2. Executive summary:
Study has showed that Autoglass customers are better-off than the competitors and Autoglass
is the best service providing organization in the industry contrasted to the banking and different
services oriented organizations.
Autoglass is being triumphant among the hearts of their patronage through their services and
place along won a sequence of awards for being the best windshield replacement company
amidst the business.
Autoglass has wondrous compilation of services and their products. They are going for larger
market. Autoglass’s aim is to conceive the acceptance of the shoppers among the sector of
overhauling windshield. From the case and analysis on Autoglass it might be best inferred that
Autoglass is in a particularly well-built place to confront the affray and face the new challenges.
2
3. Table of Contents:
Executive summary: ........................................................................................................................ 2
Task 1 .............................................................................................................................................. 4
1.1 The Strategic contexts and Terminology: Missions, Visions, and Core Competencies: ........ 4
1.2 Vital Issues involved in Strategic planning: ........................................................................... 5
1.3 Three techniques for Autoglass:............................................................................................ 9
Task 2: ........................................................................................................................................... 11
2.1 Organizational Audit on Autoglass: .................................................................................... 11
2.2 Environmental Audit for Autoglass: .................................................................................... 12
2.3 Significance of stakeholders:............................................................................................... 16
Task 3: ........................................................................................................................................... 18
3.1 Alternative Strategies: ........................................................................................................ 18
3.2 Future Strategy: .................................................................................................................. 22
Task 4: ........................................................................................................................................... 23
4.1 Roles and Responsibilities for Strategy Implementation: ................................................... 23
4.2 Evaluation of the Resources: ............................................................................................... 24
Conclusion ..................................................................................................................................... 25
References: .................................................................................................................................... 26
3
4. Task 1
1.1 The Strategic contexts and Terminology: Missions, Visions, and Core
Competencies:
Mission of the Autoglass Company:
Autoglass company mission is to gratify customers. The Autoglass enterprise presents the
foremost productive windshield repairing services (Arazy, O, & Gellatly, I., 2012). This operation
of persuading the consumers of Autoglass directs them to achieving the visions of their
association (Armstrong, G., & Kotler, P. 2006).
Vision of the Autoglass Company:
The Autoglass company classifies its vision in consider with the target to create the highest
degree of individual’s service among the industry. They have currently established a good mesh
to help the shoppers and have a 92% satisfactory rate amidst the purchasers (Arazy, O, &
Gellatly, I., 2012). Autoglass is growing day by day and this subject can facilitate them to
differentiate the strategic boundaries of the firm (Autoglass Company).
Strategic Intent:
The notion of strategic intent suggests that there is an overall view on where the company
should be successful rather than a certain declaration of an estimated outcome and this means
that there must be plenty of springiness within the statement to permit for staff initiative, team
influence and adaptation in light of different circumstances (Ivanauskiene, N, & Auruskeviciene,
V., 2009). The strategic intent of Autoglass Company is to see itself as the market frontrunner
always. They are doing all the actions to remain leader.
Core Competency:
The core competence of the Autoglass is that they will rectify or replace any fairly broken glass
of any kind (Arazy, O, & Gellatly, I., 2012). Autoglass provides to the purchasers fleet services to
repair or restore any moderately broken or impaired glass (Autoglass Company).
4
5. Objective and goals of Autoglass
The core objective of Autoglass is to gratify their customer by repairing or swapping broken
windscreen of every kind of vehicle. The aim of Autoglass is to make their industry grow and aid
the global purchaser (Autoglass Company). They are mounting their business by endearing the
hearts of the customers.
Strategic Architecture of Autoglass
The strategic architecture of any company is the procedure of answering the five ultimate
questions of building the strategy. The questions are compilation of “What”, “What Else”,
“What More”, “What Now”, “How” (Grant M. R., 2010). By answering these questions
Autoglass shapes their tactical structures of the company.
Strategy of Autoglass
The key task in strategic supervision is normally the accumulation and diffusion of the vision
and the action declaration. This plans essentially the raison d'etre of an organization
(Ivanauskiene, N, & Auruskeviciene, V., 2009). Autoglass has accumulated their roles in policy
making in a way that the policies maintain a precise time period in the execution (Autoglass
Company).
