Final Strategic PLanPresented by Robert GilSTR 581112.docx

Final Strategic PLan
Presented by
Robert Gil
STR 581
11/20/2017
Claudia Duranceau
Table of contents
Executive Summary
Company Background
Mission Statement
Vision Statement
Value Statement
Environmental Scan
Internal Analysis
Strengths and Weaknesses
Internal Environmental Factors
Table of contents (2)
External Environmental Analysis
General and Operating Environments

External Environmental Factors
Strategic Recommendation
Implementation Plan
Organizational Change Management Strategies
Risk Management Plan
Conclusion
Reference
Executive Summary
In the Foodservice industry that are many organizations
providing all essentials required to run a reliable and stable
environment. Compass Group USA is an organization that
provides foodservice and support services to corporate
cafeterias, arenas, museums, award winning restaurants and
other related organizational needs ("Who We Are", 2017).
Although it is an international company providing their services
in over 50 countries and over 50,000 locations, the U.S. branch
began in 1994 when it acquired Canteen. Compass Group has
been around for over 75 years and it continues to grow each
day ("Who We Are", 2017). One of the reasons it has been
successful, it’s because Compass Group scans its environment
and adjust accordingly in order to stay competitive and
profitable for the sake of its shareholders. Compass Group USA
is an organization that provides foodservice and support
services to corporate cafeterias, arenas, museums, award
winning restaurants and other related organizational needs
("Who We Are", 2017). In the Foodservice industry, there are
many organizations providing very similar services and
products to Compass Group USA. Therefore, Compass Group
USA must attract new businesses as well as retain current
clients by creating plans or methods to run their daily

operations that would allow them to center their business level
strategies in a well-rounded environment. The implementation
plan will need to review its objectives, find functional tactics,
plan and perform action items along with the possible
milestones it will need to meet in order to meet the deadlines.
Tasks required by each major department of the organization
will have the responsibility to make them work or adjust as
needed with the resources given or allocating resources that will
keep the organization in line of the proposed plan.
4
Compass Group
Type of Services
U.S. Branch
Countries
Locations
75 Years of service
Competitive
Compass Group USA is an organization that provides
foodservice and support services to corporate cafeterias, arenas,
museums, award winning restaurants and many other related
businesses in the market place. It is a global leader as a
contractor in foodservice but also in the hospitality market.
The USA branch began in 1994 with the purchase of Canteen
which was bringing in over $1 billion in US dollar revenue and

the organization continues to grow dramatically. In the
Foodservice industry that are many organizations providing all
essentials required to run a reliable and stable environment.
Although it is an international company providing their services
in over 50 countries and over 50,000 locations, the U.S. branch
began in 1994 when it acquired Canteen. Compass Group has
been around for over 75 years and it continues to grow each
day ("Who We Are", 2017). One of the reasons it has been
successful, it’s because Compass Group scans its environment
and adjust accordingly in order to stay competitive and
profitable for the sake of its shareholders.
5
Mission Statement
“Everyone in Compass Group is committed to consistently
delivering superior service in the most efficient way, for the
shared benefit of our customers, shareholders, and associates”
Compass Group is a global business and although is a very large
organization made up of many entities with many different
clients as well as vendors and suppliers, the mission and vision
are set in place to promote personal and family values. The
mission is “Everyone in Compass Group is committed to
consistently delivering superior service in the most efficient
way, for the shared benefit of our customers, shareholders, and
associates” ("Compass Group Mission & Vision", 2017). The
mission speaks commitment to perform which means that in
order to do so, they must promote safety and health to everyone

from employees to the clients and community. Our customers
can only be amazed if we are consistent and demonstrate the
ability to perform our best when providing best quality and
value to our products and services.
6
Vision Statement
“To be a world-class provider of contract foodservice and
support services, renowned for our great people, our great
service, and our great results.”
Its vision is “To be a world-class provider of contract
foodservice and support services, renowned for our great
people, our great service, and our great results.” ("Compass
Group Mission & Vision", 2017). These are values that promote
professional standards which in turn create trust and respect for
all. A major goal is to set standards for quality and to always
have a win-win passion which are major factors when you want
to be a leader in the corporate world and be able to compete as a
major competitor not just in service but a leader in ethics and
responsibility. Making positive contribution to the community,
customer and employees helps the organization set its goal as a
whole and not just one section of the business.
7
Environmental scan
Opportunities and threats
Collecting Data

