Challenges of Tourist Playing Card Business - Example

Business Plan Name Institution Date Table of Contents Business Plan 1 Table of Contents 2 BUSINESS PLAN 24 2 Marketing Plan 3 Target Market/Consumer Profile 4 Product Description 4 Pricing Strategy 5 Place 5 Promotion Strategy 5 Advertising 6 Sales Promotion 6 Promotional Partners 6 Operations Plan 7 Premises Description 7 Location Factors 7 Location of Competitors and Suppliers 7 Maintenance Control 8 Inventory Control 8 Quality Control 9 Human Resources Management Plan 10 Key Staffing and Responsibilities 10 Recruitment Policy 12 Hiring Process 13 Training Procedure 14 Training Plan 15 In-house and External Training 15 Effectiveness of Training 16 Retention 16 Frequent Communications Calendar 17 Loyalty Cards 18 Staff Retention Program 18 Legal Considerations 19 References 19 Grayline, (2012). The Changing Face of Australia’s Tourist Destinations. . 20 APPENDIX 20 Marketing Plan Target Market/Consumer Profile The business’ primary targeted markets include businesses related to tourism in the region and this includes hotels, airports, travel agents, as well as tourism agencies. Therefore, the target market in not individual customers but tourism related businesses regardless of their size and age. Product Description Tourist playing card business will provide customers with effective promotion using playing cards at affordable prices. Even though there at present there is no competition within the immediate area in which this business plans to be established, it is projected that since promotion industry using playing cards is thriving, sooner or later, competition will impinge. To that end, Tourist playing card business plans to become profitable and maintain a solid leadership position within the marketplace (Grayline, 2012). The capability of Tourist playing card business to achieve its goals and lead the tourism promotion industry depends on the proficiency and social integrity of the management team. The management team comprehends these facts and numerous members of the business’ management team have been acknowledged previously for their outstanding performance. Numerous local researches have been reviewed to give important information regarding several necessities that should be fulfilled for the business to attract potential customers. The business will strive to meet these needs and will carry out future surveys with our clients to ensure that the business is ahead of the curve (Michael, 2010). Pricing Strategy Tourist playing card business will face a challenging situation within highly competitive market of tourist promotion in Gold Coast. Accordingly, the business will provide quality promotional services at a cost lower than the existing market standard which is maintained by players as magazine advertisements or other media adverts. The rationality behind this is to compete with the market. However, the pricing policy has not been set since the business will be handling various customers with varying requirements and therefore when quotes are done they should be fair and practical with a realistic profit margin (Michael, 2010). Place The business will have its company and offices near the main street of Coolangatta, which is located at the southern end of the Gold Coast. For the first year, the business will not involve in any form of business network other than Coolangatta vicinity and hence all the marketing will be channeled to Coolangatta and Gold Coast at large (Grayline, 2012). Promotion Strategy The business’ first goal in promotion the business will be to get the most out of on the power of the WORD OF MOUTH. In all businesses, it is well known that word-of-mouth marketing can be any business’ best friend or worst foe (Cullen, 2007). Nonetheless, this doesn’t preclude the fact that announcements, media advertisements as well as the future planned website are not equally valuable in reaching new clients and will be employed as below: Advertising Tourist playing card business will utilize internet, radio, and television as the medium of advertisement. Additionally, about 6,000 brochures will be printed for creating awareness within the market regarding playing cards and the promotional services; they will be distributed within major tourism related businesses, tourism locations as well as in events where Tourist playing card officials will participate (Michael, 2010). Sales Promotion Customers will be rewarded through offering them discounts every time they render our promotional services. This will include reducing their charges as well as printing additional playing cards for them. Additionally, the company name will be displayed on the playing cards as this will promote the business more. All the tourist related businesses within the region will be informed of the establishment of our business through writing and offer them with free playing cards promoting their businesses (Michael, 2010). Promotional Partners We will have fast facts as well as media kit availed to internal and external stakeholders. After completion of the media kits, we will start assessing media/promotional partners that will have offered co-provide promotion opportunities and the objective for that time line is end of the first quarter. Participation within industry activities will consist of carefully selected tradeshows, events, conferences where the business