Business Strategy Assignment On Issues Faced By Spark

Question

Task: This assignment allows you to identify a business issue (or opportunity) that interests you, explore the reasons why it is an issue (or will be an issue in the near future), and design a business strategy to resolve it.

"Apply selected elements of the global change scenario to a real business leadership/management issue, and design a strategy that leverages a business professionalism perspective selected by the learner."

Approach
This purpose invites you to select aspects of the topics we have been studying and use them to create a fresh approach to the business issue. This is your chance to demonstrate your strategic thinking, and your ability to look for new solutions.

A business strategy in this instance is a high-level plan to achieve one or more objectives in conditions of uncertainty: "the means by which [the business] sets out to achieve its desired ends (objectives). It can simply be described as a long-term business planning. Typically, a business strategy will cover a period of about 3-5 years". Therefore, in thinking about the business or organization and its issue/s,you will need to decide what are the objectives (preferably SMART) of your strategy, before going on to present a concise plan of how these objectives will be met, and how they will be measured.

Format Specific requirements to be advised. An infographic approach (such as using a chart or process model) may be included if it helps to clearly show your plan, but the emphasis should be on a written rationale.

Answer

Introduction
The concept of business strategy explored in the business strategy assignment refers to the action and process taken by a business organization to mitigate the issue of competitiveness. It also depicts the tactics by which business full fill its objective and beats competitors to make a considerable profit (Bashir &Verma, 2017). The present business strategy assignmentfocuses on the identification of the business issue of Spark New Zealand and providing a basic plan for mitigating that issue. Opportunities and strength that can help the business to reduce the problems are also going to be discussed in this business strategy assignment.

Background of the business strategy assignment
Issues:
Spark is the most renownedtelecommunication organization in New Zealand. The companyprovidesinternet connection as well as broadband services to their customers. Most important issue mentioned in the business strategy assignment faced by Spark is the customerdissatisfaction.Customers have claimed that after 11 pm, the mobile network does not work well (Nzherald.co.nz, 2020). Intermittentmobile service issue has disrupted the entire profitability of this organization. They even make calls or sending SMS to others. This is continued from an extended period, and as a result of this issue, most customers become dissatisfiedwith the services offered by the Spark. The technical issue also affects the profitability of the organization.

Evidence for the issue identified in the business strategy assignment:
In addition to this, the continuous rise in the price has also decreased the attention of the customer for the organization. It has identified in the business strategy assignmentthat the share price of the company results in a high price margin legacy (Nzherald.co.nz, 2020). As a result of the market value of the organization has also deceased that directly affects its profitability in the telecommunication sector New Zealand. The organization is trying to focus on the product and service diversification so that they can develop a high value for theircustomers (Odt.co.nz, 2020). Re-authentication for several times was another critical issue faced by customers that have affected the satisfaction value of the customers.

Scope of the plan:
The primary scope of the plan build in this business strategy assignment is to mitigate the issue faced by the organization that hasdecreased its customer’s base. Special effect and issues in delay in service delivery can be reduced with the application of the plan. Scope of the project is to mitigate all the problems that are faced by the Spark and attract large numbers of customers at a time (Nzherald.co.nz, 2020). The scopeis todesign of the business strategy so that issues faced by the business house cannot harm the business process in future.

SWOT analysis
With the aid of the SWOT internal condition and capabilities of the Spark can be easily identified. The application of SWOT is mentioned in the following section of business strategy assignment:

From the SWOT table discussed above within this business strategy assignment, it has been identified that Skilled workforce was the significant strengthof the organization. As stated by Woznyjet al. (2017), employee’s dedication helps the organization to achieve success by increasing organizational performance. Strong distribution network helps Spark to generate a high amount of customer satisfaction by increasing the flow of delivery of services to customers. Steady Free Cash Flow and high brand image have helped to increase the productivity and reputation of the organization to the eyes of their customers. Low current ratio and delay in customer service seen in this section of business strategy assignmentare the primary weakness of the organization that had decreased the attention of customers from the organization (Spark.co.nz, 2019). In addition to this delay in customer service can hamper productivity as well as the profit generation of the organization. Continuous research and development is the first opportunity for the Spark that can help to introduce the 5G technology first time in New Zealand. Innovation helps to achieve high brand value for the firm and also helps to provide the needs of customers. As reported by Castaldi&Giarratana (2018) in regards to the case scenario of business strategy assignment, product and service diversification helps to capture the mind of customers and deliver high-quality telecommunication service. Spark is the firm telecommunication business that introduces the 5G technology first time in New Zealand.

High customer base and market development helps to increase the volume of their services that is profitable. Top competitive rivals and changing demand of customersare the primary threatfor the Spark that can decrease the entire profitability of the organization. Rival cam put excessive pressure over the Spark and takes the customers base by providing better quality services (Spark.co.nz, 2019).A high demand of customers and their high power increase the production cost of the organization over theselling cost.

Strategic Plan
The strategic plan prepared in the business strategy assignment is carried out to improve the business situation as well as mitigate all the issues that have hampered the business process of Spark. The objective of the strategic plan mentioned in the business strategy assignment is as follows:
SMART goal 1: Improvement of data connectivity

SMART objective 2: Technical training of staffs

SMART objective 3: Service diversification and innovation

SMART objective 4: Improvement of technology via R & D

What is the role of planning process in the present case of business strategy assignment?
The strategic planning process of the organization can be taken with the help of 5 stages. The stages are presented in the next section of business strategy assignment:

Identification of needs:
This is the first step where the Spark can identify requirements for the improvement of the telecommunication services. In the present context, Spark can take action to determine the reason for the technical issue that results in a poor data connection.

