Strategic Management Of Woolworths Samples †MyAssignmenthelp.com

Question: Discuss about the Strategic Management Of Woolworths. Answer: Introduction Strategic Managementis recognition and explanation of the strategies managers can take so as to attain improved performance and a competitive advantage for organization. An organization is said to be competitive if the average profitability is higher than all the companies. The key to gain success lies in the management. In such a highly competitive business environment it is themanagement that works well in coordination (Abbott Booth, 2014). Woolworths in 2015 went a significant structural change. Some of the subsidiary of the company was shut down due to poor performance. The report furnishes the approach in which the organization can manage the crises. The organization has reported a loss in 2015 in 10 years. Organization Overview Woolworths Limitedis anAustraliancompany providing with wideretailinterest all over Australia andNew Zealand. It is the second largest company by revenue in Australia. The organization is known as the second largest organization in New Zealand. In addition, Woolworths is providing with various retail facilities across Australia meeting out all the requirements of the retail sector. It holds a significant market position and performs efficiently by working in an effective way. Issue There is a rising market pressure that has forced companies to revolutionize the management structure. Woolworths is facing extreme pressure from its competitors due to a change in the retail market segment. Woolworths In the recent time has been facing too much market demands from its competitors: Cole, Mark Spenser etc (Defoe, 2013). It is evident to notice that the retail sector in Australia has employed a large number of people. The organization has been facing an extreme change in its share price due to huge loss. The company is following the cost cutting measures to build trust in consumers (Hyam and Ong, 2016). Recently the organization has to close some of its stores due to lack of income. They were powerless to manage their process into various segments. This caused a loss to the retail industry. Woolworth is failing to please customer. They are losing confidence in the brand. International low-cost brands like Aldi. Due to which the customers are switching to other brands to reassure their requirements. The change in the market requirements is affecting consumers buying behavior due to intervention from international brands like Costco and Aldi (Treadgold, 2015). Strategic intervention Strategic Intervention is related to extracting the majority of sensible and effectual forms of strategic act and communication commencing a range of disciplines. The aim of strategic intervention is to train by developing an extremely practical method for taking action. This allow in guaranteeing growth in a strategic way in order to get things done within an effective framework. Human needs are fulfilled and elevated based on the Need and opportunities available in the market in order to match up with the expectations. A strategic change is essential for an organization to survive (Anderson Anderson, 2010; Bolman Deal, 2013). This will help in reinforcing to get the maximum results (Rhodie, 2000). Woolworths understand the importance of retaining employees. Employees are an imperative asset an organization requirements to focus on its mission and objectives. It is essential to bring in attention of every individual over the instance in order to incorporate changes. The organization desires to offer its employees with the power to bring the change. Woolworths has understood the importance of creating short term goals for the long term survi val (Cameron and Green, 2004). It is only probable to gain sustainable results by working on persistent goals. Strategic implementation is an essential way to make a change lastingly in the organization. Woolworths has strategically adopted the policy in order to gain a persistent change. Woolworths has to develop an effective market strategy to bring support in the senior executive. Themanagement at Woolworths is losing faith in the organization. This is affecting the employees sustainability. Woolworths has announced a loss of $ 1.235 billion for the financial year 2016. Woolworths has incurred loss due to the failure of its brand (Master Business and Big W Business. Due to which they have registered the biggest loss in 20 years (Chung, 2016). Intervention in business is importance for building tough strategies that aim to develop an effective change in the organization. Business interventions are important for bringing a change in the organization. These interventions help in increasing the competence and ability of the organization. Technology intervention Woolworths has gained a competitive advantage by adding Technology. It is a way through which people come close to each other. In a competitive atmosphere, Technology development is an important process to gain success. Customers are typically inclined to the organizations that are technology upgraded. Woolworths has strategically upgraded the e-commerce technology in order to satisfy the objectives of customers (Ryall and Bramson, 2013). An organization technologically handicapped cant live in a long run. Market trends have revealed that a large number of sections are buying goods online (Liguori, 2012). Woolworths has upgraded its website in order to promote interest of the people. This allow in an easy flow of technology for achieve sustainable organizational goals. By adding technology with the organization it is possible to strengthen the capacity on