Tintoria strategic plan 2 2019-2024

Prepared by Fred M’mbololo Page 1
TINTORIA LTD LIMITED
STRATEGIC PLAN
FOR THE PERIOD MARCH 2019 TO MARCH 2021

TABLE OF CONTENTS
1.0 INTRODUCTION
1.1 What the strategic planning process involves
step by step.
2.0 EXECUTIVE SUMMARY
3.0 VISION AND MISSION STATEMENTS
3.1 Objectives
3.1.1 Vision
3.1.2 Mission
4.0 TINTORIA LTD STATEMENT OF CORE VALUES
5.0 ORGANIZATIONAL HISTORY AND PROFILE
5.1 Laundry process
5.2 Organizational chart
6.0 THE NEED FOR A STRATEGIC PLANNING
6.1 Competitor Analysis
6.1.1 Competitor price analysis
6.2 Pest Analysis
6.3 Swot Analysis
6.3.1 Internal Environment
6.3.2 External Environment
6.4 Bcg Matrix Analysis
6.5 The 7 P’s of Marketing mix.
6.6 Ansoff Matrix
7.0 STRATEGIC GOALS AND OBJECTIVES

8.0 KEY PERFORMANCE INDICATORS
9.0 STRATEGIC ACTION PLANS

Figure 1 shows how strategic planning could be achieved using the pyramid
and Tintoria Ltd Ltd has incorporated it into the planning process

1.0 Introduction
Strategic planning is one of the most challenging – and exciting – exercises an
organization can undertake. Strategic planning allows an organization to make
fundamental decisions or choices by taking a long-range view of what it hopes to
accomplish and how it will do so. A strategic plan is built on a thorough analysis of
the organization’s existing structure, governance, staff, program or service mix,
collaborations, and resources (financial, human, technical, and material).
This analysis is vital because it allows an organization to perceive which of its
above aspects it must change in order to achieve its goals. A well-developed
strategic plan serves as a blueprint for making these changes because it describes
the following:
 A vision for the future
 Strengths and weaknesses of the organization
 The nature of the changes contemplated for future sustainable growth and
development
 The sequence of these changes
 Those who are responsible for guiding change
 The resources required, whether they currently exist within the organization
or must be generated from external sources.
Figure 2 below shows how these and other issues “converge” in a plan that most fits
the organization. A strategic plan represents an organization-wide consensus among
staff, directors, and other stakeholders concerning what represents success and how
it is to be achieved. It therefore allows a manager to approach the strategic plan’s
activities with confidence. Strategic plans must be institutionalized so that they serve
as the basis for performance standards, decision-making, planning, and resource
mobilization and allocation. Strategic plans must also be systematically reviewed and
revised so they remain topical, relevant, and “cutting edge.” The whole organization
must embrace the plan so that the “daily decisions are then made on the basis of this
plan, which must be both practical – based upon your organization’s mission – and
flexible, to allow for rapid change.”

Figure 2 above shows how other factors “converge” in a strategic plan that
most fits Tintoria Ltd, it is all inclusive process.

1.1 What the strategic planning process involves
step by step…
There are several steps in the strategic planning process. Many experts or
facilitators vary the sequence of these steps, but there is general consensus about
the most important ones to include.
STEP A: Analyze the shared values and experiences of staff and board. Plan a
meeting or workshop to facilitate strategic planning.
STEP B: Review and update or prepare a Mission Statement for the organization.
STEP C: Analyze the organization’s external environment (“PEST” – political,
economic, social, and technological factors) and internal environment
(resources or inputs, processes, and performance or outputs).
STEP D: Conduct a SWOT analysis (assessing the organization’s internal strengths
and weaknesses, and its external opportunities and threats).
STEP E: Create smaller groups for more in-depth planning activities in key areas.
STEP F: Review the organization’s existing strategic plan (if there is one) to identify
aspects of the plan that are still strategic, those that are no longer strategic due
to changing environments, and gaps or new issues that should be addressed in
a revised plan.
STEP G: Outline a vision of where the organization should be three to five years
from today (the “vision of success”).
STEP H: Identify the strategic issues facing the organization.
STEP I: Formulate goals and strategic objectives to address major issues facing the
organization and ensure its longer term growth and sustainability.
STEP J: Develop work plans showing specific activities, persons responsible,
resources needed, and indicators by which performance will be measured.
STEP K: Identify next steps for resource mobilization and create a sustainability and
financial plan that costs activities and outlines approaches for generating
sufficient revenue or funding.
STEP L: Prepare the written detailed five-year strategic plan (mission statement,
environmental or situational analyses, strategic issues, goals and strategic
objectives, activities plans, sustainability and financial plans, monitoring and
evaluation procedures or cycles)

STEP M: Seek ratification and disseminate the plan to staff, stakeholders, and
potential donors, using this as an opportunity to market the organization or to build
useful working relationships and coalitions.
STEP N: Implement and institutionalize the plan as a basis for setting performance
standards, decision making, planning, monitoring, and resource mobilization
and allocation. Use and review the plan systematically, updating or revising it
after two or three years, if needed.
Figure 3 illustrating the process that Tintoria Ltd used for the strategic plan.

2.0 Executive Summary
Strategic planning keeps an organization on track over time, and allows the
organization to respond to change while remaining faithful to their mission and
vision. The process itself may have as much value to the organization as the final
plan, since so much can be learned from surveying both the position of the
organization and the state of the environment in which the organization operates. For
the TINTORIA Ltd this is particularly true.
TINTORIA Ltd is a laundry firm was started in the Year 1993 and in the Year 2005;
and a vibrant new management took it over and has expanded its operations within
the Nairobi County. The core business is the cleaning of garments and our team of
Laundry experts has been combining machinery technology with fabric science to
create the best laundry solutions for customers.
TINTORIA dry cleaning intends to offer affordable and high quality cleaning
standards to all. Tintoria dry cleaning is the best service provider in the area.
The opportunity to step back and scrutinize, evaluate, consider and question our
activities is crucial, and not afforded by the daily pace of the organization. We are an
organization that would like to continue providing a livelihood to more than 60
employees.
This strategic planning process is a bit different from the last one done in the year
2019 was mainly based on Laundry and dry cleaning services, this year 2019, it was
once again done by an employee of Tintoria Ltd by name Fred M’mbololo who has
some good knowledge of how Tintoria Ltd’s operations are executed however we
intend to engage the services of another management consultant to help guide us
through the entire process and achieve the desired results. We have engaged the
employees and the directors to get their inputs on how operations can be improved.
The last approach used competitor analysis and SWOT analysis and most of the last
years goal remain unachieved and therefore still endure. This time around we have
not only given a general overview of what a strategic plan and strategic planning
process entails, we have also used PEST analysis, ,ANSOFF matrix, the seven
(7PS) of marketing and the BCG matrix as planning tools in addition to competitor
and SWOT analysis that were used for the previous strategic plan.

