Signature Assignment: Strategic Plan: Implementation Plan, Strategic Controls, and Contingency Plan Analysis

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About Your Signature Assignment

Signature/Benchmark Assignments are designed to align with specific program student learning outcome(s) in your program. Program Student Learning Outcomes are broad statements that describe what students should know and be able to do upon completion of their degree. Signature/Benchmark Assignments are graded with a grading guide or an automated rubric that allows the University to collect data that can be aggregated across a location or college/school and used for course/program improvements.

Purpose of Assignment

The purpose of The Final Strategic Plan is to allow the student to develop a comprehensive strategy for a new division of an existing company. This analysis will be the culmination of all the previous week's coursework as well as e objectives covered during their entire degree work.

Assignment Steps

Resources: Strategic Planning Outline and Week 5 textbook readings

Develop a minimum of 700-word section for your business model and strategic plan in which you add your strategies and tactics to implement and realize your objectives, measures, and targets.

  • Identify marketing and information technology as part of the strategies and tactics section of the business plan.
  • Develop at least three methods to monitor and control your proposed strategic plan, being sure to analyze how the measures will advance organizational goals financially and operationally.
  • Determine the best possible options for evaluating the strategic plan.
  • Explain the ethical issues faced by the organization, summarize the legal and regulatory issues faced by the organization, and then summarize the organization's corporate social responsibility.
  • Show, in this section, the possible implications of the triple bottom line (people, planet, profit) on the strategic plan and its implementation.

Prepare a minimum 350-word executive summary defining the new division of existing business. Share your Vision, Mission, final business model, and value proposition, and list your key assumptions, risks, and change management issues. Quantify the growth and profit opportunity and planned impact on various stakeholders.

Note: Any investor should be eager to meet with you after reading your executive summary.

Use the Strategic Planning Outline as a guide, and combine Parts 1, 2, and 3 of your completed business model strategic plan with your Final Business Plan Model assignment and Executive Summary. This includes the Business Model, Vision, Mission, Values, SWOTT Analysis, Supply Chain Analysis, and Balanced Scorecard and Communication Plan from prior weeks. Your consolidated final strategic plan should be a minimum of 4,200 words in length.

