Strategic Management of Greenplate Company

By using the Porte’s Five Forces the Green plate organization has meet to its aims and consuming the differentiation strategy the company gets successful to achieve the competitive advantages. According to the demand of the people that is valuable for them they have opened a store based on natural as well as organic food. Largely the citizens’ have the stable economic condition so they can afford the high prices as they are conscious for their fitness and health so they want demand the most organic food.

The instance of the value chain activity of the Green place organization is as follows:

HR responsibilities: To hold the training sessions for the motivation of employees and to increase their abilities is managed by the Human resources department of Green place as the training of the employees really matters for the organization because it depends on the abilities of employees also that how much consumers you attracted.

Sales and Marketing: Strong relationship is essential with customers by making them belief that company is loyal towards them and as well as to attract the more consumers by implementing the innovating and effective strategies. To do more and easily interact with consumers the Company now introduces a website by using the service of internet to reach out the consumers about simple recopies, education and the new articles based on the latest research.

Procurement: purchase the good and healthy organic food by the most endorsed and trustworthy sellers.

6.1.1 Advantages relative to competitive force in Porter’s five forces model

As green plate is considered as a loyal brand and provide the great experience of shop in unique grocery and in other things so they also enjoy the loyalty of consumers. The differentiation policies of the Green plate allow them to have the supplier power also due to great margins.

An organization should plan and regulate their competitive strategy before the aiming in the market. According to the portal there are three generic strategies which can be hurdle for company to assess their competitive strategy. To achieve the conceivable competitive advantage company can select to pursue. By merging the factors like augmentation and product performance of differentiation strategy or by the uniqueness and specialty of product a company can sustain the competitive advantage (Leitch, 2012).  

6.1.2 Implementation of the strategy for the average returns of Green plate Company

In the year the company has done its first downsizing and lessened the number of employees. The strategy of the company is to expand their brand in small communities by using the method of acquisition so the number of stores of Green plate organic food company can be increased. Since the company was not making many revenues so it has planned to develop the new shops by targeting the more price sensitive consumers the Green plate named it 365. As the competition is increasing day by day and it specifies that minimize willingness of shoppers to pay finest amount for products to company.

6.2 Competitive risks for the business strategy of Green plate Company

The recent stagnation has shown that if the condition of is become little even the buying power of the people will be decrease so with high prices the organization cannot sustain their position in the market. For now, people give prefer to health but if the other big brands such as Kroger and Hy-Vee will shift their business to health product than it might be challenge for the company. The organization is running three natural and organic food departments currently and consistently expanding so they have inundated the market and the Green plate organization is considered at level of maturity for the life cycle of their product (Aileron, 2011).

7. Analysis of Financial statements of Green plate Company

7.2.1 Breakdown of the initial investment of Green plate Company

The Corporation has decided to invest $1000, 000 in the corporation. With the passage of time the expenditure of the business will grow therefore extensive amount of investment will be required (Leach & Melicher, 2016)

The income of the corporation will increase in upcoming future due to increase in the population of Kuwait. The population increase will increase the demand of the products which would provide opportunity to the business to generate significant amount of revenue.

8. Analysis of HRM workflow:

8.1 Recruitment and selection plan

Recruitment is the process to recognize that the company requires some more workers for the new posts in the office which have arrived in the company. In this process of recruitment, the Green plate organization has focused to identify the most potential people to hire and select the most suitable and concerned employees from the participants who can also effectively fill the post and can manage the job proficiently. As the company has some goals to achieve so after this there is a training which is conduct to get know that is employee suitable for this seat or do they have the appropriate knowledge, attitude and skills which can help out the company to meet their objectives.

On the other hand, the Green plate organization also had done recruitment individually to hire the employees for specific posts by the internal or external recruitment. This method of recruitment which is followed by the Green plate Company considered as the rubric that they are using an effective and creative method for hiring the new employees. The organization has committed to provide the equal opportunities at every recruitment process. The objective of the recruitment department of the Green plate Company is to hire the employees without any discrimination and through a proper planning and policy. This strategy of hiring employees is implementing on all the workers which are hired by the organization (Higgins, 2007).

8.2 Training and development plan

The Green plate Company tends to use intuitive and simple tools for the training and development of the employees. On the job trainings and one to one delivery is used to increase the competencies of the employees. For a new barista it is highly learning experience that enhances the competencies and confidence and ensures high effective customer services. The company also uses the supervisor training program for the Human resource management, supervisory skills, training new partners, floor supervisor and cash controller responsibilities for increasing the effectiveness of the company as well as to ensure future success. This training program includes the trainings of shift manager to enhance its competencies for running the shift and the additional trainings to assist the store manager in order to run the store efficiently. In this regard, a combination of in-store training and classroom method is used.