3.0 Vision and mission statements
3.1 Objectives
 To increase our market share and presence in the Nairobi County
 We are dedicated to achieving and ensuring complete client satisfaction
 We are committed to run as independent Laundromat service firms
3.1.1 Vision
Revised Vision: To be an environmentally friendly, world-class quality service
enterprise and the first choice for dry cleaning and laundry utilizing state-of-the-art
technology.
3.1.2 Mission:
Current Mission: To offer professional dry cleaning and laundry services and to
maintain high quality standards and customer services at affordable rates.
4.0 Tintoria Ltd Statement of Core Values
In an effort to be thoughtful, careful and visionary about decision-making in Tintoria
Ltd, we feel it is important to set forth the core values of the organization.
1. INTERGRITY- TINTORIA LTD recognizes the benefits of having high moral
standards and being honest in dealing with our customers
2. QUALITY- TINTORIA LTD strives to be a leading laundry service provider in
terms of quality.
3. PROFESSIONALISM-TINTORIA LTD recognizes the benefits that accrue to
our customers, suppliers and staff when we do things professionally.
4. TEAMWORK- TINTORIA LTD recognizes the benefits associated with sharing
expertise, time, energy and resources.
5. CREATIVITY AND INNOVATION-TINTORIA LTD intends to be a nimble,
flexible and dynamic organization, able and willing to adapt to the evolving
needs of members and the shifting landscape of technology.
6. DIVERSITY-TINTORIA LTD includes multi-type shops which operate locally,
who serve a diverse clientele including personal and corporate clients.
TINTORIA LTD recognizes that their customers may have diverse missions,
disparate resources and distinct needs. Decisions undertaken on behalf of the
organization are made with the greatest respect and support of these
differences.
7. ACCOUNTABILITY-TINTORIA LTD recognizes that it must take care of client
clothes by washing them properly, making small repairs and ensuring that

they are good condition and not damaging them, in case of lost items,
TINTORIA LTD will be responsible.

5.0 Organizational history and profile
Tintoria Ltd was established in 1993 and has grown since then to become one of the
leading launders and drycleaners in the country. We specialize in executive dry
cleaning as well as institutional and commercial laundry and dry cleaning.
Tintoria Ltd is a Private Limited Company. Following a takeover in January 2005, the
directors of the company are:
Patience Nyaoga - Managing Director
Mohammed Nyaoga - Chairman
Following a takeover by vibrant new management in 2005, the company has shown
significant growth characterized by additional corporate clients and opening up of
new outlets to adequately serve the increasing demands. We focus on offering high
quality service with exceptionally high standards maintained at all times always
working towards achieving our mission and vision.
Our main factory is located at the ground floor of Soin Arcade in Westlands, which
also serves as the head office. We operate 6 days a week Monday – Saturday and
have collection points at the following locations;
 Soin Arcade, Westland’s
 Spring Valley Shopping Centre
 Arrow House, Koinange Street (City Centre).
 Karen Opposite D. O. D
 Village Market, Limuru Road.
 ABC Place, Waiyaki Way.
 Lavington Shopping Mall
 Parklands Sports Club
To facilitate servicing the collection centres and the corporate clients, we have a fleet
of vehicles for delivery and collections based on pre-set time schedules.
The factory is equipped with modern and high quality machinery to ensure superior
quality of output. They include such brands as Firbimatic, Ghidini, Camptel and
Indorsmach imported from Italy and Nybort from Denmark. Utilities, chemicals and

detergents are imported where necessary to ensure quality output by the machines
and treat all garments as per the sensitivity required. Others are obtained from
reputable international companies with branches in Kenya such as Johnson Diversey
Kenya Ltd. We strive to maintain the best quality on finish by taking the best care
and also offer subsidiary services in form of in house repairs among other services to
ensure that quality finish to our customers.
The company strives to offer efficient dry cleaning and laundry services and at all
times maintaining high quality output to customer satisfaction. As part of the short
term objectives, we intend to expand the outlet to various parts of the city to take the
services closer to the people thus enhancing customer service and at the same time
increasing and retaining a higher client base. In the long run, the company’s outlook
will be to develop and extend the services to other towns within the country and
internationally to the east African region.
The services offered are value adding which include;
 Executive Dry cleaning for business attire, casual wear, ceremonial attire and
Launderette Services
 Laundry Services for commercial and corporate institutions, hotel industry,
furnished apartments, educational institutions, e t c
 Institutional cleaning for embassies, government offices, hotels, hospitals and
schools
 Cleaning of household furniture, office furniture and car seat accessories
 Carpet cleaning, curtains, sheers and blinds
 Pest Control and fumigation
 Swimming pool cleaning
 Waste, garbage disposal and compost removal services
 Building exterior and parking lot maintenance
 High glass cleaning and colour restoration
5.1 The Laundry Process
The process involved in service delivery either takes the form of walk in clients or
corporate clients. For walk in customers, the items are brought to the collection
centres from where they are collected, booked in through the computer system and
delivered to the factory for the laundry process. Pre – laundry analysis is carried out

on all items to ensure the correct laundry procedures are followed. The items go
through the laundry process and finishing and post – laundry analysis for quality
checks. They are then packaged and delivered to the collection point that is
convenient for the customer according to their preference, from where they collect
them.
For corporate customers, the items are picked from the client’s premises, recorded
and delivered to the factory, after which they are booked in as pre-laundry analysis is
carried out. The items go through the prescribed laundry process, the quality check
process and then packaged and delivered back to the client, along with the delivery
note and invoice. For most corporate clients, a monthly account is maintained for
account settlement purposes. Collections and delivery times are pre-set for the
various customers according to their needs and specifications.
We have a panel of suppliers who supply the chemicals, detergents packaging
materials and IT solutions for business continuity. The company has cultivated
healthy working relationships with the suppliers which ensure that we are always
informed of any new developments in the technology and the new products available
in the markets. The company also sponsors training workshops with the suppliers for
the various products to keep the company abreast with the skills as new
development come up. The company also maintains good relations with the
suppliers to ensure timely delivery of key inputs for effective running of the factory.
Through business partnering with international organizations, we are also updated
on any new technologies and routine audit and evaluation processes carried out on
the equipment by professional engineers to advice on need for additional equipment
or replacement on the existing ones to allow for more technical efficient ones based
on increasing demands and maintenance of output quality.
The business has shown tremendous growth through increased client base and
continued demand for the services. This has been significant despite unavoidable
challenges such as unexpected power failure. The management has put in place
measures to counter such calamities by sourcing for alternative water supplies in
case of need and liaison with the power providing company to ensure prompt

address of the issues at hand in case of power failure. This reduces the down time
thus reducing inconveniences to customers which may result due to delays.
Our current institutional clients include among others;
 Sarova Stanley Hotel
 Pacific Insurance Brokers E.A Ltd
 UNHCR
 International House
 Meridian court Hotel
We have 64 permanent employees. All employees are well trained technically and
experienced in their respective fields. Our members of staff get frequent training from
our consultant’s i.e Johnson Diversey and Utalii College to keep updated with new
developments both locally and internationally. The international fabric care assists us
keep ourselves updated with the time worldwide. We have excellent customer care
staff that take care of the customers’ needs and ensure delivery of service to
customer specification.
5.2 Organization Structure of Tintoria Ltd
Tintoria Ltd Limited is governed by a Board of Directors to whom the Managing
Director is responsible for. The company has three main departments mainly
operations, sales & marketing and finance departments. The company has about
60 employees and most of them are in the operation department working as either
sorters or pressers given the laundry services is mainly labour intensive.

Figure 4 Tintoria’s Ltd organizational chart depicting the relation of one
department to another, and the chain of command

6.0 The need for a strategic planning
During the strategic planning period of March 2019 to March 2021 the company’s
management team will implement a whole range of undertakings with a view of
making Tintoria Ltd, a one stop cleaning shop and by achieving the following
objectives.
Thoughtful planning will shape and guide Tintoria Ltd for the future. Its purpose is to
help the organization do a better job, to focus its resources and manpower to work
together towards accomplishing these goals.
In order to achieve this ideal we identified the following primary strategic Objectives
 To radically restore all lost businesses in the past and also improve the
current customer satisfaction and client retention through high maintaining
high quality standards.
 To increase the market share to over 50% during this period for corporate
clients, walk-in clients and online bookings for all sorts of cleaning through
aggressive marketing strategies that will make Tintoria Ltd the preferred and
the leading cleaning company in Kenya.
 To achieve higher levels of operation excellence in all sorts of Laundry
cleaning and other forms of cleaning. In other words, when it comes to
janitorial services, carpet, seat, curtain and laundry services, at Tintoria Ltd,
we don't just maintain basic standards - we go above and beyond.
 To minimize all operational costs at the same time maximize the Sales
revenues of the various segments
 Enhance the capacity and capabilities of Tintoria’s Ltd Human resources to
achieve these strategic objectives for instance recruit pest control and
fumigation experts and other assorted cleaners
 Improve the communication network – both within the Tintoria Ltd itself as well
as with the external environment so that we are able to get new orders and
tenders and make the Sales team, the driving force.

