Creating entreprenual change - CIM Level 07

40074851 | Creating Entrepreneurial Change | July 2021
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Creating Entrepreneurial Change 2306

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Table of Contents
List of Tables .........................................................................................................................................4
List of figures.........................................................................................................................................5
Task 01 – Disruptive Strategies ...........................................................................................................7
1.a Background of the organization ................................................................................................7
1.a.i. Organization Name ................................................................................................................7
1.a. ii. Organization Information.....................................................................................................7
1.a.iii. Size of the organization .......................................................................................................7
1.a.v. Main Competitors..................................................................................................................8
1.a.vi Summery of key stakeholders ...............................................................................................8
1.a.vii Key customer segments .......................................................................................................8
1.a.viii Theme chosen and rational for choice ................................................................................8
01.b. Business environment analysis ..............................................................................................8
1.b.i Changes in technological environment in Sri Lanka ..............................................................9
1.b.ii Growth in mobile and internet usage in Sri Lanka ................................................................9
1.b.iii Growth in Ecommerce..........................................................................................................9
1.b.2. Economic Environment.......................................................................................................10
1.b.2.i Household income recession and unemployment effect on business ................................10
1.C Disruptive Innovation.............................................................................................................11
1.c.i Definition of Innovation........................................................................................................11
1.c.ii Disruptive Innovation ..........................................................................................................11
1.c.iii Competitor, risk and impact analysis..................................................................................12
Task 02 Entrepreneurial Innovation.................................................................................................15
2.a.i Innovation Audit ...................................................................................................................15
2.b Entrepreneurial Approaches....................................................................................................16
2.b.i Effectuation...........................................................................................................................16
2.b.ii Opportunity Recognition .....................................................................................................18
2.b.iii Lean Management ..............................................................................................................20
2.b.iv Mind Mapping ....................................................................................................................21
2.b.v. Horizon Scanning................................................................................................................22
2.b.iv Social Listing......................................................................................................................23
Task 03. Transformational Change...................................................................................................25
3.a.i Value proposition canvas 01 .................................................................................................25
3.a.ii Value Proposition Canvas 02...............................................................................................26
3.b. Measurement technics to measure the potential impact of the implementation of innovation
......................................................................................................................................................27
3.b.i Balance score card ................................................................................................................27

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3.b.ii Risks and Rewards...............................................................................................................29
3.c. ii. Benefits and barriers of Kotter’s 08 step model.................................................................32
References............................................................................................................................................33
Appendixes ..........................................................................................................................................34
Appendix - 01 Competitor Analysis .............................................................................................34
Appendix – 02 PEST Analysis......................................................................................................34
Appendix – 03 Cultural Web Analysis .........................................................................................35
Appendix – 04 Strategic Capabilities............................................................................................35
Appendix – 05 SWOT Analysis....................................................................................................35
Appendix 06 Proposed Innovations..............................................................................................36

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List of Tables
Table 1.1 Singer Sri Lanka Financial Status Summery ..........................................................................7
Table 2.1 Key Stakeholders ....................................................................................................................8
Table 3.1 Key Customer segments .........................................................................................................8
Table 4.1 Competitor, risk and impact analysis....................................................................................13
Table 5.1 Innovation Audit...................................................................................................................15
Table 6.1 Effectuation Mode ................................................................................................................17
Table 7.1 Opportunity Recognition ......................................................................................................19
Table 8.1 Social Listing........................................................................................................................23
Table 9.1. Balance Score Card..............................................................................................................28
Table 10.1.Risks & Rewards ................................................................................................................29
Table 11.1 Kotte's 08 step change model..............................................................................................31
Table 12.1. Benefits and barriers of Kotter’s 08 step model ................................................................32

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List of figures
Figure 1.1 Singer Sri Lanka Revenue for 05 years.................................................................................7
Figure 2.1 Retail Consumer Electronic Market Share ............................................................................7
Figure 3.1 Mobile and Internet Usage in Sri Lanka (Hootsuite 2021)....................................................9
Figure 4.1 Annual Digital Growth in Mobile and Internet in Sri Lanka (Hootsuite 2021).....................9
Figure 5.1 Social Media Usage in Sri Lanka (Hootsuite 2021)..............................................................9
Figure 6.1 E-Commerce usage in Sri Lanka (Hootsuite 2021)...............................................................9
Figure 8.1 Unemployment Annual Rate in Sri Lanka...........................................................................10
Figure 7.1.GDP Annual Growth in Sri Lanka ......................................................................................10
Figure 9.1 A Multi Dimension of Innovation (Cooper, 1998)..............................................................11
Figure 10.1 Disruptive Innovation........................................................................................................11
Figure 11.1. Lean Management ............................................................................................................20
Figure 12.1. Mind Mapping..................................................................................................................21
Figure 13.1 Horizon Scanning - UK Features.......................................................................................22
Figure 14.1. Value Proposition Canvas 01 ...........................................................................................25
Figure 15.1 Value Proposed Canvas 02................................................................................................26
Figure 16.1 Kotter's 8-Step Change Model...........................................................................................30

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Task 01
Disruptive Strategies
Word Count 1309

