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Strategic Plan Part 2 SWOT Analysis Paper Grading GuideBUS.docx
1. Strategic Plan Part 2: SWOT Analysis Paper Grading Guide
BUS/475 Version 6
1
Individual Assignment: Strategic Plan Part 2: SWOT Analysis
Paper
Purpose of Assignment
Students gain experience conducting an internal and external
environmental analysis (including the supply chain) for their
proposed new division and its business model.
Resources Required
· University of Phoenix Material: Strategic Planning Outline
Grading Guide
Content
Met
Partially Met
Not Met
Comments:
The assignment includes a SWOT analysis that is presented in a
SWOT table that includes the internal and external
environmental analysis.
The assignment includes a supply chain analysis for the
2. proposed new division.
The paper acts as a summary of the forces and trends analyzed
in the SWOT and supply chain analysis.
The paper includes the identification of economic, legal, and
regulatory forces and trends.
The paper includes a critique of how well the organization
adapts to change.
The paper includes an analysis and explanation of the supply
chain of the new division of the existing business. The paper
includes plans to develop and leverage core competencies and
resources within the supply chain in an effort to make a positive
impact on the business model and the various stakeholders.
The paper includes the identification of issues and/or
opportunities as well as a hypothesis for each issue and research
questions to use. This also includes identifying the
circumstances surrounding each issue.
3. The paper is 700- to 1,050-words in length.
Total Available
Total Earned
6
#/6
Writing Guidelines
Met
Partially Met
Not Met
Comments:
The paper—including tables and graphs, headings, title page,
and reference page—is consistent with APA formatting
guidelines and meets course-level requirements.
Intellectual property is recognized with in-text citations and a
4. reference page.
Paragraph and sentence transitions are present, logical, and
maintain the flow throughout the paper.
Sentences are complete, clear, and concise.
Rules of grammar and usage are followed including spelling and
punctuation.
Total Available
Total Earned
2
#/2
Assignment Total
8
#/8
6. the Museum’s notes may be included with proper citation. Any
outside info should comprise only a few sentences at most. Use
the object like a text that you’re imaginatively exploring. All
Museum Journals must be completed and uploaded to the
Discussion Board by 6/11
Sheet1Impacting
FactorStrengthsWeaknessesOpportunitiesThreatsTrendsINTERN
AL ENVIRONMENTStrategyStructuresProcesses and
systemsResourcesGoalsStrategic
capabilitiesCultureTechnologiesInnovationsIntellectual
propertyLeadershipEXTERNAL ENVIRONMENT Legal and
regulatoryGlobalEconomicTechnologicalInnovationSocialEnvir
onmental/EcologicalCompetitive
analysisREFERENCES/SOURCESYou must use references to
support your findings; For example, if you determine that new
regulations brought on by political factors will impact your
business, you should support that with an article or source. This
does not need to follow APA standards, but I do need to knwo
which source supports which idea.
Sheet2
Sheet3
Running Head: STRATEGIC PLANNING
1
STRATEGIC PLANNING
2
Strategic Planning
Samaly Rodriguez
7. BUS/475
June 6, 2016
Tosh Stuart
Table of Contents
Executive Summary 3
Introduction 4
McDonald’s Background Information 4
Mission and vision 4
New Business Division 5
Division of McDonald’s Menu 5
Vision, Mission and Value Proposition 6
SWOT Analysis 7
Internal and External Environmental Analysis 7
Supply and Value Chain Analysis 7
Change Management Plan 8
Strategic Objectives 8
Balanced Score Card 8
Conclusion 9
References 10
Executive Summary
Strategic planning is essential in ensuring that a business
attains competitive advantage and stays relevant throughout its
lifetime. This study discusses the strategic planning of
McDonald’s with the proposal of menu division. This division
seeks to offer McDonald’s full menu all daylong so that
customers can acquire any food they wanted any time of the
day. A SWOT analysis provides the status of this intervention
while the management plan outlines the strategic objectives,
balanced score card and the communication plan in relation to
the division.