6.1 Competitors analysis
Figure 5 showing the mapping the competitive terrain used by Tintoria Ltd
From the above Figure 5, it is clear cut evident that Tintoria Ltd has several
competitors and some of them are International companies with shops across the
the East African region.
Tintoria Ltd uses a two-step approach to consider competitor analysis.
The first step is listing all the competitors, the items that they wash and their
locations. Tintoria Ltd can identify all the direct and potential threats. It can
strategize to cope with the new entrants. I would suggest that Tintoria Ltd could
consider going into Joint Venture with other new emerging laundry and drycleaners.
The second step is evaluation of the competitor’s resources and predicting their next
course of action. By looking at how big the competitors are, their financial base and
their global trading
Presently the Tintoria Ltd has approximately 20% to 30% of the market share though
no market survey has ever been undertaken to support this data. I suggest that

Tintoria Ltd buys or build their own premises where operations can be carried out
and this way we will be able to cut down on costs in terms of paying rents.

6.2 Pest Analysis
A PEST analysis is a business measurement tool. PEST is an acronym for Political,
Economic, Social and Technological factors, which are used to assess the market for
a business or organizational unit.
Political: A big political factor to be considered in the industry is the upcoming new
regulation of the consumption of energy in this case electricity. Energy Regulating
Commission (E.R.C) has introduced mandatory energy external audits starting from
1st July 2019 for companies using electricity in excess of 180,000 kilo watts per
annum and Tintoria Ltd falls under this category failure to comply to these
regulations could result in penalties and fines.
Economic: The economic environment is constantly changing and as we can see
from the case, some competitors are providing laundry and other washing services
at reduced prices in comparison to Tintoria Ltd. The company continues to provide
key mainstream laundry services and the pricing is at a slight premium and in the
current environment; disposable income of consumers can play a large role in
choosing a laundry service provider. Tintoria Ltd must be aware that a consumer’s
preference for our services may be influenced by their income, regardless of how
strong they feel about trademark. I suggest that Tintoria Ltd considers providing
other cleaning service like cleaning of offices, washing of towels, carpets and bed
sheets on a wide scale basis and at a reasonable and fair price to their customers.
Tintoria’s Ltd management should also practice price discrimination and this can be
achieved by classifying customers into different groups like the V.I.P customers and
normal clients.
Social: As mentioned in the case, the supreme washing of several garments
including leather, suede and the up-market appears to be a large part of the
attractiveness of Tintoria Ltd. Any future expansion strategy must target this
lucrative segment of market rather than expanding hap hardly without having a
proper marketing focus.
Technology: Technology is constantly evolving and Tintoria Ltd can seize a
significant advantage by utilizing technology more. Tintoria Ltd needs to examine the
improvements technology they can make in the laundry washing process and in our
advertising particularly through the use of the social media platform.

6.3 Swot Analysis
A useful framework to analyze the company is the SWOT analysis, which stands for
S-Strength, W-Weakness, O-Opportunity, T-Threats. Ideally, the company wants to
align its strength with the opportunities in the market, whilst making sure that its
weaknesses are not exposed to any potential threat. The outcome of the SWOT
analysis which was carried out by Tintoria Ltd’s management is depicted in below
two drawn tables. The first table represents the Internal Environment in which the
company operates while second table represents the External Environment.
6.3.1 Table 1- INTERNAL ENVIRONMENT
Strengths Weaknesses
Strong brand
Several shops opened in major malls in
the Nairobi County.
Strong capital base
Unique laundry express services and
other laundry services for leather, suede,
wedding gowns and silk
High quality for the laundry services
Use of international established goods
like laundry machines, chemicals and
processes.
Good policies and operational
procedures.
Uninterrupted water supply through the
use of the borehole.
Lack of a sales team to increase sales
and assist in debt collections
Overdue debts which affects cash flows
Lack of due diligence and care
The DMS system has several flaws and
the front and back office systems are
different and not linked.
The operations are not real time leading
to loss of money and time
Lack of effective communication due to
staff attitude
High staff turnover affecting operations in
terms of efficacy and effectiveness.

6.3.2 Table 2 - EXTERNAL ENVIRONMENT
Opportunities Threats
New developments in form of new buildings
in form of malls present opportunities for
new clients through greater expansion in
the Nairobi County
New website design and using the social
media platforms such as twitter, face book
and linked for advertising and recruitment
purposes
Expansion through organic growth to other
towns in Kenya
Joint Ventures and franchising to other East
African regions
Vigorous selling and marketing for our
laundry services.
Timely and proper maintenance and
servicing of laundry machines to reduce
losses
Introduction of a loyalty card to increase
sales and retention of customers
Exploiting the current customer base by
cleaning more seats, carpets and curtains.
More marketing opportunities while doing
CSR activities.
Harnessing staff ideas through the
introduction of a suggestion box and
encouraging teamwork.
Emergence of new laundry providers thus
increasing competition
Rising cost of living that is reducing the
disposable incomes
High cost of maintenance of the laundry
equipment.
Unreliable power supply and not having a
reliable alternative power like a generator
capable of running the laundry machines
Fast changing technologies such as house
washing and dry machines that reduce our
market share.
Penalties and fines as a result of non-
compliance of regulations
Poaching of skilled and competent staff.

Figure 6 Depicting the Bcg Matrix used by Tintoria Ltd
6.4 Bcg Matrix Analysis
The sales performance for the period of January 2019 showed that ABC place and
Lavington shops were the two best performing shops. Karen Shop started operating
in March 2014, implying that this shops has greater potential to generate more sales
than depicted above. In terms of sales the worst performing shops were the
Riverside and Parklands shops which had the lowest sales figures despite operating
for a whole year.
 Stars-, have high market growth and high relative market share
 Cash cows- have low market growth but high relative market share
 Problem child- has high market growth but low relative market share.
 Dogs have both low market growth and relative market share
NO. SHOP NAME
DAILY TARGETS AVERAGE DAILY
SALES REALIZED - JANUARY 2019 JANUARY 2019 %AGE
1 ABC PLACE 95,000.00 56,292.54 1,463,606.00 59.26
2 LAVINGTON 50,000.00 41,605.15 1,081,734.00 83.21
3 VILLAGE MARKET 60,000.00 31,140.38 809,650.00 51.90
4 SPRING VALLEY 30,000.00 24,689.92 641,938.00 82.30
5 SOIN ARCADE 40,000.00 21,063.15 547,642.00 52.66
6 ARROW HSE 30,000.00 20,031.62 520,822.00 66.77
8 PARKLANDS 15,000.00 15,016.23 390,422.00 100.11
9 KAREN TRIANGLE 20,000.00 27,698.27 720,155.00 138.49
TOTAL 340,000.00 237,537.27 6,175,969.00 69.86

The ABC place shop and Lavington shops are the stars and therefore, under the
BCG matrix created positive cash flows and also had high growth rates implying that
they can still do better.
Arrow House, Village Market and Soin Arcade shops are the cash cows and
therefore, under BCG matrix created positive cash flow and will not need to develop
to grow. The management of Tintoria Ltd Ltd could therefore relax and could miss
out on the new opportunities of serving more customers by employing sales
representatives or attracting the new corporate clients to use our laundry services.
The cash flow that’s created in the cash cows (Arrow House, Lavington and Soin
Arcade in this case) would be invested in the question mark (problem child) (Spring
Valley, Muthaiga and Karen) to their increase market share and reach a strong
competitive position. This would then bring the unit of the these problem child into
the star square and when the market reaches saturation point the star, they would
become cash cows to provide cash flow for other units.
The two other shops that are Parklands and Riverside have a low relative market
share and a low market growth rate hence are in the dog unit. Under the BCG
matrix one would harvest the money before the shops shutdown. These shops would
be financially starved off instead of being invested more into therefore in reality
Tintoria Ltd could lose potential growing market.
The BCG matrix confuses resource allocation with strategy. Planning is not a
substitute for visionary leadership, careful attention must be paid by Tintoria Ltd Ltd
to the strategy of each business unit and not the strategy of the whole portfolio,
which is of course the aim of BCG matrix.
Usually shops under star have major share in the growth market and relative high
market share. Such shops may enjoy rapidly growing sales and profits and are likely
to generate large cash flows. Tintoria Ltd Ltd has not reached this maturity stage and
only two shops can be categorized under the stars.

