Analysis of Capabilities and External Business Environment
Discuss about the external business scenario and internal capabilities are demonstrated for MOOster along with developing an effective plan produced for business analysis of the company.
MOOster, Australia was developed to form a merger between various diary cooperatives having their Head Office at Melbourne and New Zealand and other nations. One of their business units has been indulged in producing milk while another one is created to control dairy processing. Additional business units like animal husbandry and production have been involved in producing mil and their dairy processing sector is created to control processing like ice creams and dried milk products. Services of MOOster have also been looking after distribution, export and marketing of their dairy products.
The following study analyzes the internal capabilities and external business environment of MOOster. An effective plan is produced for the organization’s business analysis. It has been especially focusing on planning stakeholder engagement and business analysis approach. Lastly, Soft System Methodologies are used for undertaking primary definition of MOOster-Gippsland continuity problem and application of SSM are demonstrated in this report.
External analysis:
MOOster is one of the vital industries for the nations as it has been reducing the percentage of malnutrition. Environmental analysis has been facilitating to identify opportunities and threats in an external environment within a business scenario.
A SWOT analysis for MOOster:
Weakness:
- Economic issues for farmers
- Storage and affordable limitations
- Quality of various incoming raw materials
- Lack of supply of raw materials
Strengths:
- Continuous in-house development and research
- Updated technical employees
- Insurance schemes for farmers
- High qualified staffs
- Awardees for farmers supplying best quality milk
- Constant laboratory, monitoring and inspection testing
Opportunities:
- A rise in extensive knowledge of people regarding getting healthy products
- The government has been encouraging people to drink a couple of glasses of milk on a daily basis.
- High demand for nutritional food.
Threats:
- Presence of active competitors in a market
- Various health problems
- Prolonged economic depression
Further, the external environment can be visualized through PESTLE Analysis:
This tool is helpful to investigate general scenario of MOOster.
Because of political stability in Australia in the last decades, there has been a positive situation in the nation for local manufacturers. The Australian government has encouraged their farmers to deliver economic support for developing milk production (Dolewikou, Sumekar and Setiadi 2016). It has been a supportive factor for MOOster since they get the best quality raw material for their productivity. Further, there has been lack of risk regarding investment in dairy industry.
There have been various economic problems since the cost of living has been tremendous in Australia. Cost of raw materials of a quality product has been high. Thus, MOOster has not been able to gain high profits at the end. Because of the high cost of living, consumers have been tending to buy different low price products.
Knowledge of consumers regarding using nutritious food has risen because of awareness programs. Thus, they have to trend to utilize quality and fresh products (Heard et al. 2017). Further, there has been a high demand for no sugar yoghurts since the number of diabetes patients in Australia has been on the rise.
External Environment Analysis using PESTLE
There has been a fast rise in technology in the current world. MOOster has been using advanced techniques for producing various products that have been done by hand previously. Due to this, MOOster has been selling products for a low price.
Various legal factors have been affecting organizations with alterations to legislation. It has been impacted employment, quotas, taxation, exports, imports, resources and materials (Sinnett, Ho and Malcolm 2017).
Demand for MOOster’s products has been rising during the dry season and the sales are found to be comparatively low during rainy seasons. Because of different awareness programs as conducted by different people, there has been a rise in demand for the products in Australia and various other nations.
Different capability-based strategies of MOOster have been based on the idea that core competencies and internal resources have been derived from various distinctive abilities providing strategy platform. This has been underlining their long-term profitability. Analysis of the capabilities starts with MOOster’s capability profile examining their strength and weakness under four primary areas. They are technical financial, marketing and managerial (Ongkunaruk 2015). A useful SWOT analysis has helped in identifying that the managers can identify external opportunities and threats. Further, different competencies have been warding off compensate and warnings for weaknesses.
Scenario determined by SWOT analysis has helped in suggesting what kind of strategic trust or type of strategy must be used to achieve competitive advantage.
Four principles can be stated that has been serving as the guideline to gain internal capability-based competition. The first one is that internal corporate strategy has never been depending on market or products and has been reliable on business process of MOOSter (Herawati, Priyanto and Purwantari 2017). The primary strategic operations are required to supply superior’s value to customers continually. Various investments are made in capability and not functions or SBUs. Further CEO of MOOster is needed to champion their internal capability-based strategy.
Ability-based strategies can also be denoted as resource-based view of Mooster. These are the capabilities and internal resources providing platform for MOOSter’s strategy and these capabilities and resources are the primary source of profit for the company. Any internal central management is to recognize what resources gaps required to filled for maintaining competitive edge where those internal capabilities are needed (Wolf et al. 2016).