The training program is also used for the training of retail managers. This training program focuses on the effective management practices. They key topic of training program includes motivation, problem solving, delegation, improving performance, profits maximization and effective company management. A combination of in-store training and classroom method is used.

8.3 Performance management plan of Green plate Company

The Green plate Company is focused on the performance management of the employees. In this regard, the company used the performance appraisal methods for the human resource management. The Green plate Company has effective way to measure the performance of the employee objectively.  In this regard, the company uses the customer comment cards. The workforce shares corporative relationship and the employees support each other to enhance their job performance. The performance appraisal is conducted in two stages. At the first stage the job performance is measured and at the second stage the feedback is shared with the employees. The Green plate Company uses the customer comment card for measuring the job performance of the employees. It is consisting of questions that are answered by the customers with respect to the company, services and employees. It is an effective way to measure the job performance of the employees. It provides unbiased opinion about the customers’ services hence, their comment is clearly based on reality that provide the actual information about the customer services (Balanoff & Master, 2010).

8.4 Compensation plan of Green plate Company

The Green plate Company considers its employees as their partners. The company is intended to provide a positive workplace to the employees based on an open and direct relationship. Therefore, the compensation plans include comprehensive benefits for the employees. Following the unique benefits provided to the part-time employees the Green plate Company is considered among the 100 best companies for the work. The employees who works minimum of 20 hours a week are eligible for these benefits. Green plate’s benefits plans are also most affordable and economical as of $6.25 per week. The benefits of the company include income protection, health benefits, reimbursement account and income protection along with other programs. Both the salaried and hourly employees are eligible for the health insurance program. This program includes vision, medical and dental insurance.  Moreover, the medical insurance includes office visits, coverage of hospitalization, labs and X-rays, prescription drugs, emergency care, chemical dependency and mental and health treatments.  On the other hand, the dental insurance includes basic, major and preventive services. However, while receiving the services from preferred provider the patients have to pay lesser amount.                   

9. Analysis of marketing plan of Green plate Company

9.1 Situation analysis of Green plate Company   

Regarding the situation analysis of the Green plate Company it is analyzed that there are maximum consumers in the Kuwait market; who are health conscious. Therefore, Green plate Company is the on the organic foods, the company’s in the Kuwait market focused on the wellbeing of the customers by ensuring the high level of quality. The core values of Green plate Company includes creation of wealth by growth and profits, selling the natural and organic products with high quality standards, support the excellence of team members, provide support and services to communicating on local and global level. Green plate Company’s customers include the families as well as individual belongs to higher income level or at least above to national average. These customers are health and environment conscious and prefer lifestyle. In the Kuwait market most of the customers are consist of new college graduates and young families.  Therefore, they have to pay college debts, willing to travel and prefer to save money instead of buying expensive products. The Green plate Company is focusing these customers and intended to start a new line of stores (Kraten, 2010).

9.2 Opportunities analysis of Green plate Company

Based on the Green plate Company’s opportunity analysis, considerably opportunities are available for the company. Greenplate Company is expanding its operations to the developing markets in order to increase its revenues. The company can achieve long-term stability by fusing on the business diversification. Moreover, the company can also minimize its dependence on current industries by achieving higher diversification. Furthermore, business diversification will enable the company to increase its revenue growth opportunities. However, as per the company’s intensive growth strategy and generic competitive strategy diversification is considered as the minor growth strategy. As per the industrial analysis corporate alliance or partnership is the best opportunity to ensure company’s strength and its presence in the market shares. Such as, the company can improve its distribution channels and market shares by making alliance with the major retailers. Moreover, in order to access the opportunities available in the global market and improve its market position it is essential for the company to improve its external strategic factors.

9.3 Targeting and positioning process of Green plate Company

For the Green plate company the primary target market is consists of the men and women that fall in the age bracket form 25-40 years. They constitute around 49% of the total business. To attar this age group the Green plate Company is using hip, contemporary design that is used in the décor and advertising. The company is intended to keep its products updated as the status symbols. Green plate Company is targeting the LOHAS value segments, because they prefer organic products, as they are health conscious. They prefer healthier options of eating, their awareness for environmental safety and sustainability; force Green plate Company to target them, Green plate Company can gain success and profitability by targeting LOHAS.

