An assignment on business strategy

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Executive Summary:

In 1984 two companies decided to merge their asset and forge a partnership they were

the Windshields and Autoglass with forging this merger they are now satisfying their

customers continuously with quality product and services.

This unique approach to business has led to their winning the heart of the customers

with ubiquity. The main ideal of business is profit making, but they did deviate from this

path to make quality and customer satisfaction their main point of focus which have led

to their success. The prime and core objective of this report is to analyze and interpret

the strategies adopted by Autoglass in their successful run to glory.

In this report we discuss different strategies and suggestions on the theories applied by

this company. The tactics that are adopted by the visionary Autoglass can be better

understood in this form and thereby turning into a effective learning source of business

strategies.

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Table of ContentsExecutive Summary:........................................................................................................1

Task 1:.............................................................................................................................3

1.1 EXPLAIN THE ROLE OF STRATEGY, MISSION, VISIONS, OBJECTIVE, GOALS AND CORE COMPETENCIES OF AUTOGLASS........................................................3

1.2 REVIEW THE VITAL ISSUES INVOLVED IN STRATEGIC PLANNING IN AUTOGLASS................................................................................................................4

1.3 EXPLAIN MINIMUM THREE PLANNING TECHNIQUE FOR AUTOGLASS..........6

Task 2.............................................................................................................................. 9

2.1 PRODUCE AN ORGANIZATIONAL AUDIT FOR AUTOGLASS............................9

2.2 CARRY OUT AN ENVIRONMENTAL AUDIT FOR AUTOGLASS USING AT LEAST TWO APPROACHES.....................................................................................10

2.3 EXPLAIN THE SIGNIFICANCE OF STAKEHOLDERS’ ANALYSIS IN RELATION TO AUTOGLASS........................................................................................................11

Task 3............................................................................................................................12

3.1 ANALYZE POSSIBLE ALTERNATIVES STRATEGIES RELATING TO SUBSTANTIVE GROWTH, LIMITED GROWTH AND RETRENCHMENT.................12

3.2 SELECT AN APPROPRIATE FUTURE STRATEGY FOR AUTOGLASS............15

Task 4............................................................................................................................17

4.1 COMPARE THE ROLES AND RESPONSIBILITIES FOR STRATEGY IMPLEMENTATION OF AUTOGLASS.......................................................................17

4.2 EVALUATE RESOURCE REQUIREMENTS TO IMPLEMENT A NEW STRATEGY FOR AUTOGLASS.................................................................................18

4.3 DISCUSS TARGETS AND TIMESCALES FOR ACHIEVEMENT FOR AUTOGLASS TO MONITOR A GIVEN STRATEGY..................................................18

Conclusion:....................................................................................................................19

References:....................................................................................................................20

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Task 1:

1.1 EXPLAIN THE ROLE OF STRATEGY, MISSION, VISIONS,

OBJECTIVE, GOALS AND CORE COMPETENCIES OF AUTOGLASS

Mission:The mission with whomAutoglass entered into the market is very simple and

professional (Arazy, O, &Gellatly, I., 2012).

Maximum satisfaction of consumers

Best quality product with quality service

Dream worthy objective on the road to success

Vision: The vision of a company is the sight they set for themselves and are always

trying hard to surpass the target and achieve something that is worth looking up to

(Arazy, O, &Gellatly, I., 2012).

Complete customer satisfaction

Potential organizational growth

Precise strategically support

Core Competencies: Autoglass says tell us the type or model of the glass we are there

to repair it for you (Autoglass Company). This has been and will be the core

competency of the organization for years gone and to come.

Strategic Intent: The strategic intent of Autoglass is to establish itself as a outcome of

the market foremost wholeheartedly. the notion of strategic intent suggests that there is

a general outlook on while the enterprise should to to be going rather than a

unquestionable affirmation of aide in Nursing foretold deduction and this proposes that

there should to be galore of flexibility central the affirmation to permit for employees

start, cluster facilitate and adaptation in light-weight of changed attenuating elements.

They’re doing all the undertakings to stay foremost.

