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SummaryAutoglass conjointly referred to as the most effective service providing company within the
industry comparison to the banks and alternative service suppliers. From the beginning of
the business to the current day Autoglass focuses on the requirements and demands of the
customers and also the mode of providing services in an economical manner.
Throughout an analysis within the industry ninety two percent of the Autoglass customers
were happy at their service. Autoglass upholds a pleasant relationship between the
customers & workers.
They currently have five hundred branches serving within the Europe. Supported the given
situation and looking the Autoglass it may be deduced that Autoglass is in an exceedingly
sturdy position within the windscreen replacement industry and can be able to face future
challenges in an exceedingly economical and effective manner. Autoglass now is the market
leader within the industry and that they are growing in an exceedingly steady pace.
Contents
Summary....................................................................................................................................1
Task 1.........................................................................................................................................4
1.1 EXPLAIN THE ROLE OF STRATEGY, MISSION, VISIONS, OBJECTIVE,
GOALS AND CORE COMPETENCIES OF AUTOGLASS...............................................4
1.2 REVIEW THE VITAL ISSUES INVOLVED IN STRATEGIC PLANNING IN
AUTOGLASS........................................................................................................................5
1.3 EXPLAIN MINIMUM THREE PLANNING TECHNIQUE FOR AUTOGLASS.......8
Task 2.......................................................................................................................................11
2.1 PRODUCE AN ORGANIZATIONAL AUDIT FOR AUTOGLASS..........................11
2.2 CARRY OUT AN ENVIRONMENTAL AUDIT FOR AUTOGLASS USING AT
LEAST TWO APPROACHES............................................................................................12
2.3 EXPLAIN THE SIGNIFICANCE OF STAKEHOLDERS’ ANALYSIS IN
RELATION TO AUTOGLASS..........................................................................................14
Task 3.......................................................................................................................................15
3.1 ANALYZE POSSIBLE ALTERNATIVES STRATEGIES RELATING TO
SUBSTANTIVE GROWTH, LIMITED GROWTH AND RETRENCHMENT...............15
3.2 SELECT AN APPROPRIATE FUTURE STRATEGY FOR AUTOGLASS..............18
Task 4.......................................................................................................................................20
4.1 COMPARE THE ROLES AND RESPONSIBILITIES FOR STRATEGY
IMPLEMENTATION OF AUTOGLASS...........................................................................20
4.2 EVALUATE RESOURCE REQUIREMENTS TO IMPLEMENT A NEW
STRATEGY FOR AUTOGLASS.......................................................................................21
4.3 DISCUSS TARGETS AND TIMESCALES FOR ACHIEVEMENT FOR
AUTOGLASS TO MONITOR A GIVEN STRATEGY....................................................21
CONCLUSION........................................................................................................................22
References................................................................................................................................23
Task 1
1.1 EXPLAIN THE ROLE OF STRATEGY, MISSION, VISIONS,
OBJECTIVE, GOALS AND CORE COMPETENCIES OF AUTOGLASS
Company Mission:
Mission of a corporation is predicated on this state of affairs and action pointers according
that the staff unit are to perform to realize the objectives of the organization (Kotler, P.,
2000). Autoglass Company puts major focus on the customers (Autoglass Company).
Company Vision:
Vision of a company is that the future intentions associated in nursing the target which an
organizations attempts to achieve (Kotler, P., 2000). The vision of The Autoglass Company
is to serve the customers and deliver the very best level of fulfillmentto the customers. The
vision, serving customers with reliability can lead Autoglass to grow up and set margins
within the industry (Autoglass Company).
Company Core Competency:
Core competencyrefers to the core actions of a corporation that form the business missions
and visions of that individual organization (Kotler, P., 2000). The core ability is that they
are able to replace or repair any reasonably damaged windscreen of any model (Autoglass
Company).
Strategic Intent:
The notion of strategic intent suggests that there's a general outlook on wherever the
business ought to be going instead of a precise statement of Associate in Nursing expected
conclusion and this suggests that there ought to be galore of flexibility within the declaration
to allow for employees begin, cluster help and adaptation in light-weight of factors
(Ivanauskiene, N, & Auruskeviciene, V., 2009). The strategic intent of Autoglass is to check
itself because the market foremost continually. They are doing all the undertakings to
remain leader.
