Fluent Essays

1. A compilation of the written analyses is simply the starting point for this project and not sufficient for the entire project.  (Implement) Excel sheet attached. Please note:  I can fill out the spreadsheet. I included it to give you an idea although it may be easier for you. I just really need the research done in word doc.  Introductory Statement Executive Statement Mission Statement/ vision IFE Matrix and Analysis EFE Matrix and Analysis CPM Matrix and Analysis Internal/External Matrix and Analysis SWOT SPACE Matrix and Analysis QSP Matrix and Analysis PART I Welcome to the Free Excel Student Template Version 17.1 Dear Student, By using this Template, you hereby agree to the Copyright terms and conditions. This Template should save you considerable time and allow for your presentation to be more professional. Do not mistake this Template for doing all of the work. Your assignment is to analyze and present strategies for the next three years. You will still need to do the research and enter key internal and external information into the Template. The Template does not gather or prioritize information. It does however assimilate information you enter in a professional way and does many calculations for you once that critical information is entered. Refer to the David & David textbook for conceptual guidelines for developing all matrices and analyses included in this Template. Best of luck with your project. This Template is designed for Textbook version 17ed. If using a textbook version other than 17ed, downlaod Template version 16. Instructions for Using the Template 1 Please read all Template instructions below carefully before you start each new section of this Template. Only type in the green boxes. Refer to the David, David & David textbook for conceptual guidelines for every matrix and analysis in this Template. 2 This Template is organized into three primary parts: Part I, Part II, and the respective data output pages for your respective matrices. All data entered will be entered into Part I or Part II. Part I consists of data entry in developing matrices, where Part II consists of data entry for your financial information, including ratios, financial statements, and projected financial statements. Blue buttons are provided for navigating within and to Part I, yellow buttons are for navigating within and to Part II, orange buttons are for navigating to the respective matrices and pink buttons are for navigating to your financial output tables. The navigation buttons along the top of Part I and Part II may not be visible for Apple users but all other features should work without any problems. Strengths and Weaknesses 1 Enter into the Template exactly 10 strengths and 10 weaknesses, no more and no less. Your factors should be detailed and actionable rather than vague. For example, the strength: Sales up nicely is too vague and not actionable; Sales were up 15\% on womens apparel in China during 2018 is stated far better. Always be thinking in terms of divisions when writing strengths and weaknesses. Note womens apparel could be a division for Nike. All divisions do not need to be treated equally; allow more coverage for divisions with more revenue and those most pertinent to your strategic plan. 2 Weights reveal how important a factor is to being successful in the industry. All weights are industry-based. A factor of 0.10 for example is 5 times more important than a factor of 0.02 for being successful in the industry. Do not be afraid to include factors with lower weights though. To have a factor make your top 10 list (10 strengths for example out of the 100s the firm likely has), justifies its importance, yet it still may be relatively a lot less important to the industry than others factors you include. Also, be mindful with respect to what industry your firm operates. A moderate priced casual hamburger restaurant may have more in common with a moderate priced chicken restaurant than with McDonalds. Automatically considering McDonalds, Burger King, and Wendys as the industry just because they all sell hamburgers may not be appropriate. Here, casual moderated priced restaurants may serve better as the industry. After entering in the weights, check to make sure the sum of your weights equals 1.0 for your internal factors. Also, arrange your strengths with highly weighted factors listed first; arrange your Weaknesses also with highest weighted factors listed first. 