6.5 7Ps Elements of Marketing at Tintoria Ltd
The 7Ps includes the traditional elements, plus three new elements. In the services
marketing concept, these are defined as following. The marketing mix is a synonym
for 7ps, which is constructed of the four most important components of every
product’s strategy - Product, Price, Promotion Place, People, Psychical evidence
and Process.

The Traditional Elements
1. Product:
Name: TINTORIA LTD
Logo:
Types of washes:
 Dry cleaning
 Wet cleaning
 Dyeing
 Hand wash
 Machine wash
 Wash to instructions
Normal wash: Maximum 3 days
Express Service wash: If clothes received by 12.00 pm then the clothes will be
delivered the next day but attracts a premium price of above fifty percent (50%) of
the normal washing charges.
Other services:
 Repairing
 Ironing and pressing

 Sorting
 Starching
Hours of Operations:
Morning 7.00 am to evening 7.00 pm from Monday to Saturday, we remain closed on
Sundays and other public holidays.
In Tintoria Ltd being a service industry, the production and consumption of the
product are simultaneous and the product is intangible, diverse and perishable. The
nature of this ‘product’ allows for on the spot customization. This also means that the
point at which this activity is occurring becomes very important. Ideally, to ensure
repeat experiences of similar quality and a consistently good user experience, most

service providers aim to give some customization within an overall standardized
mode of delivery.
2. Pricing
Price is the major factor of any firm, as this is the only element in the 7Ps that
generates revenue. They are mainly two kinds of services provided by
TINTORIA LTD that’s dry cleaning and washing of garments.
We different prices for walk in clients and corporate clients, we charge more for
walk in clients than for corporate clients as a result of the bulk of the garments
being processed.
There is the extra charge for express services and extra ordinary garments like
leather, suede, carpets and African attires.
Since a service cannot be measured by what material goes into its creation nor is
the actual tangible cost of production measurable, it can be challenging to put a
price tag on it. There are some tangibles of course, such as the labor costs and
overheads. But additionally, the ambiance, the experience and the brand name
also factor into the final price offering and Tintoria Ltd boasts of a well-known
brand in the market and a wide range of laundry experience in providing a high
quality service to high end customers over many years
3. Place
As mentioned, the service is produced and consumed in the same place. It
cannot be owned and taken away from the location. This is why the place at
which this transaction occurs is of vital importance.
The location of the service provision is carefully analyzed to allow ease of access
and the desire to make the effort to reach it. The Tintoria Ltd main factory is at
Westlands Street in Westlands situated at Soin Arcade Plaza and other collection
centers are located in busy streets in main shopping area and Malls in the
Nairobi County to allow walk in customers to access our laundry services.
4. Promotion

Promotion is the activity done in order to increase the sales of an organization’s
product or services. This is the technique that the company uses to create
awareness and make fame the services in the market.
Promotion fulfills the same role as it does in any other marketing context. A service
may be more easily replicated than a physical product. To prevent a service
becoming interchangeable with its competitors, it becomes vital to create a desirable
brand image and name in the market. Differentiation becomes a key goal in order to
attract both new and repeat customers. Tintoria Ltd has achieved this by upping its
game and revising its mission to be an environmentally friendly, world-class quality
service enterprise and the first choice for dry cleaning and laundry utilizing state-of-
the-art technology. Tintoria Ltd has also used different channels to market its
services for instance advertisement by branding all the company vehicles with the
company logo and other details, distribution of flyers and posters, advertisements in
the notice-boards of main shopping malls in the city, advertisement through bill-
boards and other promotional magazines and newsletters.
Discount:
They get a discount of between 5% to 10%, if they are regular customers.
Discount offers depends on the level of business that the company gets from its
customers.
The New Elements
© Entrepreneurial Insights

5. People
Doing Good-enabling sustainable livelihoods: We believe in ensuring that all our
employees share in the growth of our company- we ensure that our employees see
the clear benefits of working with TINTORIA LTD laundry services:
(a) Skill development- Most of the frond-end staff that we recruit have minimal
knowledge on laundry processes. On joining, we vigorously train them on
their jobs which includes operational training on process for good quality,
washing and personal grooming, customer care and marketing, so at the end
of the training has the necessary skills to work more professionally.
(b) Financial security:- There is a direct correlation between daily sales
performance and the receptionist’s daily bonuses, our front-end staff salaries
have no ceiling- the higher the sales figures, the higher their bonuses. We
also recognize hard working employees by offering monetary incentives like
the employee of the month, chamas and end of year bonuses.
This is a vitally important element of the service marketing mix. When a service is
being delivered, the person delivering it is not unique from the service itself. When
servicing a customer, if a rude receptionist is encountered, the entire experience is
labeled as a bad service. This is why Tintoria Ltd invests in defining the right kind of
person to fill their service role while recruiting and subjects the potential employees
through vigorous interviews and thorough vetting and then making efforts to train
people to fit this definition.
6. Process
The process begins with a customer placing a service request by visiting one of our
collection centers or over the phone for the washing of their dirty linen. Here the
details about the customer are recorded and queries, if any, are attended to by the
receptionists or the marketing staff. When you drop your clothes off at the collection

centres, the employees follow pattern that holds true at just about any dry-cleaning
operation running today. Your clothes go through the following steps
Tagging and Inspection: In regard to tagging, a small paper tag or little labels are
written on the customer’s garment, so that they don’t get mixed up with someone
else’s. Clothes are also checked for missing buttons, tears and any spillages or
visible marks on them etc so that we can minimize claims for damages and
compensation.
Pre-treatment: The clothes are further inspected, and then possible amendments
are done in case of torn garments. The cleaner looks for stains on the clothes and
spots them to remove the dirt and make cleaning more easily and more complete.
Dry cleaning or washing: Dry cleaning is a process that cleans clothes without
water. The cleaning fluid that is used is a liquid, and all the garments are immersed
and cleaned in a liquid solvent, the fact that there is no water is why the process is
called ‘dry’ and then fragrance is added. For washing, water is used instead of a
solvent.
Post-spotting:-
Any remaining spot are removed.
Finishing:
This includes pressing, folding, packaging and other activities. The sale invoice is
prepared and sent to the customer along with the delivery of the linen via the
company vehicles. The process ends with the delivery of the linen to the customer
and the collection of payment from them. Based on the service request, the vehicles
go the customer’s premises and the loader goes to collect the linen by tagging the
garments and placing them in the collection bags. He also gives the customer an
acknowledgement receipt. These collection bags are then brought to the laundry
where the actual process starts.
Since service provision needs to strike a balance between customization and
standardization, the processes involved in the activity require special mention and

attention. A process needs to be clearly defined for the service provider. This basic
process should ensure the same level of service delivery to every customer, at any
time of day, on any day. Within this process, there should be defined areas where a
customer preference can be accommodated to provide a unique experience. In
Tintoria Ltd when the laundry items are received at the collection centres, they
ensure that the items are checked if they are torn, if they can stand dry cleaning, the
work is thus checked by two quality supervisors to use that the final service provided
to the customer meets all the specified standards
7.Physical Evidence
Customer in a service sector endeavor to take indications about the service
provider’s capabilities and the quality of service offered. Physical evidence is the
material part of a service. Strictly speaking, there are no physical attribute, so
consumer tends to rely on material indications. The major elements of physical
evidence include the physical environment, the modes and content of
communication, service personnel, the tangible elements that accompany the
services and the brand. There are many examples of physical evidence.
Packaging:
It is how we pack our ironed and pressed clothes and present them to our
customers. All the heavy clothes would be packed with paper between each fold so
that the ironing does not get crises. The packaging is done and then sorted for the
different collection centers using branded papers.
Paper work:
Monthly bills will be provided to our customers and also the credit facility be
maintained and monitored. For individual customers they will pay upfront for their
services while for corporate clients they will pay after a stipulated period of credit
usually thirty (30) days.
Posters, brochures and banners are frequently used so as to acquire new
customers.
Uniform:

Our employees are normally given two pairs of uniform and in accordance with the
company policy, they have to wear these uniforms during the working hours and
these uniforms are washed for free.
Furnishings:
We operate in clean surroundings. We keep our premises clean free of dust, dirt,
pests and other materials that may sully the customer’s clothes. We also do not
allow smoking in the company premises so that the garment items retain the
fragrance and cleanliness from the washing process.
The location of where the service delivery is done also has significance importance.
The level of comfort and attractiveness of a service location may make a lot of
difference to the user experience. A calm and soothing environment with thoughtful
comfort measures may provide a sense of security to a new customer which will
make them return.
Tintoria Ltd manufacturing center is allocated at the heart of the city center-at
Westlands, Soin Arcade and is easily accessible to all walk-in clients and corporate
clients within the Central business division (C.B.D), however, it also has collection
centers in the modern shopping halls in the Nairobi city and reaches almost all
potential clients, and all these shops are very near the proximity of the city center
and are hence accessible with ample parking spaces. New shops are in the pipeline
and will also be opened in modern and new shopping malls and complexes coming
up soon and will also be easily accessible.

To portray alternative corporate growth strategies, Igor Ansoff presented a matrix
that focused on the firm's present and potential products and markets (customers).
By considering ways to grow via existing products and new products, and in existing
markets and new markets, there are four possible product-market combinations.
Ansoff's matrix is shown below:
6.6 ANSOFF’S MATRIX
The AnsoffGrowthmatrixisa marketing planning toolthat helpsa business
determineitsproductand marketgrowthstrategy.
Ansoff’s product/market growth matrix suggests that a business’ attempts to grow
depend on whether it markets new or existing products in new or existing markets.
The output from the Ansoff product/market matrix is a series of suggested growth
strategies which set the direction for the business strategy.

6.6.1 MARKET PENETRATION
Market penetration is the name given to a growth strategy where the business
focuses on selling existing products into existing markets.
Seeks to achieve four main objectives:
1) Maintain or increase the market share of current products – this can be achieved
by a combination of competitive pricing strategies, advertising, sales promotion and
perhaps more resources dedicated to personal selling
2) Secure dominance of growth markets
3) Restructure a mature market by driving out competitors; this would require a much
more aggressive promotional campaign, supported by a pricing strategy designed to
make the market unattractive for competitors
4) Increase usage by existing customers – for example by introducing loyalty
schemes.
A market penetration marketing strategy is very much about “business as usual”. The
business is focusing on markets and products it knows well. It is likely to have good
information on competitors and on customer needs. It is unlikely, therefore, that this
strategy will require much investment in new market research.
6.1.2 MARKET DEVELOPMENT
Market development is the name given to a growth strategy where the business
seeks to sell its existing products into new markets.
There are many possible ways of approaching this strategy, including:
1) New geographical markets; for example exporting the product to a new country
2) New product dimensions or packaging: for example
3) New distribution channels (e.g. moving from selling via retail to selling using e-
commerce and mail order)

4) Different pricing policies to attract different customers or create new market
segments
Market development is a more risky strategy than market penetration because of the
targeting of new markets.
6.1.3 PRODUCT DEVELOPMENT
Product development is the name given to a growth strategy where a business aims
to introduce new products into existing markets. This strategy may require the
development of new competencies and requires the business to develop modified
products which can appeal to existing markets.
A strategy of product development is particularly suitable for a business where the
product needs to be differentiated in order to remain competitive.
A successful product development strategy places the marketing emphasis on:
1) Research & development and innovation
2) Detailed insights into customer needs (and how they change)
Being first to market
6.1.4 DIVERSIFICATION
Diversification is the name given to the growth strategy where a business markets
new products in new markets.
This is the most risky strategy because the business is moving into markets in which
it has little or no experience.
For a business to adopt a diversification strategy, therefore, it must have a clear idea
about what it expects to gain from the strategy and an honest assessment of the
risks.
However, for the right balance between risk and reward, a marketing strategy of
diversification can be highly rewarding.

6.2 HOW TINTORIALTD CAN MAKE USE OF ANSOFF’S MATRIX IN
THE DEVELOPMENT OF THEIR MARKETING STRATEGY
Existing Products New Products
Existing
Markets
 Dry & wet laundry items &
Laundrette
 Carpets
 Curtains & Sheers
 All sorts of gowns
 Suede and leather jackets
 House and car seats
 Office cleaning
 Industrial cleaning
 House cleaning
 Pest Control &
fumigation
 Garbage Collection
 Car washing
 Swimming pool
cleaning
New
Markets
 Embassies and upcoming
hotels & apartments.
 Paratastals and executive
offices
 Customer loyalty
Programmes
 Tourism discount promotion
card
 Public sector and
Private sectors
 Government ministries
and homes
 Joint Ventures and
franchising
 Bio degradable bags
production
The Tintoria Ltd is the one of the leading laundry service provider in Kenya and has a
very strong brand name. Its mission statement is:
1.1 Current Mission:
To offer professional dry cleaning and laundry services and to
maintain quality standards and customer services at affordable
rates.

This mission statement remains unchanged but we now want to deal with all the
businesses associated with cleaning. The company provides a range of cleaning
services. We also provide royal first class services in the area of launderette,
laundry, seat/ couch cleaning, corporate carpet cleaning, pest control
and fumigation, curtain and sheer cleaning services, executive office,
industrial and house cleaning.
The aim of Tintoria Ltd is to ensure the product range offers something for every
occasion and every individual.
When developing new products, Tintoria Ltd considers how the new services fit with
the existing ones.
6.2.1 Market Penetration as applicable to
Tintoria Ltd:
▪ Sponsoring football club like League two clubs, which will improve the marketing &
loyalty for our name
▪ Increase of middle class customers targeting and classifying the markets: by using
a price discrimination for various customers
Speed up the process of middle class customers targeting by new campaigns, new
offers and discounts.
▪ Introducing the use of a customer loyalty programme and a tourism promotion
discount card promotion to increase sales, though we do not advocate for the
customer loyalty card programme as it is very expensive to roll-out and to maintain it,
we propose that we adapt the tourism promotion discount card, as it is free to sign
up and we only give 10% on our walk-in rates.
6.2.2 Market Development as applicable to
Tintoria Ltd:
▪ New branches:

Opening new branches in Nairobi County and its environs in affordable places which
does not have Tintoria branches in it.
- Other parts of Kenya: Mombasa, Nakuru, Naivasha, Kisumu areas
- Other East African Countries: The Company Later On could consider expanding
into the Uganda, Tanzania, South Sudan, Burundi, Rwanda and Ethiopian markets.
6.2.3 Product Developmentas applicableto
Tintoria Ltd:
▪ Using the Tintoria Ltd strong brand name to be able to get more businesses like
executive office cleaning, residential cleaning, Pest control and fumigation. providing
additional cleaning services like commercial property cleaning, swimming pool
cleaning, Office cleaning and home cleaning, car washing, swimming pool cleaning,
garbage and waste management, manufacture of packaging paper and plastic
hangers
▪ Hosting laundry and other cleaning Exhibitions for 1-2 weeks, with special offers, in
Tintoria Ltd all over the world.
▪ Garbage collection, swimming cleaning and high window cleaning of executive
offices: to minimize the cost and increasing the sales volumes.
6.2.4 Diversification as applicable to Tintoria
Ltd:
Tintoria Ltd cleaning services: establishing a new chain of Laundry shops and other
cleaning services under the name of Tintoria Ltd through franchising and joint
ventures. with the same standards of customer care and service in Tintoria Ltd.

