12/26/2012

[PRINCIPLES OF MANAGEMENT]
ASSIGNMENT # 02

[TOPIC: SWOT ANALYSIS]

COURSE INSTRUCTOR: STUDENT NAME: CLASS: SECTION: ROLL NUMBER: INSTITUTE NAME: PROF. SAIMA AKRAM ALI RAZA M.COM MA-1 2032
PUNJAB GROUP OF COLLEGES

Principles of Management

SWOT ANALYSIS
Meaning:
A SWOT analysis, short for: Strengths, Weaknesses, Opportunities And Threats.

Concept of SWOT Analysis:

SWOT Analysis is study undertaken by an organization to identify its internal strengths and weaknesses, as well as its external opportunities and threats. Strengths: Strengths are the qualities that enable us to accomplish the organizations mission. Weaknesses: Weaknesses are the qualities that prevent us from accomplishing our mission. Opportunities: Opportunities are presented by the environment within which our organization operates. Threats: A threat includes any unfavorable situation or approach change in environment that is currently or potentially damaging or threatening to its ability to compete. It may be a barrier, constraint, or anything that might inflict problems, damages, harm or injury to the organization.

Explanation:
There is very important and huge explanation behind word SWOT analysis. This is a useful tool that helps to identify gaps between your strengths and what is required to achieve your career goals. This type of analysis takes into account factors that are within your control as well as future threats that are out of your control yet can impact you professionally. A personal SWOT analysis will help you develop a comprehensive action plan that enables you to achieve your professional goals.

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Advantages of SWOT Analysis:

Successful businesses build on their strengths, correct their weakness and protect against internal weaknesses and external threats. They also keep a watch on their overall business environment and recognize and exploit new opportunities faster than its competitors. SWOT Analysis helps in strategic planning in following manner: It is a source of information for strategic planning. Builds organizations strengths. Reverse its weaknesses. Maximize its response to opportunities. Overcome organizations threats. It helps in identifying core competencies of the firm. It helps in setting of objectives for strategic planning. It helps in knowing past, present and future so that by using past and current data, future plans can be chalked out.

Limitations of SWOT Analysis:

SWOT Analysis is not free from its limitations. There are certain limitations which are not in control of management. External limitations include: Price increase; Inputs/raw materials; Government legislation; Economic environment; Searching a new market for the product which is not having overseas market due to import restrictions; etc. Internal limitations may include: Insufficient research and development facilities; Faulty products due to poor quality control; Poor industrial relations; Lack of skilled and efficient labour, etc.

PERSONAL SWOT ANALYSIS

A personal SWOT analysis will help you develop a comprehensive action plan that enables you to achieve your professional goals.

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Principles of Management

MY STRENGTHS
I am very serious and intellectual kind of person and I have a very good eye on Islamic education. I also have interest in politics. I like to share my knowledge with others and I feel very happy while helping strangers. I have advantage in terms of skill because I am very good in picking things quickly and I have very good skill in respect of computer use. I have advantage in terms of certifications, because I have done bachelors in commerce and doing master in this field which well give me advantage in field of commerce. I have advantage in terms of connections with government servants and with some reputed persons in professional field which will give me benefit in job seeking and other educational career problems. I think I do accounting and mathematical calculations better than anyone else because of my professional experience in the field of business along with my father. I have achieved the highest numbers in accounting on which I am so proud and this achievement is also a very big strength of mine because it differentiates me from my class fellows. I am part of an education network which is giving me help in getting confidence and latest changes in today world regarding education. I have good communication skills both in Urdu and English which is very important to get a reputed passion in market and I am not shy and can positively contribute towards discussions. I am also having internship experience in tanning industries which well be very helpful in getting job after masters. My qualification can help me to handle every kind of situation in a good and well manner as compare to an educated person.

MY WEAKNESSES
I have a very bad weak point that I always need to do things quickly and wants to remove burden from my shoulders, and sometimes the quality of my work suffers as a result of this bad weak point. I avoid the task in which I have to present some new idea because I dont feel confident doing it. Some people around me see the weakness of patience. Because my temper level go high if anything goes not according to my principles or mind. I am not completely confident in my education because of my weak education career. I am very weak in field of economics and management. I have a negative habit of going late to work which give me less importance than others. I am having very weak skills in creative ideas. If I have to done something new I am unable to think and getting the resources.

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Principles of Management My weakness is that I do not concentrate completely on my studies and understanding things clearly and when the exam near I am in great stress.

MY OPPORTUNITIES
There is very advanced technology knowledge available in market which will be very help full in doing my job and getting advance knowledge about my relative job companies. Commerce field is growing day by day which is very good for my career to get good job opportunities and offers. If this field grow like this than, I have the advantage to stale myself in professional life. Because I am getting M.com from a institute having very prestige reputation in market and having great knowledge with market condition which will give me good advice in getting job and for further education opportunities. There is so many institutes are offering M.com degree program which is not up to the standard of market requirement so they want be able to give me competition because I am doing M.com from a very good institute and under supervision of highly qualified teachers. So I will take advantage of their mistake of doing M.com from low profile colleges and universities. In industries and banking there is need of M.com degree holder to maintain the accounts and other administrative work, which is a very good opportunity for myself and I will take advantage of this.

