Investigation and evaluation of environmental analysis

Investigation and evaluation of environsal depth psychologyThis assignment was compensate off watern to me as strong as to e really adept else in the sort unwrap by Ms. Kargonn Abberton. It is requested to be done as part of the bank line mold cognise in baseball club to fulfill how wholesome(a)head students unsounded bank line management twist of the participation they completed their produce in experience in. The brief for this assignment was destinen to us on the 16th of phratry 2009 and was requested to be submitted by the 16th of December 2009. As a business course student it is in truth(prenominal) essential for me to understand business management, how a well organized business turn all overs and how it fanny compound the well be of an organization. In order to create a successful comp whatever or to upgrade an existing one, we should populate what opportunities this organization has. We should be equal to position the organization in the market s cale a put onst its competitors if t here(predicate) argon whatsoever. The environmental compend of a comp all boosters us to catch prejudicious and positive elements of the organization, what in future might hold up us transpose close to of the strategies in order to make the comp all more reas trustworthyd and invulnerable. 3. Methods of proceduresQuite a hardly a(prenominal) divers(prenominal) sources were utilize by me in order to construct this report. In the origin place establish on the teaching received during Marketing Management Classes in Balsbridge College a survey of hand proscribeds were given to me as well as examples based on start of real existing companies and practical exercises. Also based on my work experience in KWE globe Express where I plunder spent over dickens geezerhood working(a) as Exports coordinator. I gull let ind chiefly secondary research and applied academic theories in order to support my assignment. Books, internet and briskspapers. 4. Findings 4.1 Description of organizationIs a clog Forwarding International companion which let downed its business in 1948 and was established in 1970 in Japan. At consecrate there atomic make sense 18 297 blind drunkss in 192 cities in 31 of the world it and employs over 8,000 heap around the world. It is a long-shanked society with LTD-limited Liability. Its product is the armed good the caller-up provides to its customers. KWE is one of the joting load send on companies in the world. Domestic and foreign air and ocean dispatch forwarding business, trucking comp all(prenominal) agent, tradition agent, and transfer of training agent. in that location atomic number 18 two plazas in Ireland Dublin and Cork. Dublin office is located beside the Dublin airport in Horizon Logistics Park. It employs 26 heap working in the office and 1 person working as gross revenue vocalisation see potential customers, (so inspected sales on the track). Dubl in office organizes imports and exports of clogage by road, sea-ocean and air. It has been established in Ireland in 1998 and managed to gain and adjudge quite a number of tough and growing customers. whatsoever of them be quite know pharmaceutical companies give c are Takeda, Astellas. Takeda is has been Dublins branch customer for over 10 long era and there are two bulk in the company who are obligated for Takeda account. Astellas is a new pharmaceutical company which imports and exports up to 5 tons of clog hebdomadally with the KWEs jockstrap. I quartert go any further until I mention such a well cognise customer of KWE as Dell. Dell have been KWEs customer for quite a long time, but as far as I know safe onwards I left the company survive jet Dell locomote its main production to Poland which style the account was lost. There are still some transactions but however occasionally. down the stairs I would like to show the social structure of KWE in a chart. The first chart entrust show the main offices and the second chart depart give entropy of the Dublins branch. Now I would like to point out the countries which go under the supervision of the areas shown in the chart Americas Brazil, Canada, Mexico, USAAsia and Oceania Australia, China, India, Indonesia, Korea, Malaysia, Philippines, Singapore, Taiwan, Thailand, UAE, Vietnam. atomic number 63 and Africa Belgium, Czech, France, Ger many some other(prenominal), Italy, Ireland, Netherlands, Poland Russia, South Africa, Sweden, U.K., Switzerland. Japan is the head office, each untaught should report to the furnish main office, and the headquarters main office reports to Japan. Dublin Office map As you stinker see it is a tall company, but lets start from the bottom. Each stave member should report to its supervisor, the supervisor reports to the section jitney and the manager should report to the M.D. For Example I would report to Sandra White, she in her ferment would report to John OShaugnessy and John should report to Thomas Weppelmann. In humans Thomas Weppelmann is responsible for more than alone Dublin office. It means if the switch off is non very big it will be resolved at bottom the company, but if a decision has to be made like who to make redundant than Thomas Weppelmann will have to take part in the nett decision, but still the opinion of John OShaugnessy is essential here as he spends more time with his mental faculty and he knows everyones cognitive process abilities. As al lay down said the company is a freight forwarding agent. Its job is to safely transport strongs from point A to point B, with the attend to of haulers, shipping lines or air hoses. gross revenue Department Manager Karl OReilly Mark overflowing and Josephine Kill under his supervision. The aim of the subdivision is to sell the companys product, which is service. They are a kind of companys advertisers. It is overly under their responsibility to give price q uotes to any customer inquiring a service to any destination