Role of Strategy of Autoglass:
The prime task in strategic administration is often the compilation and dissemination of the
vision. This summarizes, in essence, the explanation of a corporation (Ivanauskiene, N, &
Auruskeviciene, V., 2009). Autoglass has collected their roles in theme creating in an
exceedingly approach that the schemes maintain a precise time span within the execution
(Autoglass Company).
Objective and goals of Autoglass:
The main target of Autoglass is to steer their client by repairing or restoring broken
windshield of any vehicle. The motive of Autoglass is to form their enterprise augment and
assist the international people (Autoglass Company). They are increasing their enterprise by
winning the hearts of the purchasers.
1.2 REVIEW THE VITAL ISSUES INVOLVED IN STRATEGIC
PLANNING IN AUTOGLASS
In order to set up strategies and implement strategies there are some important problems that
must be thought of. Autoglass is putting their focus on the customer’s preference and
customer service. They have reached the highest satisfaction level in the service industry
just by replacing the windscreen in a cost effective way.
Autoglass should be customer oriented and try to increase their service portfolio in order to
meet with the competition. Given the situation in the case we can analysis the competitive
advantages of Autoglass. Supported the case, Ansoff’s model are often accustomed to
analyze the competitive benefits (Kupritz, V.& Cowell, E., 2011).
Competitive Advantage
As usage of automobile is growing day by day, Ansoff’s model to can help them in
researching their competitive advantages Autoglass delivers the best service of replacing
windscreens (Kupritz, V.& Cowell, E., 2011). They are providing many services to
customers concerning windscreens and capturing a good share of the market. The Ansoff’s
model is given below:
Ansoff’sgrowth model suggests four different sets of options. Based on the situation and
analysis we learned that Autoglass is increasing its market step by step and has the capacity
to serve more than they are doing currently (Kotler, P., 2000). They aredelivering services to
over 1,000,000 customers having problem with their windshields. ThereforeAutoglasscan
serve customers with their existing product and can also introduce a replacement mean of
services. These four different methods face differing types of risks
The strategies are:
1. Market penetration: A market strategy herewith a corporation seeks to realize
larger dominance in the market during which they already are giving (Melody, Y. &
Kevin, H., 2000). This strategy typically focuses on capturing a bigger share of
Market Penetration Product Development
Market Development Diversification
Existing Product
Existing Market
New Product
New Market
Figure: Ansoff’s Model
associate degree existing market. During this section Autoglass will increase its
market segments by commerce a lot of their product and attract a lot of customers.
2. Product development:
Introduction of new product will enable Autoglass that may complement the
prevailing product. However this strategy includes a severe disadvantage. If the
purchasers do not as planned Autoglass might end in losing revenue.
3. Market development:
Autoglass is the market leader during this windscreen repairing business. So,they
canpromoteAutoglass extensively and ensure to grab new customers to extend its
market phase.
4. Diversification:
Autoglass might produce a portfolio that may unfold the risks and cut back the loss
of revenue.
Autoglass need to set a 4 years growth strategy according the Ansoff’s Growth Model to
realize the target. Autoglass Company is in prime position in the industry (Autoglass
Company).So that they might increase the expansion rate in a very steady manner by
satisfying each existing furthermore as new customers and increase its market share.
Autoglass conjointly ought to provide priority to the geographic location wherever they
must operate and specify the minimum necessities of the suppliers to urge the standard
product (Kupritz, V.& Cowell, E., 2011).
Top-Down and Bottom-Up
Informal Planning:
Informal designing is that the technique wherever the supervisor evolves an inspiration with
none accepted structure (Grant M.R. 2010). sure as shooting instant things managers applies
this approach wherever it's conditionally important to create any formal structure of coming
up with or the timeline for designing isn't enough. It’s important to control short amount
objectives of the organization.
Top-Down:
A top-down approach is basically the breaking down of a system to realize insight in the
sub-systems (Grant M. R., 2010). Autoglass is using this approach in their development and
that they are doing pretty good in following this approach.