1.2 Vital Issues involved in Strategic planning:
There are few issues that need to be thought-about in regard of developing strategies
(Ivanauskiene, N, & Auruskeviciene, V., 2009). Given the case we are going to analysis the
competitive advantages of Autoglass.
Autoglass is placing their concentration on the customer’s inclination and customer service.
They have touched the highest happiness level in the service industry only by changing the
windscreen in low cost. Autoglass have to be customer oriented and try to escalate their service
5
6. group in order to encounter with the competition. Supported the case, Ansoff’s model are
often adapted to analyze the competitive remunerations (Kupritz, V. & Cowell, E., 2011).
Competitive advantage of Autoglass
Autoglass is presently a significant service provider of windshield replacement. They have
already captured a huge market section with their different types of services. Autoglass is
growing and it would be helpful to analyze the competitive advantage they have. Ansoff’s
Growth Matrix will be a fantastic tool to analyze the firms competitive advantage (Armstrong,
G., & Kotler, P., 2006).
Existing Product
New Product
Existing
Market
New
Market
Figure: Ansoff’s Model
Ansoff’s Growth Matrix is a marketing tool that provides four methods. As we tend to learned
from the case, Autoglass has enlarged its market share and it additionally has the capability to
serve more than one million customers having problem with their windscreen (Autoglass
6
7. Company). So, supported the capabilities Autoglass can offer customers with existing services
what is more as introducing a replacement product. Among the matrix with four ways that lays
four completely different risks. The methods are:
1. Market penetration: A market plan hereby a corporation’s hunt for gain bigger
dominance in a flea market in which it previously has a contribution (Melody, Y. & Kevin,
H., 2000). This tactic often emphases on capturing a superior share of a remaining
market. Following this strategy, it will permit Autoglass to enlarge its present market by
commercialism and attracting further of their manufactured goods.
2. Product development: A new product of “side view mirror” can be introduced to the
existing market of windscreen which aids to capture more customers.
3. Diversification: This strategy refers to the introduction of new product to minimize the
risk associated with old products.
4. Market development:To capture new customers by attracting new customer groups
helps to increase the market share of the company which is the strategy of market
development.
Autoglass can have a fast growth by providing customer satisfaction, attracting and keeping
them. They can also develop new product to match the market demand and also set targets for
a time period of three years. For this time period selection of the suitable geographical area to
capture the market and efficient suppliers is necessary.
Definition of Top-Down and Bottom-Up
Informal Planning:
Informal planning is the undertaking locality the manager or baton of an aggregation evolves a
design after any accepted anatomy and obstinate organisations (Grant M.R. 2010). For assertive
flaming situations managers use this get access to locality it is not capital to anatomy any wise
anatomy of designing or the timeline for designing is not sufficient. It is significant to doublecheck abbreviate appellation objectives of the organization.
7
8. Figure: Top-Down and Bottom-Up Strategy
Behavioral Approach for Autoglass:
Autoglass have to approach in the Top-Down manner in order to get the most out of their
resources and to handle the opposition in the future. Autoglass is an emergent company in the
service business and the amenity they are providing will not be appropriate for them to clasp
on to the location in the market. They requisite to come up with quite a lot of developments for
their artifact and market so that they might a diversified market for the clients.
8
9. 1.3 Three techniques for Autoglass:
BCG Growth Share Matrix
Strategic Position & Action Evaluation Matrix
Products of the Autoglass (SPACE)
Profit Impact of Market
Company can be divided
SPACE planning technique Strategy (PIMS)
according to their priority
and maintain a harmony in can be used to figure out
PIMS is actually a type of
the market requirements.
the portfolio. The above
matrix shows the 4 kind of This matrix consists of four database that supplies
material evidence to
quadrants indicating the
consequences that are
facilitate policies and
positions of the business
faced by an organization
principles for acquiring and
(Armstrong, G., & Kotler, P. organization and what
maintaining competitive
should be the reaction of
2006). It also aids to
advantage.
the organization
determine when to invest
(Armstrong, G., & Kotler, P.
in the present product or
2006). Taking Autoglass’s
when to withdraw all the
position in the market into
earning form the market
consideration, aggressive
and or whether to
strategy can be used
introduce a new deal.
which also acts as the
base for SWOT analysis.