of the world. sales department is the start point of any shipment. They should know 1. What kind of charge2. Where is it spill to? 3. Dimensions and weight of goods4. When the goods apprise be ready for transportation?5. What is the desired date of transportation? And many more, the reason I utter many more is because each customer and each type of lading is contrary in its way. It privy be smaller or bigger, it might be urgent on normal, it whitethorn go to different destinations and so on, it can be different types of goods and so on. The sales department goal is to give customer an impression that we are the notwithstanding company in the country who can provide the inexpensiveest, the safest and the best service off all. The information they give to the potential customer should be as accurate as possible, in order to avert any issues later down the line. Imports Department Eamonn Grogan and David Howell are responsible for descent Imports, the aim of these two wad is to proceed the merchandise cargo as per political sympathies rules and regulations and to make sure that nonhing poor happens to the cargo from the moment it arrives into Dublin and until the moment it is delivered to the final destination. They should make sure that the information they fill in the customs docs should be 100% correct, because any wrong tone of voices or wrong information can lead to big fines for the company. Paul Byrne is dealing with DHL account, his job is to look after road exports and imports. Sarahs job is to look after sea imports and exports. She should be aware of the timetable of the ships and tributary vessels she should daily check if the ships with different containers arrived into the transit port and left it as pre the time timetable. On the import side the procedure is pretty some(prenominal) the equivalent as air imports, all the goods should be customs cleared and delivery or ganized unless customer wants different. Exports Department Sandra White, Joanne Howe and myself, responsible for air exports. Responsibilities hold negotiating the prices with the airlines, checking the post flights on daily basis, organizing pickups and deliveries to airport. I was working in the agate line Exports Department. I personally was responsible for some of the imports and accounts jobs as when I get together the company there wasnt too some(prenominal) job in the exports department and people from other departments used to give me module to do. In ordinary my main responsibility was checking the post flights in the mornings, than I was preparing the airway bills for that days shipments arranging collections, customs clearance for the shipments. My duties also included Cass Reports twice a month they are bills from the airlines which have to be checked if the amounts to be paid match the amounts on the bills, reports for customers, earlier mentioned Astellas acc ount is one of the customers who require weekly and monthly reports of the shipments KWE handle for them it was also one of my responsibilities.Accounts department Sylvia Smith is the H.R. re usherative but geographically she is part of the accounts department, and her job is closely related to accounts. She is responsible for even outroll. Her duties include to staff and operate the organization. Nicolla Uzell and Michelle Boylan are responsible for the accounts of the company. I estimate this departments duties dont have to be explained. Avril Reilly receptionist, she is the first person anyone speaks to on the phone. She has to sort the post, make sure that no unattended people are on the soil of the company. Warehouse Mickael Tallon ahs 3 people under his supervision, their duties include packaging the goods for exports, delivering cargo and documents to the airport. Collecting cargo from the customers, delivering trade cargo to the customer, labeling the shipments with the beginningd stickers. That is pretty very much the structure of the KWE and the explanation of the different departments duties. 4.2 Internal cast on organization. indubitable assets these are the things which can be touched we can also call it touchable furniture, transport, equipment, it system. Furniture is the one of the assets KWE has which belongs stringently to the company as well as transport (Kintetsu Dublin owns one company car which is mainly used by the manager but it can be also used by any member of the staff unless they dont possess a full driving license), Also KWE owns a 20ft container truck which is used on the daily basis for collections and deliveries of the cargo. Equipment is a property owned by KWE, it includes reproduction machines, printers, fax machines, com hurlers, a fork lift in the warehouse. IT system is another literal asset the company owns. It belongs wholly to KWE and cannot be used by any other company.Intangible assetsThe difference from t he tangible assets is that intangible assets cannot be physically touched but it doesnt mean that its rank is less than of those tangible ones. Intangible values of the KWE are name, intellectual property. KWE name is a well known tag in the freight forwarding business circle. KWE is in the first ten biggest and known freight forwarding companies of the world. KWE has a good service reputation, and a good relationship with its customers built during many years with the help of the services provided. Intellectual property is one of the strongest assets of KWE. Most of the people working for the company have many years of experience working in the business, which is supported by completing different courses from time to time, which gives staff the ability to be up to date with any innovations. Capabilities It is the ability of the company, its staff to achieve the physical objects, which lid to the achievement of the mission. What KWE capable is of each department has an objective which is to gain as many customers as possible, and customers are money profit. provided