▪ Tintoria Ltd franchises and joint ventures and partnerships. Establishing a
company with franchises and partnerships under the name of Tintoria Inc with the
same standards of service as in holding company of Tintoria Ltd.
Tintoria Ltd could also diversify in all areas which are not the core areas of
operations like buying and selling land by starting up an investment committee
group.
To be able to cut down operations costs, Tintoria Ltd could consider making their
own bio degradable packaging products which are well branded and can do like for
other competitors by supplying them with these packaging bags.
6.2.5 Capability
The idea of unrelated diversification is normally associated with a product-market
assumption. However some diversifiers apply the same capabilities to businesses in
a wide variety of product-markets, giving the appearance of unrelated acquisitions,
but in fact being extremely focussed on a particular capability. Consider Soul
Pattinson moving into Internet Broadband provision and Publishing & Broadcasting
Limited (PBL) into gambling with the purchase of the Crown Casino in 1999.
6.2.6 Portfolio
Diversification involves allocating resources across various products and
markets. Portfolio models have been built to help guide resource allocations and
priorities.
Drucker (1969) describes the main reasons for diversification as:
6.2.6.1 Internal Pressures
Psychologically people get tired of doing the same thing over and over again
Diversification is seen as a way to convert present internal cost centers into revenue
producers
6.2.6.2 External Pressures

The economy (or market) appears too small and confined to allow growth
The organization’s R&D turn up products which appear to have promise
Christensen (1994) has considered the main reasons for diversification and identified
their flaws.
1. Diversification is pursued to take advantage of ‘an exceptional market
opportunity’. This type of diversification is characterised by high growth in the
market, which has a tendency to reduce the rivalry in an industry, therefore
reducing barriers to entry and may be even offering an opportunity to become
a dominant player in the industry. However, a successful acquisition is based
on a good fit between opportunity and company
resources/capabilities. According to Christensen (1994) most companies in
pursuit of this type of diversification only consider the opportunity aspect and
do not consider adequately the fit of resources and capabilities.
2. Diversification is pursued because the current product market shows little
growth potential. This is a problem for a company in a mature industry. The
major problem is that mature industries have a requirement for different
management skills than a rapidly growing business. As the author put it
‘recognising the absence of opportunity in an existing business does not
confer the capability to succeed in a new one’.
3. Diversification is pursued to create a more stable stream of earnings. This is a
strategy for companies who experience, for example, considerable seasonal
variations, and the diversification product/market and/or partner is often in a
business that is inversely correlated. Whilst there is potential to overcome the
unstable income stream, this is often at considerable risk. As in (2) above,
Christensen (1994) believes that the businesses are likely to be fundamentally
different and require different management practices and company
capabilities.
4. Diversification is pursued to save investors a double taxation of dividends
through reinvestment in new businesses. The author suggests that ‘in most
instances the costs of entry and of learning how to run the new business

significantly exceed the tax benefit. Institutional investors are even worse off
because they are not subject to any significant amount of double taxation.’
5. Diversification is pursued to exploit synergies between a business and its
corporate parent. This is the only valid reason for pursuing diversification.
Diversification strategies are less popular in recent years because companies have
discovered that diversified businesses are hard to manage. The advice from gurus
such as Porter (1980) and Peters & Waterman (1982) is to stick to the company’s
area of competence if this is possible.
6.3 Summary of the Ansoff Matrix:
Tintoria Ltd has already embarked the Ansoff Matrix module, we have since the last
year been able to wash executive offices and residential houses, we are already
washing seats and carpets perhaps we need to get better machines for this job so
that we increase efficiency and increase the market share.
We need to find a suitable place to do the car washing on a wide scale; we missed
the opportunity to get the parklands sports club area. This will certainly generate for
us a lot of revenue.
In a nutshell, we are aiming at making Tintoria Ltd the one stop wash shop that can
meet all the washing needs ranging from Pest Control and fumigation, household
cleaning to industrial cleaning and executive office cleaning to wet and dry laundry
cleaning needs.
The diversification strategy is the most risky of all the strategies because a
successful acquisition is based on a good fit between opportunity and company
resources and capabilities, currently Tintoria Ltd does not have the required
resources and would best stick to working on its own and concentrate on general
cleaning basically.
6.7 PORTER'S FIVE FORCES ANALYSIS FOR TINTORIA LTD.

The Five Forces model of Porter is an outside-in business unit strategy tool that is
used to make an analysis of the attractiveness (value...) of an industry structure. It
captures the key elements of industry competition.

Bargaining power of customers Bargaining power of suppliers
Low costs of switching to similar
services ()
Tight budget ()
Large number of customers (0)
Clean clothes as necessity of life (0)
Uniqueness of Laundry Lounge (0)
Few substitute service available (0)
ExStrong brand name (0)
Small number of commercial laundry
equipment suppliers ()
High cost of switching to other laundry
equipment supplier ()
High importance of washing and drying
machines in the business ()
Start-up company ()
Only one supplier of Electricity with no
alternative source of power ()
Moderate number of chemical and
detergents suppliers (0)
O
Large number of suppliers for Laundry
Lounge’s additional services (0)
Numerous premise for lease (0)
Rivalry of existing competitors
F Fierce competitor rivalry in terms of pricing and getting tenders ()
Low industry growth rate (0)
Small number and small size of self-service laundry stores (0)
A few outstanding competitors (0)
Poor diversity (0)
Information about the industry is not yet complicated and very scarcity(0)
No or very small advertising expenses (0)
Threats of new entrants Threats of substitute services
Easy to copy ()
No proprietary factors in the industry
()
Brand value in the industry is very high
(0)
Moderate capital requirements (+)
Difficulties in finding suppliers (0)
Daily habit of washing and drying
clothes by hands at home ()
High quality (0)
High price (0)
Clear differentiation (0)

Bargaining power of Customers
The bargaining power of customers, most notably cheaper mushrooming estate
laundry and dry cleaners and new hotels having their own laundry machines like
Kempinski, Villa Rosa Hotel, has become an increasing threat to Tintoria Ltd in the
Laundry industry. Over the past couple of decades discounted laundry providers
such as Wait-Rose, Flush dry cleaners, Parapet cleaners have grown dramatically,
and with it, their demands of companies in this industry have grown as well.
Because the market strategy of these laundry providers is to provide a wide range of
services and charge use practice discrimination to increase its market and also use
established franchises to expand within the Eastern African
This business model attracts more customers and increase customer loyalty as the
services are found everywhere within the country. However, Tintoria Ltd mitigates
these threats by providing quick services and superior quality services by operating
from a unique laundry lounge and building a strong brand name.
Bargaining power of Suppliers
The bargaining power of Tintoria’s suppliers is relatively high due to the low
concentration of firms selling basic materials like chemicals and detergents, plastic
hangers, packaging paper and electricity and even the laundry machines and
laundry spare parts. Our main supplier of electricity is Kenya Power and having no
alternative source of power like a generator in our main factory is a main threat to
Tintoria Ltd profits. We only have only one source of plastic hangers and this is also
a threat to Tintoria’s profit as we cannot easily allocate an alternative supplier.
However, the suppliers of chemicals and detergents are moderate hence these
suppliers pose only a medium risk to Tintoria’s Ltd profits
To mitigate these risks, Tintoria Ltd has to maintain good relationship with its key
suppliers, they can use look for alternative premises to lease or to buy, perhaps a
much bigger space to operate more machines and install a large reliable generator
to be used in case of power cuts and black outs.

