Final Strategic Plan

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Final Strategic Plan

CERTIFICATE OF ORIGINALITY: I certify that the attached paper, which was produced for the class identified above, is my original work and has not previously been submitted by me or by anyone else for any class. I further declare that I have cited all sources from which I used language, ideas and information, whether quoted verbatim or paraphrased, and that any and all assistance of any kind, which I received while producing this paper, has been acknowledged in the References section. This paper includes no trademarked material, logos, or images from the Internet, which I do not have written permission to include. I further agree that my name typed on the line below is intended to have, and shall have the same validity as my handwritten signature.

Student's signature (name typed here is equivalent to a signature): ____Patricia Bernard______________________

Final Strategic Plan Final Strategic Plan

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Organizations in today’s competitive business world must include a strong and effective strategic plan. Southern Cab Service must implement such a plan that will carry the business to new heights. This strategic plan must include a mission and vision statement that will describe what the company stands for. By using a helpful tool such as the SWOTT analysis, Southern Cab Services’ strengths, weaknesses, opportunities, threats, and trends will be identified. Another successful tool that will be used will be the balance score sheet. This will be used to set objectives, measures, and targets that can be used to help align the company’s mission and vision statement. The final strategic plan for Southern Cab Service is now in place; next stop, success! Southern Cab Service is a family owned cab company that was created in 2009 by James and Patricia Bernard. The organization is located in Lafayette Louisiana, and will serve customers in Lafayette Louisiana and surrounding areas. The company will employ 25 drivers along with two dispatchers. Currently there are three competitive cab companies in the area who have been operating for several years. Southern Cab Company vows to bring something to the community that has never been offered by any of the competitors. The organization will offer clean non-smoking vehicles, uniformed drivers, and the customer experience that will leave the passenger wanting more of Southern Cab Service. Customers will feel like they are being chauffeured to the destinations. Southern Cab Service has an obligation to its customers and its employees. Providing an ethical and fair work environment for all drivers is a goal that the organization wishes to always achieve. By allowing employee and customer feedback, the company will have a chance to view aspects of the company through the eyes of the employee and the customer, making changes and improvements that will help the company grow.

The organization is built on personal values such as integrity. The company will reach this goal by making sure drivers have the proper training and are not overworked. Vision Statement The vision statement is for Southern Cab Service to be Louisiana’s number one choice for quality cab service. Southern Cab Service vows to create a safe riding experience for all customers. learning and training. Mission Statement Southern Cab Service’s mission statement is to provide safe and quality service to all customers in an effective and efficient manner while transporting customers to their desired destinations. . The company’s objective of quality service speaks in the company’s mission statement. With the implementation of these values. team work. communication. Customers and drivers will be able to feel safe knowing they are in good hands. Southern Cab Service will strive to be the best. The company will monitor the demand of cab service annually to determine the profit made by the company and determine whether or not to expand to a second location. performance. allowing the organization to maintain a suitable objective.Final Strategic Plan Values 3 Ethics and values must play an important role in Southern Cab Service. The objective of offering quality service to all customers is the law of Southern Cab Service.

and society (Pearce & Robinson. Employees are encouraged to give feedback and suggestions to help make the working environment better. The company must create a successful business plan in order to compete with other competitors in the market. If an organization positions itself on that superior quality of service. Southern Cab Service will position itself on a high quality standard based on services that will be provided to the customers and the excellent customer service that will be provided. Southern Cab Service also understands the commitment to society. . customers. These principles should be practiced daily and never should be compromised. Training and mentoring is also important for all employees. they look to achieve that promise (Sekerka. All cabs will be kept clean and properly maintained at all times. 2009). Southern Cab Service is committed to providing employees with the necessary knowledge and skills needed to perform these duties properly. An ethical code of conduct will be put in place for all employees to follow.Final Strategic Plan Guiding Principles 4 Guiding principles are promises made by employees. Southern Cab Service will adhere to these principles and operate and demonstrate ethical behavior and responsibility. 2005). Bagozzi & Charnigo. Competitive advantage is gained through organizations positioning itself through superior values. Evaluating how successful the service will be in an existing market is important. Southern Cab Service’s employees are a necessity to the company’s success. Employees and customers will be encouraged to offer feedback and suggestions. Southern Cab Service will be committed to providing employees with the necessary tools to encourage development. Southern Cab Service must provide a service to the customer that will offer the customer’s best interest. by providing a safe environment for customers and drivers.