MY ThREATS
I am currently facing the obstacle of finance to carry on my education. Because M.com is not sufficient, for getting a high profile job in market. I have to done M.Phil or M.S and it require a lot of finance in which I am lacking. My colleagues are much stronger in confidence and in speaking than I am, and the students of other universities and colleges are competing with me in getting good job which is a very big threat for me. The demand of M.com in now time is good but in further 1 to 2 years the things and going to change and I will be useless for my relative field which is a threat for my career. Now days more students are going to different colleges and universities for studies which is also a threat for me because they will compete me in studies as well. There is technology threaten me because technology is changing day by day. So if I did not change myself with it, I will be like nothing. I am having very weak skills in creative ideas which will be a threat for me.

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MY CAREER ACTION PLAN & GOALS

First I will complete my M.com with excellent grads. After that I will go for M.PHIL or M.S which will be very help for my experience. Because I am doing teaching from past 21/2 year and I will make a career in teaching field the M.PHIL is best for teaching. I am also having a thought of starting my own business in education field with the help of ALLAH. I know there is lots of obstacles from government in starting a new college or academy but I will do my best to accomplish my plan. In next 5 year I see myself on top of my plans with the help of ALLAH.

ANALYSIS of WAL-MART STRATEGIES

Introduction:
Wal-Mart Stores, Inc., branded as Walmart, is an American multinational retailer corporation that runs chains of large discount department stores and warehouse stores. The company is the world's third largest public corporation. It is also the biggest private employer in the world with over two million employees, and is the largest retailer in the world. It is also one of the world's most valuable companies. The company was founded by Sam Walton in 1962, incorporated on October 31, 1969, and publicly traded on the New York Stock Exchange in 1972. It is headquartered in Bentonville, Arkansas. Wal-Mart is also the largest grocery retailer in the United States. In 2009, it generated 51 percent of its US$258 billion sales in the U.S. from grocery business. It also owns and operates the Sam's Club retail warehouses in North America. Wal-Mart has 8,500 stores in 15 countries, under 55 different names. The company operates under the Wal-Mart name in the United States, including the 50 states and Puerto Rico. It operates in Mexico as Walmex, in the United Kingdom as Asda, in Japan as Seiyu, and in India as Best Price. It has wholly owned operations in Argentina, Brazil, and Canada. It also operates online and silently in Pakistan. Wal-Marts investments outside North America have had mixed results: its operations in the United Kingdom, South America and China are highly successful, whereas ventures in Germany and South Korea were unsuccessful.

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Principles of Management

Mission Statement of Wal-Mart

Wal-Mart's advertised mission statement and its advertising slogan are the same:

"We save people money so they can live better."

In addition to this mission statement, the company looks to its founder, Sam Walton for a company "purpose":

If we work together, well lower the cost of living for everyonewell give the world an opportunity to see what its like to save and have a better life.

In order to fulfill its mission, Wal-Mart has developed some unique, policies, principles, rules, processes and procedures, the sum total of which form the Wal-Mart stores corporate culture: Open Door Policy - Managers' doors are open to employees at all levels; Sundown Rule - Answering employee, customer, and supplier questions on the same day the questions are received; Grass Roots Process - Capturing suggestions and ideas from the sales floor and front lines; 3 Basic Beliefs & Values - Respect for the Individual, Service to our Customers, Striving for Excellence; 10-Foot Rule - Making eye contact, greeting, and offering help to customers who come within 10 feet; Servant Leadership - Leaders are in service to their team; Wal-Mart Cheer - An actual structured chain that was created by founder Sam Walton to lift morale every morning.

STRATEGIC GOALS
Built very strong and broad consumer base; Organize the sale out let (shop, Malls, etc.,) in such a way - neighborhood stores cannot match the facilities offered; Link with credit card corporate - to - get the benefit of cash and carry - it is a win, win game - Credit card corporate dependence on Departmental Stores - Customers get credit - Departmental stores get assured payment schedule. - operate the business with least running capital - less liquid capital - a cash flow management; Leverage all the benefits of discounted cash flow; To organize the best SUPPLY CHAIN MANAGEMENT; To be supplied 100% by renewable energy;

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Principles of Management To create zero waste; To sell products that sustain people and the environment; FINAL (AND THE ONLY) STRATEGY) make to believe that they are indispensable in the Chain - if they fail entire economy will fail - that way you built your business with others capital and goods.