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Task 01 – Disruptive Strategies
Selected organization for this assignment named as “Singer Sri Lanka PLC”
Singer was established in 1877 by selling Sewing machines in Sri Lanka and in 1974 Singer Sri Lanka
was incorporated as a public quoted company. Singer has its own manufacturing and assembly line for
consumer electronic products marketed under Singer brand and associated with foremost international
consumer electronic brands such as Samsung, Hitachi, Sony, Mitsubishi, Whirlpool, Dell, Asus, Apple,
Etc.
In addition to Singer Sri Lanka PLC, it has a few subsidiaries as Singer Finance (Lanka) PLC, Singer
Digital Media (Pvt) Limited, Singer Business School (Pvt) Limited, Regnis (Lanka) PLC, Regnis
Appliances (Pvt) Limited, Singer Industries (Ceylon) PLC, and Reality (Lanka) Limited, and Domus
Lanka (Pvt) Limited. Singer Sri Lanka PLC listed under Colombo stock exchange and in 2017 it was
acquired by another Sri Lankan conglomerate called Hayleys PLC (SSP Annual Report 19/20)
Singer Sri Lanka PLC is a public quoted company and consists of 2926 employees around the country.
also, it operates with 440+ retail outlets including Singer Mega, Singer Shops, Singer Shops.
Singer Sri Lanka PLC Revenue was 54.7 billion LKR for the 19/20 and compared to 58.5 billion LKR
in 18/19 and 44.1 billion LKR in 17/18 whilst 43.6 billion LKR in 16/17
Operating profit was Rs.4,122 million by 31st March 2020 and Rs.3997.3 Million prior year a growth
of 3%.the group operating profit margin increased 6.8% to 7.5% over the prior year.
(SSP Annual Report 19/20)
Figure 1.1 Singer Sri Lanka Revenue for 05
years
Table 1.1 Singer Sri Lanka Financial Status Summery
Figure 2.1 Retail Consumer Electronic
Market Share
1.a Background of the organization
1.a.i. Organization Name
1.a. ii. Organization Information
1.a.iii. Size of the organization
39.3
43.6
44.1
58.5
54.7
15/16 16/17 17/18 18/19 19/20
REVENUE IN BILLION LKR
1.a. iv. Customer Base
Singer Sri Lanka serves over 5 million Sri Lankan
household customers and other private and
government institutions around the country.
currently singer has registered customer base of over
1.5 million household consumers

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Table 2.1 Key Stakeholders
Table 3.1 Key Customer segments
1.a.vi Summery of key stakeholders
Type Stakeholder Focus Interest Power
Internal
Board of Directors Profit & growth, market share, brand development H H
Senior Management Profit & growth, employee retention H H
Employees
Job Security, Carrier Development, Empowerment
& Rewarding H L
Connected
Customers B to B & B to C
Brand Loyalty, Innovative Products, Customer
Service, Value for money H H
Suppliers Continuous product supply, Payment security H L
Business Partners Company Growth, Market Share, Customer Loyalty H L
Investors
Return on investment, Innovation capabilities for
growth, market share, investment security H H
Shareholders
Dividend paid, investment security, increasing of
market share prices H H
External
Government
Adhere to rules & regulation, conduct an ethical
business, paying taxes L H
Competitors
Innovation Capabilities, market share, brand
awareness & development H L
Media Conduct and ethical business, clear communication
Local Community
CSR Activities, future job opportunity, protect
environment H L
1.a.vii Key customer segments
High Income Middle Income Low Income
Income Level < 300,000 > 300,000 > 75,000
Characteristics Always search for more
innovative products and seek best
after sales service and branded
products
search products and
services which value for
them spend and seek for
better after sales service
seek for problem solve and
expecting a reasonable
discount rate and whichever
products fits in to their need,
more price sensitive segment
Brand Loyalty High High Low
Basket Value High Average Low
1.a.viii Theme chosen and rational for choice
01.b. Business environment analysis
1.a.v. Main Competitors
Singer Sri Lanka PLC has four major competitors called Abans, Damro, Softlogic and Singhagiri
“Customer acquisition” can be defined as bringing new customers in to the business. With the today’s dynamic
environment, Singer finds it’s as a challenge to bring new customers. their revenue has a dropped down compared
with previous financial year and business has -6% growth. Therefore, they need acquire new customers in order to
increase revenue and the sales volumes. Also, shareholder will lose their faith on the business as they were receiving
low dividends payouts. Since singer is being in the Sri Lanka’s consumer electronic retail industry for long and they
need to bring new ideas, concepts to develop the business
Therefore, objective of acquisition new customers and grow the business into next level, retain customers and
increase revenue and sales volume are mandatory for sustainability and also to secure the position of their market
share as a leader in consumer electronic retail industry in Sri Lanka.

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Figure 4.1 Annual Digital Growth in
Mobile and Internet in Sri Lanka
(Hootsuite 2021)
Figure 5.1 Social Media Usage in Sri
Lanka (Hootsuite 2021)
Figure 6.1 E-Commerce usage in Sri
1.b.i Changes in technological environment in Sri Lanka
1.b.ii Growth in mobile and internet usage in Sri Lanka
With the Covid 19 pandemic situation has a huge impact on usage
on mobile and internet usage as most of the people increase usage
due to work from home concepts and students started studying
through online and people spend more time at home and they were
more tempted to use more online platforms
Growth in mobile usage +2.1% and internet by +7.9% also largely
increase social media platforms by +23.4%. also, mobile usage is
more than the total population and its 141.7% and internet usage is
50.8%.
As a retailer company, Singer Sri Lanka has positive advantage of
growing the business and more prominence given for digital
marketing and online sales.
For Singer, they have more than 430+ retail shops but they were able
increase more sales online and reduced cost for maintaining huge
stocks showroom level and capital expenditure for opening new
showrooms and maintaining them.
Furthermore, they could save money by doing digital marketing and
reach more customers instantly. cost for other traditional marketing
communication methods like TV and press ads consumed huge cost
for the company. but digital marketing is more cost effective and
successful in today’s dynamic environment
1.b.iii Growth in Ecommerce
With the pandemic situation and there were travel restrictions
imposed by the government. Therefore, people had to purchase
products through online. due to this situation, more people were
engaged and learnt to do online transactions and they were found it
more convenient and saves their time.
This was a good move for online businesses as Singer also had
positive impact on sales. with the financial institutions Singer
managed to grab more transactions through credit and debit cards
and secure their payments successfully.
Through E-Commerce they were able to track, monitor and forecast
consumer buying behavior and increase revenue and sales through
online.
Customers also happy with the purchases they made as they were
given doorstep delivery and wile they were safe at their homes and
they were communicating through online until the transaction
complete and goods get delivered.
Figure 3.1 Mobile and Internet Usage in Sri

