The effectiveness of business information Essay
The effectiveness of business information
D2 – Evaluate the effectiveness of business information and its communication as key contributors to the success of an organisation, using examples to illustrate your points.
For a company to be successful, it is essential it has a efficient communication and information management system. Aldi, in the last decade, have become globally dominant within the supermarket sector. Their communication strategy is said to be one of the factors that contributed to this success. Information between internal and external stakeholders is essential and proper communication can make the difference between success and failure. In a dominating supermarket, like Aldi, it’s not unusual for internal stakeholders (employees) to become loyal external stakeholders (customers).
Stakeholders for Aldi may include:
Being an international company, for the communication to be effective, it’s essential that cultural differences are taken into account.
One of the biggest factors of Aldi’s success in the UK has been said to be because of their TV adverts. They’ve won a number of awards for their advertising and research showed that viewers remembered and enjoyed their adverts more than any rival company. They mix a hint of humour with the hint of simplicity to attract customers. Aldi claim that they are there for a quick, cheap and convenient shop – which is exactly what their adverts promote.
Every month Aldi will release a magazine displaying products that will be available from their shop in the upcoming four weeks. This magazine is displayed at the exit of the shop; where customers can voluntary take one. Other supermarkets have been known to send similar magazines to people’s houses without permission to help custom – Aldi are aware that the public do not like junk mail and respond better to a more submissive marketing approach. Instead of it being forced onto them, the customers feel like they are in control and can make a decision for themselves, which consequently is going to likely make them feel more valued.
When the magazine is released, it will show a new, temporary product range of products that is meant to encourage customers, who may not usually shop there, to visit the store. Aldi have been known to sell ski wear as well as pots and pans in order to expand their customer base. A reputation Aldi began with was that they were only for the “poor”, to discourage this image, Aldi temporarily sold a prestigious champagne at a budgeted price, in order to encourage a diverse target audience.
Aldi also uses direct e-mails. These e-mails allow Aldi to communicate a variety of messages to target customers. For example, they can convey the ‘Swap and Save’ message as well as promote seasonal messages such as products associated with Pancake Day. Aldi’s website is an integral part of its below-the-line promotion. It features all of Aldi’s key promotional messages as well as additional content to engage consumers. Examples include recipe ideas and weekly offers. They also use social networking methods, like twitter. This method allows the customers and the shop to interact and build a database of loyal customers.
Contrary, Coombe Dean School have a different demographic. Rather than customers and suppliers being their stakeholders, they have:
To interact and communicate to these external and internal stakeholders, the school will use a number of different methods.
Similar to Aldi’s magazine, Coombe Dean release a weekly newsletter for the students, teachers and parents. This newsletter is called The Insight and is there to discuss what has happened that week within the school’s community. For example, if a student was to do something for charity, The Insight may give this person some recognition. The idea is for the school to be municipal and have a bond between the school and the home. The newsletter can also be used to allow the school community aware of important term dates, such as half terms and parent’s evenings. This is a great way of communicating as it keeps everyone in connection and in the loop, meaning that people can feel a sense of belonging of a group.
Like Aldi, the school uses web-based techniques to communicate such as their website and emails. Although they aren’t trying to sell something, like Aldi, they are keeping people informed. They use their website for the same similar reasons as to why they use a newsletter, to keep everyone connected. The website is designed with an emailing system, also, so people are able to keep in contact personally.
If a student is struggling in school, the teacher may find it beneficial to hold a meeting with that child as well as with their parents. Here they can discuss on the spot methods of improvement – this can also happen in Aldi amongst staff. Aldi claim the key to their success if their efficiency and do this by creating targets for its employees. These targets are likely to be set in a meeting, just like what would happen within a school.