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To enhance the benefits related to health in drinks and

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  • "To enhance the benefits related to health in drinks and to improvise their modes ofpreservation without altering their organic nature. Logistics To ensure smooth flow of supply chain management will in turn assure appropriatevolumes of sales as per ..

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  • "To enhance the benefits related to health in drinks and to improvise their modes ofpreservation without altering their organic nature. Logistics To ensure smooth flow of supply chain management will in turn assure appropriatevolumes of sales as per the demand.To provide sufficient degree of technical and logistics support in terms ofcommunication, transport and other technical assistance for sales and production unitsaccordingly. Production To enhance the quality of the product while increasing the quantity and to ensure that thequality is always assured in each batch of production.To ensure that the demand is catered by producing adequate amount of products and tokeep the products in transport ready state with appropriate levels of preservation. Sales To ensure the product reaches the relevant localities across Maldives at appropriate timesin right quantities to cater the demand in each locality. To obtain the feedback from the first time customers as well as regular customers of STOin terms of the products and to relay the message to the R&D and production unitsappropriately.MarketingTo ensure that the campaigns are viral enough to reach the targeted customers all over theMaldives and to sustain the vibe and hype about the product for a period of more than amonth. Finance To provide adequate financial resources to the SBU in order to undertake its duties andfulfill the given objectives appropriately while monitoring and controlling the status offinances. Though each team of strategic business unit has their own set of objectives and duties, thecollective objective of the SBU is to enhance the market share of the organic drinks on the go bySTO and to sustain the same for a considerable period of time till they become a daily sortedproducts in the market. 5.2 Risk AssessmentRisk assessment by the strategic business unit is again shall be divided upon the teamscomprising the SBU where each team assessing the risks in their own areas of competency. Page | 36 Research and The primary risk assessment in terms of the research and development would be in termsdevelopment of checking the potential contaminants in the products which can harm the health relatedparameters. Physical, chemical and biological contaminants would be assessed in termsof their potential to cause any outbreaks during large scale production and preservation. Logistics From the logistics perspective, the risks will be assessed in terms of troubleshootingoptions on the go, in terms of transportation, adequate amount of staff being availableand technical assistance whenever required. The risk assessment will focus based onnormal operational protocols as well as emergency protocols to ensure unhinderedoperations.Production Product based risk assessment will be mainly based on the determination of preservationmethods and how to successfully undertake the same for a longer period of time. Thepotential risks in terms of contamination as well as spoilage during production will beassessed along with other potential risks related to packaging and transportations to theon the go vehicles. Sales Risk assessment in terms of sales would be emphasized on tackling the potential hurdlesin terms of rivalries in respective locations where the market share would substantially bethreatened by the small scale industries that accustomed to their home turfs. Alsopreservation of the drinks without spoilage and contamination is another risk assessmentthe sales team need to emphasize on. MarketingRisk assessment in terms of marketing and branding would be mainly based on thedetermination of return of investment. The assessment will be carried in terms ofdifferent channels of marketing and how each would bring about return of investmentwith time frames. Also the strategies for marketing will be assessed In relevance to theirpotentially in creating substantial brand awareness and sales in turn. Finance Financial risk assessment will be covering all modes of finances, utilized from the capitalinvestment of the SBU to areas such as production, research and development, sales andmarketing, advertising etc. With each team assessing the potential risks in their respective domains, collectively the strategicbusiness unit in turn will undertake the risk assessment as a whole taking into consideration ofthe individual teams’ assessments in order to provide an overall risk assessment. 5.3 Action PlansStrategic business objective are a set of targeted goals which can be deemed the most critical interms of the establishment of the business and its sustainability towards future. In terms of thePage | 37 action plans, the objectives of such business are prioritized in accordance with their relevance forthe current situation and their potential implications. A SWOT analysis need to be undertaken asthe first step of the action plans to determine the Strengths, Weaknesses, Opportunities andThreats. This section emphasizes about six primary factors which to be implemented under theaction plan by the organic drinks on the go initiative, where the factors are market share, physicalresources, financial resources, innovation, productivity and action planning.5.3.1 Increase Market ShareIn relevant to enhance the market share, the business should in turn enhance their respectiveshares in the competitive markets, where the entire population of Maldives is divided ontosmaller markets based on demography. The strategy to increase market share of each marketcomponent will be target specific in terms of attracting particular demographic populationtowards the consumption of organic drinks according to the needs most suitable to them. Alsothe existing customers of STO will be encourage to try out the new products of the organizationon the move by providing them with discount coupons and other promotional offers with theexisting products they are interested. On the other hand, by expanding the market for organicdrinks in Maldives, the option is still highly unexplored, the organization is poised to capture themajor portion or the whole of the market for organic drinks, except for the small scale vendorsspecific to localities. 