Barks and Recreation

 Barks and Recreation

Katelin Harper

Bellevue University


 

Table of Contents

I. Executive Summary 3
II. Situation Analysis 4
A.    The Internal Environment 4
B.    The Customer Environment 6
C.   The External Environment Competition 9
III. SWOT Analysis 13
A.    Strengths 13
B.    Weaknesses 13
C.   Opportunities 13
D.   Threats 13
E.    The SWOT Matrix 14
F.    Developing Competitive Advantages 14
G.   Developing a Strategic Focus 15
IV. Marketing Goals and Objectives 15
V. Marketing Strategy 15
A.    Primary Target Market 15
B.    Strategy 16
C.   Pricing Strategy 16
D.   Distribution/Supply Chain Strategy 16
E.    Integrates Marketing Communication Strategy 17
VI. Marketing Implementation 17
A.    Structural Issues 17
VII. Evaluation and Control 17
A.    Formal Controls 17
B.    Informal Controls 18
C.   Marketing Audits 18
References 20


 

  1. Executive Summary

The marketing plan for Barks and Recreation involves four components and will be implemented in two to three steps. The marketing plan is to increase customers, knowledge of the facility, generate more profit and increase sales. The profit will then be used to raise wages, maintain the facility, and put away money for an additional building.


 

  1. Situation Analysis
  2. The Internal Environment

Review of marketing goals and objectives

Barks and Recreation is aiming to gain more customer volume during the summer months, in day care numbers as well as overnight boarding. The business has many regular customers who use Barks and Recreation for their dogs, cats and other creatures, but the business is aiming to gain more new customers through social media, posters, packaging plans, and new customer promotions.

The goals of Barks and Recreation is to maintain the mission to provide excellent care and safety for pets while their owners are away. The customer’s peace of mind and the pet’s happiness are the number one concern for the business.

Review of current marketing strategy and performance

Currently, the business has a Facebook page that is mainly used to post pictures and videos of the guests staying at the facility. Owners can look at the page and have peace of mind that their pets are having a great time while they are on vacation.

Pricing is mainly based on type of animal, breed, and size. This is a daily, for daycare, or nightly, for boarding guests, charge. For instance, a rabbit would be $15 per night, while a Great Dane would be $28 per night. Daytime prices are the same for all dogs at $23. There are also options for baths and other grooming so that pets are clean when they return home as well as a few toy selections that owners can choose for their pets.

At this point in time, an owner can choose one of three packages for their dog or cat. These packages include playtimes, treats, and cuddles. The packages vary in pricing depending on how many activities and treats the owner wants for their animal. Currently, the only promotion that is available is a discount for current customers for referring a new customer. New promotions need to be added for Barks and Recreation to have a better chance to bring in more new customers.

There have been several ideas to add to Barks and Recreation to aid in gaining more business. For instance, offering a discount on activity packages to new guests may increase the purchases. Offering discounts on Facebook for boarding or daycare may also help with bringing in new customers.

Currently, on average, 65% of customers purchase activities, and 80% of those customers purchase the activity packages that are offered. Roughly 70-80% of dog owners whose pets stay more than five days purchase a bath before the dog goes home. Barks and Recreation provides food for dog and cat owners who choose not to bring food with their animal. The food chosen is a moderate brand of pet food with high nutrients and protein for a healthy diet. During the summer months and holidays, Barks and Recreation has a high profitability since these are the times that most families go out of town and on vacations. The demand and performance of this type of market is gaining speed and demand. More and more people trust the care of their animals with trained facilities.

Review of current and anticipated organizational resources

At this point, Barks and Recreation is currently pulling a significant profit during the busy holiday times, though it is believed that more could be made with a promotional aspect or two. Hopefully, with the implementation of a marketing plan, Barks and Recreation can improve the profits even more to help with maintaining the beautiful buildings and giving the employees raises they deserve. At this point, Barks and Recreation has four buildings to utilize and would like to add an additional yard and building in the future to accommodate more guests.

Review of current and anticipated cultural and structural issues

The business is doing very well by itself, but could use a boost from the aid of marketing. Though many have heard of and utilize Barks and Recreation loyally, there are many in the area that have never even heard of the business. It will be a great benefit to get the name to more in the area and increase knowledge and use of the business. In general, the owners try to work closely with the employees to maintain a happy, friendly, and successful atmosphere. The owners do their best to listen to the troubles of the employees and have a family mentality. Employees generally enjoy the work since they are all animal lovers, though the chief complaint is the pay. The owners are doing their best to come up with a plan to change this. The marketing strategy will be the first step towards a solution.

  1. The Customer Environment

Who are the firm’s current and potential customers?

Most of the customers who use Barks and Recreation are animal lovers who want the best for their animals. They range from the rich to the poorer, and usually those who live within three hours of either of the facilities. These people value their animals and want them to be cared for in the best way. There are about ten people who use the daycare on a daily basis, more than three days per week and thirty who use daycare weekly, once per week. There are around four to five hundred who use Barks and Recreation at least once per year for boarding, and around 50-75% of those use boarding twice or more.

The most profit comes from daycare and large or giant breeds in boarding. Though there is a small amount of profit from smaller breeds, the bigger dogs bring in more money. Even more profit comes from those who use daycare services during the day. When our employees are taking a potential customer on a tour, it is very helpful to point out all of the great things that Barks and Recreation offer. For instance, the employees point out the indoor and outdoor runs, which are open during nice weather so the dogs may choose to be inside or outside, large play yards for relieving themselves or for playtime, long walking trails for hiking, a spacious grooming center, and a group of employees who care deeply about all of the animals. By taking the customers around and showing them all of the amenities, it has shown that customers are more likely to choose Barks and Recreation for their pets and are also more likely to purchase activity packages for their furry friends.

What do customers do with the firm’s products?

Customers need a facility to take care of their pets while they are out of town or unavailable to care for them. Barks and Recreation provides that for the pet owners. It offers peace of mind that their pets are being taken care of as though the owners were home with them. Pets are treated well, are able to go outside, exercise, and they can socialize with other dogs. Owners can call in to make reservations or stop by the facility. In the works is an online reservation system where current customers can send in a reservation form, this will be especially helpful around busy holiday times or during times when the facility is closed, like nights or Sundays.

Where do customers purchase the firm’s products?

Customers purchase boarding, bathing, toys, treats, and activity packages over the phone or at the facility. Soon, Barks and Recreation hopes to have a site up and running where owners can make reservations, choose activity packages, bathing options and other items online with a form. Once this is done, everything will be confirmed when the pet is dropped off. Owners have a choice of prepaying when they drop their pet off or when they pick their pet up. Hopefully, with the online form, it will also encourage pet owners to prepay, which will be great for the facility.

When do customers purchase the firm’s products?

At this point, Barks and Recreation has never put out a promotional event, so there s no way to gauge how it will affect business fluctuations. There has been a plan to promote the business with a 20% off boarding for new customers through Facebook and an ad at the local mall and newspaper as well as a Facebook coupon for a free standard groom, which is a $25 value. During the market of these two promotions, which will last approximately three months, Barks and Recreation will keep numbers on how many of each promotion is used as well as together. This will give the business a good idea on how helpful promotions can be and which ones are the right ones to use.

For Barks and Recreation, the summer months and holiday weekends are the biggest and busiest time. Most of the summer, especially weekends, and nearly all holiday times, the kennels are completely full with even the overflow kennels. All the cat cages are usually taken as well as the “bunny spots” for the furry rabbits that sometimes come.

Why (and how) do customers select the firm’s products?

The main advantages that Barks and Recreation has against the competition are the four large play yards, the acreage for long hikes, and the ability to care for dogs that get along with other dogs, dogs who don’t get along with other dogs, as well as dogs that are aggressive towards people.