3 In contrast to weights that are industry-based, ratings are company-based and reveal how well your firm is performing. Use the coding scheme given below for ratings in an IFE Matrix: If your strengths are being cut off, simply drag your cursor between the two row numbers on the left to widen the row. 1 = the response is poor 2 = the response is average 3 = the response is above average 4 = the response is superior Strengths Weight Rating 1 2 3 4 5 6 7 8 9 10 Weaknesses Weight Rating 1 2 3 4 5 6 7 8 9 10 Total Weight (Must Equal 1.00) 0.00 Opportunities and Threats 1 Enter into this Template exactly 10 opportunities and 10 threats, no more no less. Your factors should be detailed and actionable rather than vague. Keep in mind both opportunities and threats should be external in nature. Ask yourself Does the firm have control over this factor? If the answer is yes, then it cannot be an opportunity or threat. For example, as a clothing retailer you may have an opportunity to start selling clothes in China. This is not an opportunity for two reasons: 1) the firm has internal control over doing business in China, and 2) the statement is a strategy. The underlying opportunity may be Women in China spent 20\% more on athletic apparel in 2018. Note how this opportunity is specific, actionable, divisional, and external (we cannot control the culture or demand for female athletic apparel). All divisions do not need to be treated equally, allow more coverage for divisions with more revenue and those most pertinent to your strategic plan. 2 Weights reveal how important a factor is to being successful in the industry. Read over the #2 tip under strengths and weaknesses above since the same logic applies for the external factors. After entering in the weights, check to make sure your sum of weights equals 1.0 for all 20 external factors. List factors according with highest weight items first. 3 Ratings again are company-based and reflect how well the firm is addressing the particular factor. Use the coding scheme given below for ratings in an EFE Matrix. If your opportunities are being cut off, simply drag your cursor between the two row numbers on the left to widen the row. 1 = the response is poor 2 = the response is average 3 = the response is above average 4 = the response is superior Opportunities Weight Rating 1 2 3 4 5 6 7 8 9 10 Threats Weight Rating 1 2 3 4 5 6 7 8 9 10 Total Weight (Must Equal 1.00) 0.00 Competitive Profile Matrix (CPM) 1 To perform the CPM, enter exactly 12 critical success factors, no more and no less. You may use some of the ones listed below if you like but try to use ones that are more pertinent to your company. For example, if your case is Delta Airlines, perhaps include on time arrival, extra fees, and frequent flyer points as factors, rather than the canned factors below. In a CPM, factors do not need to be overly specific, but they should be divisional in nature to the extent possible. If Pepsi Co. is your firm, your factors should be about the firms soda business, Frito Lay business, bottling business, etc. rather than just general advertising. advertising for what division (business) are you referring to? Frito Lays advertising, soda marketing, etc. All divisions do not need to be treated equally; allow more coverage for divisions with more revenue and those most pertinent to your strategic plan. 2 After entering in 12 critical success factors, enter in a weight for each factor; weights are industry-based. Be sure to check the bottom of the Enter Weight Below column, to make sure your sum weight is equal to 1.00. It is okay for some factors to receive a low weight and a factor or two to receive a high weight of say 0.20. 3 After entering in your weights, type the name of your company and two other competitors in the corresponding boxes. 4 After entering in the weights and identifying your company and two rival firms, then enter in a Rating (company-based) in the Enter Rating Below column for each organization. DO NOT ASSIGN THE COMPANIES THE SAME RATING; TAKE A STAND; MAKE A CHOICE. In a CPM, use the coding scheme provided below for ratings. 1 = the response is poor 2 = the response is average 3 = the response is above average 4 = the response is superior Enter 12 Factors Below Weight Your Firm Rival Rival Enter Ratings Below Advertising Domestic Market Penetration Customer Service Product Variety International Market Penetration Employee Dedication Financial Profit Customer Loyalty Market Share Product Quality Top Management Price Competitiveness 0.00 Boston Consulting Group (BCG) Matrix 1 This Template allows for up to 5 divisions. If your company has more than 5 divisions, combine the divisions with the least amount of revenue into division 5, and mention the adjustment to the class during your presentation, or simply focus on the 5 divisions your 3-year plan centers around; check with your professor. <See your firms Form 10K or Annual Report to find divisional information, and those documents of your rivals> It is excellent to develop a BCG/IE by geographic region, and construct another one by product (if you have data). 