2.

0 INTRODUCTION:

I have selected Sainsburys¶s as an organization. This report is about Sainsbury¶s key objectives, major influences (both internal and external), functional areas and the effect of current economic situation on the business.
3.0 RESULT/FINDINGS: Sainsbury Key Business Objectives: 3.1 Mission Statement:

Mission statement aim is to get the word across to the people about what the company is really about and what it wants to be related and recognized with. This is mission statement of Sainsbury "Our mission is to be the consumer's first choice for food, delivering products of outstanding quality and great service at a competitive cost through working 'faster, simpler and together´

Sainsbury also has a logo and a strap line
Aims and objectives

S: specific M: measurable A: achievable R: realistic T: time

Priorities: · Reduce the environmental impact of products. Goals: · Environmental Management System: Manage the significant environmental effects over which we have direct control and seek to influence those of our customers and suppliers who reduce the impact our organisation has on the environment. . with the aim of r educing CO2 emissions while achieving customer satisfaction and business growth. No change to priorities or goals has been seen to be necessary as the business has not altered since the priorities and goals were formulated. and address employee and customer travel. These are based on those environmental impacts that are considered the most significant for the business. · Reduce waste. · Transport: Increase the efficiency of transporting our products.J Sainsbury's aims and objectives Their business is now focused very much on Sainsbury¶s Supermarkets and Sainsbury¶s Bank following the sale of Shaw¶s and JS Developmen ts during the year. · Own-Brand Products and Suppliers: Influence our suppliers to reduce their direct environmental impacts and improve the environmental quality of own-brand products through more sustainable sourcing. · Reduce CO2 emissions. Three key priorities and six goals were developed in 1998.

Sainsbury¶s will continue to innovate and provide leadership in delivering quality products at fair prices.2 Growth: In May 2007 we identified five areas of focus to take Sainsbury¶s from recovery to growth: y Great food at fair prices: To build on and stretch the lead in food. value and innovation and to provide a broader shopping experience for customers. at the end of each year. To find relevant information needed I will be using resources such as information from class notes/worksheets. (http://www. In the case of Sainsbury¶s it is a profit maximization firm.3. since each shareholder gets a proportion of the profits. called dividends. textbooks and the Internet. job roles etc.1 Profit maximization: Sainsbury's Stakeholders and their Job Roles The purpose of this task is to outline certain departments within the supermarket. sourced with integrity. which will generate capital for the company. The company. Stakeholder is anyone who shows an interest in the business. is likely to attract the most potential shareholders and keep most of its shareholders. such as stakeholders. which means that ownership of the company is divided up between all the shareholders and the decisions are made by the board of directors with the sharehol der¶s best interests in mind. . relative to their share size. fresh an d tasty food.info/AS_and_A_Level/Business_Studies/Structures__Objecti ves___External_Influences/Sainsbury_s_Stakeholders_and_thei r_Job_R_L135631. y Accelerating the growth of complementary non -food ranges: To continue to develop and accelerate the developme nt of non-food ranges following the same principles of quality. This is usually profit maximization. Shareholders/Owners Sainsbury is a Plc. safe. html ) 3. which generates its shareholders the most divi dends.coursework. By sharing our customers¶ passion for healthy.

Morrison¶s and . strong pipeline for future growth _ Focus on fewer.3 Market domination: Although Sainsbury¶s seems to doing very well.6% .Bigger food and non-food offer .9% . The other main players include ASDA.j-sainsbury. it faces fierce competition from other supermarkets in the industry.co.pdf ) 3.Customer transactions continue to grow _ Underlying profit before tax up 13. Active property management: The ownership of property assets provides operational flexibility and the exploitation of potential development opportuni ties will maximise value (http://www.Like-for-like sales growth of 3.Universal appeal delivering in a challenging environment _ Customer offer developed further to perform in the current economic climate On track for 4% gross space growth this year and 5% per annum thereafter _ new store openings in line with plans. investment in offer.jsainsbury. tight cost control . larger extensions .3% .com/files/results/interims08/slides/files/2008_interim_slides.shtml ) A report by Sainsbury¶s on 12 th November 2008 _ Total sales are up to 7.uk/ar08/businessreview/corporateobjectives.delivering lower cost per square foot _ Rolling refurbishments commenced now that catch -up work complete _ Flexibility around capital spend (http://www.Sales growth. actively seeking and developing a pipeline of new stores and extending the largely underdeveloped store portfolio to provide an even better food offer while also growing space for non -food ranges.y Reaching more customers through additional channels: To extend the reach of the Sainsbury¶s brand by opening n ew convenience stores. y Growing supermarket space: To expand the company¶s store estate. developing the online home delivery operation and growing Sainsbury¶s Bank.