The potential customers tend to be metropolitan with professional careers and high income level and focus on social welfare. The growth rate of targeted audience is 3% per year. Green plate Company is targeting the consumers who are health conscious people, who want everything healthy and with perfection, they value their buying decisions, as they have awareness about their environment and lifestyles so they want to buy and eat organic food.

9.4 Marketing strategy for products and services of Green plate Company

The marketing strategy of the Green plate Company focuses to make the new customer in the market through providing the quality in the green food. The company provide the high quality and standards products that are free from artificial food preservative, antibiotics in meat and pesticides in vegetable. They want to sell the products that are from natural ways, they are committed and their food is beyond expectations. The company focuses to interact with the people. This is best place to shop for food-curious people and one can trust them. They have sustainable seafood; they care for their animals, as they have quality standards across the store. They have loyal customers; customers can order anything they want to, from online shopping. They have non-toxic cleaning products, fresh vegetables, fruits etc. They value for customers prices and want serve high quality standards. Greenplate Company is selling best products at best prices.

9.5 Pricing; distribution; promotional mix of Green plate Company

Premium pricing is the strategy used by the Green plate Company and in return of it, the company offers high quality by maintaining very high standard of its products. However, as compare to the other products in the supermarket, the products that are offered by the company are very expensive. However, due to the high quality, most of the customers who buy Green palate Company do not much concern about the prices because they are getting good quality products and they believe that they are getting return of their investment. However, to attract more customers the company has launched multiple sales on its various products. Another positive aspect of the company is that the value label named 365 is cheaper as compare to the competitors. On some of the perishable items it offers regular offers that is a big attraction for the customers. When the company opened its store in Fremont to attract customers, it introduced coupon book. Moreover, to promote the business, the company has also introduced its app and offer budget friendly recipe on it and interestingly, on downloading the app, they are also offering coupon and other attractions to their customers.

9.6 Marketing budget of Green plate Company

Marketing budget develop a road map for the company and on the base of it, a company clears its mind that in specific budget, it has to achieve its targets. The marketing plan and budget enables the company and its workers to be very clear and focused about their goals and accordingly they put their efforts in the right direction (Higgins, 2007)

In the market analysis it is found that in 2016 the company has spent $378.5 million only on its marketing and this budget was only $351.5 in 2015. Majority of the marketing budget of the Green plate Company is for the advertising which is recorded $248.6 million in 2016. Single save products requires more marketing cost and the company is focused on it and continuing it. Moreover, for the marketing purposes the company is increasing its budget with an aim to attract maximum customers.

10. Analysis of operational plan

10.1 Resources and production

Behind the successful business development of the company, a large number of sources have played vital role. In affluent neighborhood, the company has real state on prime location that allows the company to test and distribute its products. The company holds a label as “sold through fresh” that motivates the private label portfolio of the company. Furthermore, the company fortunately have very skilled workforce that have great experience, knowledge and command over their skills. Moreover, the attractive resources of the company are including the human capita, stores, inventory, brand patent, distribution centers etc.

10.1.1 Process and capacity planning

The focus of the Green plate Company is on the capacity planning and on the process and organization is always concerned about to embrace new techniques and technologies to support its business. Subsequently, currently, the company is looking forward to embrace automation of its business operations whereas the focus of the company is on the automation of the warehouse jobs, cashier, which it believes that must hold transparency. Moreover, the acquisition uncertainty could be threatening because of the increasing in the cyber security related issues. However, it also has some ethical consideration such as the man-power is concerned about the fact that they might lose their jobs. Moreover, the role of the change management is also considerable within the organization as it enables the company to integrate its business practices as well as to go with the flow by aligning the organizational vision with its resources and capabilities.

10.1.2 Location, facilities and equipment

Currently, the company is running its business in Kuwait, where it is focusing on the production of the procurement center through which it is aimed to support its production house and distribution of majority of its goods. Currently, the organization is managing the distribution of its products through 11 regional distribution channel. Moreover, the company has been running a large system in which it is operating three seafood processing and distribution facilities, three commissary kitchens, four bake houses and a coffee and tea roaster. The company says that it can “negotiate better volume discounts with major vendors and distributors while allowing stores to focus on local products”. Moreover, the company is looking towards the centralization of its business processes especially for its distribution, which is aimed to reduce the cost of from the distribution.