Bottom-Up:
A bottom-up approach is that the piecing along of systems to provide rise to additional
complicated systems, therefore creating the initial systems and sub-systems of the emerging
system (Grant M. R., 2010). Autoglass is using this approach in their service development to
satisfy the customers and they are pretty victorious in exploitation this approach.
Behavioral Approach for Autoglass:
Autoglass ought to approach within the top-down procedure in alignment to capitalize their
assets and to handle the affray within the future. Autoglass could be a growing business
within the industry and therefore the service they're activity won't be decent for them to
contain on to the place within the market. They have to arrive up with some developments
for his or her merchandise and market in order that they could a wide-ranging marketplace
for the purchasers.
1.3 EXPLAIN MINIMUM THREE PLANNING TECHNIQUE FOR
AUTOGLASS
In order to grow in the industry Autoglass can use three techniques, and they are:
1. BCG Growth Share Matrix
Autoglass might prioritize their product in such a way wherever they will
differentiate their product and maintain a harmony within the product portfolio
(Kotler, P., 2000).It will conjointly facilitate Autoglass to work out once and
wherever they are going invest during a new development and once to extract all the
earnings from the service.
Placing goods in the BCG growth share matrix Autoglass will face 4 types of consequences
in the market. And they are:
1. High Growth and High Market Share
This strategy desires high allowance of cash and also the
management wishes to figure out the flow of cash within the
enterprise.
2. Low Growth but High Market Share
From the matrix, we will see the products that have reduced
development however vast market share is that the stable business
and develops steady revenue.
3. Low Growth and Low Market Share
When the products begins to misplace its market share and
development growth rates reduced then the products falls into decline
stage. The associations ought to divest from the enterprise at this
moment.
Management ought to follow any pointless expenses.
Figure: BCG Matrix
4. High Growth but Low Market Share
The products that are freshly conferred fall during this class and have
the potentiality to maximize development.
The merchandise has conjointly the danger of being a dog product if it
doesn't flip in any revenue.
2. Strategic Position & Action Evaluation Matrix (SPACE)
Autoglass will use the SPACE matrix to analyze the market demand, organization
position and needs to work and create ways to expand the market. SPACE matrix
has four totally different quadrants that ensure the organizations position and also the
route of actions (Kotler, P., 2000). Autoglass is in a sturdy position within the
market. So, they will use the aggressive ways to capture the market and it'll
conjointly facilitate in determinative the SWOT of the organizations.
3. Profit Impact of Market Strategy (PIMS)
PIMS could be a quite helpful to extract information from the database and support
the policies that are took on to realize competitive advantages. Autoglass would
possibly sustain people service information in alignment to research their values and
designing method in order that they will keep pathway of their accomplishment and
implementation of the methods.
Task 2
2.1 PRODUCE AN ORGANIZATIONAL AUDIT FOR AUTOGLASS
SWOT Analysis
Strengths
The safety features in the product are high .
Windshields provide visual clarity.
Weaknesses
Autoglass promotes less of their brand.
Lack of advertisement is present.
Opportunities
Windshield replacing or repairing is present in emerging economy Windshield
replacing or repairing is present in emerging economy.
Autoglass has potentiality to increase the growth rate in a limited time period.
Strengths1. Safety2. Visual Clarity
Opportunities1. Emerging Economy2. New Product3. Growth Rate
Weaknesses1. Promotion 2. Advertisement
Threats1. Geographic Location2. Government Policy
S W O T
Figure: SWOT Analysis
Threats
Operation in unnecessary locations is loss of capital.
Government policies shape the business environment.
2.2 CARRY OUT AN ENVIRONMENTAL AUDIT FOR AUTOGLASS
USING AT LEAST TWO APPROACHES
Organizations will maximize opportunities and minimize threats by conducting PESTLE
analysis (Grant M. R., 2010).PESTLE analysis is conducted to work out the operation
strategy within the business and to be told the attractiveness of the industry of operation. So
as to operate in associated industry there are many factors that must be considered.
PESTLE analysis
Political
Political climate is important in determining the attractiveness of the business.
Government stability is important to make the future decisions.
Economical
Purchasing capacity affects the industry.
The need for replacing windshield.
Socio-cultural
Lifestyle and preferences shapes an industry.