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Year on year degrowth in GDP has negatively impacted on every business. in 2015 it was 5.008 and by
2019 it shows as 2.283 ( -54%). buying power of consumers have gone further down and this has a
negative impact on consumer electronic industry as consumers more interest to buy essential
commodities and they kept less amount and focus to buy more and more consumer electronic items.
further consumers are trying to purchase product at very low cost and it has not positively affected on
profit and revenue.
On the other hand, company is struggle to provide product at low price due to global price hike due to
different reasons such as inflation, exchange rate fluctuations, production delays, high production cost
due to unavailability of raw materials for production
As result of these factors Singer Sri Lanka annual growth has gone down and faced a challenging
environment for business activities.
When product with an inferior quality it will not be long last. This factor has a negative impact in the
long run even customers pay a less amount they expect it will full fill their need and will exist for
reasonable duration.
Also due to this pandemic and economic degrowth has further cut down employment and rate of
unemployment is increasing. In 2017 it was 4.2 and it has increased up to 4.8 by year 2019.increase of
unemployment rate meant it will further resist for household income and consumers find difficult to
survive. Therefore, spend money for consumer electronic products get constrained and they mainly
focus to fulfill their basic needs and wants.
How ever with the technological changes in the environment, tendency of using consumer electronics
products being more extended.as an example. due to the pandemic situation, people get use to work
from home and usage of mobile and laptop in drastically been increased.
1.b.2. Economic Environment
1.b.2.i Household income recession and unemployment effect on business
Figure 8.1.GDP Annual Growth in Sri Lanka
5.008
4.487
3.578
3.306
2.283
2015 2016 2017 2018 2019
GDP ANNUAL ANNUAL
GROWTH RATE % SRI
LANKA
Figure 7.1 Unemployment Annual Rate in Sri Lanka
4.7
4.4
4.2
4.4
4.8
2015 2016 2017 2018 2019
UNEMPLOYEMENT
ANNUAL RATE % IN
SRI LANKA

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innovation consists of the generation of a new idea and its implementation into a new product, process
or service, leading to the dynamic growth of the national economy and the increase of employment as
well as to a creation of pure profit for the innovative business enterprise (Urabe, 1988)
innovation as new knowledge incorporated in products, processes, and services. He classifies
innovations according to technological, market, and administrative/organizational characteristics
(Afuah, 1998)
Figure 9.1 A Multi Dimension of Innovation (Cooper, 1998)
1.C Disruptive Innovation
1.c.i Definition of Innovation
1.c.ii Disruptive Innovation
A disruptive innovation is a successfully exploited product,
service or business model that significantly transforms the
demands and needs of a mainstream market and disrupts its former
key players (Thomond, P., Lettice, F., 2002. "Disruptive
Innovation Explored", Concurrent Engineering Conference
Proceedings July 2002)
When small organization enters into the market big players do not
considered them as a threat and they focus on products which
brings them more revenue and profit. But these small players
focus and work for customer satisfaction and they provide
products at a reasonable price also their innovative ideas will
attract more customers into the business and gradually they
become large players and automatically become a threat to
existing players in the same market.
Figure 10.1 Disruptive Innovation

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1.c.iii Competitor, risk and impact analysis
Innovation Sell Product online
Website & mobile app
(Buyabans.com)
Increased consumer
electronic product
availability through
island wide furniture
showroom network
Hyper Market
Concept
Focuses more on
rural market and hire
purchase strategy
Types of
Innovation
Disruptive Innovation Incremental
Innovation
Incremental
Innovation
Incremental
innovation
Description Abans has launched its
website and mobile app for
customers to purchase their
entire product range online,
sometimes they offer
attractive discount prices and
credit card offers to
encourage their customers to
do transaction online.
Customers can register and
they will get news feed on
any new product launches
and offers time to time. Since
today’s dynamic environment
customers are more engaged
with mobile apps and internet
this has increase Abans
online sales
Damro has expanded
their consumer
electronic products
through and they
have implemented
their monolithic
branding strategy and
develop loyal
customer base with
attractive prices, best
after sales service.
Softlogic has new
showroom concept
call “Softlogic Max
“they opened up
showroom inside all
international
supermarket chain
called “Glomark”
which runs by
Softlogic inside this
hyper market also
they included
“Burger King” outlet
and Odel Clothing
outlet as well
Singhagiri has open
up showrooms more
in outstations and
implemented more
traveling shops
concepts and increase
more sales and
revenue. They visit
doorsteps of the
customers and
promote their product
range
Market
Impact
These registered customer
base and their buying
behavior, helps understand
customer current
requirements and it
positively impacted on
launch new consumer
electronics products also
these registered customers
get news alerts and make
them for repeat purchases
Customers believed
their best after sales
service and attractive
prices and they all
stayed with Damro
and speeded positive
word of mouth and
recommended other
customer to buy
Damro products
There are more high-
end customers who
visits this hyper
market will have
more buying power
and Softlogic
identified tendency
of purchasing
electronic products
and they always
displayed branded
consumer electronic
products and they
gained more revenue
Customers more
convenient with
payment terms and
prices they offer and
they purchase
product but their
loyalty towards the
company may change
also credit risk for the
company is high
however Singhagiri
was able to capture a
customer base
through this concept