Role of Strategy of Autoglass: The foremost task in strategic management is usually

the compilation and dissemination of the illusion and so the method affirmation. This

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summarizes, in essence, the comprehending of an association (Hoffman, K. Douglas,

Scott W. Kelley, and Holly M. Rotalsky.2009). Autoglass has assembled their functions

in topic making in AN extremely approach that the concepts sustain AN unquestionable

time span focused the execution (Autoglass Company).

Objective and goals of Autoglass: The major aim of Autoglass is to satisfy their client

by fixing or refurbishing broken windshield of any vehicle.They are increasing their

enterprise by being unique to the purchasers.

1.2 REVIEW THE VITAL ISSUES INVOLVED IN STRATEGIC PLANNING

IN AUTOGLASS

In every company there are some strategic planning issues which are important and can

be distinguished (Ivanauskiene, N, & Auruskeviciene, V., 2009). Autoglass is putting

their focus on the customer’s fondness and clientele service. They have reached the

largest satisfaction degree in the service commerce just by refurbishing the windscreen

in a cost productive way.

Autoglass should be clientele oriented and try to increase their service portfolio in

alignment to rendezvous with the affray (Kupritz, V.& Cowell, E., 2011). Strategic

planning issues can be distinguished using Anshoff’s Growth Matrix. The growth matrix

can also be labeled as a marketing tool which consists of four different marketing

strategies which are based on new product input and existing product (Kotler, P., 2000).

The analysis of the growth matrix is:

i. Market Penetration: all through this part Autoglass will boost its market

segments by enterprise an allotment of their merchandise and request an

allotment of customers. A market design herewith a enterprise searches for to

recognize larger dominance in the market all through which they actually are

giving (Melody, Y. & Kevin, H., 2000). This conceives normally focuses on

apprehending a larger share of aide degree living market.

ii. Product Development: Market growth can be increased by Autoglass by

introducing developed or new products to the consumer market.

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iii. Market Development: The strategy to target new segments of customers can

enlarge the size of the existing market of Autoglass.

iv. Diversification: This strategy is a risk aversion strategy in which the company

can introduce a new product to attract the customers.

Figure: Anoff’s Growth Matrix

For the continuous flow of business growth, Autoglass needs to understand the market

very well and adopt a strategy which best suits their need.

Top-Down and Bottom-Up approach of Autoglass:

Informal Planning: Casual designing is that the method whiles the supervisor or

foremost of an assembly develops an inspiration with no one accepted structure and

rigid associations (Grant M.R. 2010). Certain as blasting instant things managers use

this approach while it's conditionally significant to conceive any prescribed structure of

close to up with or the timeline for conceiving isn't adequate. It’s important to command

short allowance objectives of the association

Top-Down: The breaking down of a strategy into small sections and getting a close look

is top down (Grant M. R., 2010). This approach is used by Autoglass to fulfill objectives

in developing product.

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Bottom-Up: A number of systems combined and integrated to create an integrated

mega system (Grant M. R., 2010). This approach is used by Autoglass to develop their

customer service.

Behavioral Approach for Autoglass: Autoglass have to come to up with some

developments for his or her merchandise and market in alignment that they could a

wide-ranging marketplace for the purchasers. Their approach should be the top-down

procedure in alignment to capitalize their assets and to handle the affray inside the

future. Autoglass could be a growing enterprise interior the enterprise and thus the

service they're undertaking won't be decent for them to comprise on to the position

central the market.

1.3 EXPLAIN MINIMUM THREE PLANNING TECHNIQUE FOR

AUTOGLASS

For Autoglass Company, three strategic techniques are suggested below:

1. Profit Impact of Market Strategy (PIMS)

2. BCG Growth Share Matrix

3. Strategic Position and Action Evaluation Matrix

1. Profit Impact of Market Strategy (PIMS): The establishment of feasibility and

affirmative influence of a business scheme through investigating its impact in the

market is the reason of PIMS (Wheelen& Hunger, T.L. &J.D., 2013). There are 6

foremost localities of concentration which investigates the impact:

Type of the business environment

Competitive position

Production process facility

Budget allocation

Strategic works

Operating outcomes

2. BCG Growth Share Model:using the BCG Growth model, Autoglass can

categorize their product into four categories to maintain better performance and

understanding of the products (Kotler, P., 2000).The division of the product into

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4 categories has been suggested by the model on the product present and

market sales.