Technological
Technology relating the designs.
Technology of windshield manufacture.
Legal
Law regarding safety measures.
Employment and consumer law is extremely emphasized.
Environmental
Some things are beyond control of the organizations such as weather, climate and
climate change.
Porter’s five forces analysis helps the management to determine and understand the overall
context of the industry (Kotler, P., 2000).
Porter’s five forces are:
1. The threat of new entrants
Access to Distribution Channel:Efficient distribution channel helps to create
demand and market need.
2. The bargaining power of customers
Threat of Backward Integration: Organizations face the risk of backward
integration with the suppliers.
3. The threat of substitute products
Prices: Prices play an important role in any industry. Buyers may shift from one
product to another just because of price sensitivity.
4. The amount of bargaining power suppliers have
Threat of forward Integration: Organizations face the risk of forward integration
with the suppliers.
5. The intensity of the competitive rivalry
Diversity of Rivals: The rivals challenge and cross each other’s path.
2.3 EXPLAIN THE SIGNIFICANCE OF STAKEHOLDERS’ ANALYSIS
IN RELATION TO AUTOGLASS
The stakeholders’ grid:
1. Promoters: It refers to the stakeholders who influence the strategies and also has
high interest.
2. Latent’s: It refers to the stakeholders who influence strategies but has low interest.
3. Apathetic: It refers to the Stakeholders who has low interest and seldom influences
the strategies.
4. Defenders: It refers to the stakeholders who have low influence in the strategy
making but high interest.
The stakeholders are kept in four classifications so that each stakeholder has their specific
privileges and duties in consider of the making the schemes for the association which will
be implemented for the betterment of the organization. Autoglass has mapped the
stakeholders within the company in order that the stakeholders will gift their duty in
contemplate of the organization’s profit.
High Influence High Interest (Promoters)
High Influence Low Interest (Latent’s)
Low Influence Low Interest (Apathetic)
Low Influence High Interest (Defenders)
Figure: Stakeholders’ Grid
Task 3
3.1 ANALYZE POSSIBLE ALTERNATIVES STRATEGIES
RELATING TO SUBSTANTIVE GROWTH, LIMITED GROWTH AND
RETRENCHMENT
Market Strategy
Organic Growth: When an enterprise association accomplishes development over its own
enterprise that is as identical and it's known as organic development. It clears any
development that's profited by stepping into the other enterprise or merger or acquisition.
Merger: Merger is that the method by two businesses gets united and turns into one entity
through lawful consolidation. The start of Autoglass was built through merger.
Acquisition: This is the tactic where one particular company buys another whole business
and sets up itself because the proprietor. During this method 100% or near 100% ownership
needs to be bought.
Strategic Alliance: This is the tactic wherever 2 or more firms agree upon variety of
common objectives and share every other’s assets to fulfill those objectives.
Licensing: It is the strategy through that a mother company (licensor) permits another
business (licensee) to use its trademark and sell the product or services on the cornerstone of
affirmations on many periods. It includes authorizing fee that needs to be paid to the
licensor.
Franchising: It is the strategy, through that a business profits from the proper to use another
company’s trademark, enterprise type, procedures wherever the franchisor provides the
proper to the franchisee. For getting market share abroad, Autoglass may use this approach
by distribution franchises in distinct locations.
Substantive Growth
Horizontal Integration: In level integration a business varieties or acquires output facility
of associated or complementary merchandise (Melody, Y. & Kevin, H., 2000). Sometimes
it's going to additionally happen that a corporation purchases one among its competitors and
pattern integration.
Vertical Integration: In integration a corporation connections with the companies or
partners of the offer string of links and in several cases all the partners of the string of links
keep underneath one owner (Melody, Y. & Kevin, H., 2000). Autoglass would possibly
enlist into integration by linking with the suppliers and distributors.
Related Diversification: When a business elaborates its business with some diversification
within the living line of merchandise (Arazy, O, & Gellatly, I., 2012). The new productions
square measure alike to the prevailing product.
Unrelated Diversification: It is the tactic once a business enlists into diversification by
introducing new product and services that doesn’t trust the living product (Arazy, O, &
Gellatly, I., 2012). It will be unrelated diversification if Autoglass begins mercantilism
home window crystal or beauty mirrors.