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Table 4.1 Competitor, risk and impact analysis
Risk When customers get
attractive offers and
innovative products they
trust and stay with the
company. Customers will be
bonded with products offers
and switch to a competitor
become low
Customers are more
loyal towards the
products and after
sales service and
they are not shifting
towards competition
as they satisfied with
Damro
Most of urban
consumers will
attract and retain
with Softlogic for
cutting edge branded
consumer electronic
products and they
would not be easy to
switch to a
competitor
Since this same
concept follows by
other competitors and
when they give more
focus, customer
switching to a
competitor is high
and there is no
significant change in
products or services
which attract and
retain customer
Success /
Failure
Success Success Success Failure

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Task 02
Entrepreneurial Innovation
Word Count 1872

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Task 02 Entrepreneurial Innovation
In order to do an innovation audit, it was taken in to consideration cultural web analysis (appendix 03)
strategic capability analysis (appendix 04) and SWOT analysis (Appendix 05)
Factor Implication Rating 1-10
Culture Singer Sri Lanka PLC’s Mission – “To improve the quality
of life by providing comforts and conveniences at fair
prices”. Singer is expecting to deliver quality products and
services which makes easier and comfort humans’ day to day
life also they always focus on innovative products and
services in order to differentiate from the competition
High - 8
Agility Servers customers in an efficient way during Covid
Pandemic Situation – Singer has identified that consumer
footfall becoming very low due to pandemic situation and
recession in income level. But singer improved their online
sales and invested more on marketing communication
activities in digital aspects and reach more customers and
they secure their market position and share
High - 8
Skills Singer Business School – Singer has its own business
school to develop their employees and serves customers
better and they develop their employees in to next level.it
creates new pledge of skilled staff in order to achieve set
company objectives, vision and mission.
High -7
Leadership Strategic Partnerships – Singer has partnered with banks
and Financial institutions in order to further promote their
products and services to end consumers and encourage
customers to make payments through electronic medium High - 8
Leadership Style Changes – Due to Singer has been
acquired by Hayleys and it has a positive change towards
technology, people and process. This makes more
differentiate among the other competitors in the consumer
electronic industry in the market.
Resources Geographical Coverage – Singer has island wide
showroom network and it consists of more than 440+
showrooms. This has given an define advantage for singer
for more customer acquisitions.
High - 8
Island wide Service and franchise service network –
Singer spreads its aftersales service centers island wide and
it caters all consumers for better after sales service. This has
more strengthen customers trust and loyalty about singer
products and services
Skilled and Trained Staff – Singer always develop their
staff and serve customers better and keep them satisfied and
make them to re purchase Singer products and services and
also to spread positive word of mouth and it helps to acquire
more and more new customers
Table 5.1 Innovation Audit
As per the above innovation audit table. Singer has in line its all competences to serve customer better
and acquisition of new customers towards and organization. Being a market leader singer can further
develop their strategies to acquire new customers and increase their market share and to have a
sustainable growth.
2.a.i Innovation Audit

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Effectuation theory assumes that identity is a given and relative stable precondition of the
entrepreneurial process that support the entrepreneur in ordering preferences in the process of
effectuating resources, stakeholder commitment, etc. Sarasvathy’s (2001, 2008)
What we have Who we are? Over four decades of rich in
heritage Singer is the leading
player in consumer electronics
industry in Sri Lanka and
established strong distribution
network around the country and
reached customers in every
corner in the country
Who do we know? As being a market leader and
having large loyal customer
base. identified consumer
behavior in a better way
What do we have? Over 1.5 million household
consumer base, 440+ showroom
outlets covers 25 districts, with
2926 employees and business
management institute
Affordable Losses What will be created? 03 new innovations strategies
including 02 new digital
innovation strategies for
acquisition of new customers
(Refer Appendix 06)
Can we do that?
Singer has financial and human
resources capability of
innovating
Possible Risks
If other competitors copy the
same, consumers’ switching
cost towards competitors very
low
How to decrease possible risks? By delivering superior customer
value and better experience in
terms of attaining new and
existing customers to increase
sales volume and revenue
through customer acquisition
Form Partnerships What are possible
collaborations
Singer Sri Lanka has developed
all the consumer electronic
range through their own
manufacturing and
collaborations with other
suppliers and positions as
Singer brand strongly in
consumers mind
2.b Entrepreneurial Approaches
2.b.i Effectuation

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Singer Sri Lanka is able to
further develop their e
commerce app by including
after sales service in it. where it
all combined customer life time
value and all customer journey
included in one app. this will
help consumers to order, track
their product ordering and
warranty status, warranty
claims and when product gets
defective they would make a
complain through online and it
is an effective way that Singer
can trace and attend for
customer complaint and resolve
those easily.
Leverage Contingencies Make uncertainties to
opportunities
Due to the Covid-19 pandemic
situation, consumers reduced
shopping time and trend was to
order online. Singer has
identified this as an opportunity
and strengthen their E-
commerce filiform and offered
consumers doorstep deliveries
and consumers could pay online
or they could pay at the time of
receiving products also they
increase marketing
communications through digital
platforms. even though
showroom footfall is low they
had received remarkable high
sales volume through online.
Success / Failure Create your own success Singer Sri Lanka has to taken
the total responsibility of failure
happens and take corrective
actions to overcome from it and
achieve success
Table 6.1 Effectuation Mode

