your business develops and transforms, you will find that you will need a supply of worker hopefuls lined up to fill essential positions in the association (Mamoria and Gankar, 2009). Effective associations can oversee HR as a feature of the business' general methodology arrangement. At the end of the day, you can enroll representatives that help you meet the business' objectives.

Determining Demand

An imperative piece of getting ready for HR is anticipating request. This arrives in various structures: to begin with, it will need to have some thought of where the business is going with its deals and income. Do you hope to offer 25 percent more this coming quarter than last. Provided that this is true, you will likely need to go up against new staff to take care of this demand. The fact of the matter is that the monetary accomplishment of your business is personally fixing to its HR arranging (Liao, 2009). In the event that you don't have enough representatives, you can't take care of demand, and not taking care of demand means you dismiss generally upbeat clients.

Being Proactive

Each little entrepreneur wells to receive a straightforward mantra: "I am proactive!" While this may sound a bit excessively exclusive for you, the thought is basic: in the event that you keep a heads-up of what's happening in your business, you can all the more adequately make a pipeline of representatives prepared, willing and ready to help your association develop and meet its objectives (Joshi, Liao and Martocchio, 2011). Your eagerness will be infective. As your representatives see you amped up for the eventual fate of the business and about bringing crisp ability on-board, they too will get to be amped up for helping you meet the business' objectives, in this way expanding your money related primary concern.

4. Human resources

Discovering Balance

The way to compelling HR arranging is finding a harmony between successful workers and productive administration. All organizations rhythmic movement, you'll have minutes where business is blasting and workers will be to a great degree caught up with adapting to deals, client request, or advertising matters. At different times, it will discover the business is somewhat moderate and maybe workers aren't as occupied as they once were. Keen entrepreneurs can deal with this by keeping side-ventures for their representatives to take part in when the primary business is moderate. Approach workers for their info. Do they have thoughts for new items or administrations? The downtime in the business cycle is a flawless time for these new thoughts to be investigated. It keeps your representatives drew in and permits the business to in any case be gainful without relinquishing administration (Ivanovic and Collin, 2006).

On the basis of the HR and recruit managing by human resource manager helps to grow the company more and prosper effectively.

The risks that are analyzed helps in the summarization of the risks that are involved with the mapping. The risks are categorized into various types that are the financial, human resources, information technology, risks and the safety and the academic affairs. The involvement of these risks signifies various threats that an organization faces in the environment of the organization (Silva, 2015). These risks provide the barriers to the organization in the way of the enhancement and the development. The risks can also be categorized into the following that are the accounting, auditing matters, fraudulency, conflict of the interest, unsafe working conditions, data privacy and the confidentiality, environmental safety, public safety and the improper supplier with the malicious usage of the technology.

The risk assessment programs are created for the appropriate assessment of the problems and thereby the risks can be mitigated by the risk management with ensuring the participation program. The risk management also helps in the creation of safeguard assets with the preservation of the academic programs. The role of the risk management reducing the cost of mitigation of the risks with the association of the accidental losses and henceforth the financing of the losses are seemed to be expected with the appropriate mitigation of the risks with the liability of the claims and the litigations (The Applicability of Porter?s Generic Strategies in the Digital Age: Assumptions, Conjectures, and Suggestions, 2004) . The employment related injuries helps in the creation of the theft and the other causes helps in administering the employment programs and henceforth the analysis helps in the appropriate mitigation of the programs for the expectation of the future process for the organisation in a secure manner. The performance of the risk assessment and the analysis helps in the creation of the procedures with the ensuring the agreement for the claiming of the insurances (Silva, 2015). Thus the training programs also help in the creation of the programs and the procedures for the insurance programs.

Understanding HR

Financial projection helps to provide financial position of the company in the market. Financial projection help to determine the cash inflow and cash outflow and thus helps to determine and analyze the budget and other key financial facts and figure related to the overall growth of the company. Financial projection includes the income statement and balance sheet along with that cash flow statement of the company is also considered to determine the overall growth and key figure from the company overall success and growth in the new business model (Armstrong and Armstrong, 2009). Determining and formulating a new business model financial part plays a vital role. Financial projection helps to provide a clear and precise idea about the company key facts related to the financial aspect.

Financial indicator

Break even analysis

Break even analysis helps to calculate and examine the margin of safety of an organization on the basis of revenues and costs associated with the operations. It is used to determine the revenues of an organization. The breakeven analysis of Cambridge College shows monthly revenue, average percent variable cost and estimated monthly fixed cost. General assumptions have also been taken to calculate the breakeven analysis (Barrow, Barrow and Brown, 2012).       

The required start up funding is calculated of Cambridge College which shows assets, capital, liabilities and required cash amount.  It will help to determine and evaluate the amount of capital required for investment in the initial period of the college (Ciccone and Papaioannou, 2006).

Sales forecasting is considered as one of the most important marketing tool that helps to sales and developing sales plans on the basis of forecasting. It will help to avoid unforeseen flow of cash and managing financing and staff needs effectively. It will help to examine the profit ability as well as efficiency of an organization (Creating a business plan, 2007). The forecasting of sales is important for Cambridge college to track the revenues earned by the college.