a long run. By focusing over the sustainability and organizational potential it is possible to gain growth and effectiveness. By f ocusing over the growth it is possible to manage longevity and sustainability. Woolworths has understood that, Employees are an important asset an organization needs to focus on. It is essential to bring in attention of every individual over the instance in order to incorporate changes (Goolsby Reed, 2016). Human resource intervention In order to gain definite results, Woolworths has developed effective market strategies through social processes. This is allowing in gaining a competitive advantage by developing an effective market growth. This is making an effective market presence by organizing people behavior and motivating them to add onto the productivity. The change in the organizational structure has a long-lasting impact on the growth (Cameron Green, 2004; Low, 2016). For achieving usefulness It is extra significant to classify the efforts that are been organization member. A change in the organizational structure has affected the organizational growth. It is essential to appreciate the general dynamics of the organization. HR intervention is an obligatory step towards gaining effective results (Chung, 2016). Recently, Woolworths has reported a market turnaround, with the supermarket lifting analogous food sales by 4.5 per cent to $9.3 billion in the third quarter. Woolworths said overall customer satisfaction had improved and items-per-basket growth remained positive at 4.7 per cent (Chugh, 2017). Average prices declined by 2.5 per cent during the quarter, compared with 2.6 per cent in the previous quarter, largely driven by declines in general merchandise and grocery which offset higher fruit and vegetable prices. The Organization has gained a significant market share due to its effective market strategies. This has helped the organization in gaining effective market results (Chugh, 2017; Somasundaram, 2017). Recommendations and Conclusion It is recommended that the organization need to develop an effective market share by gaining an effective market share. The organization is able to make effective framework by adding the market advantage in order to develop sustainable results. There is a need t o implement a structured model instead of spending money on the sick unit. These units are causing a burden and hence affecting overall profits. Secondly it is necessary to develop a customer-centric approach. This approach will help in managing the goals. There are other brands in the market that are providing a sustainable growth in the market. This is only possible if the organization is able to compete against the other competitive brands. In order to grow in the market it is evident for the business organization to focus on arranging market capacity. Lastly, the strategic capacity of the organization is to focus on online services. The brand needs to develop an effective market growth by helping the customers in managing the sales. These strategic interventions are important to help the sick unit in order to gain sustainable market growth. Woolworths has to develop a strategic market growth structure helping them in restructuring. All these diagnosis tools will allow in gaining results by reviving the market competency. Strategic market growth and scope will help in arranging an effective market position. This will help in managing systematic growth through up-gradation of the system. References Abbott,H. Booth,H. (2014)Foundations for Operating Department Practice: Essential Theory for Practice.UK: McGraw-Hill Education Anderson,D. Anderson,L. (2010)Beyond Change Management: How to Achieve Breakthrough Results Through Conscious Change Leadership. USA: John Wiley Sons Bolman,L. . Deal,T. (2013)Reframing Organizations: Artistry, Choice, Leadership. USA:John Wiley Sons Cameron,E. Green,M.(2004) Making Sense of Change Management: A Complete Guide to the Models, Tools Techniques of Organizational Change. UK :Kogan Page Publishers Chugh,F.2017. Woolworths continues sales turnaround. [Online].Available from: https://www.news.com.au/finance/business/retail/woolworths-continues-sales-turnaround/news-story/278f4a15fc1a57b7845fdddd094c6819 [Accessed on 22/08/17] Chung, F.(2016). Woolworths unveils $1.235 billion loss. [Online] Available from: https://www.news.com.au/finance/business/retail/woolworths-unveils-1235-billion-loss/news-story/5a6cd1f33658f536b47d95b305c5bc67 [Accessed on 22/08/17] Defoe,D.2013.[Online].Availableat: https://www.psycholawlogy.com/2013/05/31/understing-organizations-using-the-four-frame-model-factories-or-machines-structure-family-human-resources-jungle-politics--theatres-temples-or-carnivals-symbols/ [Accessed on 22/08/17] Goolsby,Reed,(2016)[Online]Availableat:https://job.sagepub.com.ezproxy-b.deakin.edu.au/content/53/3/326.abstract [Accessed on 13/09/16] Hyam, R. and Ong.T. (2016).Woolworths reports almost $1 billion loss in half-year results [Online]. Available from: https://www.abc.net.au/news/2016-02-26/Woolworthss-reports-almost-$1-billion-loss/7202004 (Accessed on: 22/08/17) Liguori, M., (2012) The Supremacy of the Sequence: Key Elements and Dimensions in the Process of Change. Organization Studies, 33(4), pp.507-539. Low, C.2016. [Online].Available from: https://www.smh.com.au/business/retail/woolworths-slumps-to-1234-billion-loss-20160824-gr0dvl.html [Accessed on 22/08/17] Somasundaram, N.2017. There are glimpses of a Woolworths turnaround ahead of its half year results. [Online].Available from: https://www.businessinsider.com.au/there-are-glimpses-of-a-woolworths-turnaround-ahead-of-its-half-year-results-2017-2[Accessed on 22/08/17]