2 In each division, enter a name, followed by the dollar amount in revenues for that division. Do not include M or B for millions or billions, but do drop off zeros. For example, for $100,000,000, you could enter $100,000 or $100, just be consistent. 3 After completing Step 2 in developing a BCG, enter in the dollar amount in revenues for the top rival firm for each division. Note, the top rival may be you and in this situation enter in your companys revenue for that division. Also, note the top rival may be different for different divisions. For example, if your firm is Avon, Avons top rival in its lipstick division may be Revlon, but for nail polish, the top rival in the industry may be LOréal, and in makeup, Avon may be the market leader. There is no need to label the top rival by name, but you could mention in class as part of your presentation. Be sure to enter in all numbers in the same $ format you used in Step 2 above. If you do not have a perfect apples to apples comparison, (possibly a rival firm combines lipstick and makeup, where your firm separates the two) then estimate as best you can and make note in your presentation. 4 Finally, enter in the industry growth rate (IGR) for each division. Generally, taking the top 2 or 3 rivals for each division (along with your firm), adding their numbers together for the current year and the previous year and using the equation (Current Year - Previous Year) / Previous Year is sufficient to estimate guess of the industry growth rate. This is because generally the top 3 players dominate an industry. Note, using this process also weights larger firms more, which is exactly what you desire. Do not use total revenues; instead, use divisional revenues. Division industry growth rates (IGR) must be between -0.20 and 0.20. If outside these ranges, simply use -0.20 or 0.20 and mention during your presentation. 5 Everything is calculated and positioned for you (Other than Industry Growth Rate in Step 4) including the Relative Market Share Position (RMSP). The BCG matrix in this Template does not produce pie slices to show profits. You may wish to discuss divisional profits in your presentation. Enter in division names below (If less than 5, leave the other spaces blank and no circles will appear) Your Firms Division Revenues Top Firm in Industry Division Revenues Division Market Growth Rate (Step 4) Relative Market Share Position NA NA NA NA NA Internal - External (IE) Matrix 1 This Template allows for up to 5 divisions. If the company has more than 5 divisions, combine the divisions with the least amount of revenue into division 5, and mention the adjustment to the class during your presentation, or simply focus on the 5 divisions that your 3-year plan centers around; check with your professor. 2 Company wide EFE and IFE scores are automatically entered once you complete the EFE and IFE Matrices. 3 Enter in estimated EFE and IFE Scores for your respective divisions. 4 This Templates IE matrix does not produce pie slices to show profits. Enter The Name Of Your Firm Enter in division names below. If less than 5, leave the other spaces blank and no circles will appear. Remember you could use divisions by geographic region for the BCG and by product/service type for the IE (or vice versa). Your Firms Division Revenues Estimated IFE Score Estimated EFE Score SPACE Matrix 1 Include five (and only five) factors to assess each SPACE axis: Financial Position (FP), Stability Position (SP), Competitive Position (CP), and Industry Position (IP). 2 Enter the five factors you wish to use each for FP, SP, CP, and IP and the corresponding rating each factor should receive. You may use the factors provided here, but try to determine key factors related to your company and industry in the same manner you did with the CPM. The calculations are done automatically and the rating scale is provided below. 