Placing goods in the BCG growth share matrix Autoglass will face 4 types of

consequences in the market. And they are:

For substantial growth and expansion of market share in business, some strategies

might be adopted by Autoglass to gain the upper hand in the market (Gómez, L, &

Ballard, D., 2013). Of which one strategy can be the BCG growth model which

categorizes the products and services in lieu with their position in the market. Earlier in

the report the explanation of this model has been shown. The management needs to

peer deep into the market and analyze their existing product and services and calculate

their expected future return (Kotler, P., 2000). Now they should categorize the products,

that which gives the market leadership should be “Star”, the product with maximum

sales be “Cash Cows”, the declining product should be “Dogs” and those products

between ‘Stars’ and ‘Dogs’ should be “Question Marks” and efforts should be made to

bring out the best possible outcome out of them.

Figure: BCG Growth Model

a) Cash Cows: Products having huge market share and producing maximum

sales.

b) Stars: Products leading the market in market share are called stars.

c) Dogs: Products having low in sales in a poor market.

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d) Question Marks: Products having that are in a high growth market but with

low market share and still having probability of being Stars.

3. Strategic Position and Action Evaluation Matrix (SPACE): Understanding the

requirements and demand in the market and working in accordance with the

strategies is the focal point of SPACE matrix (Wheelen & Hunger, T.L. &J.D.,

2013). The current position of the company in the market helps to understand

and help the management design required steps to growth

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Task 2

2.1 PRODUCE AN ORGANIZATIONAL AUDIT FOR AUTOGLASS

Using SWOT Analysis, we can audit the environment for Autoglass:

Strengths: Autoglass is a company which offers the best services at a low cost but

ensuring quality safety features. The windscreens have superior visibility which is

enhanced due to the presence of quality glasses and reduces the chance damage to it.

Weaknesses: If there are strengths then there are weaknesses. The greatest

weakness of this company is that they are not interested in promotions and Lack of

advertisement can lead to their anonymity.

Opportunities: Very small numbers of firms are present in the market which paves the

way for substantial growth. There is always room for new product in the market and if a

channel opens then it should be occupied.

Threats: Threats are a part and parcel of business, with the competition getting tougher

by the second quality supplier are hard to come by and again there is the tag line of

high price to be paid. Geographic location can also be a threat if the business is not

focused accordingly.

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Strength Opportunity

ThreatWeakness

2.2 CARRY OUT AN ENVIRONMENTAL AUDIT FOR AUTOGLASS

USING AT LEAST TWO APPROACHES

For a business to analyze its surrounding situation, an organization needs to go through

PESTLE Analysis (Wheelen& Hunger, T.L. &J.D., 2013):

Political: Various political decisions influence business in different countries or regions.

The change of governments also affects the conditions of a market. The impact of

taxation policies on business is also worth mentioning.

Economical: In a region the earnings ratio and buying capacity of the consumers

influence the sales. In a densely economical region changes affect the business heavily.

Socio-cultural: Preferences in lifestyle made by the consumers creates impact on the

industry. Social cultures, beliefs and norms that prevail in the society also can affect the

business.

Technological: In this era of technological advancement and trend, designs are

manipulated with advance technology.

Legal: There are various laws which are based on consumer rights and need to be

followed. The society is bound by law and order of which legal restrictions are an

influential part and needs to be followed strictly.

Environment: The weather, climate change, demography etc has a great impact on

business.

However, it is important to analyze Porter’s 5 Forceswhich are factors in thepotential

rising situations in businesses (Kotler, P., 2000). The forces are:

a) Threat of new entrants

b) Bargaining power of customers

c) Bargaining power of the suppliers

d) Threat of substitute products

e) Intensity of rivalry

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2.3 EXPLAIN THE SIGNIFICANCE OF STAKEHOLDERS’ ANALYSIS IN

RELATION TO AUTOGLASS

Stakeholders can be divided into four categories:

a) Latent: Their influence on the business is a significant but having low interest in

the company’s business.

b) Promoters: They have quality influence and interest on the company so they

often promote the company’s product that they supply to.

c) Defenders: They have high interest on the company but lacks influence on the

strategies.

d) Apathetic: They have neither interest nor influence.