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STRATEGIC PLAN PART 1 1 Strategic Plan Part 1 Patrick P. Bailey BUS/475 April 23, 2018 Prof. Vellore Sunder STRATEGIC PLAN PART 1 2 Strategic Plan Part 1 As the business climate is rapidly evolving, strategic planning is necessary for gaining a competitive advantage in the market. Having a great impact on the strategic direction are the mission, vision, and values of a company and they should be considered in the whole process of planning. In an organization, the executives should analyze the needs of the customers, shareholders, and employees to have an optimization of the strategic decision efficacy. To achieve a strategic objective, it is necessary to formulate a mission and vision statement that serves as future choice foundation made by the management. For the purpose of this paper, I will focus on the conceptualization of the merger between DKS and Big Five Sports. These are two sportswear business companies operating within the country. Entertainment is one of the biggest trends and sports is among them. There are various sporting activities in the country, therefore there is a need to produce different types of software. For that reason, there has been a great completion in the market for the production of these costumes, and every company wants to get the biggest share. There are big companies in the market like Nike and Adidas who takes the largest share of the market. DKS and Big Five Sports, therefore, decided to form a major, to increase their market foundation, to compete with the bigger market-holders. The merger is expected to go international, producing sportswear for other countries as well. Vision Statement An essential component of the process of strategic planning is the vision statement. The importance of the vision is to provide a picture of what the company wants to be if it accomplishes its mission. It is an idea of how the business will appear when all the decisions STRATEGIC PLAN PART 1 3 fall into place and the primary goals are achieved (Bryson, 2018). In its entry, the vision may take longer to accomplish, but it gives a general summary of the guiding principles of an organization. As for the merging between DKS and Big Five Sports, the mission statement will have to be modified to suit the needs of both the companies involved. Most of the sporting clubs do not have a long-lasting relationship with their sportswear companies. This is because they always have to pay expensively for the production of a good quality product. These two companies saw this as an opportunity to beat the other competitors. Through merging, they will have a collective resource, with sufficient personnel. They will, therefore, make high-quality products at a relatively cheaper price. This will help them build a strong relationship with the customers in the locality and implement a market plan that is aggressive. The merger will have a national recognition brand, synonymous with sportswear production. Customers will gain trust in the technical team and consider the merger as the leader in the industry. Mission Statement The second major step is the mission statement, towards the development of a powerful strategic plan. Its aim is to act as a guide that the managers and employees will follow when the companies in the merger are making a decision (Bryson, 2018). The mission statement is also supposed to be reflected in by the sentiment the customer's display. For instance, customers should be in a position to easily identify the values and ethics that the companies outwardly promote. Provide below is the general framework designed to illustrate the goals of the companies as well as the business aspirations. STRATEGIC PLAN PART 1 4 The mission statement of the merger will be; ‘With exceptional customer service commitment, the DKS and Big Five Sports Merger will seek to provide its customers with affordable solutions to high quality and cheap sportswear. With the establishment of a strong relationship with the local market, the merger aims at generating a steady business flow, with a positive reputation and referrals from satisfied and happy customers. The merger will gain a strong focus on the economic business practices, which will give it the ability to expand into the international and new market and therefore, deliver increased value to the shareholders. Core Values Core values are the guiding principles that the shareholders of the business value. With the communication of the core values of the management will ensure that they are displayed in the operational decisions the merger makes (Dibrell, Craig & Neubaum, 2014). The target customers are supposed to easily recognize the merger’s core values in the business model if they are completed successfully. A constant referral to the mission and vision statement of the merger will help in achieving this goal. The core values of the merger between DKS and Big Five Sports can be summed up as innovation, dependability, and community involvement. First, dependability is necessary for the merger since it allows the companies to provide a dependable service that leads to a positive experience. Innovation is also crucial as it leads to lower cost of production and provides the necessary capital for the companies to grow and expand. When the merger works towards an innovative-based business model, it will lead to shareholders value and simultaneously build a competitive advantage in the market. Community involvement is the last core value that the merger will poses. It will lead to the interaction required to uphold a STRATEGIC PLAN PART 1 5 positive relationship with customers. The success of the merger largely depends on strong reputation maintenance to encourage steady referral from past customers Strategic Direction A clear communication of the vision, mission and core values is necessary for the implementation of a strategic plan. Managers and employees should always have an understanding of the key principles that constitute the mergers business model. Corporate executives, at the top of the hierarchy, must make high-level decisions that give room for the flourish of the core values (Dibrell, Craig & Neubaum, 2014). For instance, it will be necessary to select new locations that will ensure that the employees interact smoothly with the locals, like the densely populated urban shopping centers. The choice of rural store locations will not allow the exposure