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The cognitive process (or processes) through which individuals conclude that they have identified the
potential to create something new that has the potential to generate economic value and that is not
currently being exploited or developed, and is viewed as desirable in the society in which it occurs (i.e.
its development is consistent with existing legal and moral conditions). (Baron, 2004b, p. 52)
Origination always must explore new opportunities for sustainable in the business. Also, it leverages
business success or failure.as an example with the current Covid -19 pandemic situation Singer Sri
Lanka low customer footfall and if singer had invested more in their showroom operation, they would
not have been receiving sales and revenue as they expected and it increases their operational cost. But
they identify trend in growth of E-commerce and invested on it to get more sales and revenue into the
organization.
Below table elaborate more about opportunity recognition and innovation approaches on customer
acquisition
Opportunity Description Idea Generation Rating (1-
10)
Connecting
Customers
Consumers always can be
connected via internet or
through mobile app
These mobile and E-commerce
platforms help consumers to
- Choose product online
- Place Order online
- Make payments
- Order tracking
- After sales services inquires
- New product launches and
arrivals
Above these facilities would increase
more customer acquisitions
8
Big Data Analysis Insights about consumer
behavior and patterns also to
understand current sales and
marketing trends
Theses insights helps Singer Sri
Lanka to identifying and anticipating
consumer buying behavior trends and
patterns. Singer can order products
which suits customer’s requirements
and it reduces stocks holding cost and
helps to increase more customer
acquisitions
8
Social Distancing Due to increase number of
Covid -19 pandemic cases
government authorities’
advices to keep self-distance
and reduce traveling
Consumers could order products
online and get doorstep deliveries
will refrain consumers expose to
harmful virus and they could
purchase and experience the product
and services safely
8
AR/VR Customer
Experience
Consumers shopping Value
Increase
Consumers can have a real
experience online or inhouse
showrooms through the advancement
of technology and they can have a
better experience before purchasing a
product and this will attract more
consumers to purchase product and
services offers by Singer Sri Lanka
8
2.b.ii Opportunity Recognition

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Concern Customers Evaluation of product
specifications and warranty
terms and after sales service
Consumers can easily evaluate,
compare product one to an another
and make a sensible purchase of the
product which compatible with their
requirement and budget available
8
Table 7.1 Opportunity Recognition

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A systematic and very focused approach for guiding employee learning, education and practice of lean
principles and philosophies across and enterprise. Lean management encompass both an individual and
a collective organizational transformation plan for the deployment of a lean educational system lean
sociotechnical system (belief system), and lean change management system. (The Lean Management
Systems Handbook, By Rich Charron, H. James Harrington, Frank Voehl, Hal Wiggin p.03)
Figure 11.1. Lean Management
2.b.iii Lean Management
Lean Management
Continues
Improvement
Empowering
People
Creating a value from customer point of view
and purpose on reducing waste and cost
Insights on consumer
buying behavior and
buying patterns
Customer’s Perspective
- Convenience
- Better Experience
- Support to make right
purchasing decisions
- Reduce Cost
Company’s Perspective
- Reduce Operational Cost
- Fast Deliveries
- Better Customer Satisfaction
- Standout among competition

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Figure 12.1. Mind Mapping
2.b.iv Mind Mapping
Agility
Internal Drivers
Financial Strength
Innovative Culture
Loyal Customer base over 1.5
Million
Rich Heritage over 45 Years
Global Trends
Development of E-Commerce
Mobile Apps
E Transactions
Product and service experience
through technology
Technology
Big Data
AI
AR/VR
E Commerce
Mobile Apps
Shopper Dynamics
Keep Connected
Digital knowledge
and interests
Promotions and rewards
New Experiences
After sales service
Convenience
Product and service quality
Social Distancing Economic Uncertainty
Potential Barriers
Data Security Issues
Technological Issues
Consumer learning barriers of using new
technology
Workspace Digitalization
Lean Management
JIT Manufacturing
QC Management
QR Scanning
Inventory Management
Physical Operation
Maintenance Hygienic work environment
New Customer
Acquisitions
440+
Outlets
Imports
Central WH
Direct Outlet Deliveries
Own
Manufacturing
Online Shopping

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Horizon scanning can be described as A systematic examination of information to identify potential
threats, risks, emerging issues, and opportunities allowing for better preparedness and the incorporation
of mitigation and exploitation into the policy-making process (Horizon Scanning: A Practitioner’s
Guide, Institute of Risk Management p.05)
Figure 13.1 Horizon Scanning - UK Features
▪ Business as usual – Existing showrooms will not be served future needs of customers as
customers seeks for more innovative solutions to satisfy their needs. Singer sri lanka has to
evolve with the technological support to give better customer experience and beat and stand out
in the competition
▪ Disruptive Innovation –evolution of E-commerce directs consumers in to new era. Consumer
buying behavior and patterns drastically changes in the recent past. Also due to Covid-19
pandemic online sales of every company raise like never before. Proposed intergraded mobile
E-commerce and service app will take more and more customers towards Singer Sri Lanka and
it will be positively impact on increasing sales
▪ Emerging Trends – with the advancement of technology and raising AR/VR technologies
consumers get experience in advance with these technologies. Singer can give this experience
to the customer through their stores as well as online. Consumers can explore more and they
can do a correct purchasing decision and there will always be a positive post purchase
evaluation of the customer.
2.b.v. Horizon Scanning

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Social listening is the process of tracking mentions of certain words, phrases, or even complex queries
across social media and the web, followed by an analysis of the data.
A typical word to track would be a brand name, but the possibilities of social media monitoring go
way beyond that: you can monitor mentions of your competitors, industry, campaign hashtags, and
even search for people who are looking for office space in Seattle if that is what you are after.
Despite its name, social listening isn’t just about social media: many listening tools also monitor news
websites, blogs, forums, and the rest of the web. (MarTech , September 17, 2019)
Table 8.1 Social Listing
Social listing would help to use as an idea generation technic for the organization to understand
consumer behavior and implement new innovative ideas and strategies.
There are a few tools available to monitor and analyze accurate date of social listing through digital
platforms such as HubSpot / Hootsuite / Sprout Social
2.b.iv Social Listing
Platforms Description Impact
Facebook
Instagram
Twitter
LinkedIn
Customer prefers when brand responds quickly to their
inquiries and complaint. With the current availability of
resources Singer Sri Lanka can easily react to all of these
customer concerns
All of these enable Singer Sri
Lanka to collect and analyze
consumer buying behavior and
patters also it will help to
closely monitor other
competitors’ activities. fully
engagement with these would a
have positive impact of
identify, process and
communicate for better results
in new customer acquisitions
for the Singer Sir Lanka.
It can be keeping a record to analyze a growth of a brand.
These analytic tools will help to measure brand awareness
and growth
Exploring new opportunities through discuss about topics
also keep eye on competitor activities and it will help to
understand customer needs properly and identify gaps and
do a better promotion
Increase new customer acquisitions through planning and
execute effective promotions