needs to have presence (Michael, 2010). Operations Plan Premises Description It is important that tourist playing card business have a storefront facing onto the main street as well as a noticeable distinct entrance. The idea behind this, is that the staff as well as the customers to be able to move between the premises without going outside. At first, a 2000 square meters of wholly service space will be rented at a cost of $ 30,060 annually. The business will need to use about $15,000 on internal refurbishing and also additional $29,225 will be required to purchase office furnishing in addition to the required equipment and materials. Location Factors The business will be located at next to Gold Coast airport, previously referred to as Coolangatta Airport. This location was considered because it is close to the city and also that Coolangatta is home to some of the region’s most attractive beaches and hence favors tourism promotion. In addition, the location is just a few minutes drive from several National Parks, for example Murwillumbah and Lamington National Parks and this favors the business too. Moreover, there are many hotels, travel agents and tourism agencies located near this location, in addition to the location being next to the airport. Lastly, there is a wide pavement and hence it is possible for people to be able to stand and look in the window without hindering other pedestrians (Gold Coast City Council, 2012). Location of Competitors and Suppliers This location is a suitable area for the business since it can be accessed easily by our suppliers when bring materials and also the area has an ample parking. South Coast Ink & Toner Supplies, which will be our main supplier, is located within 30 kilometers away from our location. Even though tourism promotion is a very flooded business in this region, promotion using playing cards is not common in this region and specifically there is no other business within our business’ location that uses playing cards playing cards to carry out its promotion business. Basically, the business is located in an area far from its competitors but extremely near to its suppliers (Grayline, 2012). Maintenance Control The business will mostly depend on preventative maintenance to make sure that all equipment and machines are in good working condition. A profession technician with our business’ machineries and equipment will be hired weekly to come and examine the suitability of the machines. This will reduces the cases of the machines breaking down. Any faulty machines will be repaired with immediate effect and if the problem is recurring the machines will be replaced. Supergeek.com.au Pty Ltd will provide any necessary repairs. This company was chosen for providing maintenance services because it is near our premises and hence they will be able to come and solve the problem or repair the faulty machine as soon as possible (Nada, 2012). Inventory Control The physical movement of the stock will be reviewed at the end of every week, on Sunday. Since the business has just been established and it is still small, minimum stock levels basic method will be used as the inventory control method. In this method, extra stock will only be ordered when the existing stock level reaches 50 units, which will be the minimum stock level. Whenever the inventory of certain material reaches 50 units, additional stock will be ordered. This will ensure efficiency in materials usage and also effectiveness will be achieved since average stock level that will be held, which means it will neither be too low or too high. Furthermore, minimum stock maintenance will prevent storage of excess and idle stock so as to avoid business funds from being tied up unnecessary and also it will reduce storage costs. In addition, the business will use the ABC classification system in managing its stock. Here, items will be grouped in accordance with the annual sales volume and this will be done in order to identify the small number of items that will account for most of the sales volume and that are the most valuable ones to control for efficient inventory control. A computer-based financial management system will also be used and with this system, it will be possible to review the sales and marketing activities regularly. Moreover, this will make it possible for us to analyze the profitability of sales of different clients. As a result, we will be able to reward personnel basing on achieved profits and not only on sales (Nada, 2012). Quality Control Outline scripts will be developed to assist the sales personnel manage inquires. This will certify that all incoming telephone call are tackled in the same manner and meet high standard. We will also encourage our customers to give the feedback regarding our products and services particularly in: Our ability to manufacture high quality and well designed playing cards The reactions of the customers after being freely given the playing cards The impact of the tourist playing cards as a promotion tool to the businesses (Nada, 2012). Human Resources Management Plan Tourist playing card business’ philosophy will be based on mutual respect for all contributions made by the participating or limited partners, investors, outsourced services and workers regardless of the position held in the business. Those working with us will learn to love and trust our partnership environment as