and a company that looks out for its customers like family. Southern Cab Service believes customers need to feel safe when trusting another driver with their safety.Final Strategic Plan 5 Southern Cab Services will offer state of the art GPS technology to monitor driver’s locations and to act as a safety guard for both drivers and customers. All drivers will have to maintain a clean driving record and will have to take random drug and alcohol tests. Southern Cab Service will meet the company’s mission statement and will provide excellent service to all customers who decide to ride with us. Southern Cab Service must effectively communicate the company’s vision and mission statement to employees and customers. Other cab companies in the area have these but with the incorporated GPS and video system. it is believed that customers will be satisfied and will feel safer riding in a cab with a friendly driver. and will remain up to date on all learning and training modules that the company will require. Effective communication is also important to the success of an organization. but as Southern Cab Service begins to establish a reliable customer base. This technology will be an expensive investment in the initial phase. video monitored cab. To do this. All vehicles will be equipped with a video monitoring system that will capture photos and recordings of all occupants in all vehicles. Drivers will also have the state of the art communication system inside every vehicle to stay in constant contact with the dispatcher. a communication plan was developed to create a visual of how the strategic plan will be implemented. Drivers will be training in defensive driver. .

hands on activities Morning meetings. objectives for President the week will be visited. memos. Then Monthly monitoring of the objectives will be revisited. flyers Frequency Quarterly monitoring. All employees will be encourage to uphold the company’s mission and vision statement President/Vice President (managers) Training All employees of Southern Cab Service Employees. Every Monday President/Vice Morning. billboards. safety meetings. radio.Final Strategic Plan Communication Plan Outline-Southern Cab Service 6 Value Vision& Mission Audience All customers in Lafayette. and surrounding areas in need of cab service Method TV commercials. Quarterly monitoring/performanc e based. management staff Strategic Objectives Defensive Driving. customer surveys Weekly. modules. Responsible Party President/Vice President. External Forces and Trends Considerations . email.

and trends. weaknesses. Losing the trust of customers can hurt the organization to the point of no return. legal and regulatory. and understanding them in a business plan is important to the life of a business (Rajeev & Vani. threats. Ongoing training will be given to make sure all employees have a full and clear understanding of the importance of customer satisfaction. Strength Showing customers that Southern Cab Service can be trusted with their safety can make the social interaction strong for the company. opportunities. Weakness In case of an accident or malpractice. economic. This analysis will help identify some negative issues that the business may face. Requirements include for all drivers to receive training on operating wheelchair lifts and other devices that may be appropriate. All drivers will be trained in appropriate customer service. and global forces. Social Forces Southern Cab Service like many other cab companies have contracts with social service agencies to transport the elderly and disabled in non-emergency circumstances. A SWOTT analysis of Southern Cab Service was also conducted to gain a solid view of the businesses strengths. 2009). Opportunity . Southern Cab Service will lose the trust of society. Identifying these forces.Final Strategic Plan 7 The external analysis of Southern Cab Service is executed with the consideration of organizational forces such as social.

Some economic considerations would be taxi rates. Economic Forces Cab Service must pay a pre-tax to the government. Trends Social changes and norms provide new ideas for the company to advance to innovative actions. An organization has to be prepared to make diversified decisions and strategies for the diverse culture of social groups to reach every social level. 2009). this would cause less of a tax burden. An analysis would have to be made to determine when the busiest time for many cab services would be. The United States is still better prepared than other countries if a country has a good level of economy. The rate of the pre-tax will depend on the growth of the business (Rajeev & Vani.Final Strategic Plan 8 If Southern Cab Service follows all laws and regulations. If some individuals do not want that friendly atmosphere in cab service. despite the recent recession. Adaptation to Change Society can make or break a business. this doesn’t mean that society will change. and would choose to stay with the competitor this could have a negative impact on Southern Cab Service. which would improve the . Strength Well developed countries like the United States has a good level of economy. it stands a good chance in gaining customer support. Threat Because social norms are always changing.

