OSL E115

STRATEGY
MAP SAFE FOOD FOR ALL
(A Proposed Company)

Submitted To

Professor Dr. Muhammad Abdul Moyeen

Department of Organization Strategy and Leadership
University of Dhaka

Submitted By
Name ID
Shams Ibne Ashraf 91803009
Afrin Sultana 91803053
Mohammad Ashfaqur Rahman 91804001
Sharmila Kumkum 91804047
Strategy Map Safe Food for All

Letter of Transmittal

25th December, 2019

Professor Dr. Muhammad Abdul Moyeen

Department of Organization Strategy and Leadership
University of Dhaka

Subject: Submission of term paper.

Dear Sir,

We would like to present our term paper titled “Strategy Map for Safe Food for All” which has been
prepared as an integrated part of the course requirement [OSL E115- Balanced Scorecard: Strategic
Management System] of our MBA program.

We have tried our level best to fulfill all our requirements of this report and tried to follow our
supervisor’s (Professor Dr. Muhammad Abdul Moyeen) instruction while preparing our report.

It has been a huge learning experience for us and we have put our sincere effort to give this report a
presentable shape and make it as informative and precise as possible. We would like to thank you for your
support, guidelines & observation of our works which made it easy for us as well as provided knowledge
of learning in practical.

Sincerely yours,

(…………………………………)
Shams Ibne Ashraf
On behalf of the group
Department of Organization Strategy and Leadership
University of Dhaka

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Strategy Map Safe Food for All

Acknowledgement

First of all, we would like to express our gratitude to the almighty Allah, whose invisible guidance helped
us to complete this report.

We are very grateful to our respected supervisor, Professor Dr. Muhammad Abdul Moyeen, Department
of Organization Strategy and Leadership, University of Dhaka. Without whom this report would not have
been possible to accomplish. We are so honored to have him our supervisor. Without his direction and
basic comments during the whole period of the written work it would not be possible for us to prepare
this.

We also wish to give thanks to those parsons who encourages and co-operate with us in preparing the
business plan.

Sincerely yours,

(…………………………………)
Shams Ibne Ashraf
On behalf of the group
Department of Organization Strategy and Leadership
University of Dhaka

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Table of Contents

Letter of Transmittal ................................................................................................................................ ii

Acknowledgement................................................................................................................................... iii
Executive Summary ................................................................................................................................. v
1 Introduction ..................................................................................................................................... 1
1.1 Purpose of the study ................................................................................................................ 2
1.2 Overview of the report ............................................................................................................. 2
2 Company Overview ......................................................................................................................... 3
2.1 Business Definition .................................................................................................................. 3
2.2 Mission, Vision and Values....................................................................................................... 3
3 Assessment ...................................................................................................................................... 4
3.1 External Environment Analysis ................................................................................................ 4
3.2 Internal Environment Analysis ................................................................................................. 4
3.3 Internal Environment Analysis ................................................................................................. 7
3.4 List of Enablers and Pains ........................................................................................................ 7
3.5 Customer Expectation.............................................................................................................. 8
3.6 Customer Value Proposition .................................................................................................... 8
4 Strategic Theme preparation............................................................................................................. 9
4.1 Theme 1: Excellence in Delivery Chain .................................................................................... 9
4.2 Theme 2: Excellence in Product Quality ................................................................................. 11
4.3 Theme 3: Technology Enablement ......................................................................................... 13
4.4 Strategic Result ....................................................................................................................... 14
5 Strategy Map .................................................................................................................................. 15
6 Conclusion ..................................................................................................................................... 17

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Executive Summary

This document has been written as a fulfillment for MBA program. The report has been written in the
form of balanced scorecard preparation. The scorecard is prepared for a proposed company named “Safe
Food for All”. In the first part of the report the theoretical discussion about balanced scorecard has been
written. Later on the organization’s business definition, mission statement, vision statement etc is
analyzed along with scanning the internal and external environment.