as well as providing other ways for customers to be green and clean at home. All these firms are significant in size and influence the market. or from material approved by the Forestry Stewardship Commission (FSC).uk/crs/08/1BUS01910908.studynet2. Sainsbury's entire range of own -brand tissues.4 Brand Leadership: Own-Brand Products and Suppliers Influence Sainsbury¶s suppliers to reduce their direct environmental impacts and improve the environmental quality of own-brand products through more sustainable sourcing for example Sainsbury's will give a major boost to the world's forests today by announcing that it will be the first to source all of its own-brand tissue from sustainable sources. along with millions of tissues every year will now be made from either recycled paper.nsf/GroupView?openagent &view=pages&group=demo ) 3.herts. the market has a very high concentration with 76.ac. 191 million toilet rolls. with an aspiration to extend to 100% to include paper tableware and home accessories. Both are recognised as the most environmentally-responsible. The move will account for 85% of all the wood -fibre products that Sainsbury's currently sells. As the figure below shows. (http://www. This means 76 million kitchen rolls. From May 2007.2% of the market in the hands of the top 4 supermarkets.Tesco. . kitchen towel and toilet roll will be made from sustainable wood fibre which doesn't compromise the future of forests.

277 per cent. Qatar Holding LLC is a wholly owned subsidiary of Qatar Investment Authority (µQIA¶) and acts under QIA¶s direction and control.7 Customers: .85 per cent.09 per cent. so whatever a customer's budget. Calyon SA. 3. The move will include all ranges.28 per cent indirectly through Innotech Advisers Ltd.jsainsbury. Credit Agricole Asset Management notified the Company on 23 November 2007 that the Group owned 3.6 Share holders: Major shareholders: The Company has been advised of the following interests in its shares: y Qatar Holding LLC notified the Company on 28 July 2008 that it held 27. they can support the environment. Lord Sainsbury of Turville notified the Company on 31 March 2008 that he held 5. ASDA.asp?PageID=424&subsection=&Year=2007&NewsID=851 ) 3.com/index. (http://www. from µBasics'.Sainsbury's is the first retailer to convert all of its own-brand tissue to recycled or FSC approved fibre. Morrison¶s and Tesco¶s. They need to work hard in the grocery market because Tesco got 31. y Legal & General Group Plc notified the Company on 3 October 2007 that it held 4.0 per cent.21 per cent.57 per cent directly and 5.5 Survival: Sainsbury¶s is doing good to survive as they got 4 major competitors e.g.4 % of the main market share. Lord Sainsbury of Turville holds 0. Major Influences: 3. to more premium tissue. Credit Agricole Asset Management Group. y Credit Agricole Cheuvreux International Ltd. a company 100 per cent owned by Lord Sainsbury of Turville. y y Judith Portrait notified the Company on 21 February 2008 that she held 4.

jsainsbury. This service is now fully integrated with our stores and we have made good progress. A good example is our Sainsbury¶s to You home delivery service. This is an important service for our customers but we pu t expansion on hold while we work hard to improve our performance. improved availability of products and higher service standards.Lots of little things can make for big change. (http://www. Availability has improved by 4. The pressure group says the latest government figures show that 29% of apples sampled at Sainsbury's contained pesticide residues and has accused the supermarket giant of making "Pinocchio pesticide promises". But we know that will not be enough. .co.8 Pressure Groups: There are too many pressure groups which are affecting Sainsbury¶s for example Sainsbury's has been accused of misleading the public in an advertising campaign about its use of pesticides. like stores. (http://news. They have commented on our better pricing.bbc.stm ) 3. Sainsbury's has rejected the claim and says it is not seeking to misleading its customers in any way. Friends of the Earth says an advert for the supermarket published in national newspapers falsely implies that apples and other produce from Sainsbury's are free of pesticides. Our customers tell us they can see the difference already.5 percentage points and this is a good indication of the overall improvement being experienced by all our customers whether they shop in-store or online. Customers want constant improvement and that is what we will give them.asp?pageid=61 ) 3.com/ar05/index.9 Employees: y Save-As-You-Earn scheme for supermarket staff offers chance for company shares to be bought at a 20% discount. particularly on availability where. we have been able to reduce the number of products out of stock.uk/1/hi/uk/983656.

