Task 1 - BSBMGT517 Develop an operational plan

Violeta Hoyos López

BBQfun's operational plan

1. BBQfun's operational plan is that Engaging with customers through marketing, research
and personalised service, Building reputation for quality products and quality customer
service, Supporting people to perform via training and performance management,
Increasing sales revenue, Reduce direct and indirect costs of operations.
2. Brief summary of the BBQfun operational environment that :
a. an outline of the legislative and regulatory context that is relevant to BBQfun’s
operational plan are
- Health and safety legislation sometime referred to as work health and safety
(WHS) or occupational health and safety (OHS)
- Privacy legislation protect the privacy of citizens by ensuring that personal
information is only collected when necessary
- Australian Consumer Law details consumers' rights and responsibilities
- workplace relations legislation ensure that organisations treat their employees
fairly
- Anti-discrimination and equal opportunity legislation exist to ensure that all
seeking employment are treated fairly by employees and employers.

b. an outline of the BBQfun policies and procedures that directly relate to the
operational plan are
Recruitment and induction policy and procedures:
The purpose of this policy is to establish guidelines for the recruitment and
selection of employees. BBQfun aims to attract and employ the most suitable
person for the position who will support the organisation’s values, culture and
goals in order to achieve its strategic directions.

performance management policy, procedures:

The purpose of this policy is to ensure performance management is carried out
consistently, fairly and transparently and in accordance with organisational
requirements. The scope of this policy covers the performance management process by
 employees and contractors of BBQfun. Specific procedures for the implementation of
this policy are on the company intranet.

c. The role of an operational plan in achieving the successful implementation of the

e-commerce strategy to be measurement, implementation department in
organisation such as Production and manufactory, Human resources, Processes,
Distribution, Location and facilities, Equipment.
2. Research resource requirements for implementation of e-commerce strategy.
After consulting with the management team and research resource can determine that
;
● Medium risk of poor online sales.

● High risk of customer service quality problems for online customers leading to a breach
of consumer law.
● High risk of staff misunderstanding changes and considering online sales as threat to
jobs.
● Medium risk of not being able to recruit fully trained online staff.

● Low risk of loss of IP relating to confidential information contained within the e-

commerce strategy when employees leave the organisation
● Medium risk of loss of IP ownership if a relationship with the website developer contract
ceases.
● Low level risk of not complying with WHS legislation through lack of risk assessment
conducted on potential musculoskeletal disorders resulting from poor customer service
workstation design.
● Medium risk of wastage due to overstocking product in anticipation of increased online
sales.

3. Develop an action plan for the implementation of the e-commerce strategy.

Action plan

Milestone: Action and/or objective Date Person responsible Budget or resources

(to achieve strategic aims of physical or human resourcing) (where applicable)

Plant and equipment 30 June 2017 Riz Mehra, Delivery trucks

Chief Financial $50,000 x 6= $300,000
Officer
Forklifts
$10,000 x 3 = $30,000

Promotional 1 August 2017 Sam Lee, $300,000

Marketing
Manager

Website developers 1 August 2017 Kim Chen, $100,000

Operations
General Manager

Staff training (Online customer service training) 1 August 2017 Les Goodale, $3,000 per staff member =
$24,000
Human Resources
(HR) Manager

Recruitment 30 June 2017 Les Goodale, $30,000

 Human Resources
(HR) Manager

Management change leadership training for store managers and team 30 June 2017 Pat Mifsud, CEO $3,000 each = 1 Brisbane store
leaders manager, 4 Brisbane team
leaders, 1 Gold Coast store
manager and 3 Gold Coast team
leaders x $3,000 = $27,000

Warehouse and office reconfiguration 30 June 2017 Kim Chen, $50,000

Operations
General Manager

Total $861,000
 4. Develop performance indicators for operational and financial targets and amend or
develop existing operational plans to include KPIs and financial targets related to e-
commerce strategy.Develop a balanced scorecard for an e-commerce customer service
representative including three KPIs and associated targets.
Balanced scorecard

KRA (key Target KPI (key performance Result

result area) indicator)

Professional Numbers of injuries 0% of injuries numbers

development
Numbers of absentees <3% of total hours
Anti-discrimination complaints 0%
Lost Time Injury Frequency Rate 2%
Percentage completion of Increse by 20%
performance plans and
performance management
process.
Numbers of coaching sessions 100 % Completed
completed.
Numbers of operational-related 100 % Completed
training programs completed.