Most kennels and pet care facilities have all of the dogs housed together, and most other kennels, the dogs cannot be aggressive towards people because those kennels do not have the accommodations that Barks and Recreation does.

Why do potential customers not purchase the firm’s products?

The main reason people may choose another facility over Barks and Recreation is pricing. Some of the competition’s nightly rates are cheaper than Barks and Recreation, but these are usually the places that only accommodate dogs who get along well with other dogs and humans. Some people prefer to have an in-home sitter so their pet can remain in the comfort of the home.

Those who hear of us often call in or stop by to see and hear about the facility. The employees are trained in how to tell customers about the facility and accommodations in a way that gets all the important information as well as the many perks of choosing a facility like Barks and Recreation over another facility. The people who speak with us over the phone are likely to call other facilities to get a feel of all their options, while those who see the facility first hand often choose to make a reservation before they leave.

  1. The External Environment Competition

Barks and Recreation’s biggest competition is Hound Hotel and PawsNightly. Hound Hotel is a facility very similar to Barks and Recreation, they have about the same numbers of kennels, are located in a more city-like location and have a larger marketing budget. PawsNightly is much smaller, but the cheap nightly rates, since the dogs do not have separate kennels, maintain a steady profit and keep them in competition. Hound Hotel has a disadvantage when it comes to the outdoor facilities, though. They do not have separate outdoor runs for each dog; therefore the dogs do not get as much outdoor time at this facility than they do at Barks and Recreation. PawsNightly has a relatively large outdoor play area, but this facility cannot accommodate dogs who do not get along with people or dogs who do not get along with other dogs. Neither facility has the accommodations for pets other than dogs.

Economic Growth and Stability

According to a Forbes article written in 2016 about the Omaha Metro area, the general economic condition is fair. There is a median household income of $60,566, a low unemployment rate of 3.2%, and the cost of living is 6.1% below the national average. This allows for families to have the extra money to provide additional care for their pets when they go on vacation.

The pet care industry is fairly new and growing. According to “Pet Care Industry Analysis 2017- Costs and Trends” (2017), “65% of households in the United States own at least one pet.” The chart below shows the growth of various pet markets between 2015 and 2016.

Political Trends

The only political aspects that many boarding facilities are dealing with is the stigma and BSL laws that are affecting dogs deemed as “pit bulls” or “bully breeds.” Many states have banned laws surrounding these breeds, while other states have restrictive laws requiring additional insurance and muzzling. Nebraska has restrictive laws surrounding the breed. Barks and Recreation has a separate insurance policy allowing the facility to care for these bully breeds. Barks and Recreation also has an additional insurance policy that allows the facility to care for police dogs. The Nebraska Humane Society’s websites mandates at least $100,000 in coverage.

Legal and Regulatory Issues

In addition to the laws surrounding the bully breeds, there are not many federal/state/or local laws that pertain to animal care facilities specifically. Regulations for building size, maintenance, and capacity are regulations that all buildings and businesses must follow.

Technological Advancements

With advances of social media, Barks and Recreation has been able to reach many current and potential clients with photos, information and videos. Customers with pets who are at the facility can go to the page and see pictures of their pet. Potential clients can gain access to information about the facility, pictures, and a messaging system that allows them to reach an employee about specific questions. They also have access to an address, phone number, website, and a map. Customers have absolutely loved the addition of social media. They enjoy being able to see their pet enjoying themselves while they are away from home.

Another technology that has been a bonus is the addition of security cameras. This helps to ensure employees are treating the animals correctly as well as allow the owner to watch over the animals during the night from their bedroom. In addition, it also deters any unwanted burglars from coming onto the premises.

Sociocultural Trends

In recent years, the idea of an “outside dog” has gone and has been replaced by something many call “humanization,” according to the Pet Care Analysis article. This has brought in more people treating pets more like people. Pet owners are looking for higher quality dog food, accessories, medical care, and pet care; this is affecting the pet care industry, and all pet industries, in a very positive manner. This brings more profit to Barks and Recreation since pet owners are looking for someone they can trust with their beloved animal.

This means that the facility has a responsibility to care for these animals with the utmost importance. The customers expect their pets to be treated like royalty, and that is what Barks and Recreation is attempting to do. The industry is expected to expand more through the next few years, and Barks and Recreation is expecting to expand right along with it, putting the care of the customers animals at the highest importance.

III. SWOT Analysis

  1. Strengths

Strength 1: Can house 100 dogs, 14 cats, and up to 7 “others” as needed at full capacity.

Strength 2: Can house dogs of all shapes and sizes, including bully breeds.

Strength 3: Can house dogs of all aggression types.

  1. Weaknesses

Weakness 1: Still working on an active marketing budget

Weakness 2: Turnover of employees seems to be steady

  1. Opportunities (external situations independent of the firm—not strategic options)

Opportunity 1: Market for pet care is expanding

Opportunity 2: Great reputation among current clients

  1. Threats (external situations independent of the firm)

Threat 1: Hound Hotel and PawsNightly

Threat 2: Surrounding area is being bought and may have noise complaints from future neighbors.

 

E. The SWOTMatrix

Strengths:

 

Opportunities:

• Can house 100 dogs, 14 cats, and up to 7 “others” as needed at full capacity. • Market for pet care is expanding
• Can house dogs of all shapes and sizes, including bully breeds. • Great reputation among current clients
• Can house dogs of all aggression types, including police dogs  
Weaknesses: Threats:
• Still working on an active marketing budget • Hound Hotel and PawsNightly
• Turnover of employees seems to be steady • Surrounding area is being bought and may have noise complaints from future neighbors.

 

  1. Developing Competitive Advantages

The market for pet care is expanding, so Barks and Recreation can expand, too. Once enough of a profit is made, the business can go into planning a new building to house even more animals during the high demand seasons. Barks and Recreation has a great reputation among current clients and can use that for a little marketing and even to give back to the loyal customers. To do this, the business can run a standing promotion to give a monetary discount $25-$50 when current customers refer a new client to Barks and Recreation. This will give current clients an incentive to recommend the business to their friends and will help give back to the loyal customers.

Once a firm marketing budget is in place and a marketing plan has been formed, this could potentially bring a number of new clients to the facility and become one of the businesses best assets. As for the employee turnover, Barks and Recreation needs to work on employee pay, benefits, and payback to gain a strong and happy workforce to care for the facility.

  1. Developing a Strategic Focus

The focus for the marketing plan is to reach more potential customers to build on the base of loyal customers. Promotions, posters, and flyers will be a part of the plan. The business will try to reach as many people as possible in areas where there is the most pet ownership.

  1. Marketing Goals and Objectives
  2. Marketing Goal A:

Reach more people

(should be broad, motivational, and somewhat vague)

Objective A1: Gain at least ten new calls in the first two days

Objective A2: Gain at least 100 new customers in the first seven months

  1. Marketing Goal B:

Advertise Promotion

Objective B1: Have people bring in a flyer for 20% off first time boarding

Objective B2: Have people mention a promotion code for a free standard bath

  1. Marketing Strategy
  2. Primary Target Market

Pet Owners. Those who want the best care for their pets. The ones who pamper, spoil and love their pets as though they are members of the family. They buy the best food, toys and treats. These pet owners will have extra income to spend, will want the very best for their animals and can be reached at pet stores, veterinary clinics, and shopping centres.

  1. Product Strategy

Barks and Recreation is the brand name. The brand of dog food used is ProPac, a high quality pet food that has all natural ingredients and little fillers. The logo is still in designing, but the colors chosen are yellow, red, and green. Also offered are the grooming supplies that are used on premises, a variety of toys and treats, as well as activity packages for the pets.