Finally, the corporate strategy map has been prepared here based on three strategic themes. It is ensured
that all the themes and the map are compliant with the values of the organization.

As “Safe Food for All” is a proposed company, here balanced scorecard is used as a tool for both strategy
formulation and implementation. The report is highly focusing on the strategy formulation by building up
strategic theme and corporate strategic map. The measures which are defines in the report could be used
by the company to meet the vision they are having.

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1 Introduction

A balanced scorecard is a strategic management performance metric used to identify and improve various
internal business functions and their resulting external outcomes. Balanced scorecards are used to
measure and provide feedback to organizations. It is to note that, data collection and processing are the
critical and sensitive activities to define quantitative results.1

A balanced scorecard could be a performance metric wont to establish, improve, and management a
business's numerous functions and ensuing outcomes. It was 1st introduced in 1992 by David Norton
and Henry M. Robert Kaplan, who took previous metric performance measures and tailored them to
incorporate commercial enterprise data.

The balanced scorecard influences smart behavior in a corporation by uninflected four separate areas that
require to be analyzed. These four areas, additionally known as legs or perspectives, those are:

 Finance or Financial Perspective

 Customer Perspective
 Business Process or Internal Process Perspective
 Learning & Growth Perspective or Capacity Building Perspective

The balanced smartcard could be used to achieve objectives, measurements, initiatives, and goals that
result from these four primary functions of a business. Firms will simply establish factors preventive
business performance and description strategic changes tracked by future scorecards.

There are some benefits of using balanced scorecard. This includes:2

 It provides all the relevant data for deciding in an exceedingly one page document.
 It contributes to distinctive and linking along the crucial internal processes, human resources,
data that deliver the worth proposition of the company.

It permits managers to assess the accomplishment of strategic objectives and to allot resources solely
towards the initiatives that support the strategy.

One of the major tasks during the preparation of balances scorecard is defining the strategic objective.
According to Balanced Scorecard Institute, strategic objectives are the actions that should be
implemented in the regular processes for the purpose of improvement in strategy implementation.
Objectives are granular lever transformation to actionable item to meet the mission, vision and values of
the company.3 These objective ovals are then grouped into perspectives like “Financial” or “Learning and
Growth.”

Using the balanced scorecard it is possible to define the strategy map also. A strategy map could be a
diagram that shows organization's strategy on one page. It’s nice for quickly act big-picture objectives to
everybody within the company.

1 https://www.investopedia.com/terms/b/balancedscorecard.asp
2 https://www.performancemagazine.org/practical-use-strategy-map/
3 https://balancedscorecard.org/bsc-basics-overview/

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With a well-designed strategy map, every employee can know the company’s overall strategy and where
they fit in. As per Balanced Scorecard Institute “Strategy maps are communication tools used to tell a
story of how value is created for the organization”. It helps keep everyone on the same page, and it
allows people to see how their jobs affect the company’s strategic objectives.

1.1 Purpose of the study

This study has been done as a part course work of the subject “Balanced Scorecard: Strategic
Management System”. The strategy map, which is also known as corporate strategy map, has been
prepared during the course work.

1.2 Overview of the report

In this report the next chapter (chapter 2) discussed about the business definition of the company, their
mission, vision, goals and values. These are the mandatory requirement for developing the balanced
scorecard of an organization. The next chapter is consists of external environmental analysis, internal
environmental analysis, customer expectation and customer value proposition. For the proposed
company environmental more actually the external environment scanning is important to properly
understand the attractiveness of the industry and associated dynamics.

In the chapter 2 and 3 the assessment phase of balanced scorecard has been completed. Later on the
pillar of excellence or the strategic themes and strategic result are explored and described in chapter four.
Finally the outcome of the study, the “Strategy Map” has been prepared and described in the chapter five.

The report is concluded in the chapter six. To prepare the report data has been collected from multiple
sources including text book, research paper, articles and newspaper which are marked as the reference.
The references used in the report are mentioned in footnote on the respective page.

