Explain financial management and budgetary processes

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Reference no: EM133148544

BSBOPS501 Manage business resources

CONTEXT & SCENARIO
As mentioned in organisation brief that AAT Kings have recently started cafe operations after their successful tour guiding business for over several decades. The organisation has now decided to use some profit funds to diversify into other different areas of business that resulted in a new company which is a new Cafe Business naming Service Industry Management Private Limited (SIM). The new companyhas been approved by the Australian Business Registrar. The parent organisation (AAT Kings) have provided enough fund for SIM that ithas recently acquired three (3) brand new premises for cafe operations in three different locations: One in Sydney CBD, One in Brisbane CBD and One in Perth CBD. However, the premises will need to be designed and branded with appropriate fit-outs, machinery, staff members, and other relevant resources necessary for cafe operations. The core business of the group still remains tourism operationsbut they now wish to expand into cafe management.

Your role
You have been newly appointed as the Resource Management Specialistof Cafe Operations for SIM.As mentioned previously that all three premises will need to be designed and branded with appropriate fit-outs, your job is to ensure the management of resources during this fit-out project and after the completion of these design project, you will still be the resource manager for cafe operations for these three branches. You have been allocated $450 000 for the fit-out and resource allocations of each of the premises. Based on the type and nature of work, your job rolewill have numerous responsibilities and you will beanalysing resource requirements, developing resource plans, allocating resources, and reviewing and reporting on resource usage. More importantly, you will:
• consult with relevant stakeholders and analyse information to determine the nature and level of resource required to achieve business objectives
• plan for, acquire and allocate the resources, incorporating strategies to maximise efficiency and manage risk
• develop and implement systems to incorporate efficient use of resources into work practices and monitor resource use against budgets and business objectives
• prepare reports that clearly indicate the level of performance achieved and any adjustments needed to achieve service and product delivery standards
• outline the legislative and regulatory context of the organisation in relation to managing resources
• explain financial management and budgetary processes in the organisation in relation to resource acquisition
• explain typical risks associated with managing business resources and possible risk management strategies
• outline key elements and sources of information needed in a system to monitor usage for physical resources and human resources

Various stakeholders in this context (for the simulated organisation SIM (concern of AAT Kings)
• Resource ManagementSpecialist - You
• Director, Operational Management - Your trainer
• Stakeholders, Specialists, Team members, and External People - Your fellow learners

You trainer will act as your supervisor/specialist for this simulated assessment. You will be progressively completing tasks one after another within the simulated environment (or your preferred business) to complete this assessment task.

What is required?
Using the RESOURCE MANAGEMENT STRATEGYTEMPLATE provided in this assessment, you be working towards strategy for ResourceAllocation and Develop a Register Manualfor an enterprise of your choice (within Australia) or use the simulated workplace context of (Service Industry Management (concern of AAT Kings). Whether you choose your own workplace or the simulated work environment, to demonstrate competency you will complete all tasks following the exact structure and template as providednext.

Resource Management Strategy Guide and Tasks
As a guideline, you will need the following for each outlet as they are to be identical, with a floor space of 350 square metres:
• tables and chairs providing seating for forty (40) ‘alfresco style'
• built-in furniture providing seating for twenty ( 20)
• refrigerated display cabinet with counter and storage
• cabinets
• small freezer
• cool room
• reverse cycle air-conditioning
• commercial three (3) group coffee machine
• coffee roaster (optional)
• coffee grinder
• commercial fruit juicer
• hot water urn
• dishwasher
• cutlery, crockery and other service equipment
• salamander or oven
• toaster
• point of sales (POS)/cash register

The management expects that your overall project for all three premises is completed within the next six months.

STRUCTURE & TASKS

Task 1: Based on the acquired locations for cafe premises, you will need to identify and consult the potential stakeholders (your trainer will act as the stakeholder in this case) for the three premises. You will also need to analyse the CBD information to determine the types and level of resources required for the organisation.

Task 2: Based on the given information in assessment brief, you are required to plan the fit-out with the allocated funds and select alternate financing options such as leasing. You will need to include purchase specifications for the equipment to guide the acquisition process.