how strong are the capabilities of the company to achieve. What KWE are well capable for is to keep the existing customers, of course it gained a few new ones in the last period of time but only a few not because they are not capable to, because of the already mentioned efficient crisis.Value filament analysis Is one of the tools we can use to see the companys steps taken for creating the greatest possible value for its customers. It shows how the product of a company looks from its infinitive conditions and step by step it becomes a finished product which is a value for customers, who are ready to use it only in its final, result condition. In KWE it is the service they provide. But the customer is not interested and some of them dont even know what is used to provide the service they require. Value chain is a chain of procedures, and action taken which are applied in any organization. It includes Inbound logisticsOperationsOutbound LogisticsMarketing and sales religious serviceI would like to demonstrate this chain in a real example. I will describe a day of work dealing with a particular customer in exports department. Inbound Logistics 1. 10 am a call received from a ones off customer by our sales department for an urgent shipment to Japan. node chooses a quote. 2. sales get the information required in order to proceed the quote. 3. Sales let know the air exports department about a potential shipment to Japan and the information about the goods, dimensions and weight in order for the exports department to book a collection. 4. If the shipment was going let say to Canada than sales would have to contact different airlines for a quote, but because KWE have a daily consol going to Narita and Osaka in Japan they know how much it will cost the company for that particular shipment. All sales do is add up collection fee different airline fees, earnest if applies VAT and give the customer an estimated time of arrival of the shipment to the final destination and the total price. If customer agrees to the price the first part is done. Customer cannot refuse to go ahead because of the ETA estimated time of arrival, because any other airline can give whether later arrival time or the same one, the choice here is not a major one. There are only 2 airlines flying setly to Japan from London, none from Dublin. The inbound logistics part is done. Operations After shipments arrival into KWE warehouse it has to be repacked (usually put on a pallet and wrapped with plastic cover to avoid any loss of the boxes from the pallet or water damage and so on.) A sticker with correct ref number matching the reference on the documents has to be labeled to the box now the shipment is ready to be loaded on the truck to go the port and impute Ulysses vessel to London. Outbound Logistics It is the main process of the transportation. Next morning exports department ha ve to ring Japan airlines in order to see if cargo managed to get to their warehouse for the cut off time to go on the plane. If so we can advice our customer, if requested, that the shipment is in London as plan and should arrive Osaka next morning. Marketing and Sales As you can see the sales department did its job in the very start of this operation. And in this particular case all they can do is to send a thank you for using our company service and a kind of advert to this new customer who may appear to be not just a once off one. Advertisement can include the information of thee services KWE provides and letting the customer know about different destinations and our approachability anytime with mobile all the details included and company mobile numbers. Service Is the final result. The cargo arrival to the final destination point. It is in time as promised. All safe without any damage, this is where the value to our product is added in the eyes of the customer. And trust me this customer will advice our services to its friend, and thats how KWE becomes a brand name.The main winning point for any business is TIME. A company cannot become famous in 1-2 months time from the moment it opened. 4.3 External enchant on organization. Marketing Environment consists of the macro and micro-environment. The macro-environment includes large social forces that bear upon micro-environment, and usually cant be controlled by the company. It is an international structure which includes the by-line Political economic Opportunities and Threads mixer PEST and ostiarius volt Forces engineering Natural And micro-environment consists of forces that are under control of the company. Micro-environment work ons the ability of the company in producing a required service to its customers. It is an internal structure which includes the following(a) Suppliers Customers Company Strengths and Weaknesses Marketing intermediaries Publics PEST analysis.Quite oft psyche who starts a business doesnt realize how important environmental factors for an organization are. I mean the country a certain business will be started in. It is very important for a new business owner to understand and to be aware of the political, social, scotch and technological factors of the country the business is going to work in. A PEST analysis is one of those tools that help to understand the external environment of the organization. P Political S Social E Economical T TechnologyPolitical factors Can have a direct impact on the way a company operate. This factor does not appear on internal work of the company. Only decisions made by government affect the operations. Political factors include such areas asv What is government policy on the cargo transportation? v persistence Law v Government Stability a) There is a rightfulness referring to trade and exported goods in Ireland. This would include goods imported or exported to or out of Ireland have to b e customs cleared all goods have to be declared on the paperwork, airway bills or bill of ladings. There is a constabulary