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Task 03
Transformational Change
Word Count 1698

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Task 03. Transformational Change
The Value Proposition Canvas was initially developed by Dr Alexander Osterwalder as a framework to ensure that there is a fit between the product and market.
It is a detailed look at the relationship between two parts of the Osterwalder’s broader Business Model Canvas; customer segments and value propositions (B2B
International)
Two value propositions proposed to increase customer acquisitions for Singer Sri Lanka
Figure 14.1. Value Proposition Canvas 01
3.a.i Value proposition canvas 01
Customer Profile
Intergraded Mobile App, E-Commerce, Express Delivery
Value Propositions
• Place order online and get delivered to doorstep fast
• Notifications on promotions
• Review orders / product malfunctions repairs
• Secured payments can be done online
• One-time registrations and easy for repeat purchases
• Singer Intergraded Mobile App
• Singer E-Commerce
• Singer Express Deliveries
• Reduce operational cost
• Express Deliveries
• Online order processing
• Deductions on delivery cost
Gain Creators
Product and Services
Pain Relivers
Pains
• High Delivery cost
• Long waiting time
to receive place
order
• Social Distancing
Customer Jobs
• Maintaining Social
Distancing
• Reduce cost and
turnaround time
Gains
• Shopping at convenience and safe
• Attractive offers and online promotions
• Time saving
• Easy for repeat purchases

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Figure 15.1 Value Proposed Canvas 02
3.a.ii Value Proposition Canvas 02
• More customer attractions
• Unique set of innovative concepts stand out from
competition
• Increasing customer convincing power through new
technologies
• Customer experience Centers
(Uses AR / VR & IOT Technologies)
• Same Above Experience through online
• Better Customer Experience prior to purchase
products or service
• Easy to demonstrate product features and usage
Gain Creators
Product and Services
Pain Relivers
Pains
• Time consume to adapt
to new technologies
• Other support
infrastructure
requirements and cost
involvement
comparatively high
Customer Jobs
• Make right purchasing
decisions
• Obtain comprehensive
knowledge and prior
experience before
purchasing
Gains
• Get better product knowledge
• Easy to select best out of the best which
resolve their requirement
• Time saving and get comprehensive
understanding in a short period
Value Propositions Customer Profile
AR/VR, IOT Experience

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3.b. Measurement technics to measure the potential impact of the implementation of innovation
3.b.i Balance score card
Focus
Area
Objective Measurement Target (within 01
year)
Potential Impact (Rating
0 -5)
Intergraded
Mobile app
/ Express
Delivery
AR / VR &
IOT
Experience
(In store &
online)
Financial
Increase Sales Revenue Sales Revenue Increase in store sales
revenue by 30%
0 4
Increase online sales
revenue by 50%
4 2
Increase Profitability ROI ROI of 45% 4 4
Increase Market Share Market Share / New
customer Acquisitions
Increase up to 40% 4 4
Customer
Increase number of new
customers
New customer
activations
Reach up to 2.5 Million
customers
4 3
Increase customer
footfall
Increase by 25% 0 4
Enhance customer experience
and satisfaction
Rating Rating above 04 3 4
Increase customer value Increase basket value /
Repeat Purchases
Increase by 20% 4 4
Increase brand value Achieving brand Rating Target to Achieve AAA
Current position AA+
4 4
Increase Brand Value Target to Achieve 15
million LKR
Current position 10
Million LKR
4 4
Internal
Business
Process
Maintain Product quality and
standards
Comply with quality
management standards
All available product
should be comply with
ISO, SLS Standards
4 0
Maintain Store hygiene and
safety
Customer and
supervisory ratings
Every store cleanliness
should be rating above
04
0 4
Healthy supplier relationships Strong relationship
between every supplier
Create 100% heathy
and viable relationship
with supplier
3 0
Effective communication
through promotions
Sales conversation rates Sales conversation rate
above 75%
4 4
Proper supply chain
management to increase
product availability
Make available product
on time
Products should always
available in displays
and in WH Stock
4 4
Learning
&
Growth
Training and development of
employees for sustainable
growth
Effectiveness of
training and
development sessions
Conduct 01 training
session once a month
online and another 01
on a quarter basis
offline
4 4

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Table 9.1. Balance Score Card
Motivate and reward
employees to be more
innovative and empowered
Employee satisfaction
survey
Score above 75 2 2
Total Score 52 55