we will endeavor try to establish an environment that enables everyone to work smatter-not harder and all proposals and recommendations will be valued, appreciated and rewarded as well. The business will also work to establish society involvement programs that will illustrate how the business can take part in improving the quality of community life (Pinson, 2008). Key Staffing and Responsibilities The Key employees of the company will include: CEO: This will be the most crucial role in the organization of the business. The CEO will be the communicator, decision maker, leader and also the manager of the entire business. According the responsibilities will include communication to both external and internal regarding the business’ direction, and also communicating to the workers. The CEO will also have the responsibilities of making high-level decisions regarding policy and strategy and as a leader the CEO will advice the other organizational management, motivate workers and drive change in the business. More importantly, the CEO will have the responsibility of presiding over the business’ daily, monthly and year-to-year operations. Vice President Sales and marketing: The responsibilities will include directing the marketing campaign matters as well as all issues allied to sales in the business. Bankers: This will be decided basing on the prerequisite of feasibility of business Human Resource Manager: Will be responsible for hiring and maintaining employees as well as dismissing the ineffective ones in the right procedure. Business Consultant Office Manager Sales assistants Technical personnel All these members will be recruited basing on their academic qualifications as well as their experience. The staff members requiring approval from qualified memberships should have the membership certificates from the approving office. Lastly, the company will have a directorate whose role will be providing guidance to the management and personnel of Tourist Playing Card business. The directorate will be meeting thrice every year to discuss policy changes, reviewing mission statement in addition to updating the business plan if need be. Other Executive Support Agencies: Legal services; Auditing services; Insurance company; Banking services; Architectural, planning and design services. Recruitment Policy Tourist Playing Card business is an equal employer for all and upholds professionalism. Recruitment will be conducted by the candidates going through a comprehensive training program to make sure that they will be in s position to offer superior product knowledge within the field of playing cards promotions. Only the individuals who are passionate about playing cards will be recruited and this means only people who share the business’ vision will be recruited: Compliance with collective bargaining agreements and hence it the company’s policy to adhere to each and every provision specified within the collective bargaining agreements. Job advertisements will have the job classification and a brief description of the position. Job announcement should inform applicants of the minimum qualifications and any other needed qualification. Human resource shall be responsible for establishing the scope and recruitment duration and needs as well. Human resources will also be responsible for advertising the available vacancies It is the responsibility of human resources to receive, track and store all applications. Only applications that has been gotten and acknowledged by the human resource can be considered for interview. The selection process shall include reviewing of formal applications and suitable administrator will be responsible for completion of at least two reference checks from preceding employers prior to making any attempt for hire and attempt to verify information like current salary, employment checks and titles (Weede, 2007). Hiring Process Human resources will evaluation the selection procedure and recommendation for employment to makes sure that the search was carried out according to the company’s policy. It is the role of the suitable administrator to present recruitment report to human resources regarding the recruitment process. An employment offer shall not be extended to candidates prior to review and approval of the recruitment process by the human resources. The Human Resource shall extend all employment offers, apart for employment offers with supports, which shall be extended by an official of the auxiliary company on auxiliary letterhead. Any employment offer to a candidate higher than the pre-approved salary amounts needs preceding written justification, counting suitable administrative, fiscal as well as Human Resources authorization. Human resource has the responsibility of planning the necessary pre-placement physicals, medical tests and background investigations. All job offers for such positions will be made in writing and completing the required pre-requisites and no candidate can start working prior to getting of the results. All new workers should report to the Human Resource Manager on their first day of work. The human resource has the responsibility of signing up and orienting new workers. Before beginning to work, all workers should provide an authorization proof to work in Australia. Human resources will make sure that all candidates who were not successful have been informed after the qualified