of the employees to follow the core value of the merger; community involvement. Besides, training of the employees that is continuous will be conducted to have them focused on the merger’s strategic involvement. Perpetual training programs will enable employees to give exceptional customer service as they also keep a solid focus on the brand growth broad objective. Competitive Advantage Obtaining a competitive advantage over other sportswear companies can be achieved through adhering to the core values. It will be important for the executives to make assets investments to promote innovation of the sportswear. The design of the sportswear is constantly changing and it is important to maintain a strong understanding of the technology leading edge. With a maintained focus on the innovation, it will allow the merger to position STRATEGIC PLAN PART 1 6 itself appropriately with the major changes in the market. Those companies that lag behind in technology trend will find themselves unable to give affordable high-quality sportswear. More competitive advantage can be achieved through generation of a positive brand that the general public can easily recognize (Cassidy, 2016). Through the implementation of the core values, of community involvement and dependability, the DKS and Big Five Sports merger will have a high amount of it public image control. A positive image will make sure that the brand is recognized as the first choice for consumers when there is a need for sportswear. Also, this is expected to produce a high amount of advertising through word of mouth that will further improve the image of the brand in the market. Conclusion With the implementation of a comprehensive strategic plan, the DKS and Big Five Sports merger seek to achieve a leading position in the sportswear industry. Having a great impact on the strategic direction are the mission, vision, and values of a company and they should be considered in the whole process of planning. The two companies can communicate their core values by summing them up with a vision and mission statements. The importance of the vision is to provide a picture of what the company wants to be if it accomplishes its mission. The mission aims at guiding the managers and employees when the companies in the merger are making a decision. These summarized statements act as the guiding force used during decision making among the managers, executives as well as the employees. Besides, they are mediums of describing the shareholder's core values. The plan has content that will be the core driving force for the overall direction of the merger. As the strategic plan will be implemented, it will lead to the prospect growth of the merger, elevating the shareholders’ value and provide a competitive advantage over the competitors in the market. STRATEGIC PLAN PART 1 7 References Bryson, J. M. (2018). Strategic planning for public and nonprofit organizations: A guide to strengthening and sustaining organizational achievement. John Wiley & Sons. Dibrell, C., Craig, J. B., & Neubaum, D. O. (2014). Linking the formal strategic planning process, planning flexibility, and innovativeness to firm performance. Journal of Business Research, 67(9), 2000-2007. Cassidy, A. (2016). A practical guide to information systems strategic planning. CRC press. Running head: STRATEGIC PLAN PART II Strategic Plan Part II Patrick P. Bailey BUS/475 April 30, 2018 Prof. Vellore Sunder 1 2 STRATEGIC PLAN PART II Strategic Plan Part II Economic. Regulatory and Legal Forces It is important to understand that the organization operates in a global environment and this subjects the organization to external pressures. Factors such as culture as well as economic and legal situations have subjected the organization to pressure. Laws and regulations in different countries have a direct impact on the organization and its performance. The organization is subject to quality regulations as well as accounting and business regulations (Elms & Low, 2013). The Company has to follow the relevant laws if it is to maintain its business operations. Changes in these laws have a direct effect on the organization and it will directly impact business. There are environmental laws which the organization is expected to comply to and these will have an impact on how the company maintains its operations. Economic factors will have a direct impact on the business and factors such as the recent global financial crisis have had a major impact on operations of the organization. It is also, important to note that consumer behavior will change during recessions as they will have less money to due to decline in economic activity. Another issue that organizations will deal with is the rising labor as well as operational costs. The inflationary environment as well as reducing profitability will have a negative impact on the organization and its performance (Elms & Low, 2013). Another issue of concern is the fact that many of the organization’s business practices will usually raise concern with activists as well as international advocacy groups. The company should also 3 STRATEGIC PLAN PART II ensure that it does not violate any laws and regulation in the home market as well as in other nations. Licensing regulations are another major issue that the organization is expected to consider in its operations. Stricter customs and trade regulations are yet another major issue that the organization is expected to deal with. Adapting to Change The organization had to consider its past heritage and used this as a motivation to move forward. The company realized that it had a distinctive history which was rich with memories. The company went through a transitional event where it suffered record losses and near bankruptcy and this forced the company to reconnect with its past. The company managed to gather its managers, innovators and designers who managed to look at its past and discuss the relevance to the future (Bryson, 2018). The company leaders were able to rediscover the company heritage and learn what worked for the company as well as what did not work for the company. The company managed to reabsorb into the organizational culture which led the company to define its strategic choices. The company also realized the importance of being able to meet the future needs of its customer base effectively. The company also realized the importance of hands on approach to innovation and it adopted this technique. It