  1. Pricing Strategy

Barks and Recreation compares to Hound Hotel and PawsNightly on the basic structure. Hound Hotel charges a flat rate of $25 per night, regardless of the size. Hound Hotel does not offer daycare or activity packages for the dogs. PawsNightly charges a cheaper rate at only $18 per night per dog, but they can only house 50 dogs. Barks and Recreation charges $22 per small dog, $24 per medium dog, $26 per large dog and $28 per giant dog. Customers get a discount on each additional animal they bring, and Barks and Recreation offers a multitude of activities for the dogs to participate in.

  1. Distribution/Supply Chain Strategy

Barks and Recreation has a great supplier of dog food, cat food, cleaning supplies and grooming supplies. Food is delivered every three weeks. Cleaning supplies are delivered once per week and grooming supplies every two weeks. Getting these supplies from the manufacturers has cheapened the cost to the business and created a very good relationship between the manufacturers and the business.

  1. Integrated Marketing Communication (Promotion) Strategy

The IMC strategy Barks and Recreation has come up with for an initial three months has a few components. First, on social media, there will be a sponsored, paid for by the business, offer for a discount of 20% off first time boarding and a free standard bath. Second, fliers will be made up and handed out at the local malls and grocery stores for a discount on activity packages. A sign will also be purchased at the local mall. Finally, there will be a discount on boarding to current customers for any referral they send that stays with the business or gets grooming.

  1. Marketing Implementation
  2. Structural Issues

The Facebook offer and current customer discounts will be implemented first, as they are the cheaper options. After one month of these discounts being offered, the fliers and sign will be posted. The sign will stay up for approximately five months.

Employee motivation and turnover rate will need to be addressed as soon as possible. Pay rates may need to increase to entice employees to remain faithful employees to the business.

VII. Evaluation and Control

  1. Formal Controls

Barks and Recreation needs to be sure to gain feedback from new and existing customers. Perhaps after an animal has stayed, Barks and Recreation sends out a feedback email to the customer for them to fill out, so the business can gain insight into what the customers feel and want changed. The target for the marketing plan is to increase the number of daycare animals, increase boarding dog’s activity purchases to 80% and increase grooming purchases to 70%. The budget for a successful implementation will need to be around $400-$700.

Employees will need to be trained for an influx of customers as well as execution of giving tours. Employee salary will need to be raised, especially for the people who help manage the business while the owners are not at work. This will aid in the turnover rate and compensate them for additional work with new customers.

Keeping track of the new customer volume will be imperative to derive on whether the marketing plan is successful. Barks and Recreation will also utilize the help of the customer satisfaction and feedback emails to aid in future changes.

  1. Informal Controls

Without the employees being committed to the animals, Barks and Recreation is likely to fail. The small number of employees were hired based on their love for animals and commitment to their happiness, instead of previous experience. Though this lengthens the training process, it has helped in the long run, by helping Barks and Recreation avoid those who are abusive, frustrated or just in the job for the money. Though employees have voiced concerns where their hourly rates are concerned, and Barks and Recreation has taken this into account and is moving to rectify it.

  1. Marketing Audits

Marketing activities will be monitored based on the promotion codes and call influx. To gain promotional offers, customers must be able to present the flyer or the promotional code. These will be tallied to keep track of how many new customers come into the business. The owners will be responsible for determining the final count on the marketing promotions. If the marketing aspect does not do well in one aspect, the business can always reconvene to come up with a better plan, though Barks and Recreation is fairly certain this new plan will be a great step to an increase in customers.

 

 

References

Forbes. (October 2016). Omaha, NE. Retrieved from

https://www.forbes.com/places/ne/omaha/

Franchise Help. (2017). Pet care industry analysis 2017 – cost & trends. Retrieved from

https://www.franchisehelp.com/industry-reports/pet-care-industry-report/

Metcalf, T. Chron. (n.d.). Marketing plan for dog boarding. Retrieved from

http://smallbusiness.chron.com/marketing-plan-dog-boarding-63851.html

NHS. (n.d.). Omaha ordinances. Retrieved from

http://support.nehumanesociety.org/site/PageServer?pagename=News_DangerousDogOrdinance

 

Standard

Clover Smartphones

 

Clover Smartphones

Katelin Harper

Bellevue University

 

Abstract

This paper sets up a SCOR model for a new smartphone company called Clover Smartphones. It goes over each step of the process: Plan, source, make, delivery, return. The paper also goes over each process that a company should consider when going through the SCOR steps. These are: customer relationship management, supplier relationship management, customer service management, demand management, order fulfillment, manufacturing flow management, product development/commercialization, and returns management. It defines these and why they are important to the overall success of the company. Finally the paper includes the next levels of the supply chain, which includes the geographical areas of the company.

Clover Smartphones

Clover Smartphones has come together and designed a new type of smartphone that runs a little bit differently than the rest. The new design and long-lasting battery has the potential to change the market of current smartphones. The company needs to put together a process and manufacturing plan to sell, distribute, and market the new phones to customers around the world. There are many ways to do this, but no matter which way it is done, the most important part of the plan will be the customers and catering to what they want and need in a smartphone company.

Having a successful and efficient supply chain will be extremely useful and imperative to have while Clover Smartphones begins to manufacture their product. From supplier to manufacturer to wholesaler to retailer to customer and back to supplier, a fast-paced, supply chain that runs smoothly will make the company a success, while a broken and unreliable chain will cause the company to fail. The article “Supply Chain Management” by Margaret Rouse, states that “supply chain management flows can be divided into three main flows: product flow, information flow, and finances flow (n.d.).” Product flow is the movement of goods throughout the chain to the customer and back if needed. Information slow involves orders and delivery status, while the financial flow involves credit, payment schedules, and other financial arrangements. Communication within and between everyone involved in the supply chain and processes is important for Clover Smartphones to implement a successful plan to distribute the smartphones to customers.

The article “Strategic Supply Chain Management” by Martin Murray states that “supply chain management operates at three levels: strategic, tactical, and operational (2016).” It goes on to say that strategic decisions for supply chains are relevant to entire organizations and the decisions reflect the overall corporate strategy that the organization is following. For Clover Smartphones, the strategy is to provide a state-of-the-art smartphone with a long lasting battery to customers around the world without using cheap materials, labor or suppliers that do not follow a strict code of ethics within the Clover organization. This affects the manufacturers Clover will use, suppliers, the employees and the products that are produced with the organization. The idea is to create something just as good, if not better, than the competition at an equal price, without cutting corners for Clover’s own profit.

Within the supply chain, there are quite a few processes that are required to implement within the organization for overall success. “The Supply Chain Management Processes” by SCM Institute outlines and defines each of these processes. The processes include: customer relationship management, supplier relationship management, customer service management, demand management, order fulfillment, manufacturing flow management, product development/commercialization, and returns management. Customer relationship management dictates how relationships with customers are developed and maintained. Clover Smartphones has a team of three members, solely dedicated to identifying customer groups and target audiences to market the smartphones to. In addition, there are two team members that work with this group and the customer service management group. The teams are dedicated to working with customers to improve efficiency and processes to maintain a positive customer experience from order to product delivery.

Supplier relationship management is how the company interacts with its suppliers. Just as the customer relationship is important, having a great relationship with suppliers is equally as important for delivery purposes and ease of negotiation. The supplier relationship team also works with the demand management team since supply and demand are often so closely related to one another. The demand process balances the customer’s requirements and desires to the capabilities of the supply chain. Working so closely will help Clover Smartphones minimize disruptions in the supply chain, as well as create an ease of predictions, making the supply chain of Clover more cost effective.

Order fulfillment involves activities to coordinate suppliers and customer orders. It also includes a process to minimize delivery cost while still meeting customer requests and also filling of customer’s orders. The final objective of this team is to develop a smooth process from supplier to organization to customer. The Clover team members involved in this process must work closely with all other team members to create a successful process.