Limited Growth
Market Penetration: It means that penetrating the comparable market by giving
comparable value against the worth of the competitors. This approach is employed to
instantly attack the competitors. It’s typically used to achieve sales growth.
Market Development: It suggests that targeting new people phases and appealing the non-
buying customers of that segment. It assists to extend the market share by adding new piece
of shoppers.
Product Development: It means that evolving new merchandise that is not present and so
attracting customers to get a lot of diversity of merchandise or services.
Innovation: It suggests that seeking out an alone new would like of the shoppers within the
market and innovating replacement merchandise or service to rendezvous that require.
Disinvestment:
Retrenchment: A theme utilized by corporations to scale back the variety or the final size
of the procedures of the business. This strategy usually utilized so as to slash prices with the
aim of changing into an additional economic steady business.
Turn around: Turnaround may be a technique dedicated to company renewal. It exploits
analysis and progressing. Turnaround administration involves administration rethink,
activity based mostly cost accounting, origin of malfunction, and SWOT investigation to
work out why the business is falling short. So as to form a comeback within the commerce
associations got to verify the foundation of the difficulties and supported those difficulties
they have to form up new methods and principles to beat those issues.
Liquidation: When a firm is terminated or bankrupted, its assets are listed and also the
advances pay creditors. Any leftovers square measure circulated to shareholders.
Liquidating a firm is that the last stage of the firm’s survival. If no alternate schemes befit
the organizations then it must deal its assets then ante up the shareholders and stakeholders.
Divestment: The method of withdrawal of investment. Moreover referred to as divestiture.
Divestment is that the converse of investment. It the tactic of dragging out the assets
operational and sells those to rendezvous the gap within the monetary issues and so as to
liquidate the association divestment is important for any association.
Porter’s Generic Strategy
Michael Porter explained the overall ways for a company to work within the industry.
Corporations use these ways to achieve competitive benefits. And they are:
1. Overall Cost Leadership
2. Differentiation
3. Focal Point
Overall Cost Leadership
From the case it might be deduced that Autoglass is following the cost leadership in the
industry and that they are providing their services within the lowest cost possible. It is useful
to draw in a lot of customers and enter within the new market (Kotler, P., 2000).
Differentiation
Differentiation is important to collect the additional profits and grabbing additional
customers (Kotler, P., 2000).Cost leadership alone cannot facilitate a company to relish in
the market. The Autoglass offers 24/7 client.
Focal Point
Autoglass has become the most effective windscreen repairing or substitution service
provider.To accelerate business in the industry organizations must specialize in a particular
objective (Kotler, P., 2000). Autoglass is specializing in serving the consumers and delight
them for his or her cash value.
3.2 SELECT AN APPROPRIATE FUTURE STRATEGY FOR
AUTOGLASS
In alignment to elaborate the market phase Autoglass Company wants new schemes and
new product which may be useful for them to flourish the market. Therefore considering
future theme they'll investigate their market would like and arrive up with some
development of the new merchandise to diversify their services and arrest a replacement
market phase.
Autoglass ought to be following the vertical growth theme to grow their business. They’ll
proceed with coalition with automakers to arrest the new market phase. Autoglass is in an
exceedingly sturdy place and that they can be able to keep company with the coalition with
new organizations. As a result of this theme is appropriate for the organizations growth and
their centre capabilities consider the theme. Coalition with connected associations can alter
Autoglass to place additional aim on the customer’s preference and may evolve new product
category to satisfy the wishes of the shoppers.
Only starting new merchandise line and increasing the market won't alone facilitate the
Autoglass business to expand within the market. Autoglass ought to definitely rethink the
response of the shoppers in order that they may perceive what the shoppers square measure
longing for and to what level of approval customer’s need. Autoglass administration must
characterize the functions and responsibilities to the staff in order that they'll offer the
biggest grade of approval to the shoppers.
The Autoglass is at the moment have a ninety two satisfaction rate amidst the shoppers.