3 Enter in the estimated FP, SP, CP, and IP numbers for up to two competitors. Or, instead of a competitor, you could show the estimated SPACE values for your firm after your proposed recommendations are implemented, ie a Before and After analysis. Or you could do both, just cut and paste the SPACE into PowerPoint then refill in the new data. It is important you fill in all information or Excel will place a circle(s) at the origin of the SPACE since the default will be (0,0) plot, which is the origin. FP and IP Positive 1 (worst) to Positive 7 (best) CP and SP Negative 1 (best) to Negative 7 (worst) Enter The Name Of Your Firm Ratings Financial Position (FP) Current Ratio Debt to Equity Net Income Revenue Inventory Turnover Industry Position (IP) Growth Potential Financial Stability Ease of Entry into Market Resource Utilization Profit Potential Ratings Competitive Position (CP) Market Share Product Quality Customer Loyalty Variety of Products Offered Control over Suppliers and Distributors Stability Position (SP) Rate of Inflation Technological Changes Price Elasticity of Demand Competitive Pressure Barriers to Entry into Market Your firms X-axis 0.0 Your firms Y-axis 0.0 Estimated FP Estimated IP Estimated CP Estimated SP Competitor 1s X-axis 0.0 Competitor 1s Y-axis 0.0 Estimated FP Estimated IP Estimated CP Estimated SP Competitor 2s X-axis 0.0 Competitor 2s Y-axis 0.0 Perceptual Map 1 In this Templates Perceptual Map, you may include for up to 10 product categories. 2 Enter in the X axis and Y axis dimensions. For example, if developing a map for frozen foods your X axis could range from low calorie to high calorie, while the Y axis ranges from low cost to high cost. 3 Enter in the products you wish to compare (up to 10); in the example, these products would be different brands of frozen foods available for purchase. After entering in the products, rate each factor on a scale of 1 to 9. In our example, extremely low calorie would receive a score of 1 or 2, and likewise extremely high calorie should receive a score of 8 or 9. 4 To enhance this analysis, you could mentally draw a line  (or two lines) of best fit (through products) and identify areas along the line that do not have (in this example) frozen food products near the line. In this analysis, blank areas of the map are typically the most advantageous for new product creation. Any products that fall well above or below the line, may be over or under serving customers and should be examined closely. Do not blindly follow this rule of thumb however since, for example, a very expensive product may be well off the projected best fit line and yet serve its small customer base quite well. You may with this Template wish to develop several perceptual maps changing your X and Y dimensions. For example, if you are a large food processor, you could examine frozen foods on dimensions other than the ones used here, or you could examine dairy products or any other related products. Simply cut and paste your existing map into Power Point then enter your data for a new map. Enter The Name of the Dimensions on the X-axis Enter The Name of the Dimensions on the Y-axis Enter in up to 10 products X - axis Rating Y - axis Rating Grand Strategy Matrix 1 The Grand Strategy Matrix allows for entry of your firm and up to 5 divisions 2 Rank the X axis from 1 (Extremely Weak Competitive Position) to 9 (Extremely Strong Competitive Position) 3 Rank the Y axis from 1 (Extremely Slow Market Growth) to 9 (Extremely Rapid Market Growth) X-axis score Y-axis score SWOT 1 Click on the SWOT Hyperlink below and add your SLOWEST, and WT Strategies. QSPM 1. To perform a QSPM, enter two strategies in the corresponding green boxes below. These two strategies should be derived from your BCG, IE, SPACE, GRAND, and SWOT. In your oral or written project, you will need to provide a recommendations page(s) on your own with the expected cost of each recommendation, ie after performing the QSPM. The recommendations page is followed by an EPS/EBIT Analysis to reveal where best to obtain the needed capital (debt vs equity). You should have multiple recommendations, including perhaps both strategies included in the QSPM, and other strategies for the firm - but no firm can do everything that would benefit the firm due to limited resources. 2. In developing a QSPM, after entering in your strategies, then rate each strategy based on the strengths, weaknesses, opportunities, and threats (factors). Do not give two strategies the same rating for a particular strength, weakness, opportunity, or threat. (the exception is if you enter 0 to signify a factor not impacting the choice between strategies then you MUST enter 0 for both strategies. For example, if Strategy 1 deserves a rating of 4 on a given factor, but that factor has little to do with Strategy 2, just assign a rating of 1 to Strategy 2. (Note QSPMs will have 0s across about one half of the rows). Across each row in performing QSPM analysis, use the rating scale below for AS scores. 