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2 Company Overview

“Safe food for all” is a proposed privately owned profit seeking organization focusing on the pure food
production and delivery. The versatile business model of the organization is not only focusing on the agro
food production but also desire to redefine the middleman culture of the industry.

2.1 Business Definition

“Safe food for all” monitors the production, handling and storage of products of the enlisted food
providers to ensure that supply of adulteration free food to society. Apart ensuring the price of the food
within affordable limit of mass people is another goal of the organization.

2.2 Mission, Vision and Values

Vision: Be the leader in food production and distribution ecosystem to reduce food-borne
illness.

Mission: Ensure adulteration free food for everyone-everyday.

Values: The organization runs on three basic values

1. Quality : Ensure the best quality natural and organic foods

2. Clarity : Maintain clarity in business relationship with suppliers, producers and clients
3. Accuracy: Be accurate in what we say and what we do.

The vision statement clearly states the reason of competing in the food industry for this company (i.e.,
reducing food borne illness). The statement also describes area on which they will compete (i.e., food
production system, and food distribution system). They called both the systems as interconnected systems
by using the word “ecosystem”. From the statement it is clearly visible that they will maintain their
footprint in not only in production segment but also in the forward supply chain. Thus may have some
products which are not produced by them but distributed by them. Finally the destination of the
organization has been stated by using the word “leader”.

The mission statement is also describes the company will operate their operation in food industry. The
quality or feature of the products (foods in this case) has been mentioned by using the word “adulteration
free”. They also want to handle regular food related item which has been mentioned by the work
“everyday”. In the view of market segmentation, no micro segmentation been mentioned as they said
“everyone”.

Neither the mission statement nor the vision statement mentioned any technology or tools using which
the company desire to get competitive advantage. On the other hand mission statement guides the
company to set the values, as they do not want to entertain any adulteration. Both the statements have
guidance for the employee about their decision making priorities.

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3 Assessment

In this section two major tasks have been done. One is environment scanning, where we majorly used
Porters five forces model. Another task is organization scanning, where SWOT analysis has been done.
From these phases we can identify the “enablers” and “pains” for the company.

3.1 External Environment Analysis

Agricultural business, conjointly called agriculture, is that the farming, management, production, and
promoting of agricultural commodities, like stock and crops. The agricultural business field includes
resource management, farming, conservation, ranching, and sales. As technology has progressed and
markets became more and more world, agricultural business has developed to satisfy and solve high-tech
farming wants and issues.4

Agro based food business could be a broad trade, it incorporates a large vary of various firms and
operations. Agribusinesses embody little family farms and food producers up to transnational
conglomerates concerned within the production of food on a national scale.

Modern farming, together with raising crops for food and fuel, and raising animals for food, wool, and
more, could be an advanced trade. As farmers learn to contend and stay viable in a very world
marketplace, they draw upon business principles and a posh network of agriculture and business
professionals. This includes taking advantage of latest advances in farming, like engineering,
mechanization, and new breeding practices, deciding the way to sell crops, whether or not domestically or
on a commodities exchange, and managing and insuring land within the most profitable manner. As
Associate in Nursing agricultural business skilled, you would possibly add any of those areas, either as a
farmer or as a business skilled supporting farmers.

3.2 Internal Environment Analysis

Architecturally the agro food market consist multiple layer. The crops are done by the farmer and then
exchanged in the retail market after passing three to five layer of middleman. This is applicable mostly for
vegetables, fruits, livestock etc. Some other crops are purchased by the food processing companies then
marketed.

Bargaining Power of Suppliers:

Any business requires inputs labor, parts, raw materials, and services. The cost of our inputs will have a
significant effect on our company’s profitability. Whether the strength of suppliers represents a weak or a
strong force hinges on the amount of bargaining power they can exert and, ultimately, on how they can
influence the terms and conditions of transactions in their favor. Suppliers would prefer to sell to us at
the highest price possible or provide you with no more services than necessary. If the force is weak, then

4 https://learn.org/articles/What_is_Agricultural_Business.html

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we may be able to negotiate a favorable business deal for ourselves. Conversely, if the force is strong,
then we are in a weak position and may have to pay a higher price or accept a lower level of quality or
service.