CORPORATE STRATEGIES of WAL-MART

Early 2009 Wal-Mart introduced a plan that was hoped to ensure that the company would remain the industry leader. Project Impact is based on three strategic initiatives that will improve the benefits to the customer. The three initiatives are; Save Money, Live Better; Win, Play, Show; and Fast, Friendly, Clean. Wal-Mart is aiming to keep consumers happy and returning to their store once the economy improves. Over the last decade the company had lost customers as they frequented the newer stores of its competitors such as Target. By implementing Project Impact Wal-Mart is renovating its stores in the US by widening the aisles, lowering fixtures, improving signage, and adding natural light to give consumers a store that fees friendlier. There are 3 generic business strategies and they consist of the Focus strategy, the Differentiation strategy, and Overall Cost leadership. The Focus strategy is usually defined as focusing on offering products and services to a particular market segment or buyer group, within a segment of a product line, and/ or to a specific geographic market. The Differentiation strategy is defined as offering a product or service that is perceived as unique in the marketplace. Wal-Marts business strategy is Overall Cost Leadership, offering their customers great quality service and products at a lower price than their competition. Overall Cost Leadership is defined as offering the same or better quality product or service at a price that is less than what any of the competition is able to do. The estimated power each of the 5 forces has (suppliers include their employees and suppliers of technology). How Wal-Mart reduces the buyer and supplier power and how WalMart creates switching costs and entry barriers. The five forces are buyer power, supplier power, threat of substitute products and services, threat of new entrants, and rivalry among existing competitors. Wal-Mart follows the five forces business strategy.

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COMPETITIVE STRATEGIES of WAL-MART

Wal-Marts competitive strategy is to dominate every sector where it does business. It measures success in terms of sales and dominance over competitors. Its strategy is to sell goods at low process, outsell competitors, and to expand. Generally, Wal-Mart does everything it can to win over competitors. A typical Wal-Mart model is to build more stores, make existing stores bigger, and to expand into other sectors of retail. Every step of the way, it strives to make money and dominate its competitors, to the point of putting some of them out of business.

Wal-Mart big competitor:

is one of several European retailers whose entry into Central Europe has changed the local retailing structure. Tesco is a British retailing company that is known to have gained large international and domestic market share. Tesco is the third largest retailing firm behind Wal-Mart and Carre - Four. Like other retail companies, Tesco wants to have clients that will patronize their product. The company uses a loyalty program to gain the loyalty of its clients. Compared to Wal-Mart, Tesco has started to concentrate on the housing market but it has not been that successful as of late. Wal-Mart had the competitive advantage on departmental industry.

Tesco

SWOT ANALYSIS of WAL-MART

Strength
Wal-Marts strength is the popularity it has. The company is known throughout the world. Strength of the company is the strong brand name they have. The strong brand name is what makes the company, its products and services popular. Strength of the company is its ability to make strategic adjustments whenever there is a need for it. The company makes sure that whenever changes in the industry happen they have alternative plans towards it. Strength of the company is the supply chain system wherein the company keeps the products in a secure place until it is needed in a certain branch. Lastly a strength Wal-Marts is its website that is easy to use, attractive, and informative. Such website encourages the clients to visit the store and avail the companys products.

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Weakness
The main weakness of Wal-Mart is the criticism towards the company. The criticism affects not only the image of the company but its standing in the supply chain. Such criticism affects the relations between the suppliers and the company thus causing issues in the companys supply chain. Another weakness of Wal-Mart is the notion that the company is losing its charm. This means that the company in some way is having problems in their relationships with clients. Lastly a weakness of Wal-Mart is poor sales in clothing merchandise. The company does not do well in this kind of product due to the company not being known as a reseller of such product.

Opportunities
An opportunity for the company is to find out more ways to give a distinctive look and features to their stores and branches. By doing this the company will have competitive advantage over other firms. It will attract clients who have various tastes. An opportunity for the company is to improve the features of their website. By doing this it can attract more markets. The company should also continue to improve its supply chain so that different issues and problems can be resolved ahead of time. It should device faster means to deliver supplies to prevent shortages of products in their branches. Lastly an opportunity for the company is to continue to reach newer territories where it can offer its products and services. This newer territories may be in a country that has recently just improved its economy.

Threats
The main threat to the Wal-Mart is the competitors. The competitors like Tesco and Carre-Four try various tactics to overcome the standing of the company in their industry. The competitors may device a way to overcome the company and have a better standing in the supply chain. The threat to the company includes the laws in the country they are operating in. Another threat to the company is the tariffs and taxes that the company has in different countries, each countries has its own rate of taxes and tariff that creates additional expenses for the company. Lastly a threat to the company is the culture of some clients in other countries they operate in. Some people may not like the new culture that is brought by WalMart and its expansion into newer markets.

MY CONCLUSION
THANK YOU MISS!
For giving me opportunity to determine my strength, weakness, opportunity and threats. By preparing this assignment I realize the fact that there is so many things on which I have to concentrate to make a strong and competitive future.

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