Various levels are established to define overall strategy platform of MOOSter. Moreover, core competencies can be described as the distinct collection of experiences and resources of MOOster. Further, it has been taking time to create core competencies and they have been hard to imitate. However, some internal abilities are critical to sustaining various core competencies. The first one is durability (Klauck et al. 2016). Here the lifespan has been longer than distinct product or technology life-cycle like the life-spans of the various resources used to create them, including the people. The next one is the transparency that denotes it is hard for competitors in imitating those competencies very fast. The last one is immobility. These resources and capabilities are robust to transfer.
Capability Profile of MOOster
The following plan is developed taking the core knowledge areas of BABOK v3.0.
Business Analysis Approach:
This must demonstrate the overall method that must be followed while doing tasks regarding business analysis on any given initiative. This includes when and how the works must be done and deliverables must be produced. Business analyst of MOOster must also recognize an initial set of techniques for using. However, this list might change understandings. It can be defined as per organizational standards (Lien, Kumbhakar and Hardaker 2017). At MOOster, elements of business analysis approach might be formalized and standardized to a repeatable business analysis process that can be leveraged for every effort. Though, it could be tailored to the necessities of a particular initiative. This task of tailoring can be governed by standards defining what approaches could be permitted, what elements of those processes can be tailored and common guidelines to select any method.
As any specific organizational standard has not existed for MOOster, it could be cut off with the necessities of a particular initiative. This is governed by various rules that have been defining what approaches are permitted and what elements of the processes can be tailored along with general guideline to select those processes. Due to an absence of any organizational standard, the business analysts have been working with proper stakeholders for finding how the work has been completed.
For instance, as any change gets delivered through a project, the approach and standards have been developed while the project planning phase has been going on (Adenuga et al. 2018). Business analysis approach must align overall objective of those changes, coordinating tasks of business analysis with deliverables and activities of global change. This has been including functions for managing risks reducing the business analysis deliverables or impeding the efficiency of tasks as needed. It has leveraged various approaches and selected tools and techniques that have worked well previously (Seifu and Doluschitz 2014).
Various planning methods have been fitting somewhere along any continuum between adaptive and predictive approaches. The predictive approaches have been focusing on minimizing upfront uncertainty and assuring that solution has been defined as any implementation starts with maximizing control and reducing risks.
The approaches have often been preferred in cases where the requirements have been defined efficiently ahead of implementation and risk of incorrect implementation has been unacceptably high or in the time while engagement of stakeholders has been presenting essential challenges (Krpálková et al. 2017). Moreover, adaptive approaches have been focusing on fast delivery of MOOster’s business value under short iterations instead of acceptance of a higher degree of uncertainty about an overall delivery of solutions. Those approaches have tended to be given preferences while considering an exploratory method to find the perfect solution or regarding any incremental development for any current solution.
SWOT Analysis of MOOster
Various approaches are utilised under the joint initiative. From various external factors, business analyst of MOOster can take into considerations of their standards, prior experiences and tolerance for uncertainty. Whatever might be the approach, the planning is a significant activity to assure value that is delivered to MOOster (Hudson et al. 2015). Those planning have been occurring more than one time over a given initiative as plans get updated for addressing change in business conditions and issues that are raised newly. Business analysis approach should describe how policies can be altered as any change is needed.
Planning Stakeholder Engagement:
This can be used to establish and maintain productive working relationships with various stakeholders of MOOster. The plan must involve conducting a thorough analysis to identify every stakeholder involved and analyze those characteristics. Those outcomes are then utilized for defining nest collaboration and communication approaches for that initiative and adequately plan for stakeholder risks.
While making a smart plan for engaging stakeholders, a degree of complexity might arise as the number of stakeholders in the business activities of MOOster rises. It has been vital since different or new techniques for stakeholder management is needed while engagement originates from collaboration with an increase in some stakeholders (Kapelko and Lansink 2017).
Performing stakeholders includes identification of stakeholders who could indirectly or directly affect by the change along with characteristics and analyzing information as collected.
A detailed and thorough stakeholder list has been assuring that the stakeholders are not overlooked. Knowing the stakeholders and effect of suggested changes over them and influence they might have on the changes is essential to understand what expectations and necessities are satisfied by the solution (Daud, Putro and Basri 2015).
As any stakeholder is not recognized, the business analyst might miss disclosing complex necessities. Necessities of stakeholders often need revision to business analysis activities that can either on progress or completed. This results in a rise in costs and decline of stakeholder satisfaction. The methods in which business analysts of MOOster can undertake stakeholder analysis varies between mythologies and projects.
MOOster’s business process and the organizational chart has been serving as a beginning source to determine internal stakeholders. Sponsors have also been recognizing stakeholders. Various stakeholders external to MOOster has been identified and is uncovered through current understanding contracts that might be placed (Makwana, Gurjar and Prajapati 2017). Further, anticipated vendors have possessed a role in existing relationships with MOOster along with governing and regulatory bodies influencing the task. Suppliers, customers and shareholders have also been taken into consideration to search for MOOster’s external stakeholders.