Financial General ledger accounts; financial

statements:
Increasing sales revenue.
Revenue
$11 million
Profit
$1,792,286

Reduce direct and indirect costs

of operations.
wages
All those expenses
cost of agent services
reduce by 20 %
consultancy fees comparation with
revenue
wastage and associated expenses.
Expense
$5,004,714
COGS target
 $5,890,000

Customer Percentage of brand recognition in Incresing by 20%

satisfaction sought-after categories in periodic
customer surveys.
Percentage of customers with
positive view of organisational Incresing by 25%
responsiveness, innovation,
quality, ethics, safety.
Less than five
Number of customer complaints. complaints per quarter
Delivery times. 100 percentage
complete

Number of returned items Less than 2%

Internal Completion of market/marketing Complete research

business research. One time per quarter
pocesses
Completion of customer surveys. Complete surveys Two
research per year.
One research per
Completion of reports to identify
quarter
marketing opportunities.

5. Identify at least three risks to the implementation of the operational plan and develop
a contingency plan for each risk (you may use the contingency plan template provided
in Appendix 4). Risks must include:
a. one risk due to employee underperformance
b. one risk related to management of intellectual property (IP)
c. one risk due to breach of health and safety compliance responsibilities.
Contingency plan

Contingency Plan

Company name: BBQfun

Name of person developing the plan: Violeta

Who was consulted as part of this plan?

Name Position
Kim Chen Operations General Manager

Les Goodale Human Resources(HR) Manager

Sam Lee Marketing Manager

Risk identified:
● Medium risk of poor online sales

● High risk of customer service quality problems for online customers leading to a
breach of consumer law
● High risk of staff misunderstanding changes and considering online sales as threat to
jobs
● Medium risk of not being able to recruit fully trained online staff

● Low risk of loss of IP relating to confidential information contained within the e-

commerce strategy when employees leave the organisation
● Medium risk of loss of IP ownership if a relationship with the website developer
contract ceases
● Low level risk of not complying with WHS legislation through lack of risk assessment
conducted on potential musculoskeletal disorders resulting from poor customer
service workstation design
● Medium risk of wastage due to overstocking product in anticipation of increased
online sales.

Strategies/activities to minimise the risk By when By whom

Poor online sales 1 Oct 2018 Sam Lee,

Marketing
Reviewing and improving sales strategy
Manager
- Website Design
- Website Browsing Experience that always have a
breadcrumb menu on every page so that visitors
who arrive at a product page and not through the
home page know exactly where they are in relation
to the stores categories.
- Smart Pricing add standard Guarantees such as The
Money Back Guarantee, The Risk-Free Guarantee,
100% Satisfaction Guarantee
- Checkout Queue Times - Payment Flow
- Shop Location - Search Engine Optimisation consider
using Google Ad words to get some quick relevant
traffic and to find out which keywords work best to
increase sales.

Implementing effective sales processes

- Defining customer buying processes and
preferences
- Validating and documenting effective sales process,
selling stages, and activities to align with buyers
- Establishing optimal sales management cadence
and methods for inspection

Developing essential selling skills

- Providing salespeople with consistent, repeatable
sales methodology and messaging that are aligned
with buyer behavior and preferences
- Providing sales managers with process and skills for
developing sales teams and coaching performance
- Providing continuous learning and reinforcement to
master essential selling competencies

Providing sales productivity tools

- Enabling easier sales process execution through the
use of CRM-integrated tools and streamlined
reports
- Providing guided selling applications with
embedded learning and reinforcement based on
winning sales practices
Customer service quality and breach of consumer law 1 Oct 2018 Kim Chen,
- Don’t just resolve the current issue—head off the Operation
next one. General
- Arm reps to address the emotional side of customer Manager
interactions.
- Minimize channel switching by increasing self-
service channel “stickiness.”
- Use feedback from disgruntled or struggling
customers to reduce customer effort.
- Empower the front line to deliver a low-effort
experience.
- More consider to addition Consumer law in the
training program.