candidate accepts the employment offer (Weede, 2007). Training Procedure The purpose of the training procedure is to establish training needs and make sure that all the workers have the required knowledge and skills to perform their tasks, to enable the entire workforce to reach its full potential and to enhance efficient of all business undertakings. In addition, the training procedure will facilitate introduction of new techniques and skills within a timely manner. Procedure Identifying training requirements The training need evaluation will be carried out establish and identify the training requirements and to improve technical skills and professional proficiency of personnel, which in the end improves the effectiveness of business undertakings. Training requirements will be identified on “Training Need Assessment Form” through the concerned Domain Manager at the end of every financial year and that of Managerial personnel through the company. For new workers, the concerned Domain manager examines training requirements. Training requirements can also be identified as and when needed to improve the professional abilities by utilizing Training Needs Assessment Form (Weede, 2007). Training Plan The annual training plan will be based on the Training Needs Assessment and it will be prepared by the training manager. In case of any change, the human resource department will approve any changes and review. The earlier “Annual Training Plan” will be annulled through writing “Cancelled” or else it will be updated at the end of every financial year, after getting new Training Needs Assessment forms through training managers (Weede, 2007). In-house and External Training The training plan will cover in house training of personnel as well as external training, which will be based on the training programs being offered by a variety of institutions. The human resources will make sure that each and every arrangement for in-house training following consultation with training manager. For external training COO is the ultimate deciding authority. Trainers will be chosen either from various domains within the firm while ensuring they are competent in the training field or external trainers will be called within the business premises while observing their market reputation in addition to training cost (Weede, 2007). Training Records Basically, the in-house training will be filled within Attendance Record form where the records will be maintained and kept by the human resource office, has the overall responsibility of updating the training records of the workers. The training records will be maintained within a separate folder until the particular worker remains in the organization (Weede, 2007). Effectiveness of Training Training Managers will be monitoring the training taught by the trainers. Following appropriate evaluation and getting the recommendations of the trainer regarding the trainees, the assessment whether the training was effective will be carried out by the training managers. The respective Training Need Assessment form can be filled for any weakness showing within any worker. Quality Records Training Need Assessment Form Annual Training Plan Attendance Record Retention Retention of customers is extremely important to our business as this will keep on attracting the right customers and getting them to purchase regularly and coming back and hence leading to customer loyalty for the business. This will also facilitate retention of personnel’s quality in working within the business. As a result, the business has customer retention programs as well as loyalty program whose sole purpose is to maintain the regular clients (Sharp, 2007). The business will also have a reward scheme for the employees in order to motivate them and hence increase both productivity and competency in their activities. Various ways which we will use in retaining our customers include: Frequent Communications Calendar In order to avoid losing our clients, we will build relationships and keep in touch with our clients by using a rolling communications calendar. This is a programmed sequence of letters, events, telephone calls, special offers etc that take place frequently and routinely at defined points within the pre-sales, sales as well as post-sales procedure. We believe that through this retention system our customers will respond positively because they will feel appreciated and important. This system will recognize customers, keep them informed, and reinforce their reasons of doing business with us and accordingly this will make them feel part of the business and therefore they will be willing to come back again and again (Sharp, 2007). Extraordinary Customer Service In our business, we will ensure there is always a never-ending pursuit of excellence to ensure that our clients are always satisfied and that they inform others how well we treat them while doing business with us. We will ensure that our promotion playing cards will be delivered into the realm of extraordinary through delivering higher than anticipated level of service to all our customers. Major aspects will include: Devotion to customer satisfaction through all workers Giving instant response to our customers Constant o-timely delivery No buck passing Loyalty Cards P-Card is loyalty playing cards management system whereby holders will be rewarded with discounts. The loyalty will be