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Task 3

3.1 ANALYZE POSSIBLE ALTERNATIVES STRATEGIES RELATING TO

SUBSTANTIVE GROWTH, LIMITED GROWTH AND RETRENCHMENT

Market Entry Strategy:

Organic Growth: It minimizes any development that's gained by pacing into the other

enterprise or amalgamation or acquisition. When an enterprise association undergoes

development over its own enterprise that is as identical because the beginning of the

organization, it's renowned as organic development.

Merger: Merger is the system by two enterprises gets joined and turns into one entity

through mutual consolidation. Autoglass started through such amalgamation.

Acquisition: This is the method where one accurate enterprise buys another whole

enterprise and assemblies up itself because the proprietor. Throughout this procedure

100% or adjacent 100% ownership yearns to be came by.

Strategic Alliance: This approach is completely an concept that is situated between

the concept of organic development and acquisition. This is the method where two or

more companies acquiesce upon kind of similar objectives and share every other’s

assets to attain those objectives.

Licensing: It is the design through that a mother enterprise (licensor) allows another

enterprise (licensee) to use its trademark and deal the merchandise or services on the

groundwork of affirmations on many time spans. The time span adopts the authorizing

fee that desires to be paid to the licensor.

Franchising: It is the scheme, through that a enterprise profits from the correct to use

another company’s trademark, enterprise type, methods while the franchisor provision

the correct to the franchisee. For getting market share overseas, Autoglass may use

this approach by circulation franchises in distinct locations.

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Substantial Growth Strategy:

Horizontal Integration: In degree integration an enterprise diversity or arrives by yield

facility of affiliated or complementary merchandise (Melody, Y. & Kevin, H., 2000). rarely

it's going to additionally occur that a corporation buys one amidst its competitors and

pattern integration. Autoglass would likely pattern such integration by connecting with

alternate output that's affiliated with its dwelling merchandise

Vertical Integration: Autoglass would expect employ into integration by connecting

with the suppliers and vendors. In integration a company additions with the businesses

or partners of the offer string of attachments and in some cases all the partners of the

string of attachments contain below one proprietor (Melody, Y. & Kevin, H., 2000).

Related Diversification: When an enterprise elaborates its enterprise with some

diversification interior the house line of merchandise. The new productions rectangle

address alike to the present merchandise.

Unrelated Diversification: It will be unrelated diversification if Autoglass starts

mercantilism house window crystal or attractiveness mirrors. It is the method once an

enterprise new employees into diversification by inserting new merchandise and

services that doesn’t accept as true the dwelling merchandise (Arazy, O, & Gellatly, I.,

2012).

Limited Growth:

Market Penetration: It means that penetrating the comparable market by giving

comparable worth against the worth of the competitors. It’s commonly utilized to entire

sales development. This approach is pledged to instantly hit the competitors by

benefiting their customers.

Market Development: It proposes that aiming at new customer needs and attracting

the non-buying customers of that segment. It helps to expand the market share by

adding new segment of shoppers. It’s potential for Autoglass to develop the market by

expanding the enterprise geographically.

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Product Development: It means that developing new merchandise that do not live

presently and so attracting customers to get an allotment of diversity of merchandise or

services.

Innovation: It proposes that searching out a solely new would like of the shoppers

inside the market and innovating replacement merchandise or service to rendezvous

that require.

Disinvestment:

Retrenchment: A theme utilized by companies to scale back the variety or the last

dimensions of the procedures of the business. This design is usually utilized so as to

slash prices with the aim of changing into an supplemented economic steady enterprise.

Turn around: if a firm terminates or bankrupts, its assets rectangle assesses

documented and furthermore the enhancement buys creditors. If no alternate notions

befit the associations then it should deal its assets then ante up the shareholders and

stakeholders. Any leftovers are distributed to shareholders. Liquidating a firm is that the

last stage of the firm’s survival.

Liquidation: When a firm is terminated or bankrupted, its assets rectangle assess

documented and furthermore the improvement buys creditors. Any leftovers are

distributed to shareholders. Liquidating a firm is that the last stage of the firm’s survival.