Manufacturing flow management moves the products throughout the supply chain and implements and manages flexibility in the supply chain. This is the ability to develop and make a variety of products, in a timely manner, at a cost effective rate. This intense planning and execution also requires the Clover team to work closely with all other team members within the supply chain.

Product development and commercialization provides the actual structure and marketing plan to bring together customers and suppliers. The Clover team must work jointly with the Clover customer relations team to identify customer needs, wants and be able to select suppliers with the supplier relationship Clover team. With all of these Clover teams working independently but also very closely together, the supply chain will end up being a seamless and smooth running chain with very few kinks and disruptions.

In addition to these processes working together, there is also an easy way for the Clover supply chain to link all of its teams together to create an efficient working structure for the benefit of Clover Smartphones and the customers. This is called a SCOR Model. SCOR stands for Supply Chain Operation Reference Model. It simplifies a supply chain to: plan, source, make, delivery, return and provides an easy framework for supply chain improvement according to the article “The SCOR Model and Supply Chain Management” by Allen Malapit (2016).

The model is based on three principles according to the article: process modeling and reengineering, measuring performance, and best practices within the organization. The first level of the model is the core processes: Plan, source, make, deliver, and return. Planning processes relate to the supply and demand forecasting; it is used to maintain, improve and measure supply chain efficiency. Clover will produce the idea of this new model out into the market to gauge what the demand and interest is in the product, which will help Clover team members with initial forecasting in all the countries that Clover Smartphones is planning on manufacturing to.

Procuring goods and services to meet the demand planned for Clover Smartphones is the source step of the SCOR model. Managing the material, supplier network, inventory, performance, and agreements are all part of the source step. Clover is dedicated to supplying the best quality materials, and employing people at honest wages, in the US and otherwise. Suppliers must maintain the ethic code, which includes the prohibition of forced labor, child labor, excessive hours, safety, health, and many other guidelines. This will ensure that Clover Smartphones will be producing one of the best phones, with honesty, integrity without the scrutiny of using impoverished people to work the factories.

The product actually comes to life in the make stage. It is this stage in which the question of how to make the product and when to make the product is answered. For instance, Clover will make phones to stock, instead of making the phones to order, since customers will not have to wait for their phone if it is stocked in store. Clover will also decide on packaging, staging and releasing the phones to the public.

Finally, Clover must deliver on the product after carefully planning and creating an efficient supply chain and product. This step also involves customer service and all the teams in all the countries working together to provide the best product and experience possible to each and every customer. After that, the only other step is the process of returns if a customer is unsatisfied or a product has malfunctioned. Then, Clover will do their best to replace a malfunctioning phone or will find out from the customer what they can do to better the experience and support for the customer.

SCOR will also address the scope of the business process. Though no model can address and explain every single business process or interaction, there are a few overall scopes to be addressed. One of the most important is the customer interactions. The relationship Clover has with its customers can make the company a success or failure. Word of mouth travels fast, and it is good for business when customers are pleased and happy.

Another focus of the SCOR model is the defining scope, such as the geographical areas, the configuration of the supply chains and the key business activities within the supply chain. The SCOR model can also include a SWOT analysis to provide additional ideas for the company to consider. Clover is going to provide smartphones in the United States, Canada, Mexico, France, Germany and Australia. There are many challenges, but also many opportunities to provide a product in all of these areas; Clover will be more successful when they take the opportunities and threats into consideration and prepare for disruptions along the way. Analyzing the strengths and weaknesses within the company itself will aid in making additional changes to make the company run smoothly and efficiently.

 

 

References

Malapit, A. (5 July 2016). The SCOR model and supply chain management. Retrieved from

https://www.handshake.com/blog/scor-model/

SCMI. (n.d.). The supply chain management processes. Retrieved from http://scm-

institute.org/relationship-based-business-model/the-supply-chain-management-processes/

Rouse, M. (n.d.). Supply chain management. Retrieved from

http://searchmanufacturingerp.techtarget.com/definition/supply-chain-management

Murray, M. (18 November 2016). Strategic supply chain management. Retrieved from https://www.thebalance.com/strategic-supply-chain-management-2221231

Standard

Pricing

 

Pricing

Katelin Harper

Bellevue University

Abstract

Company X produces specialty tools. A customer, Mister Gulbrandson, has requested quotes for two separate tools. One is a portable flammable-gas sensing tool and the other is a self-contained radon measuring device. One manager has issued a suggestion as to the pricing of each. The following paper explores the accounting totals for each item, also taking into account Company X’s general profit markup of 25%. Target costs, unit costs, delivery and overhead are all taken into account as well.

PRICING

SKU A1 is a portable flammable-gas sensing tool and SKU B1 is a self-contained radon measuring device. The price ranges for A1 is between $315 and $365 per unit, B1 can range from $700 and $800 per unit. The manager of Company X believes that a quote of $335 for A1 and $725 for B1 will acquire Mister Gulbrandson’s order as well as lead to future orders. The manager has worked for the company for many years, but Company X should have the accounting data to back up the manager’s decision.

The price that a company charges has a direct effect on the success of a business. There are four basic rules a company should follow for pricing: Prices should cover all costs and profits; the most effective way to lower the price is to lower the cost; must review prices frequently to assure they are still in range compared to cost, demand, and competition; prices must be established to assure sales. If the price of the product does not cover costs, the cash flow will be negative and the company will fail. Breaking even will not sustain the business, as it needs to make a profit to continue business, so profit must also be calculated in the final price of the product.

The first step is to calculate the cost to produce each product. Starting with SKU A1, the graph below shows this cost. Raw materials for SKU A1 will cost $31 and parts will cost $15. This gives a total of $45 for cost of materials and parts. Next, costs add manufacturing labor, assembly labor, materials handling, production activity and delivery.

 

 

 

A1  
$31 Raw Materials
$15 Parts Cost
$46 Subtotal materials and cost
   
  Manufacturing Labor
$35 2.8 hours * 12.50/hour
  Assembly Labor
$52.20 3.6 hours * 14.50/hour
   
  Activity Based Cost
  Material Handling
$57.50 1.25 * $46
  Production Activity
$23.46 6.8 machine hours * $3.45/hour
  Product Delivery
$25.00 $25/unit
$239.16 Total Unit Cost

 

Company X typically has a 25% markup for profit. The manager’s offering quote was $335 for A1 so the target cost would need to be calculated by taking $335 divided by 1.25%, which equals $268. This will leave an additional profit of $28.84 on top of the 25% markup. This would be a profit of 40%. The same cost comparisons must be calculated for SKU B1. The following table shows these calculations.

B1  
$66 Raw Materials
$45 Parts Cost
$111 Subtotal materials and cost
   
  Manufacturing Labor
$77.50 5 hours * 15.50/hour
  Assembly Labor
$138.60 8.4 hours * 16.50/hour
   
  Activity Based Cost
  Material Handling
$138.75 1.25 * $111
  Production Activity
$97.98 28.4 machine hours * $3.45/hour
  Product Delivery
$31.00 $25/unit
$594.83 Total Unit Cost

 

The manager’s quote for B1 was $725. With the 25% profit markup, the target cost for this product would be $580, calculated by taking $725 divided by 1.25. The total unit cost is higher than the target cost. This will result in a loss of around $15 per unit. Despite this, Company X will still be making money. The target cost of $580 includes the 25% profit markup. Company X will be making about 22% profit on this product; it will not be able to make the desired 25% profit on this item.