Historically Bangladesh is based on agrarian economy. Therefore huge number of supplier exists in the
market. On the other hand because of the policy, inadequate of supply of crops and buyer choice, many
crops and food importers are having good business.

As the market is having huge number of supplier, it is highly competitive and farmers are not having
strong barging power. Due to necessity of money and poverty in many cases, farmers are bound to sell
their product at the price set by the middle man. Also note that most of the farmers are not having
technology in hand to preserve the crops, so in order to avoid large scale financial loss they sell the
market defined price. In short farmers are having low bargaining power. Note that, in present market the
middlemen are having very strong bargaining power both as customer and supplier. As safe food for all
will collect food directly from the farmers, the middlemen are excluded from suppliers list.

Bargaining Power of Buyer:

The power of buyers describes the effect that the customers have on the profitability of the business. The
transaction between the seller and the buyer creates value for both parties. But if buyers (who may be
distributors, consumers, or other manufacturers) have more economic power, organizations ability to
capture a high proportion of the value created will decrease, and also the probability of high revenue is
low.

Technically there are two types of buyer, the retail customer (B2C pattern) and food processing
companies (B2B pattern). As “Safe Food for All” is focusing to perform business with the retail
customers, this discussion excluded the food processing companies and middlemen both. Considering the
status of consumer community, the bargaining power is still low. There is some minimum regulatory
enforcement on price.

Threat of New Entrants:

The threat of new entrants is the possibility that new firms will enter the industry. New entrants bring a
desire to gain market share and often have significant resources. Their presence may force prices down
and put pressure on profits.

The threat of new entrants can be analyzed by examining the barriers to entry and the expected reactions
of existing firms to a new competitor. Barriers to entry are the costs and/or legal requirements needed to
enter a market. These barriers protect the companies already in business by being a hurdle to those trying
to enter the market.

In the agro food market of Bangladesh, there are no major regulatory restriction to start any venture.
However the middlemen are having very strong syndicates among the country. This is a string obstacle to
establish direct communication between the farmers of consumers. Therefore the threat of new entrant is
medium in the market.

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Threat of Substitutes:

There are two major product line of the company, one is “organic food” which is premium product line
and another is “safe food” which is the economy product line. As per the business plan, the products are
produced domestically. Both the product lines are substitute to each other. On the other hand, the major
substitutes are “imported food” and “synthetic food”. So far in Bangladesh, synthetic foods are not
available. But there are good numbers of consumer of imported agro food; most of those are imported in
order to meet the inadequacy. Therefore the threat of substitutes could be considered as low.

Rivalry among the Competitors:

Competition is the foundation of the free enterprise system, yet with small businesses even a little
competition goes a long way. Because companies in an industry are mutually dependent, actions by one
company usually invite competitive retaliation. An analysis of rivalry looks at the extent to which the
value created in an industry will be dissipated through head-to-head competition.

The agro food market is mainly manipulated by the middlemen in Bangladesh. The retailers are having
limited profit margin. In an every marketplace there are always hard competitions between the retailers.
Notably, “Safe Food for All” initially does not have any plan for retail outlet. Therefore this competition
need not be considered significantly. Initially the organization is planning to establish a digital platform to
receive the order, communicate with the customer and marketing. As only a few grocery online shops are
operating in Bangladesh along with some facebook based ecommerce site, the revelry among the
competitors could be considered as medium.

Political, Legal and Social Forces:

It has been already been mentioned that, the agro food business in Bangladesh is highly dominated by the
middlemen. The middlemen are also maintaining strong syndicates with well structured geological and
economical setup. As the organization is trying to eliminate or reduce the layer of the middlemen, there
would be strong pressure on the organization. Also there are not strong policies and regulation in practice
regarding food safety and pricing. The positive vive is government is trying to enforce the consumer
rights related laws now.