developed a stream of innovative products which enhanced the performance of the organization at all levels/Another important aspect that the company was able to look into included creating emphasis on branding (Bryson,2018). The company effectively used past knowledge to brand its future in ways which were effective. The management of the company was able to design better ways 4 STRATEGIC PLAN PART II of understanding the customer and was able to use technology to create product as well as service improvements. The company understood the importance of facing rising competition as well as uncertainty and it was able to develop ways of distinguishing itself as a brand. Supply Chain The organization will have to implement supply chain planning and this will help the company to predict future requirements to balance supply as well as demand. The company has been able to take into account the available capacity of its network and this has included a consideration of an ability to react to demand signals as well as the supply chain risks (Swayne, 2011). The company has also understood the need to building an integrated supply chain planning process ranging from long term planning, sales and operations planning as well as operational planning. The company has also understood the importance of effective execution of planning processes as well as achieving the right demand and supply balance. Big 5 and Dicks Sporting Goods have also implemented the use of supply chain planning capability assessment and opportunity identification. The operational structure of the organization has enabled the direction which has been set by the business as well as the commercial strategy of the organization. The manufacturing as well as service model of the organization has been able to determine how the company delivers on its strategic differentiators. Big 5 and Dick Sporting Goods have created a supply chain strategy which has been effectively aligned with the corporate strategy of the organization. The supply chain strategy of the organization has been able to synchronize all components of the supply chain effectively. 5 STRATEGIC PLAN PART II It has included the process of resource allocation as well as the uses of business unit’s top successfully achieve its business goals. The organization has also implemented the use of a supply chain operating model and this has allowed for the right capabilities and ensured leadership alignment to support organizational change (Swayne, 2011). Yet another major development of the organization has been the strategic consideration in tax effectiveness of the supply chain. The supply chain transformation initiatives have reduced operational costs and increased profits of the organization. Big 5 and Dick Sporting goods have improved operating margins and increased asset efficiency and this has improved the quality of operations for the company. It has implemented a lean six sigma process which has ensured structural and proven performance of the organization. Considerations for the Development of a Strategic Plan Strategic planning is important at the organizational level because it ensures the identification of trends as well as issues which affect the organizational performance. It will also ensure the delivery of an overall planning process that will directly influence the work processes at organizational level. It would be important to gather all the information which would be needed and this would help to identify issues as well as challenges and trends which affect the organization (Wheelen, Hunger, Hoffman& Bamford, 2017). Strategic planning would also involve gathering information concerning the target clients. The management would also have to consider the analysis of external as well as internal outputs and this would set the general direction for organizational achievement. The organization will also have to create objectives and use a strategy map and this will ensure that all the key issues facing the organization are dealt with 6 STRATEGIC PLAN PART II effectively. The use of visual tools may be helpful as this will enable the presentation of objectives in the strategy map of the organization. It will be important to ensure that the internal as well as external inputs have been collected and analyzed. Another important aspect that the organization will have to consider is the choosing of effective performance measures. These measures should be relevant to the strategic objectives of the organization and they should be used in the strategic review process (Wheelen, Hunger, Hoffman& Bamford, 2017). Managing risk will also be important for the organization and it will be important to ensure the effective identification as well as mitigation of risks by the organization. Developing a risk management approach will be necessary for the organization as it will ensure sufficient identification as well as prioritization, mitigation and monitoring of the organizational processes. Managing the strategy will also be important as this will ensure effective strategic management processes aimed at improving the performance of the organization. Issues and Opportunities Faced by the Company One major issue that the organization continues to face is competition, especially since the market is very competitive in the United States as well as around the globe. There are a number of prominent sports equipment firms and this market the same range of products. Competition between the sellers to gain market share exists in various areas such as new technologies as well as product performance, price and service as well as design. Rapid changes in technology and consumer preferences have led to risk factors for the organization (Lipsey, 2006). Demand for products will 7 STRATEGIC PLAN PART II also depend on the popularity of sports and fitness activities by the organization. Another major issue affecting the organization is the current market volatility especially since the company is exposed to fluctuations. The company has lacked sufficient mechanisms to lessen the impact of unfavorable exchange rates. It is also important to consider that the purchase price will directly affect the customer and this will create natural competition between the manufacturers. The company also struggles to find a balance between quality and price, which is key to success for the organization. One major opportunity that the organization has is the emerging market segment and