STRATEGIC PLANNNG

For
BIZ CONSULTANTS

Student Name: Tehseen Ahmed

Project Name: Implementation Of Strategic Management
Procedures
Registration No. : 1532308004
Class : MBA, Evening (5th Semester)
Assigned By: Sir Farrukh Mian
Submission Date : 10th May, 2010.

Submittted By : ________________

Preston University, Main Campus. 15, Banglore Town, Shahra-e-Faisal, Karachi.

UAN : 021-111-707-808. www.preston.edu.pk
Acknowledgement

I am thankful to my teacher, Mr. Farrukh Mian, whose encouragement, guidance and support from the
initial to the final level enabled me to develop an understanding of the planning as well as I am thankful to
the Preston University which provide me platform to pursue the studies and exhibit my skills.

Further more, I offer my regards and blessings to all who supported me during completion of the project.

Abstract
Industries of Pakistan suffering substantially losses due to rapidly change in country’s economy. Large
organizations have capacity in shape of financial strength, skilled manpower and supportive associations
to fight or survive with such hurdles. On the contrary, small and medium size enterprises (SME) are
unable to face the problem because of lackness in skills of financial management, strategic planning and
other limited resources.

Considering the above mentioned situation with SMEs, I intend to initiate a business consultancy firm on
small bases which would be specialized in all aspects of business consultancy, focusing on Small and
Medium Enterprises (SMEs).

For planning the BIZ Consultants, I carried out research on feasibility, survival, IFE & EFEs of the
consultancy firms and the future growth of the BIZ Consultant.

Executive Summary
I conducted research on different business consultancy firms already dealing with SMEs for knowing all
aspects of this industry as well as the current position of advisory market to initiate plan. I also collected
and analysed the Internal Strengths and Weaknesses and External Opportunities and Threads of the
industry.

Considering detail research and analysis in perspective of Strategic Management I decided to initiate a
Business Consultancy firm till July, 2010. I currently have a team in shape of supportive friends, teachers
and partners of the business. Some of them are highly qualified and their expertise in same field made
them haul of success. .

Introduction

To enhance my professional skills/ability on account of Strategic Planning, Financial Advisory, Equity

Market Analysis, Market Research, Accounting and Tax Consultancy, I intend to take step for establishing a
business consultancy firm under name and style of “BIZ Consultants” for initiating which I already have
qualified and experienced team. Initially we’ll focus on Small and Medium Enterprises and our mission is
to cover the complete bundle of problems persisting in business circle.

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BIZ Consultants currently consist of 7 members. All the members are all rounder in business consultancy,
however, each member is expert in a specific service, providing by the organization.

Vision Statement
Our vision is to be the world's best quick solution provider. However, having best means at disposal to
provide outstanding quality, services, comprehensiveness, and profitability to clients, every investor will
have a smiling face."

Mission Statement
We will continue to improve and develop to become the premiere, professional management and consulting
organization, providing our clients with world-class quality business consultancy services customized to
meet their unique needs. Achieving our mission will demand a sense of trust, support, and interdependence
among these two vital elements of our business:

Our Customers

Our customers are the main source for our existence and we intend to keep them thoroughly satisfied by
operating in a manner that furthers their business interests. By constantly listening and providing continuous
feedback to our customers, we identify their needs and effectively translate these into customer-specific
advisory services. As our highest priority, our work will fully support our clients' business objectives.

Our Organization

The cornerstone of our organization is the dedication and integrity demonstrated by the people we work
with. We value our human resources as the major driving force of the business, and provide them with the
best available resources to encourage professional and personal growth.

Objectives
Our primary objectives over the next year are to:

1. Obtain a bank loan of 300,000 to cover the start up costs and initial operating costs for BIZ Consultants.

2. Generate one new client contract a month by networking with key industry leaders and local
lending institutions, conducting seminars and workshops for small and medium sized businesses,
and joining key business and industry associations.

3. Generate a net profit of 20,000 in the first year by developing a strong client base and keeping
overhead costs to a minimum.

4. Develop and conduct eight business seminars and four business workshops that meet the needs
of the local business community.