Figure: Three Techniques
Placing goods in the BCG growth share matrix Autoglass will face 4 types of consequences in the
market. And they are:
1. Stars: High Growth and High Market Share
Managers need to take decisions for a great quantity of cost from which the cash
will be generated and used.
The company will result in the cash cow and the Company can harvest cash from
the business if managers can make the business profitable and maintain a steady
market share.
2. Cash Cows: Low Growth but High Market Share
9
10. Applying this strategy may result in low market growth of the product but it will
also have the highest market share from which the organization will turn in
revenues and maintain income.
3. Dogs: Low Growth and Low Market Share
A time may arise after a certain period when revenue generation from the
product gradually stops. The organization should withdraw its invest from the
business.
The organization should be able to eliminate any unnecessary cost.
4. Question Marks: High Growth but Low Market Share
It indicates to the products that are newly introduced in the market and will
gradually increase its acceptance rate to the customers.
There is a risk associated with this which is if market shared is not increased in
the future the organization will have to incur a loss. This is called making a dog
product.
10
11. Task 2:
2.1 Organizational Audit on Autoglass:
SWOT Analysis
Strengths
Figure: SWOT Analysis
Autoglass is providing services at relatively low price.
Sufficient safety features are included in the product
The replaced or repaired windscreen has high visual transparency.
Replaced or repaired glasses reduce the probability of further damage.
Weaknesses
Promotional activities of the brand are relatively slow.
Insufficient amount of advertisement.
11
12. Opportunities
As competition is less in the market because a few number of other windscreen
companies exist, Autoglas possess a huge possibility of expansion.
New products such as side view mirrors or rear view mirrors can be developed
concurrently with repairing and replacing the windscreen.
Large opportunity to grab the market.
Threats
It is always difficult to identify and select quality suppliers of raw materials.
Selection of geographical location is vital while selecting the location of the business.
The role of government policies is crucial in shaping the business market.
2.2 Environmental Audit for Autoglass:
The strategic decisions of an organization are influenced by the environment where the
organization will operate (Gómez, L, & Ballard, D., 2013). To understand the scenario of the
environment PESTLE analysis is required to help the organization to maximize the opportunities
and minimize the threats.
Political
Different Political climate in different countries influences the business strategies.
Various taxation and subsidy policies.
Stability of governments: which refers to the future conditions in a country
Economical
Level of economic activity that affects need for windscreen.
Income level of people influences the organizational purchase
12
13. Socio-cultural
Culture and norms of a society influences the decision whether to own and use
automobiles or use other means of transport.
Attitude to a product, lifestyle and preferences influences the industry.
Technological
Any tangible development in technology which will decrease the rate of windscreen
repairing.
Available design technology.
Manufacturing technology.
Legal
Product consuming and employment law.
Local rules and regulations relating to safety measures.
Environmental
Various environmental features such as weather, climate, and climate change can affect
in the business.
To determine and help the management to understand the overall context of the industry,
Porter’s 5 forces analysis is necessary (Gómez, L, & Ballard, D., 2013).
Porter’s 5 forces are:
13
14. Figure: Porter’s Five Forces
1. The threat associated with new entrants.
Economies of Scale: This means scale economies in the production which is
generally considered as a relatively low threat in this industry.
Access to Distribution Channel: It refers to the ability to create demand and
distribution of product to the market.
Government Policy: Governments can limit amount of entry to an industry through
licensing requirements by restricting access to raw materials.
2. The bargaining power of customers
Number of supplier Companies: The purchasing power of the customers is mostly
controlled by no. of supplier companies.
Threat of Backward Integration: A threat always exists that a buyer can buy a
product and reproduces it by backward integration.
3. The threat of substitute products
14
15. Prices: Price is the most influencing factor. Customers will switch to the company
which offers products with lower price.
Access: Industry is now more accessible to the potential buyers.
4. The amount of bargaining power suppliers
Number of Buyer Companies: This refers to the number of companies which are
purchasing raw materials for windscreen manufacturing from number of suppliers.
Threat of forward Integration: Suppliers also pose a threat to integrate the same
product trough forward integration.
