Mg309-Major Assignment
Mg309-Major Assignment
Mg309-Major Assignment
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Plagiarism Declaration
We want to declare the content of this project is consisting of individual contribution of each
group members. The other sources we use have been supported and clear attribution and citation
to resources used. All sources used and borrowed are been acknowledge. We understand that
plagiarism can lead to failure in our project and for worse expulsion or termination form USP.
Therefore, we want to declare from our signatures that our work contains no plagiarism.
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An executive summary.
This project will basically focus on the BJS Company which was situated in Honiara, Solomon
Island. It is purposely to investigates how the strategic plan in the BJS group of Company from
the past to the present and will examines what objectives which was implemented in the
business. A brief history of the BJS Group of Company is provided and its operation is initially
outlined how the organization structure. The discussion will focus on how the company
diagnostic the situation using the positive model of changes based on the emphasis skill on six
box model component and understand how the change occur in the organization and in what way
this organization change through over time alone with literatures supported.
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Introduction
Strategic planning is the method by which an organization identifies relevant trends in its
environment, analyses their possible implications, and projects that must included strategy to
address these future events and their contingencies (Cooper, 1985). The significance of strategic
planning is that the plan will keep the firms on path on achieving their aims, vision, mission
statements and the firm’s in general goals and objectives. Strategic management processes are
designed to provide an organization with long-term benefits. If the strategic management
process to address an immediate crisis within the organization, it won't. It always makes sense to
address the immediate crises prior to allocating resources (time, money, people, opportunity,
cost) to the strategic management process. basically this company BJS is the private own
business which was operating in the solomon. The company also use cost leaders strategy
process which goods and services must have competitive levels of differentiation, and create
value for customers. There are many specific customer needs firms can serve by using a focus
strategy this customer will be discuss on the discussion below. Mainly, this project is based on
our finding with BJS an organisation with Group of Companies which provides a wide range of
professional and business services in Solomon Islands. Therefore, it will highlight the
Company’s Background,SWOT Analysis and Competitor Analysis on changing the environment
on the successful of the business and to improve the efficiency on the strategic planning of the
organisation.
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Background History BJS
BJS Company is established more than 40 years ago in Honiara, in the capital city, and this
company also have in-depth knowledge and understanding of working with the local business
also government environments, and broad business networks (BJS Agencies ltd, 2013). They
provide extensive support to Solomon Islanders, expatriates, diplomatic missions, large and
small to non-government organizations, and local and international businesses through the
following services. Furthermore BJS is a family-owned business with long-term commitment to
Solomon Islands and its community (BJS Agencies ltd, 2013). They are based in Honiara, and
employ more than 80 Solomon Islanders. The BJS Company consists of four different
departments under the one management and under this management there are different
supervisors (BJS Agencies ltd, 2013). However this supervisor are responsible for managing this
different department in the organization such as DHL agency , scrap metal for recycle, insurance
agencies, Real estate and packaging and delivery. This are the department agencies in which the
BJS company is responsible for, and the employee which work under the this premises of the
department (BJS Agencies ltd, 2013). The figure 1.1 below briefly illustrates the managing
stricture of the organization.
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Ø Recruitment Services
BJS events offer recruitment agency services. The team handles all the logistics from advertising
positions, including coordinating applicants, and ranking applicants for interviews, preparing
interview questions, conducting interviews and making recommendations on the selection of
suitable candidates(BJS Agencies ltd, 2013). BJS events have undertaken recruitment work for
Solomon Island Media Assistance Scheme (SOLMAS) and have an ongoing contract with
AusAid to handle its recruitment of local staff in Solomon Islands(BJS Agencies ltd, 2013).
Figure 1.2 Table indicate the agencies within the company.
DHL Agencies Scrap metal Recycling Assisting Customs. Removalists and Packers
As the DHL Express agents in Solomon BJS Agencies BJS Agencies provide customs Whether you are coming or going to
Islands, getting freight and documents in purchase brass, clearance services for Solomon Islands, BJS Agencies can
and out of the country at an agreed time copper, aluminum, individuals and businesses. handle all you’re clearing, packing and
and price has been our mission for more stainless steel and They can pick up and deliver shipping requirements worldwide via
than 30 years. Their level of customer other non-ferrous goods from the port or airport sea or airfreight. Their professional
care has seen DHL Express regularly metals for recycling to your door Handle customs packers have more than 30 years of
rank us first or second in the Pacific overseas. and quarantine obligations experience and understand the
region. Coordinate collection of duties importance of handling your precious
and tax payments. goods with extreme care. In addition to
international movements, BJS Agencies
assists with local domestic household
moves and commercial relocations.