Gap analysis:
Herein business strategy assignment, in this stage, the first gap in theoperation and activities in the process of service are analyzed (Rothaermel, 2016). Spark can evaluate their operation process regarding the technical issue and performance of staffs to set data connection.

Setting up of SMART goals:
SMART goal need for the implementation of strategies to achieve success in the organization is developed in this stage. The goal is set based on the demand and needs to mitigate all the issues faced by Spark.

Development of strategy:
This is the third stage where the strategies to mitigate issues faced by the business organization are developed(Spark.co.nz, 2020). Spark can use lower price product diversification strategy to attract large numbers of customers

Evaluation:
This is the last stage of strategic planning in which the entire plan implemented to resolve a particular issue. As mentioned by Bashir &Verma (2017), with the aid of diversification, vast numbers of customers can be easily attracted to the organization.

KPIs
Different types of tactics can be implemented to achieve success in the strategic planningprocess of the Spark. The tactics can help to achieve high success and customers satisfaction for the organization. The tactics are as follows:

Communication plan:
Communication is the best way to understand the needs and demand of both customers and staffs for the organization. As mentioned by Cokins (2017), high-end communication can also help to make it clear for the teams regarding the way technical issue of the customers. In the case of Spark, they can use differentcommunicationchannel tocommunicate withtheir teams regarding the needs of customers and theirdemand. In addition to this, Spark can use both the verbal, written and face to face communication process to train their staffs and employees.

Employee training:
This is another important tactic that can help to increase the operationalefficiency of the organization. Training helps to increase the skill of staffs as well as help to motivate them. Maslow’shierarchy of motivation can be easily applied in this case by Spark.The basic five needs of Maslow's theories, the requirements are as follows:

• Physical needs
• Safety needs
• Social needs
• Self-esteem
• Self-actualization

Fulfillment of one needs can trigger the satisfaction of other requirements (Velmurugan&Sankar, 2017). Application of this theory can help Spark to motivate their staffs to think creatively and add efficiency in the operation process.

Figure number 1: Maslow’s hierarchy of motivation
(Source: Adapted from Rothaermel, 2016)

Multi-distribution channel:
Thisis another important tactic that can help the organization to serve efficient services to customers. As opined by Rothaermel (2016), multi-distribution channel can help to serve large numbers of customers at a time. In addition to this, the multi-distribution channel can serve vast amounts of customers quickly and save time for bothcompany and customers.

Lower price tactic:
This is another essential tactic that helps the organization to increase its revenue. Lower price strategy helps to serve vast numbers of customers irrespective of the economic capabilities of the customers (Cokins, 2017). Thus more economical price strategy can be the best-suited tactic to attract a large number of customers and increase the sales volume of the organization Spark.

Conclusion
From the entire discussion on business strategy assignment, it can be concluded that Customers are the primary aspect for the organization to generate vast numbers of income. Skilled workforce and strong distribution network are the fundamental strength of the Spark. High level of market competition has decreased their profitability. In addition to this, poor data connectivity and technical issue decrease the satisfaction value of customers in this organization. Innovation and introduction of 5G technology in the Spark has helped them to mitigate the problems efficiently.Service diversification and innovation and improvement of data connectivity are the mostimportant objective of strategic planning that can help to mitigate the issue faced by the Spark. Technical training of staffs is another important objective for the strategic planning process of the Spark.

Spark is recommended to focus on the service diversification strategy so that they can provide service unique from their rivals. In addition to these services, differentiation can also help to satisfy the constantly changingdemand of customers. The partnership is with other competitors can also be useful to minimize the threat from the rivalries. Use of multiplesuppliers is another important recommendation for the Spark so that they can reduce the production price over the selling price. A special offer like seasonal offer can be provided to the customers so that they can access high quality and efficient services offered by the Spark. Individual facilities can also be provided to the employees of Spark so that they can be effectively engaged with the telecommunication process of the organization. Progress of the plan can be measured by comparing the situation between past and present. In addition to this, improvement of customer satisfaction and increased value of brand can act as an indicator of successful implementation of the tactics.

Risk mitigation planhas to be followed by the organization for imminent risk. The plan is as follows:

Reference list
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Castaldi, C., &Giarratana, M. S. (2018). Diversification, branding, and performance of professional service firms. Journal of service research, 21(3), 353-364. Retrieved from: https://journals.sagepub.com/doi/pdf/10.1177/1094670518755315

Cokins, G. (2017). Strategic business management: From planning to performance. John Wiley & Sons. Retrieved from:https://books.google.com/books?hl=en&lr=&id=kxauDQAAQBAJ&oi=fnd&pg=PA3&dq=Strategic+business+planning+&ots=BGixgWm-1n&sig=ddP9J-5uodZVBMs69vkkq45qcE0

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Nzherald.co.nz (2020). Spark customers hit by data problems. Retrieved from:https://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=11910075 [Retrieved on 2nd June 2020]

Odt.co.nz (2020). Spark to face profitability challenges. Retrieved from:https://www.odt.co.nz/business/spark-face-profitability-challenges [Retrieved on 2nd June 2020]

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