0 = Not applicable Strategy One Strategy Two 1 = Not attractive 2 = Somewhat attractive 3 = Reasonably attractive 4 = Highly attractive AS Ratings AS Ratings Strengths 1 0 2 0 3 0 4 0 5 0 6 0 7 0 8 0 9 0 10 0 AS Ratings AS Ratings Weaknesses 1 0 2 0 3 0 4 0 5 0 6 0 7 0 8 0 9 0 10 0 AS Ratings AS Ratings Opportunities 1 0 2 0 3 0 4 0 5 0 6 0 7 0 8 0 9 0 10 0 AS Ratings AS Ratings Threats 1 0 2 0 3 0 4 0 5 0 6 0 7 0 8 0 9 0 10 0 You have completed Part 1. Click The Blue Buttons Below to Navigate Part 1 More Efficiently Strengths /xl/drawings/drawing1.xml#PART\%20I!B13 Perceptual Maps /xl/drawings/drawing1.xml#PART\%20I!B255 Weaknesses /xl/drawings/drawing1.xml#PART\%20I!B39 Opportunities /xl/drawings/drawing1.xml#PART\%20I!B55 Threats /xl/drawings/drawing1.xml#PART\%20I!B81 SWOT /xl/drawings/drawing1.xml#PART\%20I!B311 CPM /xl/drawings/drawing1.xml#PART\%20I!B99 IE Matrix /xl/drawings/drawing1.xml#PART\%20I!B155 BCG Matrix /xl/drawings/drawing1.xml#PART\%20I!B131 SPACE Matrix /xl/drawings/drawing1.xml#PART\%20I!B181 GRAND /xl/drawings/drawing1.xml#PART\%20I!B294 QSPM /xl/drawings/drawing1.xml#PART\%20I!B317 View IFE Matrix /xl/drawings/drawing1.xml#IFE\%20!A1 View IFE Matrix /xl/drawings/drawing1.xml#IFE\%20!A1 HOME /xl/drawings/drawing1.xml#PART\%20I!A2 View EFE Matrix /xl/drawings/drawing1.xml#EFE\%20!A1 View EFE Matrix /xl/drawings/drawing1.xml#EFE\%20!A1 View CPM Matrix /xl/drawings/drawing1.xml#CPM!C2 View CPM Matrix /xl/drawings/drawing1.xml#CPM!C2 BCG /xl/drawings/drawing1.xml#BCG!B5 BCG /xl/drawings/drawing1.xml#BCG!B5 IE /xl/drawings/drawing1.xml#IE!B2 IE /xl/drawings/drawing1.xml#IE!B2 SPACE /xl/drawings/drawing1.xml#SPACE!B2 SPACE /xl/drawings/drawing1.xml#SPACE!B2 Perceptual Map /xl/drawings/drawing1.xml#Perceptual\%20Map!B2 Perceptual Map /xl/drawings/drawing1.xml#Perceptual\%20Map!B2 SWOT /xl/drawings/drawing1.xml#SWOT!A2 QSPM /xl/drawings/drawing1.xml#QSPM!B2 GRAND /xl/drawings/drawing1.xml#GRAND!B2 GRAND /xl/drawings/drawing1.xml#GRAND!B2 QSPM /xl/drawings/drawing1.xml#QSPM!B2 PART II Preliminary Financial Data 1 Enter in your preliminary financial data below for your company. This data is used to construct financial statements, financial ratios, and much more. Income Statement Information Enter all as Dollar Amounts. Make sure the oldest year is entered into Column 1 throughout this Template. You may NOT Change this sequence as the preset equations will not adjust. Read the Note to the left CAREFULLY Reporting Date Revenue Cost of Goods Sold Operating expenses Interest Expense Note: If receiving interest credit, enter as NEGATIVE number Non-recurring Events Note: If NEGATIVE enter as negative number. Generally this line is for discontinued operations and 90\% of the time you will enter 0 Tax Note: If receiving a tax credit, enter as NEGATIVE number Balance Sheet Information Current Assets 12/31/99 12/31/99 Cash and equivalents and Short Term Investments Accounts Receivable Inventory Other Current Assets Long Term Assets Property, plant & equipment Goodwill Intangibles Other Long-term Assets Current Liabilities Accounts Payable Other Current Liabilities Long Term Liabilities Long-term Debt Other Long-term Liabilities Equity Common Stock Retained Earnings Treasury Stock Note: Enter as negative number Paid in Capital & Other Company Valuation 1 Enter in the corresponding data below for your firm, and for a rival firm if you desire. The rival can be a firm you wish to acquire or simply just to compare to your case company. Your Firms Name Stockholders Equity 0 Note: Determined after you complete the preliminary section. Net Income 0 Note: Determined after you complete the preliminary section. EPS ERROR:#DIV/0! Note: Determined after you complete the preliminary section and enter in # shares outstanding below. # Shares Outstanding Note: Using Current # shares outstanding is okay or # of shares outstanding (issued) on the last day of the fiscal year. Stock Price Note: Current Stock price is fine, or the closing price on the last day of the fiscal year. Goodwill & Intangibles 0 Note: Determined after you complete the preliminary section. Rival Firms Name Stockholders Equity Net Income EPS # Shares Outstanding Stock Price Goodwill & Intangibles EPS/EBIT Analysis 1 Enter in the corresponding data below for your firm. 2 If you notice little to no change in EPS with stock vs debt financing, the total amount of your recommendations is likely too low. Unless of course, you are recommending defensive strategies where