5. The intensity of the competitive rivalry
Number of Competitors: the number of competitors is comparatively low in this
industry.
Rate of Industry Growth: This industry possesses a large potential to become a huge
and vastly expanded industry.
Diversity of Rivals: The rivals may come with new and different ideas and it is most
likely to cross each other’s path and challenge each other’s position.
15
16. 2.3 Significance of stakeholders:
The stakeholders’ grid:
Figure: Stakeholders’ Grid
1. The top right part indicates the stake holders influencing the strategies and promoting
the products.
2. The bottom left part indicates the stakeholders having low influence and low interest in
the organization.
3. The top left part refers to the stakeholder who influences strategies but they posses’
low interest in the organization.
4. The bottom right part refers to the stakeholders having high interest but low influence
in the organization.
The stakeholders are retained in four categorizations so that each one stakeholder has their
particular rights and liabilities in regard of the constructing the strategies for the
organization which will be instigated for the progress of the organization. Autoglass has
16
17. drawn the stakeholders in the organization so that the stakeholders can implement their
liability in concern of the organization’s benefit.
17
18. Task 3:
3.1 Alternative Strategies:
Market Entry Strategy
Organic Growth: When an enterprise association accomplishes development over its own
enterprise which is as same as the beginning of the association, it is called organic
development. It omits any development that is profited by getting into any other business or
amalgamation or acquisition.
Merger: amalgamation is the procedure by which two businesses gets joined and turns into one
entity through lawful consolidation. The beginning of Autoglass was through such
amalgamation.
Acquisition: This is the procedure where one specific business purchases another entire
enterprise and sets up itself as the proprietor. In this procedure 100% or adjacent 100%
ownership has to be acquired.
Strategic Alliance: This is the procedure where two or more enterprises acquiesce upon a
number of widespread objectives and share each other’s assets to rendezvous those objectives.
This approach is actually an concept that resides between the notion of organic development
and amalgamation or acquisition.
Licensing: It is the process through which a mother enterprise (licensor) allows another
enterprise (licensee) to use its trademark and deal the items or services on the foundation of
agreements on some time span. The time span encompass the licensing ascribe that has to be
paid to the licensor.
Franchising: It is the procedure, through which a enterprise profits from the right to use
another enterprise’s trademark, enterprise form, methods where the franchisor presents the
right to the franchisee. For getting market share overseas, Autoglass might use this approach by
assigning franchises in distinct positions.
18
19. Substantive development
Horizontal Integration: In level integration a business kinds or acquires output facility of
associated or complementary goods (Melody, Y. & Kevin, H., 2000). occasionally it may
furthermore happen that a business buys one of its competitors and form integration.
Autoglass might form such integration by connecting with other production that are associated
to its dwelling goods.
Vertical Integration: In upright integration a enterprise connections with the companies or
partners of the supply string of links and in many positions all the partners of the string of links
stay under a lone proprietor (Melody, Y. & Kevin, H., 2000). Autoglass might recruit into upright
integration by connecting with the suppliers and vendors.
Related Diversification: When a business expands its enterprise with some diversification in the
living product line (Arazy, O, & Gellatly, I., 2012). The new productions are alike to the living
items.
Unrelated Diversification: It is the procedure when a business engages into diversification by
inserting new goods and services that doesn’t acquiesce with the existing product line (Arazy,
O, & Gellatly, I., 2012). It can be unrelated diversification if Autoglass begins selling house
window crystal or beauty reflectors.
Limited Growth:
Market Penetration: It means penetrating the comparable market by suggesting comparable
cost against the cost of the competitors. This approach is utilised to instantly attack the
competitors by benefiting their customers. It is often used to gain sales growth.
Market Development: It means aspiring at new clientele segments and appealing the nonbuying clienteles of that segment. It assists to increase the market share by supplementing new
19
20. piece of customers. It is likely for Autoglass to evolve the market by geographically expanding
the business and coming to the customers.
Product Development: It means developing new products that do not exist actually and
therefore appealing customers to buy more diversity of goods or services.
Innovation: It means seeking out an solely new need of the customers in the market and
innovating a new merchandise or service to meet that need. Autoglass might try to sort out
such need in the market and inject an innovated merchandise or service.
