How the strategies can be put into action Essay
How the strategies can be put into action
The company can encourage innovation and creativity by rewarding the employees that get involved. Rewarding motivates employees and encourages them to be entrepreneurial and innovative as they seek to benefit from the rewards. The company should also ensure that resources are available so that those involved in innovations have enough material and equipment that is needed for them to be successful (Johnson, Scholes & Whittington 2008 p. 45).
One of the problems expected in implementing this strategy is lack of financial resources to buy the equipment that may be needed for some innovations. This problem can however be solved by ensuring that those involved in innovation work everything a set budget. This strategy if not well manage may lead to innovations that are not in accordance with the company’s values and culture. Sometimes employs come up with ideas which are good but can not be implemented as they divert from the company’s values.
The management can prevent this by effectively communicating to the employees the company’s culture and values. The vision and mission statements should also be done and the employees encouraged ensuring that they work aiming at the vision while maintaining the culture and values of the company. Market based approach is implemented by the company carrying out a market survey of the consumers in order to identify their needs and behaviour (Dettmer 2003, p. 52). This strategy is best implemented by using focus groups to study the market (Stewart, Shamdasani & Rook 2006, p. 61).
These groups are a representation of the consumer population and the information received from them enables the company to identify consumer needs hence work towards satisfying them (Boone & Kurtz 1999, p. 61). Market based approach involves looking at consumers and giving them what they need. It has a disadvantage in that consumer needs always change hence require the company to be constantly carry out the surveys so as to keep at par with the changes. This could be expensive. Focus groups are also not representative of the entire population as their needs might be different from those of other consumers.
Information derived from focus groups is also not 100 per cent accurate as the possibility of influence by members of the group is always high. This problem can be solved by developing prototypes from their information which are then launched in the market and consumers’ reaction to them observed. Production of a range of products rather than specializing in the ones the company already offers can be implemented by contracting other companies that produce the products that the company wants to offer under its license.
This strategy however has a problem as the contracted company might not have as good organizational values as and high standards or qualities as B&Q. In the event that the contracted company gets involved in a crisis, the reputation of B&Q is threatened (Monks & Minow 2008, p. 56). This problem can be solved by the company ensuring that it carries out through search on a company and its operations before contracting it (Rothwell & Kazanas 2003, p. 23). Launching new designs of products periodically such as after every month can be implemented by employing experienced designers in the industry.
This strategy is a bit costly as it involves employing professionals. The company however will need to do it if it wants to maintain the competitive advantage it has so far acquired. These designers will ensure that new designs are made as required and within the time that they are required. There exist several marketing tools that can be implemented in marketing. The best tool to be used by B&Q would be advertising through the media and carrying out and promotions.
Advertising however has a problem as marketing and service promotion are aspects that have been widely integrated into the dynamic of operations as every player in the industry is advertising through the same media and therefore getting the attention of the target market is challenging as the nature of the industry does not provide the diversity that may be useful in pulling the markets’ attention towards a specific company’s service offering (Churchill & Peter 2005, p. 12). Advertising as an approach to creating awareness on an organisation’s services is as effective as the context of its use (Kao 2007, p. 25).
Another disadvantage of advertising is that the cost of advertising in the current operational environment is so high and organisation cannot afford to be subjective in their decision to engage in intensive marketing or promotional activities (Ward 2004, p. 25). Another problem in advertisement and promotional approaches that leads to subjective decision is benchmarking competition (Shim, Siegel & Dauber 2008, p. 66). There are different level of competition in any specific industry segment under which many entities have benchmarked their competitors and counter all the moves made by the benchmarked entity.
Under such an approach an organisation’s strategies towards marketing are influenced by the competitor and therefore lacks in objectivity. This problem can be solved by the company being objective in its advertisement. Objectivity can be established by focussing on the cause of the competition rather than the manifestation of competition which is the competitor. The company could also use other marketing tools such as offering discounts on their products so that they are sold at relatively lower prices as compared to those of their competitors (Farese, Kimbrell & Woloszyk 1999, p.73).
This should be done in a way that will not hurt the organizations profitability. Prices should be a bit lower but just low enough to enable the company to recover the cost of production and make some returns in terms of profits. Teamwork as a management strategy is associated with the development of synergy and therefore maximization of the benefits got from the organisations resources. A team approach to operations helps in the development of a team approach and complement the use of innovation and creativity (Campbell, Stonehouse & Houston2002 p. 54).
The management of an organisation that employs the use of teams in its operations is easy for the simple reason that teams are at a higher level than the individual and therefore the entities that the organisation deals with are reduced (Cassidy 2005, p. 17). The formulation of the teams should ensure that the team members complement each other and should put into consideration both individual competencies and professional qualification. The company’s management can form groups from employees with different skills and experience from the various departments.
Best groups are formed by individuals with diverse knowledge as they use different approaches to the problem (Russell & Linda 2005, p. 41). Sometimes groups suffer from influence by one individual especially if he holds a high position at the workplace. Such individuals influence the solutions reached such that they are not collective (Barksdale & Lund 2006, p. 1). This can be solved by ensuring that everyone participates and their opinions are considered. The final decision should be reached at by a majority vote for it to be collective.
The teams should also be empowered such that they are not influenced by the management (Brody 2004,p. 41). The solution they come up with should be should be implemented by the management. B&Q can also effectively implement teamwork strategy by developing a proper communication framework which entails the formulation of a good communication policy and the development of a physical communications system that is relevant to communication in and between teams complements the efforts of team building and ensures efficiency in coordination of organisational efforts (Barksdale & Lund 2006, p.22).
Conclusion B&Q’s current situation is filled with uncertainties due to the high competition in the industry and the fluctuating economic conditions. Opportunities however exist but most of them are so complex and resource intensive that few organisations have the capacity and willingness to take a risk and exploit them. Though risk taking is associated with success, the risks taken must be calculated (Arussy 2005, p. 65). The above strategies are worth implementing if the company wants to get back to track. Some are a risk which is characteristic of any business.
The management should however ensure that it carries out the strategies in a manner will ensure that they maintain or increase the competitive advantage and large market share they have. The strategies should also enable the company to be well placed to manage financial hard times with considerable ease.
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University/College: University of Arkansas System
Type of paper: Thesis/Dissertation Chapter
Date: 17 May 2017