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Risks Rating (1 – 10)
Intergraded
Mobile app
/ Express
Delivery
AR / VR &
IOT
Experience
(In store &
online)
Immense initial capital requirement to implement innovation and obtains
new technologies
6 8
Risk of customers adaptation to new technologies 6 6
A Network issues / signal failure occurs collapse in entire process 8 6
Emerging of new technologies and competitors can easily copy and
implement the same
8 8
Data privacy, cyber security and misusing data risk 8 6
Total Risks 36 34
Rewards Intergraded
Mobile app
/ Express
Delivery
AR / VR &
IOT
Experience
(In store &
online)
Improve customer footfall, online sales, repeat purchases and increase
customer basket value
9 9
Improve customer acquisition through online sales, enhancing customer
experience and value trough digital technologies
8 9
Capability to access consumer buying behavior and patterns and be able to
plan future communications and promotions accordingly
8 8
Improve brand value and reputation as being an innovative organization
who uses new technologies to improve customer value and satisfaction
8 8
Improves operational framework through well trained & improve
capabilities through digitally driven environment
8 6
Total Rewards 41 40
Net Impact 05 06
Table 10.1.Risks & Rewards
All three innovative strategies show those would have a positive impact by implementing and Singer
will have more rewards than the risks. Also, it will help to improve new customer acquisitions and
increase market share, brand value and reputation.
3.b.ii Risks and Rewards

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3.c. Change management strategy
Change is increasingly determining the day-to-day business of a company. In order to optimally control
it, special management techniques are required, which can be summarized under the term change
management. The human factor is at the forefront of all considerations, because the implementation of
change is dependent on the active support of the employees. As everyone has their own needs, ideas
and experiences, some of which do not conform to the established corporate structure, there can be no
simple recipe for how to successfully manage change. Rather, it is a complex undertaking that must
start at three points: the affected individuals, the corporate structures and the corporate culture (change
management by Thomas Lauer)
3.c.i Kotter’s 8 step change model
In an organization, manager and leader play a critical
role in overcoming resistance to change by
implementing correct strategy in the organization but
not change their personality and behavior (Kotter 2011).
Manager should instill the confidence to those team
members by motivating and providing adequate
information and training. This will help them to growth
and feel comfortable to change by having those related
information and knowledge (Rick 2016).
Figure 16.1 Kotter's 8-Step Change Model
Kotter’s eight steps model is to help the organization to manage and understand the change properly
and effectively. The reason why Kotter’s eight steps are highly recommended because a form is created
to know what is needed to be amended urgently and build a good relationship with the team member
towards the change (Gough 2009).
Create urgency Consumers buying behavior and patterns are rapidly
changes due to an advancement of technology and
customers’ tendency towards online purchasing and
digital experience becoming vaster. Internet and mobile
usage and penetration are increasing therefore Singer Sri
Lanka should see this as an opportunity to gain more
customer acquisitions by using these technology
advancements and it will create more sales, revenue,
increase market share and profitability.
Form a powerful coalition Establishing a skillful team to drive these digital
strategies alliances with finance, HR, logistics, marketing
and etc. This dedicative team will properly mange all
digital platforms to reach organization ultimate objective
of new customer acquisitions
Create a vision for change Current vision “To be the foremost consumer durable
retailer and foremost consumer financier in Sri Lanka” as
“To be the foremost innovative consumer durable
retailer and foremost innovative consumer financier
in Sri Lanka”
Communicate the vision Vision must be properly and effectively communicating
to all employees and dedicative team has to take the lead
on this and working with every departments in Singer Sri
Lanka to make it success

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Remove obstacles When execution part happens, there will be obstacles
arise and Singer Sri Lanka has to face it confidently and
remove those to become success
• Physical Barriers – Vast infrastructure
requirements to establish and implement these
innovative strategies
• Technical Barriers – Comprehensive and
continues training and development requirement
to make skillful staff members to run these
processes
• Emotional Barriers – Execute team building,
leadership and motivational programs more
often to overcome emotional barriers
Create quick wins Setting up KPI’s are best way to measure its success.
Always set SMART KPIs to attain the set objectives
Ex:- Feasibility study, Pilot programme
Newly registered customers during a quarter (this
information can be obtained via app download
count)
Build on the change Always should value the feedback from its internal and
external stakeholders and evaluate those feedback and
change it and further improve for better results
Make it stick Once this change model implemented it must be aligned
with company system, procedures and culture
Table 11.1 Kotte's 08 step change model

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Benefits Barriers
Unique set of competitive and innovative strategies
will change consumer electronic retail industry in
Sri Lanka.
It would positively impact on
• Improve customer acquisitions
• Improve brand value, reputation and
strength
• Increase sales quantities, revenue
• Increase market share
• Increase customer value and satisfaction
• Employees will be empowered and
willing to work in an innovative culture
Even though its initial investment is high it will
reduces cost in long run and it will be effectively
work as well.
By setting up short-term and long-term KPIs will
helps to measure its success
Employees will be engaged more effectively they
will secure their jobs and they will have a higher
caliber compare with competition.
There are a few barriers that involve when execute
this model such as
Financial barriers – large capital investment
requirement to establish these strategies and
implement this
Technical Barriers – technical skills development
of staff members takes time and technical
malfunctions collapse entire process
Physical Barriers – outstations geographical areas
internet coverage and penetrations is low and
usage also significantly low due to this, consumers
are more often use traditional methods to purchase
product
Emotional Barriers – some people are reluctant to
change and accept these new technologies
especially adults
Table 12.1. Benefits and barriers of Kotter’s 08 step model
Singer Sri Lanka can carefully evaluate this Kotter’s change 08 step model and implement this for a
better change it clearly defined the directions and obstacles may occurs. With an existing resource of
Singer Sri Lanka is able to execute this effectively
Also, the available resources would easily support to develop this fast and result can be taken within a
reasonable period and engagement of each employees to make this success is needed
If Singer Sir Lanka implement this and always should give full attention to each step as mistakes can
be occurs in collapsing its competitive advantage over competition. Therefore, fully focus attention and
through measuring and evaluating set KPIs will be directed Singer Sri Lanka for its enriched vision.
3.c. ii. Benefits and barriers of Kotter’s 08 step model