If no alternate concepts befit the associations then it should deal its assets then ante up

the shareholders and stakeholders.

Divestment: It the method of pulling out the assets operational and agreements those

to rendezvous the gap inside the monetary issues and so as to liquidate the association

divestment is important for any association. Divestment is that the converse of buying

into. The procedure of exodus of buying into is divestment. Moreover cited to as

divestiture, it's conceived for either economic or communal goals.

Michael Porter’s Generic Strategy:

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For the leadership in the market Michael Porter suggested 3 types of strategies for

expanding thebusiness as well profit projection (Kotler, P., 2000).

1. Cost Leadership:

Competitive price for product and service.

Decrease price to gain sales maxima

More sales more profit

2. Differentiation:

Regular product with additional offer.

Out of the box offers

3. Focus:

Focus on a single sector

Improve and expand

Gain customer satisfaction

3.2 SELECT AN APPROPRIATE FUTURE STRATEGY FOR

AUTOGLASS

In alignment to perplex the market segment Autoglass enterprise needs new notions

and new parts which can be cooperative for them to flourish the market. So

contemplating future conceives they can enquire their market need and arrive to up with

some development of the new merchandise to diversify their services and arrest a new

market segment.

Autoglass should be following the upright integration conceive to augment their

enterprise. They can accelerate with coalition with automakers to apprehend the new

market segment. Autoglass is in a mighty place and they might be proficient to

accelerate with the coalition with new associations. Because this conceive is befitting for

the associations development and their center capabilities acquiesce with the conceive.

Coalition with affiliated associations will endow Autoglass to put more aim on the

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customer’s fondness and can develop new merchandise class to fulfill the craves of the

customers

Only starting new merchandise line and increasing the market will not solely help the

Autoglass enterprise to elaborate in the market. Autoglass should wholeheartedly

reassess the answer of the customers so that they might realize what the customers are

looking for and to what grade of acceptance customer’s crave.

The Autoglass is at present have a 92% acceptance rate amidst the customers. But with

expansion of the enterprise the acceptance rate might fluctuate and Autoglass need to

assemble a timescale for the new goals and elongation of the new services. considering

the position in the enterprise, Autoglass can supply a 5 quarters conceive that will be

plentiful for Autoglass to contend up with the affray and sustain coalition with the

automakers to perplex the enterprise. Autoglass can benchmark next 5 quarters to

comply with notions they have taken and fulfill the firm promise to the customers.

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Task 4

4.1 COMPARE THE ROLES AND RESPONSIBILITIES FOR STRATEGY

IMPLEMENTATION OF AUTOGLASS

If the conclusions are taken flawlessly and wisely; and if those decisions are executed

correctly then the association will should flourish with a vast development and big

amount of earnings (Arazy, O, &Gellatly, I., 2012). Now a day’s one of the crucial

matters of doing business is “Strategy and principle Execution”. The peak level

administration is not for doing only their own job, rather they need to disperse their eye

all through the entire association and have a dream of every lone threat of distant

future. They have to arrange new plans and execute diverse strategies to overwhelm

every obstacle of anomaly market positions (Gómez, L, & Ballard, D., 2013). For any

business like Autoglass, to realize the market positions and to assess every possible

scheme is the foremost obligation and blame of administration and this is a very

significant role for the organization.

The figure-head of any organization, CEO or President or Managing controller has to

play a crucial function in the organization (Arazy, O, &Gellatly, I., 2012). He furthermore

desires to be willing to sustain a harmony in the workplace and the output of the

employees which ensures achievement of his conclusions. Though that is a complex job

but is a important one. Before attending any prescribed discussion he desires to

investigate the present and future condition of the association contrasted with the

market situation (Dessler, G., 2000).

Autoglass management should compute the trading and sales ways to double-check the

best market share and sales. The sales cluster should to be evolved throughout a

means which will extend with the affray interior the market. Creative advertisements in

applicable localities would probably facilitate an allotment all through this address. The

center competencies should to be evidently focused to attractiveness the shoppers.

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Outdated or fabricated data can cause wreck to any objective. So apart from the interior

duties the administration desires to hold eye on the out-of-doors world and anxiety

about all the applicable news of the market. Furthermore, before finalizing any scheme

the figure-head need to have genuine access to the reliable statistics and data (Arazy,

O, &Gellatly, I., 2012).