Staff misunderstanding changes and considering online 1 August Les Goodale,

sales as threat to jobs 2017
Human
- identify issues that may cause conflict Resources (HR)
- consider cultural differences if difficulties or Manager
misunderstandings occur
- make an effort to sensitively resolve differences,
taking account of cultural considerations
- address difficulties with appropriate people and
seek assistance when required.

Not being able to recruit fully trained online staff 1 August Les Goodale,
2017
- consider to hire consult companies to manage at the (HR) Manager
short time.
- Training staff to support position that missing

Loss of IP when employees leave the organisation and risk 1 Oct 2018 Kim Chen,
of not complying with WHS legislation
Operation
- Consult with the lawyer General
- Make sure the employment contract cover that IP Manager
relating to confidential information contained
within the e-commerce strategy when employees
leave the organisation.
- Find other website developer

WHS legislation through lack of risk assessment conducted 1 August Les Goodale,
on potential musculoskeletal disorders resulting from poor 2017
(HR) Manager
customer service workstation design
- Make sure health insurance cover all employees
- Make sure the employment contract cover all WHS
legislation.
 Wastage due to overstocking product 1 Oct 2018 Kim Chen,
- Try to do online marketing by Preoder sale. Operation
- In case overstock than make promotion by consider General
the price should cover overall cost at least. Manager

6. Develop a proposal for resourcing to be presented for approval to the Operations

General Manager. Include in your proposal:

- According to research from the website. The e-ecommerce become more popular
because time plays an important role to both the business and consumers. The e-
ecommerce make more cost effective because company don’t need more human
resources, Capital…etc. Therefore, low capital make high quality then make more
profit. So the company make a faster, easy for the consumers to use the e-ecommerce
that would be winner.

a. breakdown of costs:

Resources Costs

Delivery truck $50,0006=$300,00

Plant and equipment
Forklifts $10,000×3=$30,000

Website developers $100,000

Warehouse and office reconfiguration $50,000
4 online staff $ 480,000

4 warehouse staff $480,000

Human resourcing (additional workers)

6 delivery drivers $720,000

Human resourcing (re-training staff) $27,000

Human resourcing (do not have any skill of
$24,000
online service)
Human resourcing (because of overstaffed, 4
Distribution
staff from present store)
Human resourcing (8 staff of customer
Increasing sales and customers
service)
 b. benefits to organisation

The benefit of the organization is reducing the cost and increases the market share because
e-commerce does not need more human resourcing and capital for example, electricity and
rent…etc. however, it can increase the qualities of the service and product. Therefore, BBQfun
can attract more customers then the sale revenue would increase, the profits will increase also
the market share will increase.
c. a list of different approaches to developing key performance indicators

 Advertising (TV, new paper, magazines)

 Discount
 Built the Business
 Social network (Facebook, WeChat, Line)

d. risks to organisation by not implementing

If the organization do not follow the action plan to implementing, it may impact the business
process. In addition, this may cause the costs increasing spend extra wages and the qualities
of service and product may decrease. These thing will cause the company make the loss.
Overall the action can help the company be success.
e. outline of identified risks and contingency planning

Risks Level of the Risk Solution

Change the other shop location
Poor online sale M
(more popular Search Engine)
Customer service quality problem for
Re-training Staff to match the
online customers leading to a breach of H
consumer law
consumer law
Staff misunderstanding changes and
H Re-training Staff
considering online sales as threat to jobs
Not being able to recruit fully trained Increase the wages to attract
M
online staff fully trained online staff
IP relating to confidential information
contained within the e-ecommerce Required to sign a
L
strategy when employees leave the confidentiality contract
company
Loss of IP ownership if a relationship
with the website developer contract M Find other website developer
ceases
Not complying with WHS legislation
Purchase health insurance for
through lack of risk assessment L
employees
conducted on potential musculoskeletal
disorders resulting from poor customer
service workstation design
decrease the selling price or
Wastage due to overstocking product in
M make a discount try to sale
anticipation of increased online sales
overstocking product

f. description of sources of information used to develop proposal (use internet

research on technical aspects of e-commerce and importance to retailers; use
consultation, use company financial projections)

According to research from the internet. The e-ecommerce become more popular
because time plays an important role to both the business and consumers. The e-
ecommerce make more cost effective because company don’t need more human
resources, Capital…etc. Therefore, low capital make high quality then make more
profit. So the company make a faster, easy for the consumers to use the e-ecommerce
that would be winner.