you are not acquiring substantial new capital. Pessimistic Realistic Optimistic EBIT EPS/EBIT Data Amounted Needed Note: This number is the total cost of your recommendations. Interest Rate Note: Enter as a decimal. Tax Rate Note: Enter as a decimal. Shares Outstanding 0 Note: Enter in under Company Valuation on this page. # New Shares Outstanding ERROR:#DIV/0! Note: Calculated automatically Stock Price $0.00 Note: Enter in under Company Valuation on this page. Combination Financing Data Percent Equity Used to Finance Note: Enter as a decimal. Percent Debt Used to Finance Note: Enter as a decimal. Total Equity and Debt 0.00 Note: Must equal 1.0. Check the two line items above. Projected Financial Statements 1 Start with the income statement and work your way from top to bottom. Take extreme care to read and understand all notes provided by each line item. See Chapter 8 in the David & David textbook for examples and guidelines in developing projected financial statements. 2 After completing the income statement, begin the balance sheet starting with the dividends to pay line near the bottom; finish the equity section of the balance sheet first, then work your way up the statement to the liabilities section, then onto the assets, using the top row (Cash) as the plug figure. A detailed note beside the cash line item explains further. 3 Take care to read all notes to the right of the line items. Consult Chapter 8 of the David & David textbook for excellent explanations and tips for constructing projected statements. Percentages in the Projected Income Statement will be multiplied by the most recent year. For example, if you enter in 10\% for projected revenues in projected year 2, the Template will use the equation (1.10 x projected year 1 revenues) = projected year 2 revenues. For line items in the projected income statement requesting dollar amounts, please read the note below for the balance sheet. The calculations work the same way as described there. Projected Years (earliest to latest) Income Statement Historical Numbers (see notes) Projected Reporting Date Historical Percent Notes Below. Enter your data in the EXACT same format as the Notes describe. Revenues ERROR:#DIV/0! Historical Note: Difference the two most recent years of data. Enter percent increases you expect based on your recommendations. Do not blindly use the historical number provided. Enter as percent. Cost of Goods Sold ERROR:#DIV/0! Historical Note: Percent of Sales in the most recent year. Use a similar percent across all three projected years unless you believe COGS to sales percent will change drastically. Enter as percent. Operating Expenses ERROR:#DIV/0! Historical Note: Percent of Sales in the most recent year. Use a similar percent across all three projected years unless you believe Operating Expenses to sales percent will change drastically. Enter as percent. Interest Expense $0 Historical Note: Dollar amount of interest paid in the most recent year. Enter in the NEW NET dollar amounts of interest you will forecasted for each year. If your most recent interest payment was $500 and you plan on a $20 net increase in interest for projected year 1, simply enter in $20 for year one. If financing through debt, the number is more likely to increase more than if financing through equity. Enter as dollar amount. If you anticipate less interest expense than the year before, enter as a negative number. Tax ERROR:#DIV/0! Historical Note: Tax Rate in most recent year. You can likely use the same tax rate throughout unless you expect a large increase/decrease in revenues and subsequently EBT. Enter as percent. Non-Recurring Events 0 Historical Note: Dollar amount of Non-Recurring Events for each year, this number is not cumulative. Safe to forecast this number as $0 in ever year. Enter as dollar amount. Scroll Down for Balance Sheet Work from the bottom of the Projected Balance Sheet to the top Projected Years (earliest to latest) Balance Sheet (Start at the bottom) Historical Dollar Amount Paid The projected Balance Sheet is designed for you to enter in the NET ADDITIONAL DOLLAR VALUES (for PPE, Goodwill, and Intangibles). The Template will add these values to the existing numbers. For Example, if you are adding $1,000 in inventory in projected year 1, (but you estimate your firm used $800 of its existing inventory from the prior year) just enter in $200 ($1,000-$800) in the corresponding box and the Template will use the equation ($200 + most recent historical year Inventory number) = projected year 1 inventory. Read the message to the right, then start at …