referring the goods for resale or personal effects goods. There is a truth concerning import or export of medical goods and many other laws and regulations which strictly have to be obeyed by the transportation agents. b) Labor law can influence a companys surgery a voltaic pile. historic periods ago people could work 24 seconds a day and for very cheap pay, nowadays people cannot work more than 4 hours without a brake of 1 hour and no more than 8 hours a day. Total hours worked in a week should be no more than 40 hours. Min pay per hour has been implemented. During my employment in KWE I noticed that the rules and labor law regulations were followed as per law, every employee has been given a copy of the KWE handbook where everyone could see a detailed description of the companys policy and entitlements procedures c) All the factors included in a full(prenominal)er place depend on how stable the government is. Any of the above can be slowly changed due to government change or government instability. Government changes or coming of the new political parties can influence the organizations total figures. Business owners feel better to move the business to a country with growing parsimony rather than keep it in Ireland, where saving is down at present. Poland for example, labor is cheaper, government taxes are lower. Transportation laws are softer. This follows with loss of clients for KWE. Economical FactorsAll types of organizations are affected by frugal factors locally and globally. It doesnt matter if the economic system is in a boom, recession or recovery all these affect consumer confidence and behavior. Economical factors affect the get power of potential sullyers. It also influences the internal and external economy. Economical factors includev Exchange Ratesv Economic downturnv The level of inflationv VAT r atea) Interest rate influence the company sometimes positively, but sometimes negatively. Because KWE deals with customers and agents all over the world, invoices the company gets are in different currencies, so the exchange judge which are in place of the payment day can influence the amount to be transferred for payment in foreign currency. Quite often payments are queried because of the exchange rate changing every day. b) The present economical crisis negatively influences not only KWE but the general business structure of Ireland. People get redundant, companies lose experienced staff. A team which is used to perfectly fulfill its duties when everyone is in, looses the ability to do it in case of some people (not just one) of the team are not present. Performance of the companies is down, because not a full team works in the operations department. c) take of inflation if it lows down than the customers are not very confident in using a service or buying a good. Social FactorS ocial factor include the demographic changes of the country and of the world. KWE is a company who has offices all over the world so not only local demographics affect the business. These factors affect customers needs and size of potential markets. entropy about demographical situation in Ireland can be found on the website www.cso.ie . Social factors includev How are places expressed? v Age v Career attitudesTechnological factors.Technological factors are very important tools for an organization. Up to date technology can change the level of production, can improve peoples work performance and can change internal environment of an organization. Technological factor includesv Impact of the internet v parcelv Online Customs Clearance Internet is one of the most puissant technology inventions which were ever created. It helps people instantly send and receive information to and from agents, customers, suppliers and so on. Software- used in KWE for printing the documents for cargo and invoices was an old one, just before I left the company people started to be happy to use a new software which was easier to use, more friendly and could lay aside time to staff because of the features and benefits it had and the old system didnt. Online Customs a few years ago I order to customs clear exported or imported goods the staff of the company were fill in all the customs declaration attach the documents for the shipment and physically go to the customs office and hand everything in. it was taking hours but sometimes days to customs clear the cargo. It was a problem for more people you can imagine transportation agent, customer, customers customerand so on. After that an online system was brought to life to customs clear the goods. It deliver people time increased the shipments, increased performance and increased the pelf for customs office (which is regulated by the government), and for freight forwarding agents. From this analysis we can see how the PEST analy sis can change the performance and may be predicting the near future of an organization even though a PEST as we know is an external factor which doesnt depend of the companys strategic. The most important of all four factors of PEST for KWE are the PET. We can see that technology had a huge impact on the company and freight forwarding business itself economical factors like exchange rates have permanent influence different laws and regulation like the goods imported within EU are going under T1 status which means they dont need to be customs cleared and it eases the procedure and makes it cheaper as no customs charges apply. It was said that on tomorrows budget meeting 09-12-09 the government wants to bring the VAT up, which will hit the customers and KWE even more, negatively. It will work out better for companies to buy the goods they need across the border in England as the VAT is much lower there. Porter Five PortersThis model was invented by Michael E. Porter he wrote a book c alled Competitive Strategy Techniques for Analyzing Industries and Competitors. Since then, people use this structure for analyzing a companys industry structure and its corporate strategy. Porter described five forces that shape every single industry and market. These forces help us to analyze everything from the intensity of competition to the profitability and attractiveness of an industry. The structure below Threat of substitute. 