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References
https://www.singersl.com/financial-reports | Accessed 20.03.2021
https://data.worldbank.org/indicator/NY.GDP.MKTP.KD.ZG?end=2019&locations=LK&most_recen
t_year_desc=true&start=2015&view=chart | Accessed 28.03.2021
https://www.cbsl.gov.lk/en/economic-and-statistical-charts/unemployment-rate-chart | Accessed
28.03.2021
https://buyabans.com/ | Accessed 05.04.2021
https://damro.com/ | Accessed 05.04.2021
https://www.singhagiri.lk/ | Accessed 07.04.2021
http://www.softlogic.lk/ | Accessed 08.04.2021
https://brandfinance.com/wp-content/uploads/1/brand_finance_sri_lanka_100_2020_full_report.pdf |
Accessed 31.05.2021

34 | P a g e
Appendixes
Appendix - 01 Competitor Analysis
Abans Damro Softlogic Singhagiri
Logo
Number of Outlets 440+ 80 190+ 100+
Net Revenue (Rs.
Billion)
34 Billion 8 Billion 12 Billion 5 Billion
Number of
Employees
2000+ 2500+ 1500+ 1200+
Values Rich heritage and
brand promise to
deliver quality and
durable products and
service
Value for money
through country of
origin manufacturing
/ best after sales
service
Branded products
promise durability
Affordability for
everyone
Online Shopping
Stores
Yes Yes Yes Yes
Loyalty Programme Yes No No No
Number of Loyal
Customers
2.5 Million 1.2 Million 1.8 Million 800,000
Appendix – 02 PEST Analysis
Factor Driver Impact O/T Rating
Political
Increase Tax rates on
imports High Product cost / impact on profits T H
Import Restriction
product unavailability / impact on profit and
sustainability T H
Tax Concession on local
production reduce product cost / increase profit O H
Economic
Rupee value depreciation increase the product cost / lost in profits T H
Job Losses due to current
pandemic situation
Loose in demand for consumer electronic
products T M
Social Work from home concept increase demand for IT Related products O M
Technological
Growth in E commerce
increase online sales / reduce stock holding
cost at showroom level O M
Mobile and internet
penetration
Reach more customers / reduced marketing
communication cost O M

35 | P a g e
Appendix – 03 Cultural Web Analysis
Stories Established in 1877 and currently operates with 440+ retail outlets
Symbols Well diversified consumer electronic brand in Sri Lanka with captured
27% market share, strong distribution network island wide
Power Structure Hierarchical power structure
Organizational
Structure
Tall structure with centralized control system
Control Systems Through a digitalized ERP system
Routine and rituals Rewarding culture, heritage and training
Paradigm Trusted Excellence, being more innovative product and service provider in
consumer electronic industry in Sri Lanka
Appendix – 04 Strategic Capabilities
Unique Resources (Current)
- Island wide showroom network, current
Warehousing facilities, Franchise
service partner network around the
country, own service center network
island wide, production and assembly
facilities for consumer electronic
products, trained and skilled staff
New Competencies
- Cultural changes may happen due to
strategic acquisition by Hayles PLC in 2017
- New concepts and skilled staff and new
management will change the direction of the
company
Core Competency (Current)
- Economics of scale due to some
electronics production, bargaining
power since always do a mass product
import, after sales service excellence
Strengths
- Well established band name and
reputation
- Loyal customer base
- Skilled and trained staff
- Island wide showroom network
- Financial stability
Weaknesses
- Due to tall structure, decision making get
delayed
- Staff turnover is more in lower level
- Heavily depend after sales service part
through franchise service partners
Opportunities
- Growth in E-Commerce
- Consumer behavior changes – adaptation
more for consumer electronic products to
make lifestyle easier
- There are still consumer electronic
product gaps available and penetration is
low in rural areas
Threats
- Changes in government policies – restrict
consumer electronic product imports
- Government Tax policies may negatively
impact for price hikes
- Global production shortage
- Global price hike in raw materials
- Global production delays due to Covid-19
pandemic
- Instability of exchange rates
- Credit risk due to hire purchase business
Appendix – 05 SWOT Analysis

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Below mentioned innovations will take in place in order to improve new customer acquisition and
increase customer lifetime value
1. Intergraded E-Commerce and Service mobile App
Currently Singer has two different mobile apps to serve customers. But do
it an effective & efficient way, it has been identified that integrated these
two apps together in order serve customer more effectively. On the other
hand, this would help Singer to trace all the information about the customer
at the time of purchasing and when customer make a complaint or re
purchase a product, further this would help to engage with customer
throughout his customer life cycle and understand customer buying
behavior and serve them better than the competition.
With the current trend customers can not only purchasing a product through this app but they
can make complaint through online and it will be recorded in Singer ERP system and customers
will be able to review time to time until any issues get resolved. This will save customers’
valuable time also it will help to reduce operational cost of Singer
2. Express Delivery to customer’s doorstep
Currently it takes about 3-4 working days to get delivered a product to
when customer purchase .as a new process optimization, products will
get delivered to customer within 24 hours at a zero cost. No other
competitor does that at the moment. Singer could use the current ERP
system to track current inventory positions and allocate the product to deliver from the closest
location to the customer. This will reduce stock holding cost and aging stocks and smooth
operation will take in place.
3. New product and service experience through AR/VR, IOT Technologies
With an advancement of technology Singer Sri Lanka is able to give a
better customer experience, since they have wide network of
showrooms they can establish better customer experience centers
through the support of new technology. Customers can visit showrooms
and get a better experience about any product or services before they
purchase also they can imagine how product will look like and how
convenience to the day to day life when they start using the product.
Also, Singer can give this same experience through online as well. Since customers have
curtailed visiting go outside with current pandemic situation they can get the same experience
through online and make purchase a products or service through online. Since no other
competitor does that Singer can leverage this opportunity to acquire new customers towards
organization.
Appendix 06 Proposed Innovations

Creating entreprenual change - CIM Level 07

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