5.3.2 Strengthening Financial ResourcesStrengthening of financial resources is one of the critical areas in terms of strategy where theSBU is encouraged to become self-reliant in terms of its own financial and get rid of thedependence from the parent organization. Short term and long term targeted objectives are to bein place to bring about financial stability to the initiated business. Increasing sales in turn bringsabout increase flow of cash onto the business which can lead to strengthen the financialresources of the business. For the first one year since establishment the SBU shall be totally depending on the parentorganization’s financial resources whereas from the second year onwards the relativedependence shall be reduced from 50% of the previous year. (i.e. 100% during the first year,50% during the second year, 25% during the third year, 12.5% during the fourth year and so on). Page | 38 After the five year period the SBU shall be totally independent of its own financial resources andmanage its own finances with self-sufficiency.5.3.3 Physical ResourcesAs the products of the business are tangible, majority of the physical resources include theproduction units, the machineries, the delivery and sales units as well as other additionalequipment such as furniture.In terms of procurement of the physical resources, the production and sales units shall beprocures as the highest priority. The production unit will first comprise a pilot plat whichproduces small scale production of sample packs of organic drinks during the phase ofpromotions. This is followed by large scale product which requires assembly of the entireproduction unit.Office related physical resources are to be given least priority during the first year as the unit willbe functioning in the premises of the parental organization. Delivery and sales units are tooassembled for the promotional purposes as well as actual sales which are one of the most criticalphysical resources as their outlook too needs to be attractive for the consumer. 5.3.4 ProductivityProductivity as a whole, in terms of a business, is critical towards its sustainment andprofitability. Productivity will be mainly emphasized on the basis of attaining maximum levels ofCustomer satisfaction with customer loyalty on a long term perspective. In addition to that thefocus is on reducing the production time and reduce the potential waste accumulated during thecause of production. From the service point of view, reduce the call time and provide fast serviceto the localities in one of the priorities. In addition to that the productivity of the human resources shall be analyzed on a continuousbasis in terms of their contribution to the business objectives and accountability. Also each teamis monitored in terms of their respective productivity levels in accordance with their primaryobjectives of establishments. Page | 39 The parameters determining the productivity shall not be uniform throughout and may varyaccording to the phase the business is undergoing, from the initial stages towards attainingsustainability collectively. 5.3.5 InnovationInnovation is a critical component in any modern day business as no product or service whichlacks innovation fails to attract majority of the markets. In order to establish significant degree ofmarket share it is necessary that the business is integrated with appropriate degree of innovationin terms of production as well as the areas of sales and marketing. Product wise the innovation will be mainly emphasized on retaining the drinks with their specifictastes while enhancing their nutritional abilities. In the meantime Mocktails and other mix ofdrinks can be tried out in the market which would bring about innovative solutions as alternatesto the existing branded drinks in the market. Innovative solutions in terms of modes of paymentsand other services are critical whereas on the move business may face hindrances on those fronts. Also it is necessary to be provide with products which suit different temperatures, climates andother parameters such as demographic mixes in order to attain and sustain maximum degree ofmarket share. 5.3.6 Action PlanningThe primary objectives of the six teams of the strategic business unit shall be divided upon thebasis of SMART goals which specific, measureable, achievable, realistic and timely. SMARTgoals will enhance the ease of monitoring the progress of each team of the strategic business unitas well as the entire business collectively. Each team is tasked with setting up their SMARTgoals and to prioritize each objective accordingly in a time bound manner. From theorganizational perspective, it brings about the ability to attain required levels of targets as abusiness. In the meantime, the SBU as a whole will have its SMART goals which in turn are monitored bythe parent organization during the first two years in order to ensure the sustainability of thebusiness. It leads to accountability of each team as well as the SBU as a whole, accountable tothe parent organization. Page | 40 "

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