The concept of environmental scanning is important because of the short term and long term success of a company. This tool helps companies scan, monitor, evaluate, and forecast the internal and external parts of the company. In order to obtain an accurate assessment of the internal and external variables of a company, the business managers would have to use a SWOT analysis to develop awareness to different of the company. For example, the company could want to measure consumer behavorior, competitor behavior, and current trends in their marketplace. Environmental Scan and SWOT Analysis
The information discovered from conducting an environmental scan and SWOT Analysis is vital to an organization’s success as it will help businesses gain an accurate assessment of the opportunities, trends, and consumer behavior taking place in their market environment. Develop a full-awareness of their marketplace so that their organization can improve on their strategic planning and decision-making (U.S. Department of Health and Human Services, n.d.).
This information will also help companies Verify if the organization has the internal resources they need to achieve their organizational goals and objectives. The environmental scan and SWOT Analysis will help establish the vision and strengths of the organization so that they can identify their organization’s strengths, weaknesses, opportunities, and threats (CPS Human Resource Services, 2007).
The Business plan on SWOT Analysis Of Pacific Coffee
SWOT analysis of Pacific Coffee Strengths A. Pacific Coffee is a very profitable organization, earning in excess of $17.6 million in 2010. B. It is a Regional coffee brand built upon a reputation for fine products and services. It has almost 98 cafe shop in almost 8 cities. C. Pacific Coffee strives to be a contributing member of the communities serve. Pacific Coffee fund raising efforts are ...
To show the benefits of an environmental scan and competitive advantages that could result from this tool, this paper will conduct an environmental scan of the companies A.O. Smith Water Products Company and Nike Incorporated. The environmental scan of these two companies will examine A.O. Water Products Company and Nike Inc value and sustain their competitive advantages using their business strategies. This environmental scan will analyze the measurement guidelines that both companies use to verify their strategic effectiveness. The environmental scan will also; examine the effectiveness of both companies’ measurements guidelines. Nike Incorporated
Nike Incorporated is one of the more successful Fortune 500 companies as this organization has built a business reputation as the leading sports apparel and footwear provider in the world (Nike, 2011).
Nike creates value and sustains their competitive advantage in their marketplace by focusing on these following strategic initiatives such as acquisitions and global partnerships. Nike has partnered with global soccer associations, and they have acquired subsidiaries, such as Converse, Cole Haan, Hurley International LLC. (Nike, 2012).
Inside Nike Incorporated
The company has created a large selection of new, innovative products that could be commercialized and distributed to Nike consumers around the globe. Nike Incorporated is Continuing the process of ingenuity and innovation of Nike Technology and finding different ways to create a more efficient and sustainable product and supply chain. Nike Incorporated connects with Nike’s consumers through communication channels, such as digital marketing, sports marketing, and event marketing. Nike continues to look for new ways to improve efficiency and lower costs without sacrificing the quality of their products and the delivery times that it takes to get Nike products to Nike’s consumers in a timely manner. Nike Incorporated main Focus is on using more environmentally friendly materials, and reduce the amount of waste that Nike’s organization’s uses to manufacture their products.
The Review on Nike’s Product Mix
ConverseIntroduction The increase in the number of companies and the competitive prices that the companies offer has given rise to a competitive situation in the companies (Borden, 1984). Marketing activities in companies are framed based on the ‘marketing mix’ of the company (Borden, 1984). The marketing mix framework consists of 7Ps considering the modern scenario (Booms and Bitner, 1981, cited ...
In order to measure the effectiveness of their strategic initiatives, Nike has implemented a manufacturing index, which allows their organization to take a comprehensive look at their factories total performance, and the techniques those contract factories are using to achieve sustainability (Nike, 2012).
Nike’s manufacturing index is a very effective assessment tool as it allows Nike to “elevates labor and environmental performance alongside traditional supply chain measures of quality, cost and on time delivery” (Nike, 2012).
After conducting an environmental scan on Nike, this research has discovered that Nike has placed their organization in the best position to sustain their reputation as the world’s leader of athletic shoes and apparel. Nike Incorporated has limited competition because no athletic shoe company can sustain the level of innovation and excellence that Nike has done over the years. A.O. Smith Water Products Company
A.O. Smith Water Products Company is one of the world’s leading manufacturers of residential and commercial water heating equipment and technology. Because of the company’s engineering excellence and customer service, A.O. Smith has been able to expand the business operations into more than 60 foreign territories by increasing the development of their water heating equipment by way of innovative technology and acquiring different domestic, global partnerships, and acquisitions. To establish and sustain the success they have already achieved, the business leaders at A.O. Smith implemented a vision that would allow their organization “to be the global leader in applying innovative technology and energy efficient solutions that provide comfort and convenience to life” (A.O. Smith, 2008).
A.O. Smith’s company vision has allowed the organization to net annual sales of $1.49 Billion (2010) and $1.71 Billion (2011) with earnings of $57.3 million and $111.2 million in 2010 and 2011 in succession (A.O. Smith, 2011).
