Project Assessment Task 1

BUSINESS PLAN

BUSINESS OVERVIEW
Canterbury Renovations is an organization which is spent significant time and specialized in
custom cabinets for the high end residential, resorts and commercial market. The founder of
this industry has experience of many years in cabinet business. The company is making
hard efforts by providing broad selection of design choices, high end finishes, customer
service and quality. Its main aim is to meet the needs of the customers and to make strong
position in the commercial development segment. The company aims to obtain margin of
about 25% up to third financial year. The company has made investment to cover the start up
expenses

PRODUCT AND SERVICES FEATURES

Canterbury Renovations provide timber, tiles, paint and plaster with their renovation
services. Their products will also include built-in appliances such as ovens, microwaves
cook-tops and dish washers.

Products provided:
 Reception counters.
 Kitchen cabinet base.
 Home office furniture.
 Household storage equipments

Services provided:
• people;
• process;
• physical evidence.
Selling a service can be harder to control and keep consistency, and as it can’t be stored, may
lead to rejecting potential sales in peak times. Customers don’t leave with a tangible item and as
a result may value your service differently.

TARGET MARKET
target market includes:
• people wanting larger or more modern living environments who want to stay in the area and/or
avoid moving costs;
• people wanting to live in area buying a property based on location not house style or condition
(about one third of renovators in the area);
• home owners (about half of renovators in the area) in the middle to high income bracket, with
at least two sources of income per household and a higher than average disposable income,
which was predominantly spent improving quality of life;
• people wanting to upgrade parts of their house in order to sell it for a better price.

OPERATIONAL PLAN

INTRODUCTION
The operational arrangement utilized for Canterbury Renovations which is represented
considerable authority in the remodel of household kitchens, washrooms and laundries.
Canterbury Renovations was exceptionally new opened and mean to give top notch items and
administrations, the reinvestment of the benefits into business development and the advancement
of a solid business personality is one of the organization's need.

The business is hoping to procure $50,000 when subsequent to paying the compensation, and
this number is confident to be $80,000 in the following year. Simultaneously, it is will be
conceivable to procure two extra staffs.

This development is anticipated to happen because of a solid promoting system and the
improvement of a notoriety for providing incredible items and excellent administrations. Be that
as it may, as the business creates, the assembling works will be required to move to a mechanical
site later on, which will likewise require extra account.

STRATEGIC GOALS AND OBJECTIVES

Market research completed by the owners uncovers an expansion in home redesign movement
among mortgage holders in their objective market. Such proprietor/renovators, particularly in the
internal rural areas, subcontract the more intricate work to developers. Market research also
indicates that many existing kitchen, bathroom and laundry renovators do not have a good
reputation, therefore, the proprietors believe they can gain a competitive advantage through the
provision of top quality products and services, access to specialty items and innovative designs.
Over the next 12 months, Canterbury Renovations will undertake:
 The company aims to be top cabinet supplier in the market with its best quality and
service.
 It wants to have sale of about 75% in high end residential customer segment.
 25 renovation jobs valued at $12,000 each;
 include built-in equipment in 12 jobs.
 To build up a fine showroom within 2 months in a renown retail space.
 To earn profit margin of 25% up to 3rd financial year.
 To obtain high customer satisfaction through best service.

OPERATIONAL GOALS

• They endeavor to regard the homes of their clients.

• They will in general leave the site in a perfect way as it seemed to be.

• Canterbury has the answer for all the issues identified with any sort of redesign work in
homes. The organization gives works like, plumbing, material, power, fixes of various types.

• It likewise furnishes with some regular items which, are valuable for any sort of home
improvement programs.

• The experts who are related with this organization furnishes with an answer that leaves
the proprietor's property looking particularly excellent than previously

VISION STATEMENT

our vision is to develop a main brand in the very good quality business improvement fragment.
We have a dream to catch 65% of the piece of the overall industry inside 8 years with our best
quality and brief client assistance.

MISSION STATEMENT
 Canterbury Renovations will target extending the market of cupboard making and
recreation of kitchens, restrooms and laundries with great items and top administrations
inside costumers 'spending plan. So as to make a superior encounter for clients, the
organization will offer a total assistance, including free structures and statements, supply
and establishment hardware and fittings. In addition, every one of these items will be
furnished with a 7-year assurance of after deals support.

• To deliver the high quality products to the customers.

• To give the best assistance inside spending plan.

• To offer brief support on schedule and to guarantee blunder free requesting

framework.

