Strategy refers to a dynamic domain used to tackle problems that organizations experience. Through strategic planning, organizations solve myriad of challenges and devise effective approaches that can make them succeed. The strategic plan also aims at identifying actions that help to eradicate problems in the daily operations of a business. This paper examines and reports implementation used by Macville Expresso Machine Manufacturing Company in line with its KPIs.
The first strategic plan was to sell the Macville expresso coffee machine in all Austrian states in the next five years. Macville agreed with Java to sell and maintain its espresso machines. At first, Macville planned to install 200 devices annually, but the plan stalled because it only installed180 machines a year. This was due to the tourist slump of the Australian dollar. Macville also planned to open a warehouse, but after years, the plan stalled. Similarly, Macville was to expand its agents and outsource contractors from different countries across the world. Unfortunately, its Northern territory failed to meet the deadline compelling it to hire more contractors at higher costs. Further, the company projected a 5% increase in profit margin in the next five years. However, after two years, it realized a 2% increase in profit margin, forcing it to reduce its operations costs to attain the projected figure.
Negotiating on bulk purchase would reduce the profitability of a supplier. The company would increase profits by optimizing operations of its departments. To attain this, the company planned a wage turnover of 12.5% but instead incurred a turnover of 13.8%. It also planned that its brand would flood the market in the next five years. However, after two years, only 50% of the targeted markets recognized the brand. The company planned to use social marketing strategy and join cooperates with Java to co-brand cups and mugs. Unfortunately, the company achieved only 50% of its target.
The company planned that in the next five years, it would reduce its waste and energy use by 10%. Surprisingly, after two, it achieved 8% reduction by setting up innovations and rewarding programs. It also developed and implemented energy campaigns to ensure that its KW per person drops by 10KW. However, the plan was unsuccessful because it was discussed late and was overtaken by time.
Conclusion
Macville Manufacturing Company successfully implemented most of its objectives. First, it partnered with Java to increase its publicity through a branding deal. They also developed programs that helped them save energy and maximizes their profit. More importantly, its social and internet networking strategies were useful as they enabled the firm to get more audience than they expected. To ensure that all its policies succeed, the company should develop and discuss such strategies several months before implementation. This will provide adequate time for rolling and implementing the plans. However, failure to address and implement plans earlier enough can lead to failure as witnessed in the case of energy awareness.
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