Introduction
Strategic planning is essential to ensuring a business
8. remains relevant in the market throughout its life. This study
provides the strategic planning of McDonalds whereby division
of its menu has been proposed to ensure its competitiveness.
The SWOT analysis of this division is also provided whereby
the probable impacts of the division on the organization are
outlined.McDonald’s Background Information
McDonald’s entails a chain of restaurants offering fast
food products across the world in over 100 countries. The
company came into existence in 1940 and established into
McDonald’s Corporation in 1955. It is the largest fast food
restaurant chain in the globe with over 36,000 outlets globally
as well as serving over 60 million customers daily. McDonald’s
provides different products within their menu, and this is
dependent on the country of operation. However, the dominant
products include hamburgers, soft drinks, desserts, various
chicken types and flavors as well as vegetarian food. Either the
products are all offered as “eat in” or “take out” hence the
customers have the option of either carrying their food home or
eating at the restaurant.Mission and vision
McDonald’s operates under the vision of becoming a
modern progressive burger company that will satisfy its
customers through improved tastes, high-quality food and an
excellent service that shows them their value. Their mission
statement entails being the best place for eating and drinking as
well as building an organizational environment that empowers
the employees. To attain its mission and visions the company
seeks to incorporate innovation in their goods, services and the
organizational environment to ensure that they meet the
expectations of all stakeholders.New Business DivisionDivision
of McDonald’s Menu
Most customers have expressed positive reviews about
their experience at McDonald’s, however the challenge has been
how to meet there menu preferences at any time of the day. A
fixed menu has been a challenge to the customers since they
could only order a particular food at a given time but why
would the restaurant not provide chicken or burger for instance
9. early in the morning when the customer feels like having it?
This challenge is what led to McDonald’s introduction of an all-
day breakfast menu where customers could have the foods on
the menu at any time of the day (Fuhrmeister, 2016).
According to Griswold (2016), the introduction of an all-
day package in the past year unexpectedly yielded higher
returns to McDonald’s whose sales were reducing. Its
competitors like Dunkin Donuts and Jack in the Box felt the
heat of this intervention when their sales did not meet their
expectations. Through this strategy, McDonald’s seem to have
gained a competitive advantage against its rivals although it
seemed a great gamble due to its impact on working operations
and schedules. However, this could be a temporary relief since
its competitors also have their plans to curl the losses. It might
be essential for the company to introduce a new business
division that would ensure positive long-term returns.
The proposed new division is McDonald’s having its entire
menu available to its customers throughout the day. This
division could be essential in attracting many potential
customers since they would have the opportunity to eat anything
at any time they wanted. Vision, Mission and Value Proposition
The vision of this intervention is to enhance the quality of
product and service provision and this will be achieved through
making available all the products right through the day. This
vision is in line with that of McDonald’s described above since
they both seek to satisfy customers high quality food and
services. Its mission is to ensure customer satisfaction through
the experience where what they want would be readily
available. This mission also complements that of the brand
since by ensuring the best services and customer satisfaction
then McDonald’s will turn into the best restaurant. The mission
and vision will serve as a motivating factor to ensure the
objectives of the strategy are successful.
The Value Proposition for this intervention is that it will
make McDonald’s a one-stop restaurant whereby customers will
be served with all their preference food at any time of the day.
10. Customers will save their time and hassle of looking around for
the food they wanted for instance just because it was not early
in the morning and main meals had not been prepared. This
division will create a competitive advantage for both the
customer and the business. As the customers will be enjoying
quality, readily available products, and services, the company
will be enjoying high returns. The competitive advantage will
be higher for the company since there are fewer competitors
with such interventions.SWOT AnalysisInternal and External
Environmental Analysis
The strengths of McDonald’s include its strong brand
image that is recognized internationally, and this will make it
easier to market the proposed division to many consumers. The
brand also has a strong market share of over 19%, and this
means that the division could be an opportunity to capture the
potential customers as well as make the existing ones loyal
(Makos, 2015). Its market diversification globally would be
essential in reducing market-based risks that could be
associated with the division. The diversification has also
diversified their incomes, and since they do not depend on one
source of income, then there would be an opportunity to get
resources needed for the division.