Rivalry of existing competitors
The market for laundry services has become increasingly competitive over the past
few decades. One key reason for this increase in competition can be attributed to the
rise of discounted laundry providers in the estates and the neighborhoods, modern
apartments and up-coming hotels which are well equipped with laundry machines
and personnel.
However, as a result of the increased competitiveness of the industry there has been
an increase in partnerships among competing firms in both R&D and sales and
marketing. As examples, for instance White Rose has partnered with Flush dry
cleaners and are undertaking an R&D venture concerning packaging bags and
chemicals and detergents.
White-Rose relies on a diverse geographic base for its revenues through using
various joint ventures and franchise businesses.
Tintoria Ltd competes with a variety of different firms depending on the services
provided and their locations. However, there are hardly any small number and small
size of self-service laundry stores in the country and there are also a few outstanding
competitors. Many of the laundry providers have poor diversity in terms of the
laundry services offered and therefore are not a major threat to Tintoria’s Ltd profits.
Overall the competitor rivalry is strong and Tintoria Ltd is facing stiff competition from
companies such as Mbuni dry cleaners and Perfect Touch dry cleaners. Tintoria Ltd
relies heavily on its niche markets in the new Malls in the Nairobi County although
some of the Malls have the laundry business has not picked as expected and the
company has a result posted losses in those segments.
Generally the laundry industry weakening economic conditions, poor infrastructure,
currency devaluations, and political turmoil in Kenya have all negatively impacted
the industry. Furthermore, continuing competitive pricing activities in the rivals has
hurt the business significantly. Due to deteriorating economic and market conditions
and the Company’s needs to increase its scale of operations and low prices as a
result.

Threats of new entrants
Entry of a new firm into the Laundry industry is unlikely to seriously threaten Tintoria
Ltd. A few of the existing companies in this industry are very large and diversified.
Tintoria Ltd for instance has several shops in the Nairobi County and a fleet of
vehicles for collecting and delivering laundry items and a very strong capital base
and a strong brand name in the market to be worried about small mushrooming
laundry service providers.
However, existing competitors are small and not a major threat to Tintoria’s profit
though the information about them in the industry is still scarcity.
Furthermore, Tintoria Ltd and other main competitors in this industry are not
restricted geographically. Their laundry services are sold and recognized nationwide
and a new entrant would be hard pressed to compete on such a large scale.
A smaller, local entrant would have difficulty to attract brand loyal customers away or
seriously threaten a company such as Tintoria Ltd especially in its niche up markets
except in the poor neighborhoods. A new entrant would simply not be able corner
enough market share to compete and survive.
The second major barrier to entry is the large start-up costs. Clorox has Kshs 15
million in existing property, plants, and equipment. Tintoria Ltd intends to buy a large
power generator to cater for the power black-outs and also is planning on building its
own building as a main factory to carry out its operations
The finances required and the challenges faced are huge and a sure barrier to a
start-up company attempting to enter the Laundry and dry cleaning industry on a
scale comparable to Tintoria Ltd.
Threats of substitute services
Substitutes pose a serious threat to profitability and growth in the Laundry industry
because Tintoria Ltd must compete on price, quality, or other benefits to consumers.
Tintoria faces a substitute problem in two distinct ways. One is through stiff product
competition. In this case Tintoria Ltd must directly compete with its alternative
laundry providers in terms of price and quality.
In addition to alternative laundry provider competition, Tintoria faces further
competition as well from household washing and household laundry machines these

competitors can undercut Tintoria’s Ltd price in an attempt to gain market share for
a particular type of product, such as carpet cleaning and car seats and other house-
hold cleaning items.
Discounted laundry service providers in the estate have also intensified the
competitor rivalry in this laundry industry and are a threat to Tintoria Ltd profits, as
very often they charge a much cheaper price. Although brand loyalty may help
decrease the potential impact of such price competition, the possibility of lower sales
remains a reality.
As both these examples show, in the Laundry industry there are frequent
introductions of new services and existing service extensions. Therefore an
important strategic issue for companies such as Tintoria Ltd is being able to identify
emerging consumer trends and to maintain and improve the competitiveness of its
products. In order to do this Tintoria Ltd needs to engage in intensive selling and
marketing of its services
LIMITATIONS OF THIS STRATEGY
 Inside-out strategy is ignored (core competence)
 It does not cope with synergies and interdependencies within the portfolio of
large corporations (parenting advantage)
 The environments which are characterized by rapid, systemic and radical
change require more flexible, dynamic or emergent approaches to strategy
formulation (disruptive innovation)
 Sometimes it may be possible to create completely new markets instead of
selecting from existing ones (blue ocean strategy)

7.0 STRATEGIC GOALS AND OBJECTIVES
Goal A: To increase the market share to about 50% during this planning period starting from March 2019 to March 2019 by
targeting both corporate and walk-in clients.
Objectives
Recruit full-time sales representatives
To vigorously send out business soliciting letters to the targeted clientele
Develop and implement a customer loyalty programme
To use the social media mainly the new designed website, face book and twitter to increase sales.
Distribution of flyers, posters and banners in the up market supermarkets, malls, highways and offices.
Goal B: To radically improve customer satisfaction and retention.
Objectives
Introduce a compliant log
Implement complaint handling process that ensures that all issues are resolved within 3 days.
Improving customer service and client retention through proper washing of laundry items, sorting proper ironing and brushing,
reducing redo’s, lost and damaged items.
Handling customers queries speedily
Timely delivery of laundry items.

Goal C: Achieve higher levels of operational excellence in dry cleaning and laundry services:
Objectives
Regular maintenance and servicing of the laundry machines
Introduction of a machine replacement policy to enhance the quality of services delivered.
Train staff on operational issues like the type of chemicals and detergents being used
Proper tagging of clothes to prevent loss of clothes and eliminate unauthorized washing of laundry items.
Introduce a computer system that integrates the front and back office operations
Goal D: To increase the capacity and capability of Tintoria Ltd’s human resources to meet company’s objectives
Objectives
To recruit competent, reliable and committed staff.
To use to social media to recruit employees when appropriate.
To train and improve staff skills
Regular staff training on how to handle customers and wash laundry items.
Prompt delivery of customer invoices and statements and timely follow up of overdue accounts

8.0 KEY PERFORMANCE INDICATORS
Key Performance Indicators, also known as KPI or Key Success Indicators (KSI), help an organization define and measure
progress toward organizational goals.
Tintoria Ltd has analyzed its mission, identified all its stakeholders, and defined its goals, it needs a way to measure progress
toward these goals. Key Performance Indicators are those measurements which are as listed below.
Increasing the sales turnover and net profit margins
Reducing the overall operational costs
Reducing the machine breakdowns
Pre-qualifications of suppliers
Quick resolution of customers queries within three days
Prompt invoicing of customers and collection of debts
Improving the Internal control procedures
Integrating front office and back office operations and also all the shops with the main server.
Proper filing and keeping of records and also completing of external audits on time.