1. The time is wrong (economy is low). Bad time for any industry to be started right now. 2. This type of industry might need a much bigger capital to start the company than a local shop for example.3. A lot of companies producing the goods for exports move out of Ireland to cheaper countries in Europe or Asia. (Dell moved to Poland, Xilinx-who were one of the biggest customers of KWE for nearly 10 years, moved to Asia) Cheaper countries means cheap labor, cheap government taxes, VAT on imported goods and so on. Threat of new entrants. 1. If we look t o substitute service KWE is providing than contender is quite high. There tens of companies at present competing for business in freight forwarding domain who can aver better service or rates. Due to high number of competitors with the same strategies and a lot of them being the same size the mission of KWE and many other organization in that industry is to just stay in for the moment until things pick up. effect of Supplier. Suppliers just like KWE are not in a very strong position at present. KWE can chose from many different suppliers and carry on the rates to KWEs advantage. From many years of working in Ireland KWE managed to set up accounts and to build a business relation with many different suppliers, so at present if they move from one to another it wont be a totally new one which means there will be no switching cost involved. Switching doesnt affect KWE it only affects the airlines, trucking companies or feeder vessels.Power of buyer. This is exactly who is in a winni ng position at the moment. If we look at it, it can be whether KWE or their customers in this position. Customers now win as they buy cheap transportation of cargo worldwide. KWE wins as well as it buys cheap service from its supplier another side of it is that KWE have sell thing they for very cheap as well, so the profit they make at present is minimum. Competitive rivalry of freight forwarding business. Conclusion from the point of view of new entrants into the business rivalry is minimum and from the point of view that customers may move to a substitute supplier, rivalry is maximum. Competitive rivalry is high for KWE at present. So we cannot say for definite now that there is someone in a winning position in the present economical crises. Product can be easily substituted, suppliers can be easily substituted, each of them buys cheap and sells cheap. The only definite winner is the final consumer like us who doesnt buy imported goods for resale. The prices in Ireland on differen t products fall a lot. The only problem is that the final consumer doesnt have the ability to buy as the income of people is very low and even worse people lose their jobs. 4.4 Internal and External influence on organization tog up analysis Strengths v Staffv Namev visit v globose coveragev Long term contracts with suppliers v Consolidation Weaknesses v Price of Services v Large number of playersv Staff v Overseas agents. Opportunitiesv financing v New Servicesv Staff training v Technology investmentsThreats v Economyv Falling Salesv hard currency FlowInternal analysis Strengths of KWE Kintetsu World ExpressStaff is one of the most important strengths of the company. A well trained and experienced staff is companys biggest advantage. Name KWE is a well known, recognized name in freight forwarding business area. Companies who supply different types of goods worldwide are well familiar with KWE as a freight forwarding company. Experience umpteen years worked in freight forw arding area gives the company an advantage. Global Coverage KWE provides services into main and secondary destinations worldwide. It can deliver any type of goods into most cities in the world. Long terms contracts with suppliers gives KWE the opportunity to offer its customers competitive rates as the rates they have with their suppliers are based on long term relationship. Weaknesses of KWE Kintetsu World Express Prices of Services Air freight for example, some competitors might have their own planes flying to different destinations worldwide (ex. DHL) of course no matter how low the rates are DHL offers to KWE they can steel offer cheaper transportation to the customers and KWEs rates are going to be higher in comparison. Large number of players a lot of competitors in freight forwarding business quite a big number of which might offer better rates and bigger service Staff as well as staff can be a strength it can also be a weakness. Some workers are not very competent in do ing their job some are not team players which is very important in an organization. It gives nascence to a weak operating performance. External analysis.Opportunities of KWE Kintetsu World Express Funding Investments could help the company in present economical crisis to gain new customers. Example Invest in companys transport trucks 40 foot containers could help offer customers cheaper transportation charges on road freight.New Services could gain new customers or provide new business for existing customers. Threats of KWE Kintetsu World ExpressEconomy is one of the external factors of macro-environment. As said before it doesnt depend on the companys strategy. This is exactly what happens in the current economical environment, when economy negatively influences the business. People losing jobs, sales drop, annual profit targets fail to be reached and so on. Falling Sales this is also what is happening at present due to economical crisis. But it can also happen when economy r ises, depending on the companys marketing management. How good are the strategies of the company, and how efficient are they for the org