When SKU A1 brings a profit of 40% and SKU B1 brings a profit of 22%, they average out a profit of 31%. The total income of both products is calculated by multiplying the units sold by the profit percentage and then add them together. A1 26,500 multiplied by 40% equals $10,600. B1 18,500 multiplied by 22% equals $4,070. Added together the total profit equals $14,670.

The next step will be to calculate overhead for all products. Overhead is calculated by adding the following: total materials and parts times the handling cost of those materials; total machine hours times the price per hour of the machine; and delivery costs of the units. Total materials and parts for A1 and B1 are 157. Multiply that by the cost of handling, which is $1.25 equals 196.25. There is a total of 35.2 machine hours multiplied by $3.45 cost of the machine per hour which equals 121.44. Total delivery for A1 and B1 equals 56. When all totals are added together, the total overhead cost is $373.69. Total overhead for each individual product equals total overhead cost divided by total units then multiplied by total units of each product. A1 total overhead is $220.10. B1 total overhead is $153.61. Finally, adding together all subtotals, the company is able to calculate the total cost of the item, including the overhead. Total cost with overhead for A1 is $353.30. Total cost with overhead for B1 is $480.61.

The last step for Company X to decide how to price both products will be to look at competitor’s prices. For example, if all the competitors are charging $300 for A1, that is what Company X should charge. On the other hand, if other competitors are charging $350 forA1, Company X should remain at $335. This will entice Mister Gulbrandson even more into buying Company X’s product, and will be beneficial since Company X will still be making a 40% profit.

The accounting statistics have been presented and management will now have to go through a decision-making process. Company X can make a smaller percentage of profit to win Mister Gulbrandson’s business or Company X can increase the price of B1 to meet the desired 25% profit, but may lose Mister Gulbrandson’s business. Keeping the original selling cost estimates may lose some money at first, but will gain more business in the long run.

 

References

Accounting Coach. (n.d.). Activity Based Costing | Explanation | AccountingCoach.

Retrieved from http://www.accountingcoach.com/activity-based-costing/explanation

Entrepreneur Staff. (n.d.). Pricing a Product. Retrieved from

https://www.entrepreneur.com/encyclopedia/pricing-a-product

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Income Statement

 

Income Statement

Katelin Harper

Bellevue University

Abstract

The following paper compares the 2012 Income Statement to the 2013 Income Statement. With predictions from various departments of Company XYZ, a projected income statement is determined and compared. Earnings, profits, expenses and other various factors are all taken into account and compared.

Income Statement

Using previous income statements, management is able to make an accurate prediction of future income, expenses, net income and earnings per share of stock. It is often used alongside the balance sheet. This will allow them to judge whether or not the company is making good financial decisions.

The Gross profits are expected to increase from $1,425,000 in 2012 to $1,536,500 in 2013. This is an 8% gain expected by sales and a slight increase in cost of sold goods. This is a great job of Company XYZ, increasing revenue but also keeping expenses in check.

Depreciation is expected to decrease in 2013, which brings operating expenses to $660,000 from $675,000 in 2012. With the increase in gross profits and the decrease in expenses, the net operating income will also be affected. In 2012, net operating income was $750,000. In 2013, it will increase to $876,500. Other income is projected to be zero in 2013 as opposed to $20,000 in 2012. Pretax Earnings will increase from $710,000 to $816,000.

Deferred taxes decreased 15% in 2013, resulting in an increase in net income after taxes. Net income after taxes will increase from $426,000 to $551,100 in 2013. Management also decreased dividends by 10% for 2013. If company XYZ had paid the same amount of dividends in 2013, the company would still earn $346,100. Management would still have been able to pay the higher dividends in 2013 and earned a profit, but with the smaller dividend payment, Company XYZ earned $356,200.

A budgeted income statement is not the only deciding factor of the future. Business trends, technology, and other information also have significant effects on the overall forecast for Company XYZ. Management must remain aware while monitoring changes so Company XYZ can plan and prepare accordingly for the future success of the company.

Income Statement XYZ

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Project Management C4P3 Assignment

Section One – to be completed by the requestor

  1. General Information

Project Name RFID Implementation

Project Number 123456

Project Manager Name Katelin Harper

Date of Report May 31 2017

Sponsor Name: Geiger Foundation

  1. Project Overview

Describe the final product or service of the project, the reason the project was undertaken, and the purpose of the project. Include a description of the business problem that was solved by implementing this project.

The project saves time and money, and will continue to increase revenue over the next several years. The system allows the workmen and managers to know where all items are, where they are going and what the items are doing in real-time. The RFID readers “hear” the RFID tags and save workers the time of scanning the barcode of each item. Operators also do not have to position palates in certain ways to appease the barcode scanners. Shipping accuracy has increased significantly since the RFID Implementation.

Many companies that this organization works with have started to require all suppliers to utilize RFID, which is why the upgrade was needed. It was also a great opportunity to upgrade and optimize tracking information.

III. Project Goals and Objectives

Identify the goals that were met during this project and compare them to the goals on the scope statement.

The timing of the project was on schedule, it did in fact take about one year to install and complete the system change for the RFID usage. By implementing the RFID technology when the company did, they were able to stay ahead of the deadline of the clients. Since the project started the deadline was placed at August 1, 2017. The company has completed the project and is three months ahead of this deadline and does not have to rush to complete the hard task in little time. RFID technology has, in fact, saved time and has increased accuracy of orders. With the help of the Geiger Foundation, the company was able to attain all the materials and employees necessary for the project to be a success with little use of the contingency funds. Those funds will be put toward maintaining the RFID system in future years.

 

  1. Project Deliverables and Milestones

Identify the major deliverable or milestones met, their due dates according to the final plan, their actual delivery dates, and stakeholder acceptance dates.

The RFID system was fully installed one week ahead of schedule, giving the team another week to begin testing. Testing took one month longer than expected. The projected finish date was the beginning of May, the actual completion date being May 27. The Geiger Foundation was very happy with the completion of the project and the advertising we have done in exchange for their generosity. The company looks forward to working with the Geiger Foundation on future projects.

  1. Project Budget

Give a final overview of the project budget and variances from the budget.

The original cost estimate was $330,200, with $100,000 being provided by the Geiger Foundation, and excluding the contingency funds of $50,520. Additions on May 13 of last year increased the cost estimate to $370,200 and raised the contingency funds to $54,520. The budget was used and only $7,000 of the contingency funds was used.

  1. Quality Assurance

Document acceptance of the quality criteria and inspections.

All employees went through trainings with professional RFID trainers and all passed remarkably well. The new employees melded into the workplace and the testing process of the system, though it was long, turned out a success.

VII. Comments

Include any information that reminds stakeholders of agreements made concerning deliverable that were moved to phase two of the project, major problems that were encountered and how they were resolved, risk events that need further explanation, and so on.

Sponsors and stake-holders should understand that this is an investment that has a 6.5 year payback period. No major problems were encountered, and small issues were resolved by Hanniger, Warden or Winchester who are entirely capable managers.

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LottaFizz Corp

 

 

 

 

 

Strategic Planning for LottaFizz Corp.

Katelin Harper

Bellevue University

Abstract

This paper goes over different strategies and tools for a global business for the soda company LottaFizz. Planning and preparations will be discussed. As well as analyzing different factors such as advantages, disadvantages, risks and benefits. Balancing local and global business will be discussed, as well as SWOT analysis.

Strategic Planning for LottaFizz Corp.

Taking a business to a global level is a huge process that will bring new opportunity and experience to a business. It has to be done in steps with strategic planning, analysis of risks,  and taking care not to cut corners or skip steps. LottaFizz Corporation has the potential to go global, as long as the company is careful and has a strategic plan set in place.