additional funds must be kept in case business gets slow. Weakness Economic falls such as a longer recession. 2000). Some regulations that Southern Cab Service will have to adhere to in the state of Louisiana are requiring all drivers to obtain a Common Carrier Certificate. would cause the business to fail. Legal & Regulatory Any organization must adhere to laws and regulations set forth by the state and federal government (Skok. 2009). Louisiana Law states that cab services would provide services 10 miles beyond their parish of domicile in their vehicles and have a seating capacity of less than 10 passengers must obtain their certificate (Skok. Threat The recession may have caused customers to think twice about paying for a cab and may chose to carpool. Southern Cab Service must meet all legal regulations according to the law of . Trends Economic fluctuations have a regular pressure on the organization. or take a cheaper route to their destinations. Adaptation to Change To operate Southern Cab Service successfully. 2000). Opportunity 9 Southern Cab Service has a chance to flourish. The economic status in the United States shows the recession may be nearing its end which could be a huge opportunity for Southern Cab Service to grow. A successful company must be able to still operate smoothly even though economic hiccups may arise (Rajeev & Vani.Final Strategic Plan profitability of Southern Cab Service.

and make changes accordingly. and gain a negative reputation. extreme market research would need to be done to determine the demand of the cab service. If Southern Cab Service were to go global. Opportunity By adhering to all legal regulations looks good to customers who may be considering using Southern Cab Service. Threat If the company does not follow legal laws. Weakness Changes in regulations can make the business amend its own business policies. This shows that the company is following all regulations required. As regulations update.Final Strategic Plan Louisiana. Trends Legal rules are constantly changing. the organization could be shut down. Adaptation to Change Southern Cab Service should frame its services and policies according to the related legal regulations. Southern Cab Service will adhere to these updates and will create a growing trend for other competitors. Global Forces There are no plans for globalization at the moment. Strengths . Strengths 10 Adhering to all legal and regulatory aspects would work in favor of the business.

the company has no control. Weakness When operating at a global level competition will also increase. Internal forces that would affect Southern Cab Service would not have an impounding impact as external forces. Adaptation for Change Running a business at a global level will provide diversified services to customers. Trends With the increased level of globalization the growth chances will increase.Final Strategic Plan The demand for cab services has grown over the years. Business strategies can help make a business successful and can also destroy one (Skok. 2000). The cab companies in the Louisiana area are currently not global. consumers find it easier to pay for cab services. Strategy Business strategies are the fundamentals of an organization on which its business resides. Opportunity 11 The opportunities of global cab services will be an advantage for Southern Cab Service. With unsteady gas prices. Threat Running a cab service globally may be a challenge due to already existing markets in the global arena. Strength . Internal forces can be controlled by the company. while with external forces.

The database will keep track of drivers’ logs. Processes and Systems The business process and its systems are required to be handled in a proper manner for the industrial success. Strengths Business processes can make Southern Cab Service’s business plan effective. the company would have to hire skilled professionals to do the job. Weakness The company would have to use a large amount of its capital share which could decrease the company’s profitability. Threat If the strategy does not work the company will have to change its strategy.Final Strategic Plan 12 Fully developed strategies can be a positive accomplishment for Southern Cab Service. and vehicle information and maintenance as well as customer information and destination. The company will work on a system that will allow customers to request a cab online for assurance of a cab at a later time. Adaptation for Change For a new and innovative business strategy. . Trend If the company would develop a new strategy this would help the organization attain a competitive position. Opportunity Southern Cab Service can be the first cab company in Louisiana to offer innovative services that no other cab service has to offer. rates and regulations.