Project profit and loss

The projection of profit or loss will help to determine and evaluate the profitability of an organization. The projection of profit or loss will help to determine the profitability of Cambridge College. The gross margin shows the difference between the cost of sold goods and revenues. The profit margin has been forecasted for each months and three years (Elliott and Elliott, 2008).

Gross margin

Determining Demand

Profit monthly

Profit Yearly

Gross margin monthly

Income statement

Income statement shows the expenses, revenues, profit or loss of a company. It helps to determine and evaluate the ability of a company to generate revenues and profitability for their stakeholders. The expenses, net profit, revenues and cost can be determined with the help of income statement. Net profit for three years has been determined and examined in order to evaluate the future development of Cambridge College. Income statement helps to determine the financial performance of an organization (Holton, 2012). 

Project cash flow

The cash flow projection will help to examine the inflow and outflow of cash for three years. It will help to project the flow of cash of Cambridge College for three years. The net cash flow has been shown in the cash flow statement. Cash flow statement helps to determine the financial performance of an organization (Kieso, Weygandt and Warfield, 2007). 

Balance sheet shows assets and liabilities of an organization. Balance sheet shows the financial position of Cambridge College. Assets, current assets, liabilities and current liabilities have been shown in the balance sheet for three years. It shows the financial position of the college (Spiceland, Sepe and Nelson, 2011).

Exit Strategies - Describe exit strategies for prospective investors.

The projection of financial plans indicates that the Cambridge College will be able to generate enough cash and profits in next three years to allow the exit of outside investors and shareholders. However, it is the choice of the founder to continue with the profitable operations of the organization till the Cambridge College is presented with viable offers for the acquisition (Pinson, 2008).

References

Armstrong, M. and Armstrong, M. (2009). Armstrong's handbook of human resource management practice. London: Kogan Page.

Armstrong, M. and Armstrong, M. (2011). Armstrong's handbook of strategic human resource management. London: Kogan Page.

Barrow, C., Barrow, P. and Brown, R. (2012). The business plan workbook. London: Kogan Page.

Ciccone, A. and Papaioannou, E. (2006). Adjustment to target capital, fiance and growth. London: Centre for Economic Policy Research.

Creating a business plan. (2007). Boston, Mass.: Harvard Business School Pub.

Elliott, B. and Elliott, J. (2008). Financial accounting and reporting. Harlow: Financial Times Prentice Hall.

Holton, R. (2012). Global finance. Abingdon, Oxon: Routledge.

Ivanovic, A. and Collin, P. (2006). Dictionary of human resources and personnel management. London: A & C Black.

Joshi, A., Liao, H. and Martocchio, J. (2011). Research in personnel and human resources management. Bingley, U.K.: Emerald.

Kieso, D., Weygandt, J. and Warfield, T. (2007).Intermediate accounting. Hoboken, NJ: Wiley.

Liao, H. (2009). Research in personnel and human resources management. Bingley: Emerald/Jai.

Mamoria, C. and Gankar, S. (2009). A textbook of human resource management. Mumbai [India]: Himalaya Pub. House.

Neil, G. (2012). HR. Reno, NV: Priorities Intact Pub.

Pinson, L. (2008). Anatomy of a business plan. Tustin, CA: Out of Your Mind and Into the Marketplace.

Spiceland, J., Sepe, J. and Nelson, M. (2011). Intermediate accounting. New York: McGraw-Hill Irwin.

Stittle, J. and Wearing, B. (2008). Financial accounting. Los Angeles: SAGE Publications.

Wolf, M. (2008). Fixing global finance. Baltimore, Md.: Johns Hopkins University Press.

Fung, H. (n.d.). The Relationships Among Porter Five Forces, Generic Strategies, Ansoff Growth Strategies & Strategy Methods in an IT Industry A Conceptual Paper. SSRN Electronic Journal.

Galliers, R. and Leidner, D. (2003). Strategic information management. Amsterdam: Elsevier/Butterworth-Heinemann.

Gramlich, E. (2007). Subprime mortgages. Washington, D.C.: Urban Institute Press.

Kapferer, J. (2012). The new strategic brand management. London: Kogan Page.

Kendrick, R. (2010). Cyber Risks for Business Professionals. Ely: IT Governance Pub.

Morrissey, C. (2016). Use of risk assessment tools for people with intellectual disability: The latest evidence. European Psychiatry, 33, p.S38.

Polo, E. and Weber, W. (2010). Competitive Generic Strategies Evolution and the Importance of Michael E. Porter. REGE, 17(1), pp.99-117.

Proctor, T. (2014). Strategic Marketing. Hoboken: Taylor and Francis.

Silva, E. (2015). Risk-Sharing Programs. Journal of the American College of Radiology, 12(3), p.220.

The Applicability of Porter?s Generic Strategies in the Digital Age: Assumptions, Conjectures, and Suggestions. (2004). Journal of Management, 30(5), pp.569-589.