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SWOT Analysis
BJS Group of Companies (BJS) provides a wide range of professional and business services in
Solomon Islands, at this particular sector the SWOT analysis will be discuss. This section will
explain the strength, weakness and opposites they have against its competitor environment and
the threats the companies would have to considered when making decisions(BJS Agencies ltd,
2013). It Established more than 40 years ago in Honiara as being mentioned, within the capital
city, they have in-depth knowledge and understanding of working in the local business and
government environments, and broad business networks. We provide extensive support to
Solomon Islanders, expatriates, diplomatic missions, large and small non-government
organizations, and local and international businesses through the following services.
Strength.
This company operate under the family own business and they are the only company which
associate with the agents of DHL, Scrap metal, Customs Agents, and Removalists with in the
Solomon Islands. One of the main productivity and competitive advantage is DHL Express
agents in Solomon Islands, which is managed by the BJS and it in that manner it is makes other
sectors of BJS to be acceptable by the customers(BJS Agencies ltd, 2013). The main purpose of
the DHL is getting freight and documents in and out of the country at an agreed time and price
have been our mission for more than 30 years. Their level of customer care has seen DHL
Express regularly rank us first or second in the Pacific region. Externally, they have wide range
of customer, other competitor such as Pacific air express, Toll Logistic Company and TNT
which was also operating in the Solomon Islands does not seen as a treats to the BJS Company
because of the services and the cost wise of the services. BJS Agencies also purchase brass,
copper, aluminum, stainless steel and other non-ferrous metals for recycling overseas(BJS
Agencies ltd, 2013), however there are other firms which provide such service and have the same
given price and amount of unit price. However BJS, was the first to introduce such service and
so there are many customers who have being loyal to them already. Having the strength of a firm
it shows that the strategic management process used are well prepared by analysing the external
and internal environment and identifying the ideas of capabilities and core competencies.
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Weakness.
BJS events offer recruitment agency services. The team handles all the logistics from advertising
positions, coordinating applicants, and ranking applicants for interviews, preparing interview
questions, conducting interviews and making recommendations on the selection of suitable
candidates(BJS Agencies ltd, 2013).there main weakness is, they employ low skill worker such
as form 6 & 7 leaver from high schools to fill in the vacant position within the company,
internally, it offers time and money to train these unskilled employee/labour confidently in order
to gain the profitability of the company. as a competitor PIB insurance seen as the second
mover in the environment, however it has competitive advantages in terms of insurance
customers on the services provided, and can Often overwhelm first-movers (BJS). by taking the
first-mover's product from a niche consumer market to a mass market for example they targeting
the same customer with the demand of the customer to choose which services they want to.
While firms may enjoy a first-mover (BJS) advantage they may jump out to an early lead and
hold onto it, the notion that winners are always the first to enter the market therefore in order to
perform this strategy to meet the demand, they need to provide in depth training for the worker in
order to perform the task.
Opportunities.
The company have wide range of customer, they offer services to where is needed, they try all
effort to satisfy the needs of the customer, one of the strategy used is, they have in depth
knowledge and understanding of working in the local business and government environments,
and broad business networks. This gives a picture that the general environment have identified
it’s important objective, by the exploited effectively, and so it helps the company to achieve
strategic competitiveness( Hanson et al, 2014). Through the scanning, monitoring, forecasting
and assessing of the external environment would be difficult but the company have managed to
identify and analyse the datas from the external environment. Therefore with the analysing of
data in the external environment the company provide extensive support to Solomon Islanders,
expatriates, diplomatic missions, large and small non-government organizations, and local and
international businesses through the following services Insurance broker,scrap metal,DHL, and
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Remoelist and packager (BJS Agencies ltd, 2013). A firm’s strategies are dynamic in nature
because actions taken by one firm elicit responses from competitors that, in turn, typically result
in responses from the firm that took the initial action. Thus, firms use a focus strategy when they
utilize their core competencies to serve the needs of a particular industry segment or niche to the
exclusion of others. Examples of specific market segments that can be targeted by a focus
strategy include a particular buyer group.
Treats
There are number of companies operating and competing with the BJS Company however, for
DHL they have pacific air express operating under the private own enterprise , Toll company
also competing under the same operation as BJS company have performed and response
directly through the use of internal operation within the firm. Therefore, with such condition in
the general environment have shown that BJS have hinderess to achieve strategic
competitiveness( Hanson et al, 1014).Taking into consideration the reports from BJS one of the
main problem is having to employee unqualified staff because, they need supervisorial assistance
every day in order to cope with the market strategies they implemented. For the BJS company it
can be seen as a third mover into the business environment since all competitor where targeting
the same customer. And on the other hand all this company mainly deals customers which are
operating nearby or in and around Honiara. This shows that the companies have market
commonality and resource similarity is the extent to which the firm’ tangible and intangible
resources are comparable to a competitor’s in terms of both type and amount.