Southern Cab Service looks to express its culture to customers by offering them friendly and hospitable service. Threat If Southern Cab Service wants to adopt a new business process. Adaptation for Change Southern Cab Service business process should be changed only if effective profitable change can come about.Final Strategic Plan Weakness 13 If carelessness is shown in the business. this could create a negative reputation for the business. Weakness . Potential customers will have an opportunity to explore what Southern Cab Service has to offer. If customers do not accept the new strategies this could be a threat for the organization. Culture Southern Cab Service is based in Louisiana which is known for its Southern hospitality. Opportunity Effective business processes can create popularity for the company. Strengths Business culture can be an effective competitive advantage for Southern Cab Service. It would be wise to get the customers consent. Trends The adoption of a new process could become a fruitful achievement for Southern Cab Service.

Threats If cultural values are not found favorable among customers this could lead to a decreasing customer base and decrease in profits for the company. Culture in society is constantly changing. SWOTT Analysis Table . The business process must be molded in accordance to required cultural values. causing customers to go elsewhere. Strategy formulation should be favorable to all stakeholders of the company. Trends Proper management could lead to a successful business. Adaptation for change Southern Cab Service can take customer feedback and work toward ways to make the business successful.Final Strategic Plan 14 The absence of favorable culture could have a negative impact on the business. Issues and Opportunities The main issue for Southern Cab Service is culture. Opportunity The encouraging business culture can allow Southern Cab Service to have an opportunity for new and innovative ideas.

and have also been a customer.Because of the effective customer service. more people will have to be hired. As the company grows.Business knowledge and experience from James Bernard and Patricia Bernard Ø Goals. or go out of business. Ø Strategic Capabilities. Ø Goals. Effective communication skills and management skills.The recession may still have a ways to go before people can feel at ease. and have a seating capacity of less than 10 passengers.the company will use all resources such as the internet for some directions.Final Strategic Plan 15 Ø Strategy.Licensed drivers. the foreign market may not be ready for Southern Cab Company’s style Ø Economic.Our management skills must be effective and solid. Ø Competitive Analysis.Southern Hospitality Ø Innovations.Small channels of distribution are needed for this particular business. This may become hard for 2 people.Patent brand name Ø Leadership.Skilled leadership skills from both Patricia and James. it may be hard to maintain state of the art technology as technology is always changing.A friendly atmosphere could lead to customers telling their friends about our services .Because the company is just starting. we could lose customers. Ø Culture. Ø Social.Have researched the current cab companies in the area. Opportunities Ø Processes and Systems. drivers will become like family to the customers Ø Environmental. and video monitoring systems Ø Intellectual Property. this may cause a problem Ø Technologies.Unfamiliar market. and how customers are treated.New to the market and the area. If the internet is down. Trends Ø Global. We researched how the company operates. Common Carrier Certificates are needed for any cab service who operates ten miles beyond their parish of domicile in their vehicles.State of the art GPS. and the company will have state of the art technology.If my company does not meet the goals set forth. Ø Resources.Long and short term goals are realistic and achievable Ø Culture.Strong business plan already set in place Ø Structures. Threats Ø Legal and Regulatory.

This perspective is driven by revenue growth and cost efficiency. profitability and competitive position. customer satisfaction. employee turnover. . and enhancing customer value. Determining where the company will be compared to other cab services in Louisiana. productivity improvement. 2005). nature of organization culture. The financial perspective involves strategic objectives such as market share. The second perspective to be examined is the customer perspective which involves customer retention. is an important factor to consider. The perspective includes employee satisfaction. The balance scorecard for Southern Cab Service consists of the four perspectives which will create a solid picture of long-term goals of the company. Southern Cab Service must also consider competitive position. Southern Cab Service is committed to cost efficiency by improving cost structure. The third perspective is the internal perspective which includes measuring the process of performance. In a balance scorecard. revenues and costs. four perspectives are examined. The company can focus on revenue growth by expanding revenue opportunities. and increasing asset utilization. New innovative ideas can increase the company’s financial profits and have the company soaring to new heights.Final Strategic Plan A balance scorecard provides stakeholders with valuable information of how an 16 organization is developing towards their strategic goals. The fourth perspective is the learning and growth perspective. level of organization. Within the financial objectives. the company must be prepared to employ more employees and invest in more equipment for the business. and technological innovation (Pearce & Robinson. Financial The financial perspective is the ultimate goal of a company. The financial goal of Southern Cab Service is to become profitable and expand into a second location in three years. and operations metrics. With financial plans to expand. and customer values are examined.