Competitors
Profitable
Population
Community
Demographics
Organizations are always encountered by opportunities and
threats. Environmental scanning helps identify those areas. In
this instance, Compass Group environmental scanning needs to
collect data about their organization and its goods and services
and then collect the same about competitors in the same or
similar shared markets ("Strategic Planning: What Are The
Basics Of Environmental Scanning?", 2012). The information
will then be used to adjust their plans and strategies to continue
to be competitive and profitable.
An important step in environmental scanning for Compass
Group is to learn how government affects local businesses and
how laws and the economy stand in any new possible market.
Factors such as population and the size as well as the
demographic where the new location should be established
("Strategic Planning: What Are The Basics Of Environmental
Scanning?", 2012). All these different factors are important
because Compass Group can learn how their competitors are
handling specific issues in the current local market share
8
Internal analysis
Elements
Client

Solution
s
Employees
Production
Acting Responsibly
Responsible Sourcing
Compass Group is made up of several elements in the food
industry market sectors to include Business, Healthcare,
Education, Sports and Defense (Food is Our Passion 2017). The
organization provides solutions that offer mutual value to the
client as well as the organization and still stay cost effective.
Currently, Compass Group operates in more than 50 countries
with over 50,000 clients (Food is Our Passion 2017). Compass
group employs over 500,000 employees and takes pride in
serving over 5 billion meals per year. Paul Walsh joined
Compass Group in 2014 as the Chairman. Followed by several

executives such as Richard Cousins, Dominic Blakemore,
Johnny Thomson and eight others helping him run the many
sectors that compose the organization. Compass Group
corporate culture is described as “Acting Responsibly”. A
major focus of this organization is the commitment to enforce
that the welfare of the farm animals used in their global supply
falls under “Responsible Sourcing Strategy” (Food is Our
Passion 2017). These types of commitments bring back to
focus in employee behavior. The importance of having an
enthusiastic team is what brings the passion to the clients and
also opening doors to employees to advance within the
organization with possibilities in over 50 countries.
9
Strengths & Weaknesses
London Stock Exchange
75 Years Of Service
Employees
World Leader
United Nations Audit
Legal Fees

Compass Group like most organizations has strengths as well as
weaknesses. A major strength for Compass Group is that it is
listed in the London Stock Exchange and the Financial Times
Stock Exchange 100 Index which supports their continuous
growth, but also helps the shareholders feel motivated about
their investments and the employees know that they are part of a
well financial driven organization (Compass Group Swot
Analysis, Usp & Competitors, 2017). Because it has been
around for over 75 years, this is an excellent example of their
strengths as it helps the image of the company with great
history behind its processes and robust financial position
(Compass Group Swot Analysis, Usp & Competitors, 2017).
Another major strength is the quantity of employed individuals
currently running over 500,000 and growing. These amount of
employees create many positive effects, from great talent to a
ton of input, which Compass Group uses as it listens to its
employees ideas.
It is considered a world leader in food and support services and
continues to grow in emerging markets. But with strengths
sometimes organizations face some down fall. One weakness
that was very public was the allegations by the United Nations
about bribery in UN Contracts (Kundnani, 2006). It settled two

lawsuits for 40 million pounds with the two competitors that
claimed losses over 600 million pounds. Another weakness that
has put a dent in their ability to entitlement of best services was
the claim by Canadian prisons that their food services was way
below food good quality which in turn affected their brand
image. One of the claims by the prisoners was that they were
being served raw eggs and that equipment was down all the time
(Collins, 2016).
10
Internal environment factors
Innovation
Survey Employees
Dedication
The internal factors that build from the external efforts are
much greater in strengthening the organization’s image and
encouraging the employees to be motivators and enthusiastic.
Innovation in food creation and improvement in support

services has kept Compass Group as the world leader in the
shared market. The organization surveys its employees and
listens to its clients. It grows because their commitment to their
investment in their internal factors and the dedication to keep
external factors under control and well supported.
11
External analysis
Market Strategy
Customers
Government
Economy
Public Opinion
An organization can be affected by the external environments.
These types of factors are beyond the reach of an organization
because the business can lack function from the effects of these
elements. Some factors can be addressed by adjusting the
marketing strategy, but other may require more drastic
adjustments to be in compliance. Factors such as customers,