Growth
A.O. Smith creates value and sustains their competitive advantage in the marketplace environment by following strategic initiatives in the company’s growth. The company develops and introduces a consistent stream of new and innovative residential and commercial boilers, motors, and hybrid heaters Such as solar heaters, water heaters, and gas heaters. The company also acquires partnerships and acquisitions in different foreign markets to increase their product awareness, consumer or investor based sales, and profits. The company has continually delivered quality products and customer service at a reasonably affordable price. The company offers different contractor rewards, warranties, and logo merchandise. (A.O. Smith, 2012).
The Term Paper on Nike Product Products People Shoes
Nike. Just do it. Ask anyone of age ten and above whether they ever hear of this brand and its slogan, they will give you a definite yes! Nike is one of the top sneaker competitors out there. Today people who buy Nike not just walk in them but also wear them. Its blooming business is so successful that even some companies try to imitate them. They use the all so famous slogans on their products in ...
Business Improvement
A.O. Water Products Company creates maximum return value on each dollar the company invests. The company offers continual improvement of their products by limiting the number of product defaults, and improving the effectiveness of their business processes and systems. A.O. Smith improves their customer service flexibility, speed, and communication. The company has also created a world class supply chain that has the capability to deliver their boilers and heaters in a time efficient manner to the more than 60 countries. A.O. Water has achieved and sustained their competitive advantages over their competitors by maintaining their innovative edge and number of products sold and delivered around the world.
A.O. Smith sustains a high quality organization by establishing and sustaining a strong effective leadership structure. The company has created and promoted an innovative workplace environment that will allow A.O. Smith to stay ahead of the technological environment as it changes. A.O. Smith promotes a workplace environment that encourages diversity, equality, and cross cultural team participation. The company has created a history of quality and energy efficient products. in order to measure the effectiveness of these strategic initiatives, A.O. Smith uses evaluation tools such as creating a strategic map of the company’s financials, growth, customer service, and scorecards that tracks the number of products defective or causalities. A.O Smith uses a survey that measures the quality and speed of things, such as the speed and efficiency of their energy efficient products, consumer satisfaction, and training programs. The company conducts random inspections that examine the effectiveness of their supply chain process through the use of IT metrics.
The Business plan on Business Environment 12
Introduction This report will explore the different categories of organisations that exist in the current market. It will identify the responsibilities of these organisations and compare them to others. It will also discuss how these organisations use certain components to meet their responsibilities when compared to others, and how this can affect organisational strategies. This report will also ...
Each of these measuring guidelines is very effective at ensuring that each of A.O. Smith organizations domestic and foreign are sustaining the standard success and engineering excellence. Additionally, these measuring guidelines also helps A.O. Smith align their organization to their strategic initiatives and gauge the effectiveness of those actions. As far as A.O. Smith threats, there are no immediate internal threats to their A.O. Smith dominance of the water industry, there are several external threats their organization must be cautious of and those threats includes a constantly changing technological and economic environment. Decreased consumer demand for their products because of rising costs such as production, materials, distribution, and similar energy efficient products sold at a cheaper price. Each of these issues could have a tremendous affect on the financial performance of A.O. Smith in the marketplace. Conclusion
The environmental scan of A.O. Smith and Nike Incorporated has identified and examined how those successful organizations have established and sustained their competitive advantage. The environmental scan has evaluated how Nike and A.O. Smith measure the success and effectiveness of strategic initiatives. The information discovered from this research has displayed the importance of environmental scanning and how even the most successful corporations use that assessment tool to maintain their present and future success in their business marketplace.
References
A.O. Smith. (2011).
About A.O. Smith. Retrieved, November 17, 2014 from, http://www.aosmith.com/About/Default.aspx?id=54 A.O. Smith. (2008).
Vision and strategy. Retrieved, November 17, 2014 from, http://www.aosmith.com/About/Detail.aspx?id=122 CPS Human Resource Services. (2007).
Workforce planning tool kit: Environmental Scan and SWOT Analysis. Georges, R. (1999).
The importance of environmental scanning in business and ICT environments. Retrieved November 17, 2014 from, http://www.ehow.com/facts_7879244_importance-scanning-business-ict-environments.html Nike, Inc. (2012).
Career areas. Retrieved November 17, 2014 from, http://nikeinc.com/pages/career-areas Nike, Inc. (2012).
FYI 10-11 sustainable business performance summary. Retrieved November 17, 2014, from, http://nikeinc.com/news/nike-inc-introduces-new-targets-elevating-sustainable-innovation-within-business-strategy
The Business plan on Environmental Analysis: Southwest Airlines
INTRODUCTION Southwest Airlines Co. began its operations in 1971 and has been serving the industry for the past 43 years now (Southwest Airlines, n.d.). It is the major domestic airline, and ranked number one in 2014 by the Bureau of Transportation Statistics (United States Department of Transportation, 2014). Back in 1971 the airline began its services in Texas in the cities of Houston, San ...