There are quite a few advantages to expanding a business globally, a gain in overall capital being the most prominent. The increase in finances and the growth of the business also sends a message to the owner that they have succeeded in their initial business idea. Gaining relationships with those of another culture and country is also a huge gain for the business. This means that new allies have been made and the company is also learning more about different people and cultures which can be very helpful in the future, when opening another location or expanding where production takes place.

In an article called “International Expansion: Do Opportunities Outweigh Challenges?” by William Edwards, there is a long list of advantages and disadvantages. One of the more unexpected advantages is that a company can gain a competitive edge by bringing new ideas from the international business, and in contrast there is additional cost to training across many different time zones. Another statement Edwards’ article makes is this, “do not expect to make money for a few years. This is an investment.” This is something to consider when planning a strategy for a global business (Edwards, 2008).

The article “What is global strategy? And why is it important?” by global-strategy.net defines each type of strategy a company can use. Global strategy is when a company balances business between the home base company and all other markets available. When a company implements a multi-national strategy, this means the company is involved in other countries in specific markets. The biggest difference with a multi-national strategy is that the competitive advantage is calculated for each different country the business is involved in. International strategy is when the home base company is the prominent business, with a few oversea activities (global-strategy.net, n.d.).

Global strategy is important to LottaFizz Corp because there is a great opportunity for the brand to grow and produce profit, though going global will bring many costs to the company. For instance, to go global, a company like LottaFizz will need manufacturing plants in low-cost countries, there will need to be branding and advertising done to get the product out on the consumers radar, patenting, etc. Though each of these will cost money at first, eventually they will bring in profit as the LottaFizz brand continues to grow in other markets.

Advertising will be an important aspect for LottaFizz’s success. In the book, “For God, Country & Coca-Cola: The Definitive History of the Great American Soft Drink and the Company that Makes It” by Mark Pendergrast, it was described that Coca-Cola went from selling 20,000 gallons of soda in 1891 to selling 35,360 gallons in 1892. “The key, as Candler and Robinson soon demonstrated, was advertising (Pendergrast, 2000).”

It goes on to say that over half the money Coca-Cola spent, was on advertising in signs, calendars, novelties and newspaper ads.

Although advertising is a cost of expanding, it is also a benefit. In the article “Benefits of Advertising” by benefitof.net explains a few benefits that advertising has on a business. Three important benefits are: customers, sales, and attitudes. Advertising gets the word to the most important people of the business, the customer. It gets the information to the customers and increases the number of customers to the business. Advertising will improve sales and can even change customers attitudes toward the product. All of this, in turn, creates profit for the business (benefitof.net, 2009).

Balancing the local and global business is very important, and often a difficult task for any business to undergo. In fact, in the article “How do you balance global and local?” Richard Lynch states, “Some strategists have pointed out that very few companies truly have a global strategy in the sense that they are present equally in all markets around the world (Lynch, n.d.).” He goes on to demonstrate that the best tool for businesses to use is to categorize the need for different aspects by whether the need is “low” or “high” vs. the benefits of opportunities “low” and “high.”  Lynch alludes to the fact that the balance will depend solely on the strategic context and needs of the specific company (Lynch, n.d.).

The value proposition of the company should remain mostly the same, whether LottaFizz operates locally or globally. A value proposition, as defined by Michael Skok in the article “4 Steps To Building A Compelling Value Proposition,” is “a positioning statement that explains what benefit you provide for who and how [a company] does it uniquely well (Skok, 2013).” A value proposition for a business like LottaFizz shouldn’t need to change, but LottaFizz may want to think about what benefit the company provides.

Most soda industries (Coca-Cola, Pepsi, Dr. Pepper, etc.) also produce their own brand of bottled water. LottaFizz should think about the possibility of adding a bottled water to the line of products, since bottled water has become so popular.  According to the book “Bottled and Sold: The Story Behind Our Obsession with Bottled Water” by Peter H. Gleick, people have become more and more obsessed with bottled water over the past years. Bottled water has become a huge selling product for Coca-Cola and PepsiCo. (Gleick, 2010).

Gleick states:

Every second of every day in the United States, a thousand people buy and open up a plastic bottle of commercially produced water, and every second of every day in the United States, a thousand plastic bottles are thrown away. Eighty-five million bottles a day. (Gleick, 2010, p. 1X)

Before LottaFizz gets too ahead of itself in the global strategy and market, the company should perform a SWOT analysis to identify the strengths, weaknesses, opportunities and threats of the company. It will help begin the process of formulating the global strategy for LottaFizz. According to the MindTools article “SWOT Analysis:

Discover New Opportunities, Manage and Eliminate Threats,” SWOT can be used specifically to identify opportunities that the company “is well-placed to exploit (MindTools, n.d.),” like bottled water. The entire SWOT process entails making a spreadsheet with sections for strengths, weaknesses, opportunities and threats. The article provides helpful questions for the business to consider.

LottaFizz could potentially make the global strategy be very successful. It may help to use an international strategy and a multi-national strategy as stepping stones toward a complete global strategy. LottaFizz will need to take a step-by-step course of action and be sure to utilize tools for the success of their business strategy. With the right tools and preparation, LottaFizz Corporation has prominent opportunity to be successful with a global strategy.

 

 

 

 

 

References

Benefitof.net. (2009). Benefits Of Advertising. Retrieved from

http://benefitof.net/benefits-of-advertising/

Edwards, W. (2008). International Expansion: Do Opportunities Outweigh Challenges?

Retrieved from http://www.franchise.org/international-expansion-do-opportunities-outweigh-challenges

Gleick, P. H. (2010). Bottled and sold: The story behind our obsession with bottled

water. Washington, DC: Island Press.

Lynch, R. (n.d.). How do you balance global and local? Retrieved from

http://www.global-strategy.net/how-do-you-balance-global-and-local/

MindTools. (n.d.). SWOT analysis: Discover new opportunities, manage and eliminate

threats. Retrieved from https://www.mindtools.com/pages/article/newTMC_05.htm

Pendergrast, M. (2000). For God, country, and Coca-Cola: The definitive history of the

great American soft drink and the company that makes it. New York: Basic Books.

Skok, M. (2013, June 14). 4 steps to building a compelling value proposition. Retrieved

from http://www.forbes.com/sites/michaelskok/2013/06/14/4-steps-to-building-a-compelling-value-proposition/#2715e4857a0b24b20d491f2c

 

 

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Six Sigma

Six Sigma Tools

Katelin Harper

Bellevue University

Abstract

This paper is an analysis of a business issue provided. With six sigma tools being very helpful and important in business, these will be used to help identify, analyze and solve Company J’s problems within the business. With six sigma tools being used, Company J’s problems will be identified and hopefully lead to changes to better the business.

 

 

Six Sigma Tools

Company J manufactures refrigerant condensers for use in window air conditioners. A JIT (just-in-time) production strategy was issued one year ago to improve Company J’s ROI. Although ROI has increased by thirty percent, in the last six months, customer complaints have increased twenty percent and sales to the largest three customers have dropped fifteen percent due to late shipments and higher defect rates. This is a visual representation of what has happened since the JIT production strategy was implemented:

Drawn by Katelin Harper

The first step to take with this issue will be to determine the root cause of the issue. The best and easiest way to determine the root cause is to use the “5 Whys” tool. According to the article “Determine the Root Cause: 5 Whys,” this process can be most useful when human error is involved and is easier to use because it doesn’t require advanced statistics or a data collection plan (isixsigma, n.d.).

The 5 Whys method involves starting with a question or problem and ask “why” until the root of the problem is reached. In this scenario, there are actually two problems that need to be addressed: why have customer complaints increased twenty percent and why have the three largest customers switched to other producers.

Why have customer complaints increased twenty percent? Answer: Shipments are consistently late and there has been an increase in defective products. Why are shipments late? Answer: Production cannot manufacture quantities needed to fill incoming orders. Why is production having issues with the quantities? Answer: The JIT production strategy that is in place causes employees to only receive materials when needed as opposed to having a surplus of materials on hand.