Disinvestment:
Retrenchment: A design utilised by corporations to decrease the diversity or the general size of
the procedures of the company. This scheme is often utilised in alignment to slash charges with
the aim of developing a more economic steady enterprise.
Turn around: Turnaround management is a method dedicated to business renewal. It uses
investigation and designing to save troubled businesses and returns them to solvency.
Turnaround management enlists management reassess, activity founded costing, source
malfunction determinants enquiry, and SWOT investigation to work out why the enterprise is
falling short. In alignment to make a comeback in the business associations need to find out the
source of the adversities and founded on those difficulties they need to make up new strategies
and principles to overcome those troubles.
Liquidation: When an enterprise or firm is terminated or bankrupt, its assets are sold and the
improvement pay creditors. Any leftovers are distributed to shareholders. Liquidating a firm is
the last stage of the firm’s survival. If no alternate strategies comply with the associations then
it yearns to deal its assets and then pay up the shareholders and stakeholders.
20
21. Divestment: The procedure of swapping an asset. Furthermore renowned as divestiture, it is
made for either economic or communal goals. Divestment is the converse of buying into. It is
the procedure of dragging out the assets in method and agreements those to rendezvous the
gap in the financial adversities and in order to liquidate the association divestment is absolutely
vital for any organization.
Porter’s Generic Strategy
A scheming described by Michael Porter that contains three general strategies which are used
by companies to gain the competitive advantage (Armstrong, G., & Kotler, P. 2006). The
standard strategies are:
1. Overall Cost Leadership
2. Differentiation
3. Focal Point
Figure: Porter’s Generic Stragy
21
22. 3.2 Future Strategy:
To expand in the business, organizations have to formulate future activities to grab consumers’
attention and maintain them. Corporations essentially bring new expertise and new product
submissions to form a greater market share (Kupritz, V, & Cowell, E 2011). BCG growth matrix
may be beneficial to formulate tactics and act consequently. Autoglass may face four different
possibilities in putting the merchandise inside the BCG growth matrix (Kotler, P., 2000).
Autoglass must be following the plumb up growth strategy to develop their business. They can
go with union with automakers to internment the new marketplace sector. Autoglass is in a
strong point and they might be competent to go with the association with new organizations.
Because this tactic is appropriate for the business growth and their core proficiencies match
with the strategy. Alliance with correlated organizations will consent Autoglass to put more
effort on the customer’s fondness and can develop new merchandise class to fulfill the
necessities of the customers.
Only starting new artifact and mounting the market will not single-handedly help the Autoglass
Company to develop in the market. Autoglass should regularly review the advice of the
consumers so that they might realize what the customers wants for and to what level of
pleasure customers want. Autoglass administration needs to explain the roles and duties to the
workforces so that they can arrange for the highest level of happiness to the customers.
The Autoglass at this time have a 92% satisfaction rate among the consumers. But with
extension of the business the pleasure rate might change and Autoglass must build a timeline
for the new targets and addition of the new services. Considering the place in the business,
Autoglass can provide a 5 year blueprint that will be appropriate for Autoglass to cope up with
the opposition and maintain cooperation with the automakers to develop the business.
Autoglass can benchmark 2019 to fulfill with strategies they have taken and justify the
assurance to the customers.
22
23. Task 4:
4.1 Roles and Responsibilities for Strategy Implementation:
Execution of the policy among the organization is improbably very important and it carries a
particular significance for the organization’s profit (Michael A., 1999). Among the
implementation of the policies it indicates to the policies that are chosen and regarded to earn
profit for the organization. Among the set-up of action all the policies are revised and the
likelihood of the policies are tested to ascertain if those policies are feasible or not
(Ivanauskiene, N. & Auruskeviciene, V., 2009). It is important to use full filtering procedures of
the policies to grab and retain the market share.
All the groups in the organization are united at all stages of the policy making and tactical
decision to implement most efficient and effective policies (Dessler, G., 2000). This procedure
results in plan coherency and tactics diversification or necessary modification becomes
possible. CEO of an organization makes a mark in the industry by turning these concepts into
reality.