available to all our clients and also our customers will be earning points which will be redeemable after accumulating to a certain level (Sharp, 2007). Courtesy System in the Company This system will involve speaking to work-mates politely and pleasantly and treating them well. The system can improve the interpersonal skills of the employees. It will make the workers feel worthwhile and essential, and this eventually will create satisfying social contacts at work. The system will also motivate the workers and the will end up providing extraordinary services; will encourage workers to be constantly pleasant in all their undertakings and to relate with the customers in a friendly way. This will results into better, stronger, more trustful relationships in addition to longer term connections with the business’ clients (Sharp, 2007). Staff Retention Program In order to motivate the employees in the business, we will recognize their efforts constantly and reward them too. The most hardworking employees at the end of every quarter will be given a cash reward worth $300 and get an acknowledgement certificate from the management. Additionally, we will reward our employees through training and such training sessions will constantly improve employees’ performance along with the productivity of the business. The employees will also be given leadership roles for rewarding their performance because leadership roles greatly stimulate many people (Sharp, 2007). Legal Considerations The business has been registered and an ABN and license have been obtained for running the business. The business must follow: Award conditions Health Safety & Environment (HSE) regulations. Generally, legal laws and regulations which should be followed by the employer include: Pay superannuation Minimum wage Tax Unable to unlawfully dismiss employees Anti-discrimination policy For the employees, they will follow various organizational regulations as stipulated in the company’s policy as well as the Health Safety & Environment (HSE) regulations. References Australian Government. (2009). Department of Resources, Energy and Tourism, National Long- Term Tourism Strategy. Discussion Paper. Bent, F. (2008). Underestimating Costs in Public Works Projects: Error or Lie?"Journal of the American Planning Association. Vol. 68/3. Buhl, K. (2010). How Inaccurate Are Demand Forecasts in Public Works Projects?" Journal of the American Planning Associations. Vol. 71/2. Cullen, D. (2007). The Little Book of Big Promotions, Volume 10. Sydney: Rockport Publishers. Grayline, (2012). The Changing Face of Australia’s Tourist Destinations. . Michael, H. (2010). Marketing Strategy. London: Cengage Learning. Nada, R. (2012). Operations Management. New York: John Wiley & Sons. Pinson, L. (2008). Anatomy of a Business Plan: A Step-by-Step Guide to Building a Business and Securing Your Company’s Future (6th Edition). Chicago: Dearborn Trade. Tourism Research Australia, (2010). State of the Industry, 2010. Gold Coast City Council, 2012, ‘Gold Coast Harbor Study. Australia. Sharp, B. (2007). Loyalty Programs and Their Impact on Repeat-Purchase Loyalty Patterns", International Journal of Research in Marketing. Vol. 14/5. Weede, T. (2007). Start Your Own Personal Training Business. Austria: Entrepreneur Press. APPENDIX FINACIAL FORECASTS Income Statement - Three Year Summary Year 1 Year 2 Year 3 Totals Sales Sales 2,364,839 5,202,645 7,591,132 15,158,616 Other 0 Total Sales 2,364,839 5,202,645 7,591,132 15,158,616 Less Cost of Goods Sold Materials 0 Labor 0 Overhead 0 Other 2,096,056 4,578,327 6,604,286 13,278,669 Total Cost of Goods Sold 2,096,056 4,578,327 6,604,286 13,278,669 Gross Profit 268,783 624,318 986,846 1,879,947 Operating Expenses Salaries and wages 36,072 40,581 58,116 134,769 Employee benefits 18,036 20,291 29,058 67,385 Payroll taxes 6012 6764 9686 22,462 Rent 30,060 30,060 40,080 100,200 Utilities 5845 5845 6680 18,370 Repairs and maintenance 3340 3340 3340 10,020 Insurance 5845 9185 16,700 31,730 Travel 7,097 17,535 30,895 55,527 Telephone 5970 7933 10,855 24,758 Postage 2505 4175 8350 15,030 Office supplies 5428 8350 12,525 26,303 Marketing and advertising 39,700 38,410 50,100 128,210 Professional fees 31,125 16,550 16,500 64,175 Training and development 10,020 16,700 35,070 61,790 Bank charges 150 150 200 500 Depreciation 9185 9185 9185 27,555 Miscellaneous 0 Other 0 Total Operating Expenses 216,390 235,054 337,340 788,784 Operating Income 52,393 389,264 649,506 1,091,163 Interest income (expense) (8350) (8350) (8350) (25,050) Other income (expense) 0 Total Non-operating Income (Expense) (8350) (8350) (8350) (25,050) SOURCES OF FUNDS Equity Financing: Preferred Stock: Common Stock: Debt Financing: Mortgage Loans: Other Long-Term Loans: Short-Term Loans: Convertible Debt: Investment from Principals: $41,750 USE OF FUNDS Capital Expenditures: Purchase of Property: Leasehold Improvements: Purchase of Equipment/Furniture: $29,225 Other: Working Capital: Purchase of Inventory: Additional Marketing Activities: $ 34,700 Other Business Expansion Activities: Other: Database and Web site $ 41,325 Debt Retirement: Cash Reserve: Price Tags 100% Plastic Playing Cards-Black/Gold $ 14 100% Plastic Playing Card: $ 8 Low Vision Playing cards: $ 6 100% Plastic Playing Cards-EPOC: $ 14 100% Plastic Playing Cards – Royal: $7 Paper Cards: $ 9 MAP OF COOLONGATTA Floor plan Read More