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 Weighted
S.No Description Weight Score
Score

External Factors Evaluation

Opportunities
0.3
1 Revival in businesses. 0 4 1.20
0.1
2 Exempted from Indirect Taxes 0 2 0.20
0.0
3 Increasing in SMEs. 5 2 0.10
0.0
4 Awarenes of diversificatin to businessmen. 5 1 0.05
0.1
5 Low competitive market. 0 2 0.20

Threads
0.1
1 Competitors are well known and experienced. 0 4 0.40
0.0
2 Untrust of clients on new consultant. 5 3 0.15
0.0
3 Tighten economcs policies for investor. 5 2 0.10
0.1
4 Least awareness of consultancy for small investor. 0 1 0.10
0.1
5 Small businessmen are usually conservative. 0 2 0.20
1.0
Total….. 0 2.70

Internal Factors Evaluation

Strength
0.2
1 We have experienced and talented team. 0 3 0.60
0.1
2 Smart Marketing Staff to pursue businessmen. 0 2 0.20
0.1
3 Office Location 0 2 0.20
0.2
4 24 hours on fone advisory service. 0 4 0.80
0.1
5 Affiliated with BIZ Consultants, US. 0 3 0.30

Weaknesses
New business needs to survive by bearing fixed 0.1
1 costs. 0 3 0.30
0.0
2 Lack of employees for dealing with more clients. 5 4 0.20
0.0
3 Power of Image. 5 2 0.10
0.0
4 Don't have any renowned customer. 5 2 0.10
0.0
5 Capacity to deal with limited customer at a time. 5 1 0.05
Total….. 1.0 2.85

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 0

Competitve Profile Marix (CPM)

Caliber Bus.
BIZ Consultants Conslt. KPMG
Weighted Weighted Weighted
S.No Description Weight Score Score Score
Score Score Score

1 Expert Advisors 0.30 4 1.20 4 1.20 4 1.20

2 Market Share 0.10 1 0.10 2 0.20 3 0.30

3 Office Location 0.05 2 0.10 2 0.10 4 0.20

4 24hours telephonice advisory. 0.10 1 0.10 - - - -

5 Quality Services 0.10 2 0.20 2 0.20 3 0.30

6 Goodwilll 0.10 4 0.40 2 0.20 3 0.30

7 Customers Loyality 0.05 3 0.15 2 0.10 3 0.15

8 International Affiliation 0.05 2 0.10 - - 2 0.10

9 Dealing with foreign clients. 0.05 1 0.05 3 0.15 - -

Chartered Accountancy
10 Services 0.10 - - 1 0.10 2 0.20
1 2
Total….. 1.00 2.40 8 2.25 4 2.75

Space Matrix

Financial Strength (FS) Ratings

0.2
Profitibiliaty Ratios 0
1.0
Return On Equity 0
0.8
Financial Leverage 0
0.1
Solvency Ratios 5
0.2
Break Even 0
2.3
5
Industry Strength (IS)
0.4
Increasing in number of investor in pakistan. 0
0.2
Exempted from indirect taxes. 0
0.5
Demand in international market for advisory. 0
0.2
Revival of financial turmoil. 5
Business Consultant's industry have good scope within 5 0.1
5
 years. 0
1.4
5
Environmental Stability (ES)
(0.2
Higher Inflation causing which increase in interest rates. 0)
Political Turmoil prevailing over the (0.4
country. 0)
(0.1
Tightened Fiscal Policy. 5)
(0.0
Higher Tax Rates for industrialists. 5)
(0.8
0)
Competitive Advantages (CA)
(1.0
Competitors have big market share due to long position. 0)
(0.4
Competitors providing different related services. 0)
(0.2
International clients concentrate on well known advisors. 0)
We need great efforts to survive in competitve 0.3
market. 0
(1.3
0)

FS = 2.35 / 5 = 0.47
IS = 1.48 / 5 = 0.296
ES = (0.80) / 4 = (0.2)
CA = (1.30) / 4 = (0.325)