Task 3: Based on the given information provided in assessment brief and your previously completed tasks develop and implement systems to
• Incorporate efficient use of resources
• Monitor resource use against budgets and business goals

Task 4: Prepare an asset management manual with policies and procedures in order to:
• monitor the condition and performance of the physical assets you have recommended and take appropriate action in the event of a breakdown
• undertake preventative maintenance on an ongoing basis
• acquire new assets as needed
• maintain records to comply with the financial and legal requirements of business operations

TASK 1: ANALYSE RESOURCE REQUIREMENTS

In TASK 1, based on the acquired locations for cafe premises, you will need to identify and consult the potential stakeholders (your trainer and fellow learners will act as the stakeholders in this case) for the three premises. You will also need to analyse the CBD information to determine the types and level of resources required for the organisation.

You are required to:
A. Develop resource bids in line with outputs specified in business plans
B. Consult with key stakeholders to determine the nature and level of resources required;Analyse resource requirements to identify proposed costs and benefits
C. Identify opportunities to share resources across business units within the organisation

1A: In this task, you willdevelop resource bids in line with outputs specified in business plan; Analyse resource requirements to identify proposed costs and benefits

1B: In this task, you willconsult with key stakeholders to determine the nature and level of resources required. To do this you will also need to explore and research specific area information using Internet on the approximate costs.
1C: In this task, you will identify opportunities to share resources across business units within the organisation

TASK 2: DEVELOP RESOURCE PLANS TO SUPPORT BUSINESS OBJECTIVES

In TASK 2, you are required to plan the fit-out with the allocated funds and select alternate financing options such as leasing (if needed). You will need to include purchase specifications for the equipment to guide the acquisition process.

You are required to:
A. Develop resource plans that detail the acquisition and allocation of resources, timelines and the relationship to business strategies, contingencies, plans, programs and processes; Determine internal resourcing capabilities and external resourcing requirements; Identify risks and establish risk management processes
B. Develop procedures for the evaluation of resource allocation and incorporate them in resource plans
C. Apply organisation's procedures to obtain approvals from senior management

2A: In this task, you willdevelop resource plans that detail the acquisition and allocation of resources, timelines and the relationship to business strategies, contingencies, plans, programs and processes; Determine internal resourcing capabilities and external resourcing requirements; Identify risks and establish risk management processes

2B. Based on the resource allocations, fit-out plans and identified risks, you will now develop procedures for the evaluation of resource allocation and incorporate them in resource plans

2C.In this task, you will apply organisation's procedures to obtain approvals from senior management.

TASK 3:ALLOCATE RESOURCES TO ACHIEVE BUSINESS OBJECTIVES

In TASK 3, based on the given information provided in assessment brief and your previously completed tasks you are required to develop and implement systems to incorporate efficient use of resources and monitor resource use against budgets and business goals.

You are required to:
A. Allocate resources in accordance with relevant legislation, organisational policy and practices
B. Manage resource allocation to enable achievement of business unit objectives
C. Negotiate and obtain resources within required timeframe to enable achievement of business unit objectives
D. Develop and implement systems to enable timely and accurate monitoring and review of resource usage; Develop or revise work practices to incorporate efficient use of resources; Develop and implement procedures to review resource allocation against business unit objectives

3A: In this task, you will allocate resources in accordance with relevant legislation, organisational policy and practices

3B: In this task, you will manage resource allocation to enable achievement of business unit objectives

3C: In this task, you willnegotiate and obtain resources within required timeframe to enable achievement of business unit objectives

3D: Based on your previous planning, allocations and completed tasks, you will now develop and implement systems to enable timely and accurate monitoring and review of resource usage. You will revise work practices to incorporate efficient use of resources and develop and implement procedures to review resource allocation against business unit objectives

TASK 4:REVIEW AND REPORT ON RESOURCE USAGE

Based on the previous task scenario on resource usage where you have identified the variations on resource usage during the project time, you will now monitor compliance on resource usage, take action and prepare a report to indicate the level of performance in regards to project resource usage.

You are required to:
A. Monitor compliance with program and project budgets and take corrective action where necessary
B. Prepare reports that clearly indicate the level of performance achieved and any action taken to adjust or rectify procedures in meeting service and product delivery standards

4A: In this task, you will monitor compliance with program and project budgets and take corrective action where necessary. To do this you will officially inform your supervisor what actions you have undertaken to monitor compliance on resource allocation and usage.

4B: In this task, you will prepare reports that clearly indicate the level of performance achieved and any action taken to adjust or rectify procedures in meeting service and product delivery standards

Attachment:- Manage business resources.rar

Reference no: EM133148544

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