The weaknesses that McDonald’s faces include its
declining market share due to competition although this division
could help in reducing this challenge. The company has a lower
product diversification with low product development since
their menu is not balanced to meet the needs of all customers.
Although the brand is diversified, their revenues are highly
dependent on the economy of western countries hence, it is
vulnerable to changes in the western economy (Greenspan,
2015). The opportunities for this division include the expansion
to other markets like Asia and Africa. Product diversification
can also be achieved for instance by coming up with a menu that
accommodates a big population. Low costs products like those
within the all-day breakfast can be used to enhance the market.
Competition from other companies is the major threat to this
11. division and McDonald’s in general.Supply and Value Chain
Analysis
McDonald’s has a well-established inbound and outbound
logistics that has seen the company remain sustainable in its
business. The economy of scale has ensured that customers
attain value for their money, and this can be seen through its
cheap menu, for instance, the $1 menu. The division of the
menu will ensure that customers continue to get this value.
Quality control measures are ensured through inspections and
audits while supply chain control ensures that the demand does
not surpass the supply. The outbound logistics are also passed
through quality control measures while information systems are
in place to capture the growth indicators.
The infrastructure of McDonald’s is highly developed to
support this division proposal. The company has a good brand
recognition, company image, and financial strength to enable
the implementation of the division. The core competency of
McDonalds has been dependent on its diversified infrastructure,
well-established operations and supply chain. The division of
the menu will help the company improve its competitiveness
and ensure that it continues to be the number one restaurant by
market value.Change Management PlanStrategic Objectives
` Strategic objectives about customers entail to increase the
retention rates of customers, to improve customer service
quality, make all products readily available to customers as well
as improve the sales within global markets. Financially this
division is to enable more than 15% increase in annual profits
and ensure a steady increase in revenues.Balanced Score Card
McDonald is the top company in the food industry thus; it
has the challenge of ensuring that competitors do not overtake
them. Different divisions were introduced to ensure that
competition is overcome for instance the introduction of the
McCafe where cheap products are offered and health
consciousness through the provision of healthy products.
McDonald’s has a well-established supply chain, and it acquires
all its raw materials from the same supplier for all outlets.
12. Empowerment of employees is essential and for instance,
McDonald’s does this by offering training programs to its
employees through the Hamburger University in Oak Brook,
Illinois (Speizer, 2006). Conclusion
There is a huge competition in the fast food industry with
all companies looking for avenues to attain competitive
advantage. McDonald’s has been in this market for over six
decades, and although this proves its ability to compete, it
requires proper strategies to counter competition. Division of its
business through providing a full menu throughout the day will
be one great strategy that will enable the company to overcome
competition. However, this strategy will require other
organizational support strategies to ensure that it results in
positive long-term outcomes.
References
Fuhrmeister, C. (2016). McDonald's All-Day Breakfast Is
Taking a Toll on Competitors. Eater. Retrieved 2 June 2016,
from http://www.eater.com/2016/2/19/11075308/mcdonalds-all-
day-breakfast-sales-competitors
Greenspan, R. (2015). McDonald’s SWOT Analysis &
Recommendations - Panmore Institute. Panmore Institute.
Retrieved 2 June 2016, from http://panmore.com/mcdonalds-
swot-analysis-recommendations
Griswold, A. (2016). McDonald’s all-day breakfast is working
so well that it may be eating Dunkin Donuts’ lunch. Quartz.
Retrieved 2 June 2016, from http://qz.com/610056/mcdonalds-
all-day-breakfast-is-working-so-well-that-it-may-be-eating-
dunkin-donuts-lunch/
Makos, J. (2015). McDonald’s SWOT Analysis: Strengths and
Threats. PESTLE Analysis. Retrieved 2 June 2016, from
http://pestleanalysis.com/mcdonalds-swot-analysis-strengths-
threats/
Speizer, I. (2006). McDonald’s Consistency Begins with an
Education at Hamburger
University. Workforce Management Online. Retrieved
from,