The Strategic Objectives: Balance Score Card
According to research, for a business to maximize its profits and ensure long lasting business venture, the venture management must come up with strategic long term objectives for the business. The business should not just look at the short-term gains of the business but also the future ones. Most mangers ensure that the gains they get at present are used sparingly in order to foster future success in business (Kaplan R S and Norton D P, 1996). The article bellow is going to outline the strategic objectives based on the four aspects of a balanced scorecard. This will include the following perspectives; Shareholder Value or Financial, Customer Value, Process or Internal Operations, Learning and Growth (Employee) Perspectives.
Internal business process
For the business to satisfy our customers, we have to come up with a number of measures. Because most of the clientele will be the young ones we will aim to ensure that there is a conducive environment for all both the young and old clientele. We will also aim to ensure that at least by the first year of operation, 50 % of the young clientele who go to the nearby schools; come to our establishment .we will improve the pizza and burger restaurant as it is the main catchment for the young clientele. For the parents with the children, we will ensure that we put up a playing area for the children within the first month of our operations to cash in on this group. To ensure that our customers keep coming we shall ensure that there are quality foods at all times and to all types of clientele as regards their tastes and preferences. We will also ensure that the staffs work to their best to ensure that the customers are satisfied. We also aim to be an establishment with the lowest prices. This will act as bait both in the beginning and in the end. This will attract many customers from the already established hotels. This will boost both the name of the establishment and the staff. Because of the stiff competition from the other hotels, we will ensure we are up to date with the price changes by the other firms (Springer G. C., 2005)
Because of the highly competitive market, we will aim to ensure that our customers’ satisfaction rate should increase by 20%each year for the 1st six years. This will be done through the development of proper distribution channels. To achieve this organization will use mostly the distributors in ensuring the goods are well marketed. For the start, the products will concentrate on the target market but later we shall consider supplying to other areas outside our target area. This will ensure a competitive edge over the other hotel owners. For the sustenance of the low price, the organization will set a price limit for all the goods to ensure that the prices do not go beyond the limits. the organization aims at acquiring its products from wholesalers to cut down on the cost of purchases. Through its outside catering department, the organization aims at ensuring they deliver all the required products to the customers whenever they will be. This will also act as a mode of advertising the products to the people. In addition, to ensure that all the clients get their desired products, the products will be custom made as per the customer’s requirement. There will be facilities for all the patrons of the restaurant including the children, as there will be a children’s enjoyment place. This will ensure that we do not miss any portion of the market ranging from the young to the old (Kaplan Robert S & Norton David P.,1996).
As regards the shareholders objective, we will endeavor to increase the rating of shareholder rating by at least 10% per year. We aim to ensure that all the shareholders have a say in the running of the restaurant .this will ensure that there are no frictions between the management that might lead to declined business( Macmillan, H. and Tempoe, M. (2000) Because there are so many competitors in the market, we will have to ensure that we give our shareholders the best to keep them with us for the longest time possible. In terms of financial goals we aim to ensure that we work to our best while ensuring that the we minimize the amounts spend during the running of the business .this will be achieved through the use of whole sale purchases and distributions that will cost less as compared to the buying and distributing single units.
Learning and Growth
We will aim that at least 20%of our staff are retained each year. Because of the upcoming trend of people eating out most of the time as compared to home-prepared foods, this is an opportunity for growth. Through this we aim to ensure that we are an organization that is full compliance with the current events in the social life (Springer G. C. 2005). Another opportunity we will capitalize on is the use of our target segment of the population. Since the restaurant is to deal with the sale of burgers and pizza, this population is ideal, as it is the ones that likes to have fun away from home. To ensure that we are up to date with the current developments in the food industry we shall ensure that our staffs are up to date technologically. From the SWOT analysis, we can see that we have the opportunity of diversifying the products .Additionally, because there is a sharp competition from other people in this field we aim to be ever on the move to ensure that our products are always on top. Another initiative is to ensure that our staffs are retrained according to the demands of the ever-changing target market.
Kaplan Robert S and Norton David P (1996). Using the Balanced Scorecard as a
Strategic Management System. The Harvard Business School Publishing Corporation.
Springer G. C. (2005) Strategic Management. Keys to Strategy Implementation. Las Vegas: American Society for Public Administration.
Macmillan, H. and Tempoe, M. (2000) Strategic Management: Process, Content, and Implementation. New York: Oxford University Press.