4.2 EVALUATE RESOURCE REQUIREMENTS TO IMPLEMENT A NEW

STRATEGY FOR AUTOGLASS

Share of adequate assets is the most important key for the production and supportive

undertakings. A business administration desires to have a clear concept about the place

from where he will make or import necessary assets and how could he assign those

assets. Here management should recognize the common place where greatest piece of

the output are being made and what are the services depends on that part (Dessler, G.,

2000). For Autoglass, they give the most priority on human assets and they believe that

is the key resource and using that asset they assist the customer better than their

competitors.

To supply the best merchandise they double-check highest security and durability.

Autoglass put much more share than other businesses to own the best raw components

for glass (Arazy, O, &Gellatly, I., 2012). As per the granted case description, Autoglass

is a successful company for sustaining the value and assigning adequate and good

quality of raw materials

That’s why they own 159 clientele advisors employed 24/7 for serving their

customers (Arazy, O, &Gellatly, I., 2012). Fleet service is one of their added

clientele services which make them special. Autoglass is sanctioning more cash for

their further enhancement in worker training and quality services. They currently scored

92% customer satisfaction.

4.3 DISCUSS TARGETS AND TIMESCALES FOR ACHIEVEMENT FOR

AUTOGLASS TO MONITOR A GIVEN STRATEGY

Evaluation of the benchmark outcomes:

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Quarter

1

The business should be bring up with the schemes and find out the

feasibility of the schemes whether the schemes would reflect in the

anticipated conclusion. They can take the response of the customers

and find out what else they are looking for in the windscreen fixing

service. There should be weekly and monthly supervising by the line

managers of the divisions

Quarter

2

Throughout the time span Autoglass should reassess the customer’s

response and request the craved conceive to perplexing the enterprise.

The line managers should be to accuse for assembling the feedbacks

and depicting in the main heading of it

Quarter

3

This is the quarter of accumulating facts and figures and takes research

note on the directed schemes. The management should find out the gap

between the foreseen outcome and genuine conclusion. The GAP might

happen because of need of coordination or inefficiency of the employees

and line managers

Quarter

4

Management should organize a training program to fill in the gap. So

that the employees can achieve the organization goal in desired

manner.

Quarter

5

In this quarter the association might accomplish the yearend results

founded on the design making and the implementation method. If the

administration falls short to complete the objectives through the

strategies, then they have to start activities founded on facts and figures

like educating the workers or delivering support to them

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Table: Evaluation of the outcomes

Conclusion:

Who have got their windshield broken; they can be out of concerned because there is a

business entitled Autoglass who are making some high quality glass. For years the

company acquired a huge believe pattern their customer by providing quality product.

They are providing best glasses with best services. They advanced their services as

high as it pushed away the other competitors far behind. Autoglass started the needed

and effective schemes to hold ahead in the rush. Surely they are going more far ahead

in the coming future.

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References:

Arazy, O, &Gellatly, I., 2012, 'Corporate Wikis: The Impact of Autoglasss in the

Windscreen industry, vol. 29, no. 3, pp. 87-116.

Autoglass Company. [ONLINE] Available at: http://www.autoglass.co.uk/Glass-repair-

and-replacement.186.0.html. [Accessed 18 November, 2013].

Dessler, G., 2000. Human Resource Management. 5th ed. Delhi: Pearson.

Gómez, L, & Ballard, D., 2013, 'Communication for the Long Term: Information

Allocation and Collective Reflexivity as Dynamic Capabilities', Journal Of

Business Communication, vol. 50, no. 2, pp. 208-220

Grant M. R., (2010) – Contemporary Strategy Analysis, Amazon.co, Wiley Higher Ed; 7th

edition.

Ivanauskiene, N, &Auruskeviciene, V 2009, Change Management and Its preparation',

Economics & Management, pp. 407-412.

Kotler, P., 2000. Marketing Management. 5th ed. New Delhi: Prentice hall of India.

Wheelen& Hunger, T.L. &J.D., 2013.Strategic Management and Business Policy. 5th

ed. Delhi: Pearson.

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