this has led to expansion of the organization to areas such as South America and Africa. The company continues to focus on future change and it aims at enhancing its brand image in such areas. The company has also successfully managed to build an effective distribution network and this has ensured success for the organization. Big 5 AND Dick have managed to create close relationships with the manufacturers and this has led to improved product sales. Yet another positive aspect for the organization has been the ability to analyze as well as predict demographic as well as macro-economic trends (Lipsey,2006). The company has also successfully built a good reputation and brand loyalty through enhancing god customer relations. Furthermore, it has improved marketing practices and this has enabled expansion into the international market. The company has also managed to successfully analyze the current marketing trends and it has used the information to improve its business practices. Proper planning and management has enabled the organization to develop effective ways of managing its operations and this has been effective for the organization. 8 STRATEGIC PLAN PART II References Bryson, J. M. (2018). Strategic planning for public and nonprofit organizations: A guide to strengthening and sustaining organizational achievement. John Wiley & Sons. Elms, D. K., & Low, P. (Eds.). (2013). Global value chains in a changing world. Geneva: World Trade Organization. Lipsey, R. A. (2006). The sporting goods industry: History, practices and products. McFarland. Swayne, L. E. (Ed.). (2011). Encyclopedia of sports management and marketing (Vol. 1). Sage. Wheelen, T. L., Hunger, J. D., Hoffman, A. N., & Bamford, C. E. (2017). Strategic management and business policy. Pearson. Running head: STRATEGIC MANAGEMENT Strategic Plan Part III Patrick P. Bailey BUS/475 May 7, 2018 Prof. Vellore Sunder 1 STRATEGIC MANAGEMENT 2 FINANCIAL PERSPECTIVE • • • To increase the market share of the business through reaching other areas. The company predicts a 5% increase in market share in the next 2 years. Market volatility and consumer preferences are risks involved. Banks will help mitigate them. To increase revenue and reduce costs in two years at a7% rate. Expose the firm to economic and regulatory risks. Local business lawyers will mitigate. To improve profitability in the next 3 years at a 5% rate. CUSTOMER • • • To increase customer retention. The business seeks a 5% customer retention in the next 2 years. To increase customer satisfaction. The rate will increase by 10% in the next 2 years. To increase customer value. The value will increase by 40% in 2 years. INTERNAL BUSINESS • VISION AND STRATEGY • • LEARNING AND GROWTH • • • To improve employee satisfaction. The satisfaction is determined to increase by 80% in 2 years. To increase employee retention. Retention will increase by 85% in 3 years. To increase the technological innovation in the business. The tech innovation will increase by 30% in the next 2 years. To increase the positive impact of change. The change hopes to be increased by 20% in the next 3 years. To increase the productivity of the business. The productivity will increase by 50% in the next 2 years. To increase the measure of process performance. Will increase by the 20% in the next 5 years. STRATEGIC MANAGEMENT 3 On the financial aspect, the first objective was to increase the market share of the business by 5% in the next two years. The business intends to expand the operations to other continents and areas which will result in increased revenue and therefore market share. The shareholders stand to benefit from the increased market share. The risk involved in this venture entails the customer preference and the market volatility. The market volatility is because of the economic factors. To mitigate the economic factors, the business will employ the services of banks which have their branches in the U.S and in the areas marked for expansion. The other markets in foreign countries may cause the economic risks and the bank will help alleviate by using the Forex trading. The other aspect of the strategy is to increase revenue and reduce costs by 7% in the next two years. The risks involved here are the economic and regulatory risks. To mitigate the risks, the business will employ the services of a business lawyer in the foreign country to assist in understanding the regulations (Barrick et al., 2015). Customers are an integral part of the business and therefore the objectives should incorporate their importance in the business. The business seeks to achieve a 5% increase in customer retention. This increase will help improve the business’ profits by 25%-125%. Customer’s retention is crucial for the continued growth of the company. It’s worthwhile to retain customers to realize revenue growth. To retain them, the business will introduce surveys which will serve the purpose of following up marketing to gather the customer’s feedback. The ethical implications here entail privacy concerns that arise from not protecting the customer’s data during surveys. However, their data are guaranteed to be kept anonymous when using in the survey. The next strategy is to increase customer satisfaction by 10% in the next two years. The Key Performance Indicator will assist in monitoring the progress (Hill et al., 2014). The customer value is destined to increase at a rate of 40% in the next two years. The increase will STRATEGIC MANAGEMENT 4 help to generate 50% additional revenue. To increase the customer lifetime value, the business intends to take customer advice and act on it accordingly and feature the fans in the content. On the international business front, there are three strategies the business targets. The first strategy is to positively increase the impact of a positive change in the organization. The business plans to increase the impact of changes in the organization by 20% in the next three years. The move will work through initiatives such as bringing in new people with fresh ideas, rotating managers having different views concerning operations. The strategy faces the risk of culture trap. However, the introduction of new people will lead to improvement of behavioral performance changes that will impact the culture change. The business also seeks to improve the business productivity to 50% in the next two years. To achieve this strategy, the business will inject into the employees’ minds that they will get held accountable for their decisions. The company will also inquire real-time update and at the same give feedback on the tasks that employees are given. The company also seeks to improve the process performance measures. The increase has a projection of 20% in the next 5 years. The risks associated here include the changes in technology which may affect the performance areas. To mitigate this risk, the business will identify the elements vital to the business success and the measure the metrics to create a continuous performance through the development of a system that will do the same. On learning and growth strategy, the company intends to increase the employee satisfaction by 80% in two years. The ethical implications involved include the employees behaving ethically if the company cultivates employee satisfaction. To increase satisfaction, the business will recognize the employees’ performance and show respect towards them. The other strategy is to increase the employee retention. The retention is targeted at 80% in the next three years. Employees are a vital part of organizations and should be retained to prevent high turnover STRATEGIC MANAGEMENT 5 which is expensive to the business in terms of hiring new employees. To prevent this scenario, the business will offer training to enhance the skills of the employees. Technology changes, employment law amendments, and the modern selling techniques are issues which foster employee retention especially the permanent staff. The company can mentor them, organize seminars, and offer computerized classes. The business also has a strategy of increasing the technological innovation in the next two years at a rate of 30%. Technology is now a critical component in businesses. Technology makes the difference in being competitive and remaining behind the competition. Technological changes pose a risk to the business if will use outdated technology instead of modern ones which enhances operations. To prevent the risk, the business will utilize technology such as cloud for communication and automation in the processes to speed up operations and achieve efficiency (Santoro et al., 2016). Communication Plan The communication plan is a platform where an organization communicates its objectives. The plans entail the objectives, the resources used in producing communications, and the audience intended. The first purpose of a communication plan is to act in a proactive measure in ensuring that employees in the organization get the communicated information in a timely fashion. The plan is also responsible in describing the person responsible for producing communication type and its frequency on distribution and updating. Additionally, the prioritization of the communication needs assists the company in identifying the required time for the roles in planning for the organization. The plan institutes the type of message and the recipient of the same message. The audience should be clearly identified to make the drafting of the communication easier. For instance, the newsletters meant for staff should have upcoming events as its content, recognize STRATEGIC MANAGEMENT 6 the staff’s outstanding performance, and communicate the mission statements to demand input from staff among others. This scenario presents a communication plan that is directed towards the management and the employees of the company because it explains the desired strategic objectives. The strategic objectives touched on the internal operations, the customers, the growth and the financial objectives which the management will find critical and allocate time and resources to accomplish them (Tara, 2018). The channels of communication are the ways that people in organizations use to communicate. The channels should be chosen carefully because using inappropriate channels may lead to negative consequences. The first channel is the face to face mechanism and can be used in organizations. The form suits the complex messages because it enables interaction between the speaker and recipient and can ask for clarity. The second is the broadcast media which uses radios, TV’s, and other broadcast channels. The businesses only use this form when communicating to the customers informing them of new products. Written messages do not require interaction and are primarily used in communicating to the employees. Memos, letters, and policies are all examples. This is the best channel for communication because of the follow up that exists if questions arise. The scorecard is also included in this form of communication. The electronic channels are the other forms which use the internet, email, and the social media for communication. The option offers a one-on-one and a group and a group form of communication. However, it is less personal abut efficient (Williams, 2018). STRATEGIC MANAGEMENT 7 References Barrick, M. R., Thurgood, G. R., Smith, T. A., & Courtright, S. H. (2015). Collective organizational engagement: Linking motivational antecedents, strategic implementation, and firm performance. Academy of Management Journal, 58(1), 111-135. Hill, C. W., Jones, G. R., & Schilling, M. A. (2014). Strategic management: theory: an integrated approach. Cengage Learning. Tara, D. (2018). Effective Communication Plan. Retrieved from http://smallbusiness.chron.com/effective-communication-plan-3174.html Van Der Aalst, W. M., La Rosa, M., & Santoro, F. M. (2016). Business process management. Williams, O. (2018). What Are Communication Channels Within an Organization? Retrieved from http://smallbusiness.chron.com/communication-channels-within-organization61447.html Strategic Planning Outline BUS/475 Version 7 1 University of Phoenix Material Strategic Planning Outline I. Title Page II. Table of Contents III. Executive Summary IV. Strategic Plan Part 1: New Business Division of an Existing Company; Vision, Mission, and Value Proposition V. Strategic Plan Part 2: SWOTT Analysis – Internal and External Environmental Analysis; Primary Internal Considerations for the Development of a Strategic Plan. VI. Strategic Plan Part 3: Assumptions, Risk and Change Management Plan; Summary of Strategic Objectives; Corporate Social Responsibility: Balanced Score Card and its impact on stakeholders; the Communication Plan VII. Strategies and Tactics Section VIII. Conclusion IX. Reference Page
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Running Head: COMPREHENSIVE STRATEGIC PLAN