ORGANISATIONAL CHART

General

Sales officer Finance officer HR officer Quality officer

Sales department Finance department HR department Quality

management
department

Sales people Company accountant HR manager Customer care team

Online consultants Assistants Assistants Marketing specialist

Cabinet fitter

Apprentice
STRATEGIES, BUDGETS, TIMEFRAME, RESPONSIBILITIES AND RESOURCES

timefram responsibil
strategy budget resource
e ity
business cards
and staff
uniforms, are
created in
next three
Branding strategy General accordance with
$1000 to five
manager Canterbury
years
Renovations
corporate
identity style
guide
offering
bathroom
renovations but
they plan on
Product strategy
Sales extending into
$2000 1 month
manager kitchen
renovations and
extensions as
well.

labour of
constructions
Pricing strategy CEO ,
and installation,
$200 2 weeks general
materials and
manager
direct costs will
be 25 percent
Transport distributor
Distribution strategy $1500 1 years
manager
letter box drops,
local paper
listings and a
Senior
Advertising strategy $3000 2 weeks direct mail
manager
campaign to new
home buyers in
the area.
Direct marketing strategy $1000 1 year Marketing • offer business
manager card magnets to
real estate agents
 to offer as
promotional
gifts for new
home owners;
• add a survey to
the website
asking people to
select which
topics most
interest them.

• discounts
during the first
month of
operation to
attract
customers;
Sales promotion strategy Sales
$2500 3 weeks • discounts for
manager
multiple projects
(e.g. bathroom
and kitchen);
• free design
service as part of
the project
The website
includes a
contact form to
collect
information so
return contact
will be efficient
and informative
for the potential
customer.
within
Sales All staff giving
Sales strategy $2000 three
manager quotes and doing
months
designs will be
trained is sales
techniques to
encourage
additional work
or appliances
without being
pushy.
 with a bunch of
Packaging strategy $500 1 week Distributio flowers on
n manager display

RELEVANT PERSONNEL TO CONSULT WITH

General manager

As General Manager you will need to deliver an amazing guest experience and drive breakthrough results.
You will use your considerable operational and branded experience to help deliver excellence across the
business whilst motivating, developing and inspiring your team to maximise their potential.
Celia(owner) is the manager of the company

Managers in each department

Marketing manager, Sales manager.
Garry(employee) will do the marketing and sales

Team members

Canterbury Renovations has collected a team of dedicated and qualified staff.

The proprietors have experience in the industry but need training or experience in managing
staff. They are providing training for all staff into the preferred service technique and stylefor the
business.
 Stuart(employee) works as a designer in the company, he is responsible in designing new
plans for the renovations as well as construction of the new cabinets in kitchen, bathroom
and laundry. He is also assigned to work in the fitting and installations of the appliances
and equipment for the home upgrades.
 Bin(employee) is in charge of the manufacture parts for renovations, fitting and their
installations. Bin is a professional manufacturer with more than 8 years experiences in
the renovation field, he is capable of doing some other skills such as pluming, building
and some after sales maintenance.

COMMUNICATION METHODS
Brochures
The company will ask Orange Design to design business brochures, all the design work should
be finished by 20th March 2018, then 1000 brochures will be printed before 1th April 2018. A
part-time team will be paid to distribute all the brochures into mailboxes in the scope area
between April 1-7, April 10-17 and May 1-7, 2018. The cost of the designing and printing is
$200 and $100, the salary for the par time job is about $400, so the total cost of brochures will
be $700.

Direct contact with home buyers

Celia and Garry will attend lots of house and apartment auctions, activities as many as possible,
also they need to contact with some agents who sells the apartments and houses to seek business
corporations, they can engage with home buyers and offer their services when possible. They
required to take brochures when attend such activities and do some introductions to the person
who are going to be the customers of Canterbury Renovations.

Local media advertising

Garry will organize advertising in local newspapers, magazines and televisions in the month of
May, also he will invite some medias to report the company’s activities when possible. The
medias and dates for advertisement are as follows:

Media Name Advertise Time Cost

Melbourne Today 7th April 2018-10th April 2018 $500
Buying Good Goods 17th April 2018-19th April 2018 $300
Economics of Melbourne 23th April 2018 $500
News of 7 Channel 29th April 2018 $200
Big Business 30th April 2018 $500
PERFORMANCE CRITERIA (Key Performance Indicator)
1. Sales target for each employee for a month.
2. Level of increase in sales
3. Feedback of lucky winners
4. Feedback from customers of niche market.
5. Levels of sales.

HANDLING UNDER-PERFORMANCE ISSUES

Here are certain areas of underperformance of the company. In order to improve it, they must
look at the quality of products that they are using. Along with that they must try to increase their
numbers of clients. Though it is a long process, but still the ideal implementation will only be
possible through the increase of their popularity and productivity.