government, economy, competitors and public opinion are
considered the external environment (Root III, 2017).
Customers can be influence by making changes or redirecting
marketing strategies to regain customer confidence. Ultimately,
it is best to know and understand the customer more closely
because this will help you influence them in obtaining the
services Compass Group offers. On the other hand, government
can become rather costly. Because of regulations in State and
Federal laws, these can affect the cost of doing business.
Compass Group has set pricing for their services and it
guarantees their services at the cost agreed upon signed
contract, but the profit margin can be drastically reduced if
government enforce new legislation that would cost money to
get up to standards.
Profit margin is also connected to the economy. Compass
Group must constantly review and monitor changes in the
economy. For example, avocados and meats have recently been
affected by the weather’s damage to land, therefore their prices
have sky rocketed. These changes may affect temporally, but
hey can last longer than expected and the business will have to
adjust how it serves its clients if there is no room for
adjustment. But competition can also affect the way the
business will need to adjust their pricing (Root III, 2017).
Open markets where competition is minimal might be ideal to
startup new locations, but for the most, it is what happens to the

competition that allows the market share to shift. Competitors
may be affected from public opinion. Something drastic could
have taken place within the organization and clients do not want
to deal with organizations that have negative impact in
partnerships (Root III, 2017). Therefore, public opinion is
important to upkeep because it can affect the way new and
current clients view the organization.
12
General & Operating Environments
Six Segments
Political
Economic
Social
Technological
Environmental
Legal

PESTEL analysis refers to the six segments that are within the
general environment of an organization. Political, Economic,
social, technological, environmental and legal are the segments
for each letter of the analysis ("The Elements Of The General
Environment: Pestel Analysis", 2017). For Compass Group,
the political can refer to taxation and tariffs changes for
importing or exporting of goods used each day such as fruits,
vegetables. Any additional fees paid can affect the bottom line.
Economic factors can be driven from how the GDP adjusts each
day or how the unemployment rate fluctuates. But it can also
refer to as how much money or cash flow an organization has to
use for services and this can affect how new businesses are
acquired, but also how current businesses are lost due to lack of
cash flow. Social factors are those that derived from trends
whether it is from age, ethnicity or cultural status. Compass
Group has been successful at functioning in a large
demographic area and continues to grow.
Technological factors are those that as new technology becomes
available, organizations promote the use of them and sometimes
are connected to the environmental factors which can put a
business at a loss if the competition is offering a more earth
friendly use of technology alongside their business. But also
following the legal factors such as safety, employment rights
and healthy work environments are examples how well an
organization will develop public relations in the long run.

13
external environment factors
Social Changes
Economic Changes
Power of Media
Compass Group has some external factors that affect its growth,
image and production. One external factor is the importance of
growing the organic business. Although it is growing
incrementally, its venture in continuing as a world leader in the
food industry it’s important to be sustainable in all areas
possible to include recyclable programs. Another example of
external factor that Compass Group has encounter is the power
of media as they encounter bumps in their growth. Because of
previous issues with the UN and claims of breviary to get
special contracts, the recovery and cleanup of organizations
image is crucial to the continuous growth

14
Strategic recommendations
Performance
Utilize HR
Reputation
Products and Services
More Clients
There are several potential business strategies Compass Group
USA can rely on since it has many different departments with
different functions which are required for the organization to
run efficient. Coordinating daily activities is a very common
business level strategy (Vitez, 2017). Management is
responsible to get staff to view and perform according to the
goal requirement. The idea is to be able to function as one,
even though there are many staff members and departments
involved. Another strategy at the business level is the proper
utilization of the Human resource department. The organization

needs to run budgets adequately and in order to do so, it is
important to have the proper labor force available to accomplish
what is required by each department. The importance of the
Human Resource Department is the ability to recruit the right
personnel for the right job specifications.
Compass Group USA must separate themselves from all other
competition. To do this, it is crucial to develop distinctive
strategies. These are factors that separate the organization from
the others. Such things as product, services and reputation are
competitive advantages that will allow Compass Group to be
successful (Vitez, 2017). Everything from patented unique
products to specialized services that are not offered by anybody
else are perfect examples of how the budget can be well
invested while still being cost effective so that it can attract
more consumers and potential clients (Vitez, 2017). Compass
Group offers several types of services, such as food service and
facilities management, but other competitors offered very
similar services. Finding niches in the market share by
modifying a service to be unique, or making the organization
available in areas where others are not willing to extended their
services will separate them from the competition as Compass
would have identified the market niches that others won’t touch
or just plainly have missed the market opportunities.
15