Comprehensive Strategic Plan
DK and Big Five Sports Merger
Name
Instructor
Institutional Affiliation
Date

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COMPREHENSIVE STRATEGIC PLAN

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Executive summary
The proposed strategic planning for the DKS and Big Five Sports merger is aimed at
establishing a business portfolio that can sustain competitive structure within the sportswear
industry. Because the sportswear industry is comprised of very competitive companies such as
Nike, Under Armour, and Adidas, small companies such as Dick’s Sporting Goods Inc. (DKS)
and Big Five may not realize sustainable growth in revenues due to perceive competitive nature
of the industry. A proposed merger between DKS and Big Five Sports will thus enable the
companies to gain market competitiveness by combining their competitive structure to achieve
greater market success. The mission and vision of the DKS and Big Five Sports mergers are to
provide exceptional customer service through seeking to provide customers with affordable
solutions to high quality and cheap sportswear. Because high-end companies operating in this
market has perceived value proposition to the end customer, DKS and Big Five Sports merger
are aimed at creating value to the customer by ensuring higher product quality at cheaper and
affordable pricing.
With the establishment of a healthy relationship with the local market, the merger aims at
generating a steady business flow, with a positive reputation and referrals from satisfied and
happy customers. The alliance will gain a strong focus on the economic business practices,
which will give it the ability to expand into the international and new market and therefore,
deliver increased value to the shareholders. The target customers are supposed to easily
recognize the merger’s core values in the business model if they are completed successfully.
Constant referral to the mission and vision statement of the merger will help in achieving the
strategic goals of the merger. With the increased focus on quality improvement, the merger aims
at integrating innovative technologies and strategic marketing to reach more customers and