10.1.3 Material sourcing and supply chain

Lowering the prices in Green plate’s various products, could create supply chain related challenges for the company. The company has great hold on its suppliers and so it puts pressure on them but at the same time, the company is working its online retaining store and for this aspects, the company is largely depends on the good relationship with its suppliers. Currently, the shelf space in the stores of the company is limited therefore, the idea of targeting new suppliers does not suit with the organizational current strategy. Moreover, to strengthen the online platform the company requires to enhance its shelf space. Therefore, by addressing the future strategies, the company has to develop and maintain good relationship with its suppliers because suppliers are key for the company in maintain a large retailing setup. Moreover, in the current market, there is shortage of the organic product, therefore, in this situation putting pressure on the suppliers is not a good idea in business perspectives when it is aimed to increase focus on the sale of the organic products. However, in this attempt, if company cut cost on its supply, it creates challenge such as the suppliers might start to compromise on the quality of the product and this is not affordable for the company because its customers are highly quality conscious. Therefore, the idea of reducing cost from the supply chain should be carefully addressed by the management of the company by counting its pros and cons (Grant, Hackney, & Edgar, 2010).  

10.1.4 Operations (inventory, warehousing, logistics and maintenance)

With a focus on the strategy, that the turnover period should be shorter as compare the market completion the company is seriously focusing on the inventory turnover. The inventory conversion period on peer group is around 30 days currently. By focusing on the relative freedom, the Greenplate should go to expand in the potential areas through the retailing diversification strategy with this strategy the company has to create better brand awareness. Moreover, there are also some possibilities in expanding business in the traditional market through digital disruption and innovative business ideas and models. Green plate’s position is strong in the market and it has great motivations to grow its business as it has earned a good reputation in the market therefore, it is the right time to increase the business operation and to take maximum advantage from the available resources. The world class logistics, strong distribution, and good brand recognition and most importantly with the support of the strong investors and marketing understanding enables the organization to grow with great pace. The strong brand perception gives advantage to the organization to make experiments. Moreover, currently, there is no such a strong delivery services available therefore, by effectively managing the logistics and distribution services, the company can enhance its business at great extent and interestingly it also suits with the organization’s strategy of providing fresh products to its customers (Kraten, 2010).

Considering the available opportunities in the market, the company is strengthening its online experience with the logistics expertise through which it holds the capability to meet the need of the customers and making it easy for them to purchase and get products on their door steps. Moreover, to create a profitable service delivery the company has all the required resource available therefore, the only need is to arrange these resources in good manners to take full advantage of it. In this regards, there is need to understand that in the integrated business model, there is need to develop linkage between the two aspects i.e. that knowledge sharing and expertise in the area that is very possible for the company.

10.2 Application of management information systems

It is the time of digital development therefore, by addressing the digitization in every other field, the company is also concerned about the digital development. In this regards, the company is emphasizing the information system and the management of the e-business. Therefore, for the development of the knowledge sharing system the company is looking forward to the digitization. Subsequently, in the current period the company is planning and working on the online platform, and it is expected that in the near future, the Green plate will develop a strong online platform to strengthen its business by developing a collaboration in its distribution channels and its creative and innovative strategic management.

For the effective information systems Green plate Company focuses on the new international and regional markets are accessible as well as the financial management with an aim to develop a strong platform in the digital world. In this regards, the online marketing of the business with the potential business partners is aimed to take place in future by using the sources such as social networks, skype, and other effective communication strategies. Likewise, the cloud base applications also offer to develop a centralized communication among the staff members.

References of Green plate Company

Aileron. (2011, October 25). Five Steps to a Strategic Plan. Retrieved May 19, 2017, from https://www.forbes.com/sites/aileron/2011/10/25/five-steps-to-a-strategic-plan/#3a632f7f5464

Balanoff, H. R., & Master, W. (2010). Strategic Public Management: Best Practices from Government and Nonprofit Organizations. Management Concepts Inc.

Grant, K., Hackney, R., & Edgar, D. (2010). Strategic Information Systems Management. Cengage Learning EMEA.

Higgins. (2007). Analysis for Financial Management. Tata McGraw-Hill Education.

Kraten, M. (2010). Business Planning and Entrepreneurship: An Accounting Approach. Business Expert Press.

Leach, J. C., & Melicher, R. W. (2016). Entrepreneurial Finance (6 ed.). Cengage Learning.

Leitch, M. M. (2012). Intelligent Internal Control and Risk Management: Designing High-Performance Risk Control Systems. Gower Publishing.

Pandey, I. (2015). Financial Management. Vikas Publishing House