Corporate Level Strategy
Organizing
Implementing
Resources
Performance
Value Reducing
Redirecting Resources
Strategizing at a corporate level is ideal for Compass Group.
The organization is made up of several identities so their
corporate level strategies are already in place and working in
the growth of the company. The organization continues to
acquire new companies and merge them in the organization. A
Value Creating strategy seeks out to gain market share in the
fields that their competitors are situated (Bradley, 2017). The
idea is to add value to the organization by using the power of
the entire organization to reduce the cost of goods and services
across the border, but maintain efficiency at top level. But also

adding value by offering additional services or goods that the
competition is not offering (Bradley, 2017).
Another corporate strategy that adds value to the organization is
the Value Neutral Strategy (Bradley, 2017). Pressing
importance in reducing risk and maintaining a steady cash flow
are crucial to allocating the correct amount of manpower and
proper resources needed to stay competitive. On the other hand,
the Value Reducing Strategy can help the organization address
any concerns with stakeholders feeling like the upper
management are getting over paid or jus the organization is
getting too big (Bradley, 2017). Focusing and redirecting
resources to the right demographics and not looking into
expanding in areas that may not be beneficial are examples of
what Compass ca do to address such concerns.
16
Global streategies
Learn Demographics
What Sells
Expansion
Culture
Taste

For Compass Group, global strategies can be complicated
because of the food and support services it offers may not be
the same across the world. Unlike technology such as a
telephone or a soda that is the same anywhere you go, services
can be complicated due to culture change and other
demographic factors. However, Compass Group can adjust to
globalization by understanding and learning from the
demographic areas it is interested in expanding. Food Services
can be learned and brought into place just by understanding
what sells and what the competition is offering. Compass Group
has done very well in expanding to Countries such as Mexico,
United Kingdom and other European countries. The
organization has been successful in all these demographics
because they have been able to adjust to culture, taste and
operational needs.
17
Recommended strategy
Value Reducing Strategy

Balance Payroll
Value Creating Strategy
Generating new businesses
Sustainability
Expand Services Beyond Food
Because Compass Group is already a very large organization
with many locations and clients all over the world, it is
important to pull back and recognized the importance of
keeping stakeholders assured as well as content with the results
of the organization. The Value Reducing Strategy is defined by
the support needed from the CEO and all Upper and Senior
management. A well balance payroll of those who are high in
the chain of command can ease the questions of why it is so
important for stakeholders to understand that capital is being
routed to the right departments and to maintaining clients and
staff happy and not on overpaying salaries. But also practicing
the Value Creating Strategy will continue to be the force on
generating new businesses and partnerships that will help the

growth of the organization, but also maintain all current clients
happy that they are partners with an excellent service provider
that main focus is to provide the best possible services with
focus on sustainability and profit both for its clients,
stakeholders and organization’s members. Compass Group will
continue to grow and expand the services it provides. Seeking
future accounts and business it can acquire to gain market share
are crucial to the expansion of its services. Providing
innovative ways and focusing energy in technology are just
ways of client retention through the use of business, corporate,
and global strategies that will help take market share.
18
Implementation plan
Presentation
Product and Services
Expansion

Presentation – Many millennials are visuals shoppers and for
the most want to buy what they like without the disturbance of a
sales person telling them what to buy from their display cases.
Because strategies are changing and the way accounts are
acquired, sold and bid upon, a digital and interactive system
would allow accessibility for the client and the consumers.
Products and Services – Introducing more innovative products
and services. Allowing the clients to choose a wide set of food
choices and use the experience gain in other countries and
cultures and offer that to new and existing clients.
Expansion - Because Food services, Janitorial and Facilities
management come in hand on most occasions. Compass needs
to explore the possible expansion into other logistical areas it
can provide further services.
19
Organizational change management strategies
Get Departments Involved
Allocate Budget
Analyze SWOT
Point Key Factors

The objectives have been identified and the deadlines have been
put in place. Now the challenge is to assign the task to the
specific departments such as Human Resources who will take
ownership of matching the right associates with the proper
training and character to perform the redesigned job duties.
The Finance Department to guide upper management to identify
which stores are under achievers in comparison with others in
their perspective demographic locations. Upper management
will need to take ownership of this task in order to meet the
deadlines and match the set milestone of the strategic plan.
Analyzing Compass Group weakness and strengths are key
factors to its strategy to succeed in this major strategic plan to
reinvent its sales and image as a top retailer. A strategy
formation is highly recommended for this plan in order to
enhance the successful implementation of the specific action
items needed along with the deadlines and milestones that will
keep the organization in track.