X Axis = ES + IS = (-0.20) + 0.296 = 0.096

Y Axiz = CA + FS = (-0.325) + 0.47 = 0.145

FS

Conservative Aggressive

0.145

CA IS
0.096

Defensive Competitve
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 ES
SWOT Analysis
Opportunities :
1.Revival in businesses.
2.Exempted from Indirect Taxes
3.Increasing in SMEs.
4.Awarenes of diversificatin to businessmen.
5.Low competitive market.
Strength :
1.We have experienced and talented team.
2.Smart Marketing Staff to pursue businessmen.
3.Office Location
4. 24 hours on fone advisory service.
5.Affiliated with BIZ Consultants, US.
Threads :
1.Competitors are well known and experienced.
2.Untrust of clients on new consultant.
3.Tighten economcs policies for investor.
4.Least awareness of consultancy for small investor.
5.Small businessmen are usually conservative.
Weaknesses :
1.New business needs to survive by bearing fixed
costs.
2.Lack of employees for dealing with more clients.
3.Power of Image.
4.Don't have any renowned customer.
5.Capacity to deal with limited customer at a time.
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 Quantitative Strategic Planning Matrix (QSPM)

Strategy # 3 Strategy # 1
Weighted Weighted
S.No Description Weight Score Score
Score Score
Opportunities
0.3 1.2
1 Revival in businesses. 0 4 1.20 4 0
0.1 0.1
2 Exempted from Indirect Taxes 0 2 0.20 1 0
0.0
3 Increasing in SMEs. 5 2 0.10 - -
0.0 0.2
4 Awarenes of diversificatin to businessmen. 5 1 0.05 4 0
0.1 0.1
5 Low competitive market. 0 2 0.20 1 0

Threads
0.1 0.3
1 Competitors are well known and experienced. 0 4 0.40 3 0
0.0 0.1
2 Untrust of clients on new consultant. 5 3 0.15 2 0
0.0 0.1
3 Tighten economcs policies for investor. 5 2 0.10 2 0
0.1
4 Least awareness of consultancy for small investor. 0 1 0.10 - -
0.1
5 Small businessmen are usually conservative. 0 2 0.20 - -
1.0 2.1
Total….. 0 2.70 0

Strength
0.2 0.8
1 We have experienced and talented team. 0 3 0.60 4 0
0.1 0.4
2 Smart Marketing Staff to pursue businessmen. 0 2 0.20 4 0
0.1 0.3
3 Office Location 0 2 0.20 3 0
0.2 0.4
4 24 hours on fone advisory service. 0 4 0.80 2 0
0.1
5 Affiliated with BIZ Consultants, US. 0 3 0.30 - -

Weaknesses
New business needs to survive by bearing fixed 0.1 0.2
1 costs. 0 3 0.30 2 0
0.0 0.0
2 Lack of employees for dealing with more clients. 5 4 0.20 1 5
0.0 0.1
3 Power of Image. 5 2 0.10 3 5
0.0 0.0
4 Don't have any renowned customer. 5 2 0.10 1 5
0.0
5 Capacity to deal with limited customer at a time. 5 1 0.05 - -
1.0 2.3
Total….. 0 2.85 5

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Conclusion

Considering the above mentioned data and analysis, we should initiate the plan. Vector of the space matrix
lie in aggressive part, mean while, other comparisons are also showing positive forecasted consequences.
QSPM showing our strengthened position in internal assessment while, external factors are a little week
which may effect negatively after some time. In CPM, Biz consultants is showing in very much good
position than other already existed competitors.

Recommendation

Considering the political turmoil and tough competition in industry, losses may be prevail in future period.
At the same time, recovery of recession is the best chance for financial advisory, where all the investors are
willing to earn higher return to cover the previous losses endured during recession.

My recommendation after reading the brief analysis, is to take a positive step to commence BIZ Consultants
by following Strategy # 3, which offer clients a complete bunch of services they need.. Return on
investment is anticipated higher, if any loss incurred in future, it will not depreciate the amount of
investment.

______________________________
Submitted By :
Tehseen Ahmed