Strategy one, in review of CanGoâ€™s requirements, has spent the previous two weeks in discussions to learn and discover the business and needs of CanGo operations. During this period, Strategy One has identified areas that present specific operations issues and has made recommendations for each of these areas below. The issues discovered and discussed are strategic planning, organization, finance, project management, a project team, and project resource allocation and are presented in the information below with recommended resolutions.
Week 1 Issues
The first issue identified by Strategy One is in the area of strategic planning. CanGo has been a successful ...view middle of the document...
CanGoâ€™s team has the drive and innovation to sustain their successful competitive edge in the market space; however, without organizational planning and the implementation of the plan, the company may fail due to poor internal structure for meeting the demands of the growing business. Internal organization and processes for goal attainment are some of the most basic requirements for a successful business.
The third issue identified by Strategy One is in the area of financial planning. While CanGo as a company is looking towards expanding in the online gaming market, CanGo is still unsure of where the funding for this venture will be coming from. Additionally there is the issue of competitive analysis tied to this financial planning. CanGo has not researched their standing in the industry to see if growing capital is viable at this point. The costs involved in the task of expanding to new areas have yet to be addressed; however, there is already a deadline set for the launch of the new initiative. (DVOU, 2011) This is a huge oversight of the management team at CanGo; particularly as the funding that they will require may not be available and no estimates or project plans have been established for resources, budged and quality assurance. Furthermore, to date CanGo has not set aside a budget for future project or project planning in the current fiscal year plan.
Week 1 Recommendations
Strategy One has established several recommendations to assist CanGo with correcting the issues of strategic planning, organizational structuring and financial planning that are affecting the current expansion project. It is the recommendation that CanGo implement the following tools for successful management of the new project. CanGo needs a precise vision of what the company is about; a vision to set forth the goals and future of the company as a whole. This recommendation also includes an initiative to create a mission statement that define who the customers are, what products and services will be offered by CanGo and how the services will be provided to the consumers.
Additionally, the steps for Strategy Oneâ€™s recommendations for strategic planning are: performing a SWOT analysis, defining long term goals, implementation of clearly defined plans, execute internal and external strategic choices, continual evaluation of exiting goals versus existing strategy and finally, revising goals and strategy as needed to meet the business needs.
â€œThe goal of much of business strategy is to achieve a sustainable competitive advantage. A competitive advantage exists when the firm is able to deliver the same benefits as competitors but at a lower cost (cost advantage), or deliver benefits that exceed those of competing products (differentiation advantage). Thus, a competitive advantage enables the firm to create superior value for its customers and superior profits for itself. Cost and differentiation advantages are...