20
Risk ManagementCompass Group Risk Management Plan &
TrackingRisk #Business
AreaDescriptionLikelihoodSeverityLevel of
ControlSignificanceRisk StrategyRisk Mitigation
Plan1PresentationMarketing 43310ControlDesign and Provide
Great Food2ServicesBrand3339ControlCreate a team to delegate
new in house product3Add New AccountsNew
clients43310ControlReview lease contracts and hire law firm to
quickly close
The Finance Department to guide upper management to identify
which stores are under achievers in comparison with others in
their perspective demographic locations. Upper management
will need to take ownership of this task in order to meet the
deadlines and match the set milestone of the strategic plan.
Analyzing Compass Group weakness and strengths are key
factors to its strategy to succeed in this major strategic plan to
reinvent its sales and image as a top retailer
21

Risk Management
A strategy formation is highly recommended for this plan in
order to enhance the successful implementation of the specific
action items needed along with the deadlines and milestones
that will keep the organization in track. The Break Even point
shows which way the business needs to head and how to raise
the bar on the sales vs the cost of services.
22
Conclusion
Acquiring new accounts and businesses
Corporate Social Responsibility
Environmental Scanning
Internal & External factors
Investing in Employees
High quality services
Innovation

Since 1994, Compass Group USA continues to acquire new
organizations and adding them into their world portfolio. The
commitment to excellence does not lessen or weakened as it
grows. In fact, the need for improvement get stronger and
better each time. “The World Bank defines Corporate Social
Responsibility as “the commitment of businesses to behave
ethically and to contribute to sustainable economic development
by working with all relevant stakeholders to improve their lives
in ways that are good for business, the sustainable development
agenda, and society at large"("The Ethics Of Corporate Social
Responsibility", 2013). Environmental scanning reveals what
the competition is doing and it helps the organization develop
strategies to better themselves as well as to stay in competition
s well as to stay profitable. Compass Group continues to grow
and acquire new business and as long as it is growing, it will
have to continue examining its external, general and operating
environments in order to maintain a competitive edge among its
known rivals. Understanding how internal and external factors
can affect the performance as well as the client retention is key
to the organizations continuous growth. Many opportunities are
available to maintain, such as keeping all companies in federal
and state standards, but also global requirements. Investing in

employees and generating positive work environments will keep
the company whole. Innovation and growing sustainability
internally but also promoting it externally with its partners are
fundamental to the growth in the global supply. The
commitment to provide the highest quality to all customer
including all support services along with focusing constant
efforts to make a difference in the market share will grow the
confidence in the client list and any possible new businesses.
Compass Group will continue to grow and expand the services it
provides. Seeking future accounts and business it can acquire
to gain market share are crucial to the expansion of its services.
Providing innovative ways and focusing energy in technology
are just ways of client retention through the use of business,
corporate, and global strategies that will help take market share.
23
Reference
Clayton, J. (2017). The Five Stages of the Strategic
Management Process. Retrieved from
http://smallbusiness.chron.com/five-stages-strategic-
management-process-18785.html
Collins, C. (2016). The cost of privatized food in public
institutions. Retrieved from
http://rabble.ca/news/2016/02/cost-privatized-food-public-

institutions
Compass Group Mission & Vision. (2017). Retrieved from
http://www.compass-usa.com/mission-vision/.
Compass Group Swot Analysis, Usp &
Competitors. (2017). Retrieved from
http://www.mbaskool.com/brandguide/tourism-and-
hospitality/13436-compass-group.html
Food is Our Passion. (2017). Retrieved from
https://www.compass-group.com/en/
Gaines, M. (2017). How to Develop Milestones for Your
Business. Retrieved from
http://smallbusiness.chron.com/develop-milestones-business-
25635.html
Kundnani, H. (2006). Compass settles claims of bribery in UN
contracts. Retrieved from
https://www.theguardian.com/business/2006/oct/17/3
Reference(2)

Root III, G. (2017). Five Components of an Organization's
External Environment. Retrieved from
http://smallbusiness.chron.com/five-components-organizations-
external-environment-17634.html
Strategic Planning: What are the basics of environmental
scanning? (2012). Retrieved from
https://www.shrm.org/resourcesandtools/tools-and-samples/hr-
qa/pages/cms_021670.aspx
The Ethics of Corporate Social
Responsibility. (2013). Retrieved from
https://www.brandeis.edu/ethics/ethicalinquiry/2013/November.
html
Third Quarter Update. (2017). Retrieved from
https://www.compass-group.com/content/dam/compass-
group/corporate/Investors/Results-
presentations/2017/Q3TradingUpdate/Q3%20Trading%20Update
%202017%20FINAL.pdf.downloadasset.pdf
Vitez, O. (2017). Five Types of Business-Level
Strategies. Retrieved from
http://smallbusiness.chron.com/five-types-business-level-
strategies-781.html
Who We Are. (2017). Retrieved from
https://www.compass-group.com/en/who-we-are.html

Final Strategic PLanPresented by Robert GilSTR 581112.docx

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