On the other hand, the educated and health concuss urban peoples are presently focusing on food safety,
which is a result of continuous campaigning development partners and health community. Because of
that, the demand of pure food and organic food is increasing day by day. So it is seems that the political,
legal and social forces are favorable for the company.

So overall environmental forces could be explained as bellow

Environmental Force Impact Level Overall Status

Bargaining Power of Suppliers Low
Bargaining Power of Buyer Low
Threat of New Entrant Medium
Medium, Favorable
Threat of Substitute Low
Revelry Among Competitors Medium
Political, Legal and Social Forces Medium

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3.3 Internal Environment Analysis

Internal Factor Strength Weakness

The management team is having good The team is very young and not having
Management academic back ground specially on experience on entrepreneurship or
strategy, leadership and technology. venture creation.
No major strength found. The team is neither having expertise on
Marketing new product development nor on new
market development
The connectivity between producer The core management team is not
Production and organization is strong. having any expertise on large scale agro
production.
A dedicated Research and The associated team does not have any
Development team is working with the proven record of innovation.
Research and
organization and the team is having
Development
expertise systematic research and
associated technology.
External Factor Opportunity Threat
Most of the suppliers are financially The suppliers are not coupled by any
solvent to invest. strong legal commitment. They have
leverage to change their client.
Supplier The suppliers are located in multiple
locations including some remote areas,
thus it might be difficult to manage
and/or communicate with them.
The market itself does not have any The market is highly fragmented in
Market Structure strong barrier to entry or change share, there for it is difficult to manage
strategy. the forward supply chain
Low cost technology like social Most of the suppliers are not interested
network, cloud based application could or familiar to use modern technological
Technology
be used to communicate with customer products
and suppliers.

3.4 List of Enablers and Pains

Enablers:

01. Market is not saturated yet.

02. Educated management team who are skilled in innovation, strategy formulated and leadership.
03. Already have strong level of trust with suppliers
04. Dedicated research team

Pains:

01. Lack of management experience.

02. Producer are located in distributed manner, which makes difficulties on manage backward supply
chain management.
03. The market is geographically fragmented, thus it is touch to manage the distribution channels.
04. There is no entry barrier for market, thus number of competitor could be increased anytime.

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3.5 Customer Expectation

According to the Consumer Association of Bangladesh, food contamination and food adulteration
situation of Bangladesh is one the common and critical observation in Bangladesh. In fact only due to
food poisoning more than 22lacs people died yearly over the globe. More than five hundred people visit
doctor everyday due to food poisoning related problem.

Presently more than 15 laws and ordnance are practiced in Bangladesh, including “The Bangladesh Pure
Food Ordinance”, “Agricultural Products Market Act”, “Bangladesh Standards and Testing Institution
Ordinance” etc.5 Another data from Food and Agricultural Organization more than 45 lacks people are
getting infected by various diseases every year in Bangladesh.

As per the Institute of Public Health Bangladesh, he rate of adulteration is 40 percent where in 43
consumer goods were sampled. It includes non-food grade coloring agents, formalin, carbide, artificial
jelly, urea etc. 6

3.6 Customer Value Proposition

“Safe Food for All” is desire to serve securely cultivated food and ingredients as per the value practiced
by the organization. Among the entire business cycle, food safety and manage price by eliminating
middlemen are main focus of the organization.

The products will be delivered with technical data cultivation location, amount of fertilizer applied,
quantity and type of insecticide been applied, actual time of the crops been collected from the field and
preservation techniques. Therefore customer can check what he is purchasing and how that has been
produced. The organization believes that this kind of information sharing will help to build an emotional
connectivity between the consumer and producer of the crops.

In the perspective of the customer value proposition, the quality is the main attribute in the offerings of
the organization. Food safety and freshness are the primary consideration in the quality assurance. In the
marketing mix perspective place is another important attribute that the organization maintains. The
organization have a plan to open and online platform to receive order and perform door-to-door delivery.