Final Strategic Plan Customer Southern Cab Service acknowledges the customer is what makes our company successful. The balance scorecard will help determine the unique factors that the company possesses compared to the other cab services in Louisiana. This process examines and focuses on the most critical aspects that would make the company successful. this process will help the business structure to form a solid foundation. By stepping into the customer’s shoes will help draw a picture of the customer’s perspective. The customer perspective can be viewed as how the customer sees our company. This critical piece of information will separate the company from the competition. The balance scorecard will determine a clear picture of the customer’s perspective of Southern Cab Service. Southern Cab Service will provide customer satisfaction and quality service to create a safe and reliable experience for all customers. Although Southern Cab Service will be new to the transportation market. By helping our 17 customers to feel safe while traveling with us will lead to a satisfying experience and will create customer loyalty in the future. The organization believes in customer satisfaction and safety. and customer retention. The customer perspective will include measuring the level of customer satisfaction. Internal Process This process will determine how Southern Cab Service will rank in the transportation market. Employees must remain certified in all areas of the business in order to maintain a safe operating facility. the company will need to make sure all employees have the proper training and ongoing training available. Southern Cab Service must determine what the company will excel at the most. . The balance scorecard will create a visual image of how successful Southern Cab Service can be. Learning and Growth After Southern Cab Service is considered an established entity.

Final Strategic Plan 18 Managers will be trained on effective leadership skills and management skills. . This scorecard will provide direction for Southern Cab Service and will lead to a successful organization. All employees will be trained on proper communication skills and customer satisfaction. Training requirements will be updated annually for employees to remain in compliance with company policy. The balanced scorecard is an added tool in creating successful short and long-term goals.

Final Strategic Plan 19 Southern Cab Service Balance Scorecard Areas for Measures Financial Objectives Increase profitability Increase revenue Lowest costs On-time cabs Lowest prices Safety Measure Market value Price of vehicles Cab fares Arrive rating Customer ranking Number of customers On time pickup and arrive Effective communication Metrics % in market share % of vehicles % of fares collected Customer surveys Customer surveys Rank all customers satisfied and dissatisfied % of on time arrival and pickups Feedback from customers and employees regarding communication % of satisfied customers who think our services are reliable Employee training program Performance surveys (excellent =5 to poor =1 Monitor employee feedback and involvement Target Year 1 2% 1% 80% 80% 80% 80% Target Year 2 3% 2% 92% 85% 85% 90% Target Year 3 5% 3% 100% 100% 100% 100% Customer Internal Improve turn around Communication 85% 75% 90% 80% 100% 95% Reliable services Learning & Growth All employees receive proper training Evaluations Skills with employees/custome r monitor reliable service through surveys Provide clear understandable instruction Customer and employee feedback Encourage communication both internal and external 80% 90% 95% 80% 85% 85% 90% 90% 95% Ensure effective customer service skills 85% 90% 95% .

it must be communicated and implemented throughout the organization. With every employee on the same page. the company can work towards creating a new breed of cab service for Louisiana. Now that the final strategic plan has been developed. .Final Strategic Plan 20 This strategic plan will help ensure success for Southern Cab Service.

B. 7(4). Bagozzi. Retrieved July 31. (2009). M. 224. 89(4). 2010 from ABI/INFORM Global. 2010 from ABI/INFORM Global. Strategic Management (9th ed) McGraw Hill. and Robinson. 9(1). MA Rajeev. 2005 Boston. . Sekerka. R. 565-579. Journal of Services Research. Facing Ethical Challenges in the Workplace: Conceptualizing and Measuring Professional Moral Courage. J. 2005). R. Retrieved July 31. R.. UNDERSTANDING STRENGTHS. L. 2010 from ABI/INFORM Global. & Charnigo. & Vani.. Journal of Business Ethics. WEAKNESSES AND COMPETITORS..Final Strategic Plan References 21 Pearce. 51-67.. (2009). Skok. Managing knowledge within the London taxi cab service. W (2000). Knowledge and Process Management. Retrieved July 31.

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