Autoglass administering has to activate the business and sales strategies to ensure the best
exchange allocation and sales. The sales accession should be developed in a way that can
accrue up with the animosity in the market. Effective advertisements in accordant areas
adeptness admonition a lot in this regard. The bulk competencies should be acutely focused to
attraction the customers.
It is the job of a manager to motivate and influence the employees to ensure proper execution
of established plans. Target achievement fulfilling will result in coherency in job environment
and job satisfaction within the employees. Transparent and unswerving statements are
necessary to secure the targeted market share. Communal visualizations are required in
detecting and checking the propositions, bases of the policies and propose actions (Gómez, L, &
Ballard, D., 2013).
23
24. 4.2 Evaluation of the Resources:
In order to grasp and valuate the resources of Autoglass, the organization should pick for the
precise materials and place them among the proper departments to produce the services
(Michael A., 1999). Autoglass in addition has fleet service stations that desires man power and
that they also are cautious relating to their men power. Autoglass has prioritized its human
resources as a result it has been the simplest service provider of windscreens repairing and
replacement. Thus Autoglass outlays great quantity in work and developing the skills of the
staff to provide the foremost effective service among the industry.
Timeliness in service schedule ensures highest order of company good will. Autoglass is now the
leading Company is that it is maintaining its time schedule properly and choosing best raw
materials as well as ensuring enough safety features. Autoglass Company is efficient in their
resource planning and evaluating the resources thoroughly to provide the best service in this
given case situation.
4.3 Discuss targets and timescales for achievement for Autoglass to monitor a
given strategy:
Evaluation of the benchmark outcomes:
Quarter
The company should be bring up with the strategies and find out the feasibility of
1
the strategies whether the strategies would reflect in the expected outcome.
They can take the feedback of the customers and find out what else they are
looking for in the windscreen repairing service. There should be weekly and
monthly monitoring by the line managers of the divisions.
Quarter
During the period Autoglass should review the customer’s feedback and
2
implement the desired plan to expand the business. The line managers should be
responsible for collecting the feedbacks and acting towards it.
Quarter
This is the quarter of gathering information and takes research note on the
implemented strategies. The management should find out the gap between the
24
25. 3
expected outcome and actual outcome. The GAP might occur because of lack of
coordination or inefficiency of the employees and line managers.
Quarter
Management should organize a training program to fill in the gap. So that the
4
employees can achieve the organization goal in desired manner.
Quarter
In this quarter the organization might achieve the desired results based on the
5
strategy making and the implementation method. If the management fails to
achieve the objectives through the strategies, then they have to initiate actions
based on information like training the employees or providing support to them.
Conclusion
As a market leader Autoglass has set a new standard of services to its customers. This example
cannot be done without teamwork and Autoglass shows that they have a huge number of
qualified and efficient workers by whom they have achieved which was once unimaginable in
this industry. Their customer satisfaction rate is envious for a service company of the world.
Their technological initiation was thrilling for the customers. Now-a-day they are trying to
expand their market and it may cause those facing new challenges but in order to become a
global market leader every company should accept any kind of challenges.
25
26. References:
Arazy, O, & Gellatly, I 2012, 'Corporate Wikis: The Impact of Autoglasss in the Windscreen
industry, vol. 29, no. 3, pp. 87-116.
Armstrong, G., & Kotler, P. (2006). Marketing: An introduction (8th Ed.). New York: Prentice Hall.
Autoglass Company. [ONLINE] Available at: http://www.autoglass.co.uk/Glass-repair-andreplacement.186.0.html. [Accessed 05 December, 2013].
Dessler, G., 2000. Human Resource Management. 5th ed. Delhi: Pearson.
Gómez, L, & Ballard, D., 2013, 'Communication for the Long Term: Information Allocation and
Collective Reflexivity as Dynamic Capabilities', Journal Of Business Communication, vol.
50, no. 2, pp. 208-220
Grant M. R., (2010) – Contemporary Strategy Analysis, Amazon.co, Wiley Higher Ed; 7th edition.
Ivanauskiene, N, & Auruskeviciene, V 2009, Change Management and Its preparation',
Economics & Management, pp. 407-412.
Wheelen & Hunger, T.L. &J.D., 2013. Strategic Management and Business Policy. 5th ed. Delhi:
Pearson.
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