However with growth of the enterprise the approval rate may fluctuate and Autoglass have
to be compelled to construct a timescale for the new goals and elongation of the new
services. Considering the place within the commerce, Autoglass will offer a five quarters
style that may be adequate for Autoglass to contend up with the affray and sustain coalition
with the automakers to elaborate the enterprise. Autoglass will commonplace next five
quarters to conform to schemes they need taken and fulfill the firm pledge to the shoppers.
Task 4
4.1 COMPARE THE ROLES AND RESPONSIBILITIES FOR
STRATEGY IMPLEMENTATION OF AUTOGLASS
Implementing the policies within the association is implausibly necessary and it carries a
precise implication for the organization’s welfare. With the implementation of the policies it
indicates to the policies to take advantage of profit for the organization (Brad, H.& B.
Christine, G., 2012). Considering the techniques, policies need to be well developed and
ensures to establish those principles which are appropriate or not. If the principles fail to
acknowledge significant score then it's turned down and thought of as unproductive one
(Gundala, R, Jack, A, & Gomes, R., 2012).Autoglass have to be compelled to use in
deepness filtering procedures of the principles to catch and retain the market share.
CEO of a business is in characteristic for revolving the ideas into reality and conceiving the
assessment among the enterprise (Westphal, J, Park, S, McDonald, M, & Hayward, M.,
2012). To use economical and productive policies all the team within the association are
united within the smallest phases of the beliefs and arrange of activity decision that leads to
coherent behavior and moreover the diversification or modification of the strategies are
possible (Bearden, W.O. and Teel, J.E. , 2012).
Autoglass administration must compute the selling and sales ways to ensure the best market
share and sales. The sales cluster ought to be evolved during a means which will continue
with the affray within the market. Productive advertisements in relevant localities would
possibly facilitate an allotment during this regard. The centre competencies ought to be
clearly focused to attractiveness the shoppers.
Managers need to inspire and influence the employees to execute the policies that need
commencing with efficiency and effectively (Howard, J. and Sheth, J., 2013). Persuading
the goal, accomplishment will finish in worker approval and coherence in job atmosphere.
4.2 EVALUATE RESOURCE REQUIREMENTS TO IMPLEMENT A
NEW STRATEGY FOR AUTOGLASS
In alignment to contemplate the assets of Autoglass, the organization ought to select correct
elements and placethem within the actual division to provide the services. Autoglass has
prioritized its human assets as a result it became the best service provider of windscreens
(Autoglass Company). Autoglass in addition has fleet repairing units that require man
power. So Autoglass spend lots in advising and developing the skillfulness of the workforce
In thought of elements and time share Autoglass is that the pioneer within the business as an
outcome of their remedy the foremost effective materials to affirm the durability and
security of the customers and put together maintaining time in delivering the service.
4.3 DISCUSS TARGETS AND TIMESCALES FOR ACHIEVEMENT
FOR AUTOGLASS TO MONITOR A GIVEN STRATEGY
Evaluation of the benchmark outcomes:
Quarter 1 The company ought to be citing with the methods and ascertain the feasibleness
of the methods whether or not the methods would replicate within the expected
outcome. They’ll take the feedback of the purchasers and ascertain what else
they're probing for within the windshield repairing service. There ought to be
weekly and monthly observance by the road managers of the divisions.
Quarter 2 During the amount Autoglass ought to review the customer’s feedback and
implement the required arrange to expand the business. The road managers
ought to be accountable for collection the feedbacks and acting towards it.
Quarter 3 This is the quarter of gathering data and takes research note on the applied
strategies. The management should find out the gap between the anticipated
conclusion and genuine conclusion. The GAP might happen because of need of
coordination or inefficiency of the workers and line managers.
Quarter 4 Administration should coordinate a teaching program to load up in the gap. So
that the workers can accomplish the association goal in desired manner.
Quarter 5 In this quarter the organization would possibly accomplish the required results
supported the strategy creating and therefore the implementation methodology.
If the management fails to attain the objectives through the ways, then they
need to initiate actions supported info like coaching the workers or providing
support to them.
CONCLUSIONAutoglass has created the screen replacement less complicated for the purchasers and
activity services to the purchasers to their full satisfaction. The Autoglass business has the
promise to nurture and become one in every of the simplest screen replacement
organizations within the world.
Table: Evaluation of the outcomes
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