The changes can be implemented through their continuous deal with the clients. Just because it is
a new company that has been set up in the cabinet making process. Thus the company should try
to implement all the process for a smooth running of the company.
OVERCOMING A LACK OF OPENNESS AND TRUST
 Staying present is vital in overcoming your trust issues
 Learn to forgive. Forgiveness is key to trusting again.
 Don't repeat the same mistakes. Don't keep doing the same thing over and over in your
relationships and expect different results.
 Know what you want.
 Let go of fear.

CONTINGENCY PLAN

When completing a renovation, many homeowners understandably dread the thought of unexpected costs.
First and foremost, you want to make sure that you and your contractor set aside a portion of your budget for
those unexpected costs and create a contingency fund.

POLICIES AND PROCEDURES

RECRUITMENT POLICY

Internal applicants who apply in

wring for vacancies will receive
an interview
 Recruitment acvies may be
conducted externally
 An employment interview will
be conducted before making an
o2er of employment
 All candidates parcipang in
an interview will be no*ed of
the results
 One or preferably two reference
checks will be conducted before
making an o2er of
employment
 Employment tests may be
conducted before making an o2er
of employment
 A copy of the job descripon
will be provided to new employees
Internal applicants who apply in
wring for vacancies will receive
an interview
 Recruitment acvies may be
conducted externally
 An employment interview will
be conducted before making an
o2er of employment
 All candidates parcipang in
an interview will be no*ed of
the results
 One or preferably two reference
checks will be conducted before
making an o2er of
employment
 Employment tests may be
conducted before making an o2er
of employment
 A copy of the job descripon
will be provided to new employees
Internal applicants who apply in
wring for vacancies will receive
an interview
 Recruitment acvies may be
conducted externally
 An employment interview will
be conducted before making an
o2er of employment
 All candidates parcipang in
an interview will be no*ed of
the results
 One or preferably two reference
checks will be conducted before
making an o2er of
employment
 Employment tests may be
conducted before making an o2er
of employment
 A copy of the job descripon
will be provided to new employees
Internal applicants who apply
in wring for vacancies will
receive an interview
 Recruitment acvies may
be conducted externally
 An employment interview
will be conducted before
making an o2er of
employment
 All candidates
parcipang in an interview
will be no*ed of the results
 One or preferably two
reference checks will be
conducted before making an
o2er of
employment
 Employment tests may be
conducted before making an
o2er of employment
 A copy of the job
descripon will be provided
to new employees
Internal applicants who apply
in wring for vacancies will
receive an interview
 Recruitment acvies may
be conducted externally
 An employment interview
will be conducted before
making an o2er of
employment
 All candidates
parcipang in an interview
will be no*ed of the results
 One or preferably two
reference checks will be
conducted before making an
o2er of
employment
 Employment tests may be
conducted before making an
o2er of employment
 A copy of the job
descripon will be provided
to new employees
 Internal applicants who apply in writing for vacancies will receive an interview
 Recruitment activities may be conducted externally
 An employment interview will be conducted before making an o2er of employment
 All candidates participating in an interview will be notified of the results
 One or preferably two reference checks will be conducted before making an o2er of
employment
 Employment tests may be conducted before making an o2er of employment
 A copy of the job description will be provided to new employees
Internal applicants who apply in
wring for vacancies will receive
an interview
 Recruitment acvies may be
conducted externally
 An employment interview will
be conducted before making an
o2er of employment
 All candidates parcipang in
an interview will be no*ed of
the results
 One or preferably two reference
checks will be conducted before
making an o2er of
employment
 Employment tests may be
conducted before making an o2er
of employment
 A copy of the job descripon
will be provided to new employees

RESOURCES POLICY
1. building and production techniques
2. using new products: fittings, materials, equipment
3. using new machinery: outputs, operation, efficiency
4. marketing skills
5. selling
6. communication skills
7. customer service
8. estimating and pricing

INTELLECTUAL PROPERTY

Canterbury Renovations will manage intellectual property rights and issues so as to best meet its
policy objectives.