Resource-Based View Strategies for Core Competencies
This methodology can be used to mitigate basis problems of MOOster-Gippsland Community problem.
Application of SSM:
SSM is helpful to foster appreciation and learning of various MOOster-Gippsland Community problem situation. This is done by a diverse group of stakeholders instead of setting out solving pre-defined challenges. The complexity of MOOster’s social or organisational problem situations has been attempting to define any problem. In many cases, some issues are impossible to find out. SMM provides the framework to tackle those situations (Shadbolt et al. 2017). There have been two primary modes under SSM, systems thinking about the real world and real-world activities. In the beginning, work includes interviews and meetings to achieve an understanding of problem situation. This is illustrated by “Rich Pictures”. Various system thinking using the idea of communication, hierarchy, emergent and control properties to recognise essential systems that might deliver meaningful insights.
Those essential systems are defined logically by constructing primary definitions that are utilised to create conceptual models of selected systems. Various theoretical models have been representing distinct views used as the basis of debate. This through an appreciative process has been leading to a desirable and feasible change and then taken to action (Villela et al. 2017).
There have been various axioms under which SSM is based problems have never existed independent of people and constructs of concerned mind, defined by an individual worldview. Thus they have not needed to look at the problem by at the problem situation. The further interrelationship of the issues is equivalent to mess or in other words, it can be said to be multiple problem situations. Here the problem is seen as different interpretations as done different people. Moreover, solutions are also intellectual constructs and no issue has been existing alone (Ramadanti, Daryanto and Sukardi 2017). Development is situations have been most likely taking place through sharing of perceptions, debate and persuasion. Analysts have been therapeutic and interactive instead of being expert. Lastly, analysts could never be divorced from different problems.
As MOOster-Gippsland Community gains any complicated organizational problem, an intervention of SSM is helpful to break down the problem. It never has a clear structure and it is up to the practitioner to utilize it flexibly and smartly. Users have been seeing the issues they have been facing as any system (Schuetz, Schausberger and Schrefl 2018). They have been forming it an unstructured issue, developing a conceptual model within decision making. An intervention of SSM has been following various stages. First one is determining the situation. Then there is thinking of multiple systems that could or could not be employed problem situation. Then the thinking to the networks is measured and an action plan was depending on prior information studied is taken into action. MOOster can only perform the above stages and retrieve the proper solution.
BABOK v3.0 Plan
Potential solutions to the problems:
Entering situation that is considered problematic:
It is concerned with real-world problems and collecting information and views regarding cases that are deemed to be problematic and thus there is some scope for improvement. As it is agreed that few reviews or changes are required, the step also includes few fundamental types of research to the situation gathering data on critical stakeholders and current issues and performances (Schoof, Luick and Maier 2017).
Expressing the problematic situation:
Since the real world problems are messy, the next step must be concerned with capturing of various views about MOOster’s conditions. For accomplishing that any Rich Picture can be developed to resolve multiple issues.
Formulating root definitions:
It is one of the critical steps for SSM. It is the purpose statement capturing the essence of the specific situation of suitable system. On the heart of root definition, there is transformation performed through an applicable method. It is achieved through the main verb in root definition (Berry 2015).
Taking action to develop problem situation:
One MOOster has recognized changes considered “feasible” and “desirable: effort is expended to implement those. This implementation can help in developing new system affecting more essential operations of MOOster resulting in going for more opportunities and problems (Prisciandaro et al. 2016).
Figure 1: “A Rich Picture illustrating stages of SSM to undertake a preliminary definition of issues at MOOster-Gippsland Community”
Source: (Portals.wi.wur.nl, 2018)
Conclusion:
It must be reminded for MOOster regarding their business analysis that their farm performance must be compared with the others for identifying sectors for improvement. They must focus on various important, crucial financial performance indicators. Further, MOOster must continuously concentrate on core business and never get distracted with various unprofitable extras. They must invest their discretionary cash in some well-researched and high-returning sectors for growing their products and wealth steadily. Thus the report has developed and applied advanced and integrated knowledge of the approaches, analytical methods and principles of business analysis considering the situation of MOOster. This is helpful to solve various business issues for current organisational context. Moreover, the study has critically evaluated different proposed solutions for business problems for determining the most effective fit with business requirements. These are done with decision-making tools like SSM for meeting the actual stakeholder needs. It is seen from the above discussion that SSM has been fascinating. This is because of its various approaches that are discussed here. Instead of searching for causes for fixing any problem for MOOster it is just a logical approach it has been defining what has been excellent and moving towards that.
Collaborative Approach for Stakeholder Engagement
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