COMPREHENSIVE STRATEGIC PLAN

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improve the company’s revenue in the bottom line. The key assumptions in the DKS and Big
Five Sports merger are the mergers will increase the company’s market competitiveness, and
improve their market share in the sportswear industry. The perceived risks in this strategic plan
relate to the aspect of the ethical and legal framework regarding mergers and acquisition in this
industry.
Strategic Plan Part 1
As the business climate is rapidly evolving, strategic planning is necessary for gaining a
competitive advantage in the market. Having a great impact on the strategic direction are the
mission, vision, and values of a company and they should be considered in the whole process of
planning. In an organization, the executives should analyze the needs of the customers,
shareholders, and employees to have an optimization of the strategic decision efficacy. To
achieve a strategic objective, it is necessary to formulate a mission and vision statement that
serves as future choice foundation made by the management.
For the purpose of this paper, I will focus on the conceptualization of the merger between
DKS and Big Five Sports. These are two sportswear business companies operating within the
country. Entertainment is one of the biggest trends and sports is among them. There are various
sporting activities in the country, therefore there is a need to produce different types of software.
For that reason, there has been a great competition in the market for the production of these
costumes, and every company wants to get the biggest share. There are big companies in the
market like Nike and Adidas who takes the largest share of the market. DKS and Big Five
Sports, therefore, decided to form a merger, to increase their market foundation, to compete with
the bigger market-holders. The merger is expected to go international, producing sportswear for
other countries as well.

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COMPREHENSIVE STRATEGIC PLAN
Vision Statement
An essential component of the process of strategic planning is the vision statement. The
importance of the vision is to provide a picture of what the company wants to be if it

accomplishes its mission. It is an idea of how the business will appear when all the decisions fall
into place and the primary goals are achieved (Bryson, 2018). In its entry, the vision may take
longer to accomplish, but it gives a general summary of the guiding principles of an
organization.
As for the merging between DKS and Big Five Sports, the mission statement will have to
be modified to suit the needs of both the companies involved. Most of the sporting clubs do not
have a long-lasting relationship with their sportswear companies. This is because they always
have to pay expensively for the production of a good quality product. These two companies saw
this as an opportunity to beat the other competitors. Through merging, they will have a collective
resource, with sufficient personnel. They will, therefore, make high-quality products at a
relatively cheaper price. This will help them build a strong relationship with the customers in the
locality and implement a market plan that is aggressive. The merger will have a national
recognition brand, synonymous with sportswear production. Customers will gain trust in the
technical team and consider the merger as the leader in the industry.
Mission Statement
The second major step is the mission statement, towards the development of a powerful
strategic plan. Its aim is to act as a guide that the managers and employees will follow when the
companies in the merger are making a decision (Bryson, 2018). The mission statement is also
supposed to be reflected in by the sentiment the customer's display. For instance, customers

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COMPREHENSIVE STRATEGIC PLAN
should be in a position to easily identify the values and ethics that the companies outwardly
promote. Provide below is the general framework designed to illustrate the goals of the
companies as well as the business aspirations.
The mission statement of the merger will be; ‘With exceptional customer service
commitment, the DKS and Big Five Sports Merger will seek to provide its customers with
affordable solutions to high quality and cheap sportswear. With the establishment of a strong
relationship with the local market, the merger aims at generating a steady business flow, with a
positive reputation and referrals from satisfied and happy customers. The merger will gain a
strong focus on the economic business practices, which will give it the ability to expand into the
international and new market and therefore, deliver increased value to the shareholders.
Core Values
Core values are the guiding principles that the shareholders of the business value. With
the communication of the core values of the management will ensure that they are displayed in
the operational decisions the merger makes (Dibrell, Craig & Neubaum, 2014). The target
customers are supposed to easily recognize the merger’s core values in the business model if
they are completed successfully. A constant referral to the mission and vision statement of the
merger will help in achieving this goal.
The core values of the merger between DKS and Big Five Sports can be summed up as
innovation, dependability, and community involvement. First, dependability is necessary for the
merger since it allows the companies to provide a dependable service that leads to a positive
experience. Innovation is also crucial as it leads to lower cost of production and provides the
necessary capital for the companies to grow and expand. When the merger works towards an

COMPREHENSIVE STRATEGIC PLAN

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innovative-b...


Anonymous
Excellent resource! Really helped me get the gist of things.

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