Why has there been an increase in defective products? Answer: Employees state that the JIT strategy has forced them to cut corners. Why do they feel this way? Answer: Employees state that the tighter production schedules that the JIT production strategy has caused are to blame. It seems the root cause of customer complaints stem from the implementation of the JIT production strategy. The next problem to analyze is the issue of sales to the largest customers.

Why have sales to the three top customers declined by fifteen percent? Answer: They have shifted their purchasing to other producers due to late shipment and increased defective rates. In the previous analysis, it was determined the root cause of the late shipments and defective products were due to the JIT production strategy being implemented.

The 5 Whys method is a great method to use as a simple way to determine the root cause of an issue in a business setting without advanced statistics or complicated data collecting. The 5 Whys can give an insight into multiple issues caused by the same problem as seen in Company J’s situation. In addition, 5 Whys analysis is best used to get to the root of a problem quickly, according to the article “5 Whys Getting to the Root of a Problem Quickly” written by the website MindTools. The article states, “You can use the 5 Whys in troubleshooting, quality improvement and problem solving, but it is best for simple or moderately difficult problems (MindTools, n.d.).” Company J’s problem is fairly simple to diagnose when all the facts are taken into consideration, and this is made easier to do with the 5 Whys analysis. Company J’s solution to their problem may take some adjusting in the next few months, but the problem can be fixed.

At this point in time, it may be beneficial for the company to do one of two things. One solution would be to scrap the JIT production strategy and resort back to the production schedule that was in use previously. Another solution would be to talk to the employees of the company and find out which materials need to always be on hand, and which materials are not needed on hand and can be ordered only when needed. This option would be beneficial to the shipping department, production department and would also benefit the Chief Operations Officer’s desire to increase the Return on Investment of Company J.

 

 

 

 

 

 

References

iSixSigma. (n.d.). Determine the root cause: 5 whys. Retrieved from

http://www.isixsigma.com/tools-templates/cause-effect/determine-root-cause-5-whys/

MindTools. (n.d.). 5 whys getting to the root of a problem quickly. Retrieved from

https://www.mindtools.com/pages/article/newTMC_5W.htm

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Non-Profit Organization

 

Non-Profit Organization

Katelin Harper

Bellevue University

Abstract

This paper goes over a social media implementation plan for a non-profit food bank with national and statewide organizations. The paper looks at the goals of the organization, issues that may have to be addressed, helpful social media applications and how the organization can measure the success of the strategy. The paper identifies specific social media applications that can be used to benefit the specific organization.

 

 

Non-Profit Organization

The national non-profit food bank would like to implement a social computing strategy to use social media to spread the word of the food bank to people who need their services, to those who could potentially be donors, and volunteers. The organization also wants to use social media to keep connected to all the state food banks, current volunteers, workers, donors, partners, and spread the word about the organizations out to the general public.

Along with social media, the organization will have to address certain issues that may arise regarding policy, social media outlets, and time management. The national organization should update the current social media policy they have, which at this point focuses on blogging. Social media has grown into much more than just blogging, with people using it in their everyday lives. The organization should be very clear about what is allowed on the “group organization” page as well as any personal pages of those involved with the organization. Another issue that comes with implementing a social media policy is which social media outlets will be beneficial for that organization to use.

Facebook is free for the most part and is easy to use. There are also 500 million users on Facebook, according to the article “GOING SOCIAL Tapping into Social Media for Nonprofit Success.” Facebook is a great way to build awareness, as well as an easy way to gain new supporters, donors and volunteers (Convio, n.d., p. 4).

There are many things that can be accomplished over Facebook for a non-profit organization. First, it can be another way that the members/volunteers of the group can stay connected. An organization can create a private group for the organization (at a national or state level) which can make it easier to get messages to the entire group. There can also be public pages for the general public to see upcoming events and places for the non-profit organization.

YouTube would be great for spreading the word along with Facebook. First, the organization can make some short videos about what they do, people they’ve helped (with permission), and ways the public can be involved. Then, they can link these videos and share them on their Facebook page as well. It can stir up conversations and people can see what impact the organization has had on people in need.

If the organization can get some donations from exposure, putting a few ads on Spotify or Pandora may raise awareness to those who listen to music more than watch videos or read posts on Facebook. It could get the news and information to even more people in the area or even around the world.

Many posts on Buzzfeed go viral, especially for small organizations making a difference in the world. The organization could write up an article about the organization and some stories of the people they have helped in the past. This can be a way to get even more awareness out there, maybe even to some of those people who are in need of help. This, too, can create conversations among people and can raise awareness.

Time management will be an important aspect for the organization to take into consideration. The organization should decide exactly the amount of time they wish to dedicate to running the social media applications. This will also affect the number of applications the organization can decide to use. It would be no help to the organization to have a YouTube account, but never have the time to update and add videos to it.

When implementing social media, there are some topics that need to be taken into account. The national organization needs to decide the content that will be shared on social media, as well as be sure to educate those who are posting on behalf of the organization on how to use words professionally, so the tone and content is not misinterpreted by the general public. Professionalism is very important for an organization to stay within the good graces of the audiences they serve.

The best recommendation for measuring the success of the social media strategy will be to perform some quantitative research. The YouTube video “Qualitative vs. Quantitative” helps to explain what quantitative research involves. Quantitative research examines the relationship between independent, dependent and extraneous variables. The research deals almost explicitly in numbers. Quantitative research is purely statistical and involves mainly crunching numbers from the surveys and questionnaires (ChrisFlipp, 2014).

The national organization could take past donation reports and attendance reports (from events) and compare them before social media and after social media. If the social media strategy is successful, the national organization should see a definitive increase in donations and event attendance.

In conclusion, a social media strategy should be very helpful for this organization to reach out to the public as well as keep in contact with all of the current members. It is important for the organization to look at their social media policy, take into account issues that may arise and how they can measure the success of their strategy.

 

 

 

References

ChrisFlipp. (2014, Jan 15). Qualitative vs Quantitative . Retrieved from https://www.youtube.com/watch?v=2X-QSU6-hPU

Convio. (n.d.). Going social tapping into social media for nonprofit         success. Retrieved from     https://cyberactive.bellevue.edu/bbcswebdav/courses/FFPS418-03XA_2161_M02/New%20Comm%20Strategies%20%20Going%20Social%281%29.pdf

 

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Economic Management C2P2 Assignment

10-K QUESTIONS

  • What is the total dollar amount of assets and where did you find this information?  Identify some of the assets listed and explain what these assets represent.

The total dollar amount of assets is $7380 (all amounts are in thousands). The assets are broken down into current assets, fixed assets, and other. Current assets total $3306 and are comprised of cash, accounts receivables, inventories and other. Cash totals $1699, accounts receivables totals of $502, inventories totals $899, and other totals $206. Fixed assets have a total of $3996 and are comprised of land and buildings, machinery and equipments, furniture and fixtures, vehicles and a subtraction of $866 for depreciation. The final category included is “other”, on the balance sheet and the notation given states that these include certain leases.

  • What is the total dollar amount of liabilities and where did you find this information?  Identify some of the liabilities listed and explain what these liabilities represent.

The information for the total amount of liabilities is found on the balance sheet. The total amount is $3127. The categories included in the liabilities are current liabilities, (with subcategories of: accounts payable, short-term notes payable, and accruals and other current liabilities), and long-term debt. Accounts payable totals $303, short-term notes payable totals $1280, accruals and other current liabilities total $129. The total for current liabilities equal $1712. Long term debt totals $1415 and is added to total all liabilities.