“Safe Food for All” believes that farmers are the main strength of the organization. Based on that, the
products are packaged with the information and farmers along with the cultivation details which will
reflect that how the organization takes care of their products and producers both. This is the image that
the organization wants to build.

Finally, clarity is one of the values for the organization; here transparency in every relationship is
prioritized. The organization desire to have a transparent relationship with the customer where the effort
gives the organization to ensure safety will be depicted.

5 https://www.ncbi.nlm.nih.gov/pmc/articles/PMC4221451/
6 https://www.thedailystar.net/opinion/news/recipe-public-health-disaster-1768489

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4 Strategic Theme preparation

4.1 Theme 1: Excellence in Delivery Chain

Objective Measure Target Initiatives

01. Increase 01. Net Profit 01. Increase net profit 10% per 01. Eliminate the slow items
Profitability 02. Inventory year 02. Revenue sharing with
02. Reduce Holding turnover 02. Increase inventory turnover delivery service provider /
Cost 03. Revenue per ratio by 20% per year courier
03. Increase Revenue customer 03. Increase revenue per
04 Reduce Delivery 04. Freight Cost customer 15% per year
Cost 04. Reduce freight cost by 10%
01. Reordering 01. Customer 01. 55% customer retention 01. Proactively collect
02. Deliver on time Retention 02. 80% product delivery on customer feedback
03. Reduce Price 02. KPI of delivery time 02. Prompt reordering with
service provider 03. 10% lower price than promotion
03. Ratio between marker for economy products 03. Track the order digitally
market price and 04. 5% higher price than 04. Set SLA with delivery
offering market for premium products service provider / courier

01. Reduce Stock in 01. Days in 01. Perishable item should not 01. Transfer order to courier
Hand inventory be hold more than 2 days automatically
02. Increase Collection 02. Lead time to 02. 60% product should be 02. Collect production status
Efficiency delivery after collected and delivered by from farmer and update
collection courier in a single transaction

01. Monitor Production 01. Estimated 01. 80% supplier of perishable 01. At least appoint two
Status quantity of item should provide collection farmer leader per production
02. Partnering with production date hub
Courier 02. Frequency of 02. 60% shipment should be 02. Appoint multiple courier
order to a courier handled by regular delivery per delivery hub
service provider

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Building an own forward supply chain mechanism can help the organization multiple ways. If the
organization builds strategic alliance of partnership with the delivery service providers, it can directly
reduce the delivery cost. Revenue sharing model could be designed for the purpose, which will increase
the accountability of the delivery service provider.

The same delivery channel could be used for crops collection also. If the courier can deliver the product
to consumer after collection it from the farmer, it will also ensure the freshness of the perishable items.
This improvement in the quality of the product will help to satisfy the customer. Also this will reduce the
inventory holding cost and timely delivery of the product. Both the milestone should be reached to
ensure the customer retention.

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4.2 Theme 2: Excellence in Product Quality

Objective Measure Target Initiatives

01. Increase revenue 01. Net profit 01. Increase profit 10% per 01. Ensure pure and quality
year product to customer

01. More order 01. Customer 01. 55% customer retention 01. Proactively collect
02. Deliver Quality retention 02. 10% return due to quality customer feedback
Product 02. Ration of product 03. 80% customer 02. Prompt reordering with
return due to quality satisfaction for premium promotion
product 03. Prompt premium
03. 70% customer product to economy buyer
satisfaction for economy 04. Reduce delivery cycle
product time
01. Schedule the 01. Collection from 01. 60% product should be 01. Prepare 3 days, weekly
Collection field collected and delivered by and monthly calendar
02. Ensure GAP Practices 02. Ratio of GAP courier in a single transaction regarding collection date
compliant products 02. 40% products should be 02. Give higher price to
GAP compliant GAP compliant product
03. 70% shipment should be
GHP compliant