Though BJS have being made up of four different companies, and have different customers for
each companies, different resources, internal and external environment different and different
competitive companies. There is a common understanding which have them all four companies
under the same umbrella, and that is the strategic management that have being implemented.
And so it have similar strength, weakness, threat and opposites.
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Competitor Analysis
In order to be successful in your business, you need to know your competitors strengths,
weakness, strategies, product & services and other business factors .BJS company take heed of
their competitors, whether it be a local or international competitor, they will and always had a
strong and firm strategies to defend themselves from failing and will always assured their
investors and customers that they are aware of their competitors.
With the four different departments operating under the single organization (DHL agency , scrap
metal for recycle, Customer Assistance(Insurance Agency) & packaging and delivery) under one
management with four different supervisors, undertaking this business to its success, comes with
the different tasks that they are entitled to, competition and facing competitor is not an
exception,especially dealing with foreign as well the local competitors.
In regard to DHL Agencies, since they value and care for their customers, with the experience of
more than 30 years in what they are doing, it is their first and most important priority to ensure
that customers freights and documents in and out of the country within the expected time arrives
in time and on safe hands at the other end. Take heed of its main two competitors, Pacific Air
Express & Toll, BJS is working on its strategy of ensuring that customers are satisfied as well
exposing and advertising their trustworthy and experience through their website link. With this,
their strengths over their competitors are obvious, seeing they regularly rank first and at times
second in the Pacific Region.( Sunaone & Leole, 2015)
Under the department of Scrap Metal for Recycle, BJS agencies use to go around and buy brass,
copper, aluminum, stainless steel and other non-ferrous metals from customers in and around
Honiara Town for recycling overseas. They do have a local competitor, which was called; “Rax
Boy” which is located in the heart of Honiara town.Rax Boy operated in Honiara town and was
run by a local business man. BJS department of scrap metal strengths to its competitors is that, it
does not operating in Honiara town itself but diversify its operations to other Provinces in
Solomon Islands, through agents. For instance, in Malaita Province & Western Province, by this
diversifying of their operations they covered a bigger portion of the market in regard to their
competitor, thus overrun their competitor.( Sunaone & Leole, 2015)
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For the department of Insurance Agency & Packing and delivery department, BJS always
ensures that clearance services for individuals and business are well handled, both via sea or
airfreight will always safely drop off to their expected locations. Taking extra care of their
customer’s properties is their first and foremost priority with their 30 years of experience tacked
under their belts, customers trust is not regrettable. This department had fierce competitors,
namely Capital insurance Group and TOWER Insurance Solomon Islands. With these two
competitors, it possess a competitive threat but something that the management had already set
eyes on and already well tacked under their strategy and business plan.BJS have the advantage in
dealing with locals as well as internationals/foreigners, with the well and deep experience in
those two areas, it is what that keep them competitive in a momentum pace with success always
in their hand.( Sunaone & Leole, 2015)
Taking considerations in regard to BJS Competitor analysis, with respect to their competitors in
all the departments, it is the area that the management and supervisors sees as an ongoing
challenges, with the understanding that the globalization makes this world smaller and more
competitive, it is to their best interest of their investors as well their customers that what they
offer will fully satisfied their customers compared to their competitors. By achieving that goal,
both long and short run, at the end of the day, it is of their best wish that all are on the winning
side.( Sunaone & Leole, 2015)
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Methodology
To achieve our Aims and objective we will be using both Qualitative and quantitative research
Method, Interview and questionnaire will be provided. This research will be based on the
findings which will be taken from the sources selected and will present a critical reflection with
reasoning behind the method by formulate the organisation changes occur within the BJS. The
reason why of using this model is to formulate the organization strategy that occurs within the
BJS Company this project will be based on both qualitative and quantitative research.
Questionnaire and interview will be conducted on Facebook on the employee online furthermore
secondary resources will be based on the data and internet source. Most of this information is
precise and timelines information, which evidentially talks on the subject of the reviewed based
on the assignment’s topic that is strategic planning perspectives of the large firms. And that, this
information has helped us a lot in conditions of structuring as well the research strategy and right
method are discussed.
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Findings & Discussions (Different types of Strategies used by
SMEs)
With the increasing emerging of Globalization, along came new challenges and opportunities for
SMEs around the world, as they faced with raising and increasing pressure in trying to reduce
cost, increase productivity and stay competitive in the local as well the international market.