9.0 STRATEGIC ACTION PLANS FOR THE DEPARTMENTS
No. Goal/Objective Intention/Plan Duties Duration
1. KPIs
Setting departmental K.P.Is that will measure every department’s
performance.
-We have ten branches with 4 accountants and need to know who does
what. Where necessary, we will be able to divide the branches in such
a way that the management will always meet to discuss monthly branch
performances.
-We will be able to know from the monthly performances (Monthly
Management Accounting) our performances, and where necessary
adjust those expenditures we may feel unnecessary; give a road map
on marketing strategies.
Finance
July 2019 be a routine
thing
2
Strategic budgeting
Having accurately shown our true financial position; we will be able to
project into the future based on the said historical data.
We shall compare our fixed costs; rents, electricity, wages, cost of
production and the revenues and be able to accurately predict our
worth and be able to conform strictly to our budgets.
Finance
Sept 2019
3. Cost Containment
Pre-qualify our suppliers. This will be geared towards cost reduction.
To ensure we get the best quality at the lowest price for materials,
supplies and services, make purchasing management one of the key
duties of the department
Finance
July-2019
4.
Knowing the actual value of receivables.
-Develop strategies on collections. Re-define collection strategies.
-We will be able to know exactly what is due in our systems; report this
Finance

4. Cash flow
Management
to the management regularly and adopt a clear strategy on how to pay
our suppliers. We will also devise a proper strategy to ensure
collections are done to avoid unnecessary loses previously witnessed;
- Our banks will be reconciled to date so that it will be easy to know
from which account to pay suppliers.
Every day thing
5. End of year Audit
-To complete with the audit for the current year.
-To have accurate data in the system that can be reasonably relied on.
Finance July 2019 to August 2019
6
Appraisal
-To have individual staff performances measured. Those we feel are
not adding value may be forced to leave or be redeployed.
Finance
August 2019
7 ISO
-Re-visit our QC control documents and be able to see whether we are
compliant.
-Those clauses that we may feel can be altered be revised.
-Involve a consultancy firm who will aid in training QC auditors,
-Our first audit will be done where necessary depending on the
consultants advice and be able to get certification early 2016.
Finance
Sept –Dec 2019

1.
Increase market share
to about 50% during the
planning period
-Recruit full-time sales representatives
To vigorously send out business soliciting letters to the targeted
clientele.
Develop and implement a customer loyalty programme
To use the social media mainly the newly designed website, face
book and twitter to increase sales
Distribution of flyers, posters and banners in the up market
supermarkets, malls, highways and offices
Marketing
&Operations
July 2019 to
August 2019
2.
Embed a sales and
marketing culture
amongst staff members
Deliver a basic sales and marketing awareness training for the all
staff members
Develop and implement a commission structure for front office and
sales staff.
Marketing
&Operations
July 2019 to
August 2019
3.
Explore joint venture
and strategic alliances
that will increase market
share
Joint venture with new upcoming neighborhood laundry
companies, target Hotels, embassies and apartment to give us new
business.
Advertise occasionally in the media to increase sales or engage in
barter trade with media companies
Sales &
Marketing &
Finance &
Administration
July 2019 to
August 2019
4.
Segment our customers We should group them into golden, VIP and regular customers and
price discrimination should be practiced in this regard. Currently
only White Rose does this.
Sales &
Marketing &
Finance &
Administration
July 2019 to
August 2019
5.
Enhance Tintoria Brand
name
Develop and display communication and marketing materials in the
outlets detailing services and other offers e.g flyers, posters and
magazines
Develop branded promotional items like calendars, mugs and
diaries
Upgrade and update Tintoria’s website to have more interactive
Sales &
Marketing
July 2019 to
August 2019

capabilities
6
Activity increased
visibility through
Corporate Social
Responsibility (CSR)
activities
Identify and support causes that relate to Tintoria’s values e.g
helping the needy people and addressing environmental issues.
Sales &
Marketing &
Customer
care
July 2019 to
August 2019
7.
Improve accessibility of
Tintoria’s services and
tap into potential clients
Expand and extend the laundry services to other towns within the
country and within the East African region.
Markey survey to target new shops in Nakuru, Mombasa and
South Sudan
All
departments
July 2016
8.
Public Relations Develop specialized and targeted communications using key
aspects of Tintoria’s strengths and competitive advantage e.g
environmentally friendly, state of art technology, quality finish
Sales &
Marketing
July 2019 to
August 2019
9 Marketing Promotions Introduce sales promotion through seasonal discounts Marketing &
Customer
care
July 2019 to
August 2019

1.
Evaluate the current
recruitment process
Align employee goals to organizational goals and concentrate on
an individual contribution to the company.
Implement proper recruitment procedures and employ competent
people who will help the company achieve their vision and mission.
Integrity and honesty on part of the employees will be crucial in
meeting the company’s goal of profit maximization and cost
minimization.
Finance &
Administration
HR
July 2019 and be a routine
thing
2.
Improved staff attitude
and discipline
Educate staff on the expected code of conduct and discipline staff
not adhering to the rules and regulations.
Introduce a performance appraisal process to be done at least
once a year and link it to future salary reviews, bonuses.
Finance &
Administration
HR
thing
3.
Develop training and
development plans
consistent with
company’s strategic
goals and objectives
Orientation of receptionists and sensitizing them of the importance
of good customer care e.g. greeting them by their names,
promptly answering their queries and distributing flyers
Finance &
Administration
HR
thing
4.
Evaluation of the
human resource staff
and competence
Design an appropriate organizational structure that shows clear
lines of command and responsibilities that will help achieving the
strategic goals and objectives
Finance &
Administration
HR
5. Improve turnaround
time for repair of
machine break-downs
Engage competent technicians to ensure that down times for
repairs do not exceed 24 hours unless breakdown is severe and
spare parts are not available.
Establish relationships with local and International service
Finance &
Administration
&Operations
July 2019

providers and companies that sell reliable spare parts
Train and recruit an in house technician to assist in quick repair
and maintenance
6
Increase operations
capacity to handle
increased market share
Look for alternative places where we can operate from ideally
away from Soin Arcade so that we can save money by not paying
very high rents.
Pre-qualifications of our suppliers so that we get reliable good
supplies and at cheaper prices.
Get various quotations from suppliers with a view of buying and
replacing machineries
Finance &
Administration
&Operations
September 2019
7.
Benchmark Tintoria’s
operations and prices
with those of our
competitors and
implement best
practices and prices
Good fabricare and spotting of clothes to avoid redos and
damages
Consider reducing the laundry prices to match those of our
competitors
All
departments
August 2019
8.
Improve and Integrate
the front and back
offices operations.
Making all the front office operations online by installing the right
computer packages. Increase the capacity of the server so that it
does crash with increased volumes of operations and so that it can
facilitate the tracking of sales and stocks of the other shops.
Install good antivirus programme and regular maintain the
computer systems
The software consultants is currently working on a model on how
to link the shops and make the operations real time and a realistic
It is also proposed that C.C.T.V to be installed in all the shops and
networked so that the receptionists can be monitored due to
Finance &
Administration
&Operations
August 2019

lateness and absenteeism and also the monitoring the conduct of
the receptionists while handling customers
9
Prevent power and
water supplies
interruption.
Move to a new premises that have a borehole that can supply
regular water and purchase a standby generator to be used in case
of power blackouts.
Plan to install solar systems so as to comply with the ERC new
regulation that restricts us to use electricity power to 180,000
kilowatts per year. Therefore Tintoria’s Ltd could combine the two
sources of power to ensure that it has reliable and sufficient power
throughout the year.
Tintoria Ltd is in the process of getting quotation for a stand-by
generator to be installed at the Westlands main manufacturing
office for the premises to be bought.
However, the Verity Management at Soin Arcade have processed
to install a 350 KA generator to counter for the many power black
outs that we experience, we expect this to be done in a very short
while.
All
departments
July 2019 to
August 2019
10
Prompt delivery of
clothes without much
ado
There should be big sealed laundry bags for safer and easier
transportation of clothes from shops.
Drivers should have a loader during delivery and picking of clothes
from the shops. Collection of the clothes should be done in the
morning unless there is express delivery; however drivers can
carry dirty clothes, if there is enough space so that in the morning,
Silvia has something to do as she waits for morning collection to be
delivered.
Operation
department

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