Intellectual Property Policy wishes to establish a sound framework for the encouragement of
invention, creative work and technology transfer. This policy sets out how Canterbury
Renovations will to manage intellectual property rights and issues so as to best meet its policy
objectives.
 Those objectives are:

-To create the climate for innovation and invention;

-To provide a framework whereby staff and students are stimulated to identify, protect and
develop potentially valuable research results and other creative work and to successfully engage
in technology transfer;

-To create a better understanding of the various rights which the law gives for the protection of
creative effort and thereby stimulate the proper protection of the Company's economic
investment in that effort;

-To allow for various forms of commercial development of intellectual property created within
the Company

Reference:
Canterbury Renovations . (n.d.). Retrieved March 13, 2020, from
https://issuu.com/dmsgroup/docs/12-25-2016.pdf
What Are the Main Supply Chain Challenges? (n.d.). Retrieved March 13, 2020, from
https://www.blumeglobal.com/learning/supply-chain-challenges/
Sewer Renovations Canterbury. (n.d.). Retrieved March 13, 2020, from https://blockeddrains-
canterbury.uk/sewer-renovation/

Report Assessment Task 3

 REPORT

OVERVIEW

In this report we discussed about the Canterbury Renovations which has started up recently, as a
result of which they has no existing clients, projects or history that will help them for their
support. All the proprietors of this company are experienced enough in the industry thus they
have a strong financial background that helps them to conduct their business in a successful
manner.

AREAS OF UNDERPERFORMANCE

1. FINANCIAL OUTCOME
The average mark up on direct/renovation costs is 25%.
Therefore, the break even point of sales in the first year will be $313,250. This will not be achieved in the first year.
However, in the second year the profit margin of 18% of the projected sales of $450,000 (i.e. $81,000 gross profit)
will cover the overheads of about $73,150 and produce a net profit of $8350.

2. UNAVAILIABILITY OF RESOURCES
 sufficient funds for projections but limited resources for growth;
 As small businesses usually only have enough resources to target market segments, it’s
important to select the most relevant segment before launching a marketing plan.

2. SUPPLY ISSUES
 Lack of traceability.
 Inability to maintain the safety and quality of your products.
 Inadequate communication between parties.
 Rising supply chain costs.
 Failure to track and control inventory in warehouses and stores.
 3. INADEQUATE TRAINING
The underperformance due to inadequate training causes:
 Poor Quality — The work is of the standard required for entry into the industry depends
upon the training.
 Poor Productivity — The work is performed within a timeframe appropriate for entry to
the industry.
 No Safety — The work is performed in a manner that meets industry safety standards.

4. MARKET DEMAND

The success of a new industry is dependent upon combining a market demand with the factor
conditions (resources, knowledge, capital and infrastructure) that give the industry a competitive
advantage in producing a product. The underperformance of market demand is due to following
reasons:
 They are not look at the quality of products that they are using.
 They are not try to increase their numbers of clients

AMENDED VERSION OF THE OPERATIONAL PLAN

timefram responsibil
strategy budget resource
e ity
business cards
and staff
uniforms, are
created in
next three
Branding strategy General accordance with
$1000 to five
manager Canterbury
years
Renovations
corporate
identity style
guide
Product strategy $2000 1 month Sales offering
manager bathroom
renovations but
they plan on
extending into
 kitchen
renovations and
extensions as
well.

labour of
constructions
Pricing strategy CEO ,
and installation,
$200 2 weeks general
materials and
manager
direct costs will
be 25 percent
Transport distributor
Distribution strategy $1500 1 years
manager
letter box drops,
local paper
listings and a
Senior
Advertising strategy $3000 2 weeks direct mail
manager
campaign to new
home buyers in
the area.
• offer business
card magnets to
real estate agents
to offer as
promotional
gifts for new
Marketing home owners;
Direct marketing strategy $1000 1 year
manager • add a survey to
the website
asking people to
select which
topics most
interest them.

Sales promotion strategy $2500 3 weeks Sales • discounts

manager during the first
month of
operation to
attract
customers;
• discounts for
multiple projects
(e.g. bathroom
and kitchen);
• free design
service as part of
 the project
The website
includes a
contact form to
collect
information so
return contact
will be efficient
and informative
for the potential
customer.
within
Sales All staff giving
Sales strategy $2000 three
manager quotes and doing
months
designs will be
trained is sales
techniques to
encourage
additional work
or appliances
without being
pushy.

Reference:
John.Patton, & John.Patton, A. the A. (2018, December 27). Inadequate Training = Project
Failure. Retrieved March 13, 2020, from https://www.siriuscom.com/2012/08/mitigation-
strategies-part-3-inadequate-training/
Product , Marketing and Advertising Media. (n.d.). Retrieved March 13, 2020, from
http://azilahazahgraphicdesign.blogspot.com/p/product.html
Canterbury . (n.d.). Retrieved March 13, 2020, from
https://www.wml.vic.gov.au/files/Plans_reports_policies/Recruitment_and_Selection_Policy_Se
ptember_2016.pdf