01. Educate the Farmers 01. Farmers response 01. 60% of new farmer 01.Incentive for GAP and
about GAP on GAP should be trained per year GHP practices
02. Educate the Couriers 02. Number of 02. 80% of the courier / 02. Workshop and social
about GHP workshop been help delivery man should be event with partners (farmers
03. Motivate the partners trained and couriers)
with Value

GAP : Good Agricultural Practices

GHP : Good Handling Practices

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Good Agricultural Practices (GAP) and Good Handling Practices (GHP) are voluntary audits that verify
that fruits and vegetables are produced, packed, handled, and stored as safely as possible to minimize risks
of microbial food safety hazards.7 Both the standards are marked as quality management benchmarks for
organization. In order to produce the crops as per GAP standard, the farmers should be well trained and
educated. Similarly there is a possibility of detonation of the product quality due to improper handling.
For the purpose the delivery service providers also need to be aware about the GHP.

Bangladesh is already been divided in multiple agro economic zone according to the land fertility, climate
and weather 8 . To ensure the better quality of product along with optimized utilization of chemical
fertilizer and insecticide, the organization is planning to follow that map.

GAP also advices about the collection time and method of crops. Perfect combination of GAP and
GHD can ensure the quality of the product during the delivery. As the organization majorly focusing on
the quality of the corps, it is important to improvise the production quality along with the forward supply
chain efficiency.

The quality of the product can influence the buyer directly to order again. Reordering ensures flawless
revenue earning. Some promotional offering can also influence the customer to order the same.

7 https://www.ams.usda.gov/services/auditing/gap-ghp
8 http://www.mappery.com/Bangladesh-Agro-Ecological-zones-Map

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4.3 Theme 3: Technology Enablement

Objective Measure Target Initiatives

01. Increase Revenue 01. Net profit 01. Increase net profit by 01. Acquire new customer by
10% per year digital promotion
02. Promotion for reordering

01. More Customer and 01. Customer 01. 55% customer retention 01. Prompt reordering with
order retention 02. 10% return due to quality promotion
02. Draw Customer 02. Ration of product 03. 80% product should be 02. Pack the product
Attention return due to quality delivered in time considering delivery time
03. Delivery Quality 03. Acquired new 03. Digitally track the
Product customer delivery status

01. Improve Promotional 01. Success of the 01. Acquire 40% of the 01. Use data analysis tool to
Plan promotion on new newly promoted customer track existing and potential
02. Optimize Delivery customer 02. 60% product should be customer needs
Planning 02. Ration of delivery collected and delivered by
in time courier in a single transaction

01. Enable IT Based 01. Utilization of IT 01. At least two farmer in 01. Develop enterprise wide
Planning and Tracking based system in each production hub will ERP
delivery channel and update status by electronic 02. Implement platform for
production channel farmers to update data
management 02. 90% of the delivery 03. Use GPS to track
personal should be traceable delivery
digitally

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“Safe Food for All” focusing on the utilization of the technology from very beginning, Information
Technology is a very strong tool for automate and monitor the entire business. As the organization is
planning to use the same channel as forward and backward supply chain (i.e., collection and delivery of
the corps by same courier to ensure that product are directly shipped to customer from field), a
sophisticated intelligent system is required to reduce the delivery time, accurately assign the task and track
the shipment. The system should be able to make decision by intelligently calculation multiple parameters,
like amount of the product in inventory, estimated time to collect the product, estimated cost respect to
time and money both to determine the store and/or production hub etc.

On the other hand, IT based business intelligence system is presently highly required to analyze the
customer behavior and taste. Based to the needs and behavior of the current and potential customer, the
marketing mix could be designed. The marketing mix, more appropriately communication and
promotional plan should focus on the customer retention and new customer acquisition.

4.4 Strategic Result

Strategic results are the description about outcomes if the strategic themes are executed or followed. This
is a measurement to know about the success and/or success level.