  • What is the ending retained earnings balance and where did you find this information?  What does this retained earnings represent?

The ending retained earnings total $375. This can be found on the balance sheet under “stockholders’ equity.” Retained earnings represent what is owed to stockholders, but are being held by the company to aid in future growth.

  • What stockholders’ equity accounts are included and on the balance sheet?

Stockholders’ equity includes preferred stock, common stock, paid-in capital in excess of par on common stock, and retained earnings. Preferred stock totals $233, common stock is totaled at $1000 and represents the amount of share price that is over the share value of $10. Paid-in capital totals $2645 and retained earnings totals $375 for a total stockholders’ equity of $4253.

  • What is the total dollar amount of revenue and where did you find this information?  Explain what is included in the revenue of this company.

The total amount of revenue is $2575. It can be found on the first line of the income statement. Revenue is money earned for the sale of products and services.

  • What is the total dollar amount of expenses and where did you find this information?  Explain what is included in the expenses of this company.

Expenses are on the income statement. The total operating expenses total $675, total of interest expense is $60 and taxes total $284 all adding up to $1019.

  • Which financial statement do you personally feel gives you the most information?  Why?  Your response to this specific question should be at least 100 words.

I believe both financial statements have a substantial amount of information for different parts of Company XYZ. At a glance, the income statement can tell you how much revenue and expenses the company has, which aids greatly for a potential donor or stock buyer. Though if a person wanted to look at what the company has in assets and stock, they would need the balance sheet. Personally, I believe the income statement has the most information that I would want to look at, since I would be able to see the total revenue and expenses with ease, but to get an entire picture of the company, a person would need both the balance sheet and income statement.

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Intelligence Report

Intelligence Report: New Building

Katelin Harper

Bellevue University

Table of Contents

 

Abstract 3
Background   4
Research   4
Analysis   7
Conclusion   8
References   9

Abstract

This paper is an intelligence report describing the benefits of constructing a new building. It includes background on the business, steps the business should take as well as advice for how to go about constructing a new business. There is also a diagram representing what the building should look like.

Intelligence Report: New Building

Background

Mark and Callie Sloan run a successful boarding and day care for dogs, cats and other small pets, which we will call “Carson’s”. At their home is an office, two buildings with a total of 44 kennels for dogs, a room in the basement with cages for eight cats, and a grooming building with seven suites for dogs or dogs and cats together. Business has been very good, with an increase of profit of 10% from last year. Holidays and summertime offer a significant increase of business against the winter months, as people tend to travel during summer and holiday time.

Other competition seem to be competing well with an up-and-coming idea of free roam dog-only facilities, where all the dogs are free to run around as they please in an open room together. This can offer cheaper boarding and more exercise, but they can only board dog-friendly dogs and no cats.

While cash-flow is steady, most of it goes toward keeping the business running and paying the small group of employees who work there. Carson’s is working on gaining more revenue through offering activities for dogs and cats, but not many people are signing their animals up. Carson’s is also experimenting with some Facebook ads, as well as advertising discounts on its’ own Facebook page. Carson’s is able to differentiate from the competition by being able to kennel aggressive and security dogs, as well as cats and other small animals.

Mark and Callie are also trying to gain more grooming clientele, as well as offering more products for clients to buy. Carson’s is saving money to hopefully construct a new building with a play area for the dogs during hot and cold seasons.

Research

Carson’s is unique in that Mark and Callie have made contracts with local law enforcement. Mark and Callie have an adequate facility to board all police dogs, as well as pit-bulls, which have special laws against them. Mark and Callie have the insurance needed, as well as additional liability insurance to board “vicious” dogs. The article “Running a Boarding Business” on Equine Legal Solutions website offers a great deal of information about all of the insurances a boarding facility needs to know. Though the website is geared towards Horse Boarding, it still offers information that can be put to use for Dog Boarding (Equine Legal, n.d.).

Another licensing issue Mark and Callie must be aware of is if they must be registered with APHIS (Animal and Plant Health Inspection Service). This service upholds the Animal Welfare Act, last amended in 1990.

According the APHIS website, “Licensing and Registration Under the Animal Welfare Act”:

Anyone housing animals for others is exempt, except for intermediate handlers and holding facilities. You must be registered as an intermediate handler if, as part of your services, you receive shipment of regulated animals traveling on public carriers. You have to agree in writing to observe USDA’s standards of animal care if you operate a holding facility meaning that you board regulated animals for licensed dealers or research facilities. APHIS inspects regulated animals in holding facilities to ensure that they receive the required care; dealers or research facilities need prior APHIS approval to board regulated animals with you (1992).

One of the most important steps in constructing a new building is making sure the business has the correct insurance to cover anything that may happen on the property. I found a helpful article on the Scarborough Insurance website called “The Insurance Basics of Constructing a New Commercial Building” (2015) that indicated business owners to obtain insurance, or be sure that their current insurance is enough to cover any injuries or other unforeseen circumstances. The site also recommended that once the building is completed, owners should have permanent insurance coverage on the new building (Scarborough, 2015).

Another step is to be sure employees and construction workers are aware of the many different rules that will apply. For example, employees will need to be aware of any hard-hat zones, or places that will be off-limits while the building is being constructed. Construction workers will need to be aware that all gates on the property must never be left open, as well as not to pet any animal present on the property for their own safety. Taking this step to inform all present of these rules will help ensure everyone is safe while doing their various jobs.

Before Carson’s begins construction, the business owners must be aware of any permits, inspections, or regulations that are needed or are in place before beginning construction. For example, I spoke to Callie Sloan, one of the owners and she stated, “Since we are not currently within city limits, the business does not have to have a permit to build on the property, and as long as we have the water and electric lines inspected before the building opens, everything is fine (personal communication, June 30, 2015).”      

Analysis

If Mark and Callie can gain more revenue through activities, coupons, ads, products, and grooming clientele, they can save enough money to construct their new building. One action would be to increase boarding costs by two dollars and place that extra revenue into the savings for the new building. If Carson’s promoted activities perhaps on Facebook with some coupons, the business could generate some extra money for the new building there as well. Another recommendation would be to advertise the grooming department on Facebook, to get more grooming clients in from our competition. With more grooming clients, we can generate more savings for the new building.

In my opinion, this new building would have a new indoor play area for hot and cold seasons, when the weather is too extreme for dogs and people to be outside. The building would also add kennels to our facility for the summer and holiday seasons when we are often at or over capacity. My rough diagram can be found in Figure 1.

As you can see, the figure shows a large play room for the dogs, with a circulating watering hole in one corner for playing or drinking. A hallway surrounds the play room, and then seventeen extra kennels surrounding. Each kennel has a dog door on a pulley system to let the dog into an individual outdoor run that is approximately six feet wide and ten feet long. The building also offers a small storage space for food bowls, water bowls, blankets, and other needs.

Figure 1. Rough Diagram of New Building. This figure illustrates my vision of the new building in a rough diagram.

Conclusion

             In conclusion, I believe that gaining more revenue through activities, coupons, ads, products, and grooming clientele, they can save some money to begin to construct a building that includes kennels and a large indoor play area. Following the correct legal, insurance, and regulatory steps will ensure a safe environment for all involved. Constructing a new building will give Carson’s a great place for extreme weather playing as well as generate more revenue with the extra kennels.

References

APHIS. (1992). Licensing and registration under the animal welfare act. Retrieved from

Click to access awlicreg.pdf

Equine Legal. (n.d.). Running a boarding business. Retrieved from

http://www.equinelegalsolutions.com/runningaboardingbusiness.html

Scarborough Insurance. The insurance basics of constructing a new

commercial building. (2015, February 6). Retrieved from http://scarins.com/the-

insurance-basics-of-constructing-a-new-commercial-building

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