25 or 40 years' service. · Reduce CO2 emissions. y y Long service awards are given to staff with 15.co.y A profit-sharing scheme allows employees to have shares or cash. the company operates performance -related pay and bonus schemes for middle and senior managers. (http://www. Roughly 50% of the company's shares are owned by current or former staff and it is this scheme that is largely responsible. As Sainsbury¶s main priorities are Priorities: · Reduce the environmental impact of products. · Reduce waste. employees receive a 10% reduction on products bought from the compan y. y Under a staff discount scheme.uk/compfact/sainsbury/sains17.10 Government: Government make sure that Sainsbury¶s is making environmental friendly products and they are reducing CO2 emissions. 3. Also.htm ) As employers are the main thing of any firm so Sainsbury¶s is doing too many things to motivate their employees so that they work hard for the firm. Functional Areas: The functional areas at Sainsbury¶s are: · Human resources · Finance · Administration · Production · Marketing and Sales · IT .bized.

use and retain and manage information . employee relations and personnel practices required by the business Finance:  Supports and guides the business on where to spend the money and where not to spend money. HR:  Business needs people with the right skills. marketing is about the future.  To make money available to spend on business needs  Generates profit and loss accounts. make sure the product is available at the right price. Marketing and Sales:  Sales is about the present market. in the right place and at the right time  Need to be able to fit work to people and fit people to technology. the objective of the sales team is to generate sales now  The objective of marketing is to preserve customers over the long term and generate new markets  Ensures product quality. the right place and is promoted in the right way IT:  Any business needs to be able to communicate both internally and with externally and to provide.Each functional area operates to support Sainsbury¶s aims and objectives and a range of activities goes on in each one. to provide effective and profitable products and services  Role of HR is to provide the basis for staff management. t he balance sheet and advises management on how well their function is doing.

said: "We have successfully developed our offer to help offset the rising cost of living and tighter household budgets. Despite the gloomy retail market. as it delivered booming sales of own-label value lines and won over customers from the up market grocers Marks & Spencer and Waitrose during the credit crunch. Justin King. . Its like-for-like sales jumped by 3. over the period. Mr.html ) Supermarket giant Sainsbury's has appeared to buck the credit crunch trend and today posted a 13. the supermarket's chief executive.co. (http://www. King declined to provide sales data for the period since 4 October. but pointed to Tuesday's TNS World panel data. excluding fuel." His comments came as Sainsbury's delivered an 11. Require both support function technology and information systems to support efficient processes  Technology advances brings both opportunities and threats to businesses.11 Effect of Economic Situation: Due to current economic situation Sainsbury¶s sales rises as customers turned to own brand products. Sainsbury's touted its discount grocer credentials yesterday.4 per cent. ASDA by 9 per cent and Tesco by 5. which said that Sainsbury's had grown sales by 6 per cent for the 12 weeks to 4 November.9 per cent. Morrison¶s increased sales by 9. Sainsbury's was buoyed by its 15th quarter of sales growth in a row. reporting underlying pre -tax profits of £272 million in the six months to October 4.3 per cent hike in half -year profits. Over the same period.2 per cent uplift in pre -tax profits to £258m for the 28-week to 4 October.4 per cent.independent.uk/news/business/news/sainsburys -sales-rise-as-creditcrunch-customers-turn-to-ownbrand-products-1015867. 3.

uk/news/article -1085031/Sainsburys-defies-retailgloom-post-13-3-credit-crunch-profit.com 7.uk/ar08/businessreview/corporateobjectives.info/AS_and_A_Level/Business_Studies/Structures__Objecti ves___External_Influences/Sainsbury_s_Stakeholders_and_their_Job_R_ L135631.uk www.( http://www.0 Bibliography: www. They motivate their employees as well.dailymail. delivering products of outstanding quality and great service at a competitive cost through working 'faster.co.bbc.0 Conclusion: As the mission statement of Sainsbury¶s says: "Our mission is to be the consumer's first choice for food. As they have less effect of credit crunch.It hailed its 'universal customer appeal' for its healthy profit margins as it said sales rose 3.co. html ) (http://www. They will achieve their aims with the help of functional areas. I believe they will get their aim in some years. simpler and together´ There is less effect of current economic situation on Sainsbury¶s as their sales are increasing.0 Analysis: Sainsbury¶s seems to be doing really well in UK.coursework.0 References: (http://www. 6.co.9 per cent on a like -for-like basis in the period.co.sainsburys.shtml ) . 5.j-sainsbury.j-sainsbury.uk http://www.html ) 4.

html ) (http://www.co.herts.html ) .nsf/GroupView?openagent &view=pages&group=demo ) (http://www.uk/compfact/sainsbury/sains17.pdf ) (http://www.jsainsbury.ac.co.studynet2.dailymail.uk/news/business/news/sainsburys -sales-rise-as-creditcrunch-customers-turn-to-ownbrand-products-1015867.(http://www.uk/news/article-1085031/Sainsburys-defies-retail-gloompost-13-3-credit-crunch-profit.stm ) (http://www.independent.jsainsbury.co.co.com/index.htm ) (http://www.j-sainsbury.bbc.uk/1/hi/uk/983656.com/ar05/index.com/files/results/interims08/slides/files/2008_interim_slides.bized.uk/crs/08/1BUS01910908.asp?PageID=424&subsection=&Year=2007&NewsID=851 ) ( http://www.asp?pageid=61 ) (http://news.

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