Vision:
Be the leader in food production and distribution ecosystem to reduce food-borne illness.

Mission:
Ensure adulteration free food for everyone-everyday.

Strategic Theme Strategic Result

Products are delivered efficiently to reach to satisfy

Excellence in Delivery Chain
the customer.

Adulteration free products are collected to meet

Excellence in Product Quality
the customer requirements.

Increase the efficiency in by using automated and

Technology Enablement
intelligent system.

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5 Strategy Map

Analyzing the pillar of excellence and strategic result, the commonalities and dependencies the strategy
map (also known as corporate strategy) has been prepare. The targets are based on the strategic result and
initiatives are selected based on the target.

In the learning and growth perspective, there are three objectives. The first one is the planning of land
utilization. We know that Bangladesh is already been divided in multiple agro economic zone according
to the land fertility, climate and weather. The plan should be based on this to ensure better quality.
Definitely the product quality is an important feature to meet the customer satisfaction.

Secondly the organization need to focus on the Information Technology based solution of customer
relationship management, delivery chain monitoring and management etc. The integration between
inventory management, order management and delivery management will ensure the delivery of quality
product in time. This is also a critical motivational factor for customer satisfaction.

The third objective in the learning and growth perspective is about building with courier service. The
partnership with courier service may help in two ways, one is about ensuring the delivery of the product
with freshness and other one is about reducing the delivery cost.

From the financial perspective partnering with courier will directly reduce the cost. On the other hand the
rest two objective (of learning and growth perspective) are focusing on the increment of revenue. These
two objectives have critical impact in customer perspective, as they focus to acquire more customers as
well as retain the existing customers.

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Strategy Map Safe Food for All

Objective Measure Target Initiatives

01. Increase 01. Net Profit 01. Increase net profit 10% per 01. Acquire new customer by
Profitability 02 Increase revenue year digital promotion
02. Increase Revenue per customer 02. Increase inventory turnover 02. Promotion for reordering
03. Reduce Cost 03. Freight Cost ratio by 20% per year 03. Revenue sharing model
03. Increase revenue per
customer 15% per year
04. Reduce freight cost by 10%
01. More Customer & 01. Customer 01. 55% customer retention 01. Prompt reordering with
Order retention 02. 10% return due to quality promotion
02. Deliver Quality 02. Ration of product 03. 80% product should be 02. Pack the product
Product in Time return due to quality delivered in time considering delivery time
03. Empowered 03. Acquired new 03. Digitally track the
Campaign customer delivery status

01. Reduce Inventory in 01. Days in 01. Perishable item should not 01. Prepare production and
hold inventory be hold more than 2 days collection calendar
02. Enhance 02. Ration of GAP 02. 40% products should be 02. Assign courier based on
Production Quality compliant product GAP compliant location and cost
03. 80% of the suppliers should
be monitored

01. IT Based Solution 01. Ratio of GAP 01. More than 70% of 01. Deploy enterprise IT
02. Partnership with compliant field manpower should user IT solution and train employee
Courier 02. Ratio of IT solution & partners
03. Land Utilization solution user 02. 60% of supplier/farmers 02. Suggest farmers about
Plan should be marked in cultivation production based on GAP
map and calendar 03. Sign revenue partnership
with courier

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Strategy Map Safe Food for All

6 Conclusion

Balanced scorecard is a comprehensive and strong tool for strategy implementation rather than strategy
formulation. But in this case, balanced scorecard is used as the tool for strategy formulation. The strategy
map has been prepared based on three strategic themes. All the themes are directed by the vision
statement.

Though “Safe Food for All” is a profit seeking organization, the values of the organization are deeply
associated with wellness of the surroundings. This has been depicted in the strategy result also.
Eliminating middlemen from the business is also a goal of the organization. All the strategic theme and
strategy map escaped the dependency on the middlemen.

Finally, the balanced scorecard (majorly strategic theme and strategy map) formulated the strategy for the
organization. The same scorecard could be used to implement the strategy across the organization.

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