Growing of the Business Essay Example | Topics and Well Written Essays - 2500 words

Growing of the Business - Essay Example You should then summarise, in a short paragraph, which parts of the business you need to strengthen. Madhu’s, an Indian restaurant, as well as the catering and ready meal businesses owned by Sanjay Anand, is a relatively successful organization that makes ?5m sales. However, as the external environment of the company is changing, it is facing some challenges. In particular, while the sales are stable, the profit has decreased to ?300,000, down from ?500,000 in the previous year. Therefore, it is necessary to determine which aspects of organizational functioning can be improved in order to improve performance. A SWOT analysis of the human resource management, accounting and finance, and marketing functions of the company should be conducted for this purpose. Human resource management Strengths Weaknesses Opportunities Threats Most of Madhu’s chefs are professionals in cooking traditional Indian meals. They are brought from India and taught additional skills, such as, for instance, hygiene standards. New British immigration laws do not allow Sanjay to hire people from India. There is no strategy for finding non-Indian chefs. It is possible to hire Europeans and then teach them. This requires organizing special courses. It might be problematic to find people willing to train new employees. In addition, training unskilled people will call for additional expenditures. Other aspects of business operations may suffer. So, it is clearly seen that the hiring strategy of the company is not efficient under the new conditions of the external environment. The new legislation requires Madhu’s to introduce new strategies and tactics for finding, recruiting and training employees. The company should reconsider its whole mode of operations in order to determine how to implement new strategies at the lowest cost and with the greatest advantage. Accounting and finance Strengths Weaknesses Opportunities Threats Much attention is devoted to financial position o f the company, performance is evaluated regularly. The owner is not willing to risk and increase prices as the external conditions change. Financial resources are limited. Cut spending for some aspects of operations in order to finance new activities. Reduced financing of some company’s functions may negatively impact the overall performance. Since Madhu’s has limited financial resources to be invested into business development, it might be reasonable to consider some alternative sources of financing. Additional capital can be received from banks or external investors, for instance. Marketing Strengths Weaknesses Opportunities Threats The company has a number of loyal and returning customers, as well as good reputation in the market. The products are well-positioned and reasonably priced. Promotional campaigns for catering services target mostly weddings, thus not covering other groups of potential customers. As an option, distributing Madhu’s ready meals in sup ermarkets will allow to strengthen the brand and make it more recognizable by the clients. If not designed correctly, marketing programs for the new services will, while call for expenditures, bring low results, forcing the company to withdraw the promoted service or product from the market. Though the brand is well-established and quite recognizable, it is possible to increase sales by means of providing alternative services and products to other customer groups. Diversification might be a good alternative that will help to cover wider audience and strengthen the brand, thus making even corporate clients, such as supermarkets, for instance, willing to cooperate with Madhu’