With the radical change taking place in the 21st century, economic face and activity tend to shift
away from National sphere towards Global. BJS ability to be competitive in the markets, the
management and its team are ensured that they stay alert of what ahead of them and keep
upgrading and maintain their strategies. BJS strategies were guided by their mission and values
of the organization itself. Strategies that are applied are the main core principles that keep them
ongoing, competitive and survive in the long and short run. The first strategy that BJS used was
referred to as, “Before and After” Strategy. This strategy mainly specified towards their
customers in regard to the services they provided from all the four departments, customers will
be fully satisfied with the services provided, because from advertisements and promotions, it
assured customers what they capable of doing, that is satisfying customers to their very
expectation. And this will be witnessed and experience by customers after choosing BJS in doing
business with. This technique shows the value that BJS puts on its customers, especially after
they experience a new and fully satisfied service with BJS.This strategy main intention was to
show and provide (services) something totally different to customers who chooses BJS compared
to its competitor.( Sunaone & Leole, 2015)
The second strategy, was called, “The information technology strategy”. Technology, especially
using of internet, company websites and communication technologies has become and one of the
main strategy BJS have ventured and invested into. With time and speed connected to minimal
cost, BJS ensures that its internet connections, fax machines and communication tools are always
functioning and in well condition 24 hours 7 days a week. By using this strategy, BJS locally and
globally knows what is going on in and around the world. This helps to reduce their cost and
improved their services.( Sunaone & Leole, 2015)
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The third strategy referred to as, “Advice” Strategy. This strategy is lateral to the saying such as,
“we can help you” ad strategy. By using this strategy, BJS through advertising in the media and
internet website page expresses the benefits that its services can offer and provided to its
customers. For instance, through the department of Insurance Agency, applying this strategy is
on the front line, by ensuring customers what BJS Insurance department can do for their them,
regarding the services provided.( Sunaone & Leole, 2015)
Fourth strategy that BJS also applied in their departments is what they referred to as,
“Competitive” or “Comparison” Strategy. Applying this strategy in the way they do business and
services with their customers make an overt reference to any differences between themselves and
their competitors. With the advantages of experience on their side, regarding the local business
environment, it would take time for intruding competitor or existing one with different strategy
to attack them or win them. Through this strategy,BJS management and employees ensured that
the services they offered can give a clearer pictures to its customers the difference they
experience with its competitors,BJS study competitors failures/weaknesses and build up on that
to gain customer trust and loyalty in short and long run.( Sunaone & Leole, 2015)
The fifth and the last strategy BJS used is, “Market Position” Strategy. Looking into this
strategy, it is a priority foremost important that BJS management team and supervisors are
always aware of perception and reality of position they hold in the market in regard to the
services they provided and their competitors. In this strategy, BJS departments will always target
customer value, level of competition and position of their competitors. By knowing this, it helps
BJS to stay alert and competitive always. By taking this strategy, from results, it help BJS aware
of their services attributes, their pricing, how innovate they are and their team skills and
motivation compared to their competitors, both locally and foreign.( Sunaone & Leole, 2015)
The strategies that BJS used are “Before and After” strategy, this strategy basically focused on
satisfying customers through the services that they provided to their customers, which based on
quality servicing. The other strategy that they used is “The information technology strategy”, this
strategy was mainly focused on technology, the using of internet to keep contact with their
customers, both local and foreigners. The other strategy they used is “Advice strategy”, by
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advising through internet, media and advertising it gives them the chance to assure their likely
customers what they are capable of in helping them through service provided. Also BJS used
“Competitive or Comparison” strategy, this strategy shows to customers the difference they can
offer compared to their competitor. And lastly they used “Market position” strategy, this strategy
gives BJS management the awareness their position in regard to the market, by knowing that,
they can be sure that they are running on the competitive line and also it makes them
competitive.
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Conclusion
Therefore this report, has been categorize that the strategic management, is build to forecast on
cost leadership strategy and focus strategy to avoid threat to the new entry of the second mover
that used in the organisational managing. When problem is being identified using proper
strategy it will be helpful to issues such as planning, incentives, and the role of support functions
such as personnel, internal competitions amongst the organizational competitor rivalry, standards
for remuneration, partnerships, hierarchies and the delegation of authority of the employee,
organization is accountable for cost leadership, focus strategy and performance assessment of
BJS company which maintain its capacity of the problem situation when diagnosing the
problem considering the two strategy. This model also followed the basic 'systems' approach to
organizational functioning including the well-known inputs and 'outputs' strategy categories.
Organization development is success when this strategy is using appropriate incentives for the
problems.
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References
Andrews, J., Cameron, H. & Harris, M. (2008). All Change? Managers experience of
Organizational Change in theory and practice. Journal of Organizational change and
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BJS Agencies ltd. (2013): Retrieved from: http://www.bjs.com.sb/ :Accessed 20 May 2015
Burnes, B. (2004b). Kurt Lewin and the planned approach to change: a re-appraisal. Journal of
Management Studies. Vol. 41( 6), pp. 977-1002.
Kippenberger, T.(2000). Two contrasting theories of Change: Theory E and Theory O. The
Antidote. Vol. 5 (7),
Waddell, M. D., Creed, A., Cummings, G. T. & Worley, G. C. (2011). Oraganizational change,
development and transformation. Cengage Learning. Australia.
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