Strategic Analysis of ASDA: Professional and Consultancy Skills (Other (Not Listed) Sample)

Professional and Consultancy Skills
Strategic Analysis of ASDA
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Executive Summary
ASDA Group is one of the leading superstores chains in United Kingdom (UK), ranked second to the largest Tesco Plc. The retailer has wide variety of products and many store formats. In post -Covid-19 period, ASDA has survived with thriving operating profits under the leadership of new management, However, the retailer is facing issues like slow online stores growth, employees’ uncertainty for new management, leadership gap due to departed CEO, and gender inequality. The consulting report identified challenges and opportunities for ASDA with the help of SWOT and Porter five forces framework. The suggested strategies include appointment of new CEO, improving employees diversity and satisfaction, equal opportunity employment, and growth of online and sustainability stores.
Table of Contents u

Executive Summary  2

1. Introduction and Brief Analysis of the Situation  3

1.1Case Company Introduction  3

2.2Internal and External Issues of ASDA  3

2.3Consultancy for Strategic Change Strategies  3

2. Analysis of the Current Situation of ASDA  4

2.1Products/ Services and Competition for ASDA  4

2.2Challenges and opportunities of UK Retail Sector 4

2.3 ASDA Challenges and opportunities  5

1. SWOT Analysis  5

2.Porter Five Forces Analysis  6

3. Strategic Recommendations for ASDA  6

3.1Practical recommendations of consultants  6

3.2Strategies to tackle challenges / opportunities  7

3.3key success indicators and main risks  8

4. Reflections as a Professional Consultant  8

4.1Approach of working with ASDA PAGEREF _Toc100396174 \h 8

5. References  9

1. Introduction and Brief Analysis of the Situation
1.1Case Company Introduction
ASDA Group is one of the leading super stores chains in United Kingdom (UK) that deals in largest food retailing chains of the country. The merchandise showcased in country wide stores of ASDA contain all essentials from food to apparel and personal accessories. The ASDA Group currently operating 259 flagship and franchised stores in the UK with a workers base of above 134000 dedicated employees, who serve above 18 million customers annually (ASDA Company, 2022). Under the supervision of current owners of Group, Mohsin and Zuber Issa and TDR equity limited, the ASDA stores have expanded their value range and employees’ base in both brick and mortar and online stores.
2.2Internal and External Issues of ASDA
Due to large employees base with female and male employees, the Company is facing challenges of business growth, market coverage, slow responses to the changes in dynamic environment. The slow growth of online stores capacity and refilling rates despite the escalating performance in online sales pre Covid-19 in 2019. Heavy cost occurrence for Covid-19 safety measures is reduced in 2021-22, but still caused major budget cuts for developmental expenses. The internal challenges are employees acceptance to the ownership changes, sudden departure of CEO Roger Burnley in August 2021, and the allegations of gender discrimination for the inequality in women employees pay.
2.3Consultancy for Strategic Change Strategies
In view of Kotter (1995) strategic change management approaches, a simple but comprehensive process is required for ASDA to design and implement change strategies. Heading towards phenomenal growth in ASDA encompasses a strategic change process, and there are numerous different tools and models to manage organisational transformation. Instead, it imitates developed principles of strategic change management and offers a simple, tactical framework that can be merged into a transformation process previously in use by ASDA. In order to meet these challenges and to draw a path for future success, ASDA requires agile and responsive strategies recommendations. This consultancy report is based in the critical analysis of the current and past performance of the Company. Since, the author is a management and strategy consultation therefore, choice of effective strategy and its operative implementation is the major aspect of this strategic report on ASDA.
2. Analysis of the Current Situation of ASDA
2.1Products/ Services and Competition for ASDA
ASDA is based on four stores categories such as supercentres are the largest that contain food, non-food, and George brand of fashion and household. The other two are medium sized super stores and small supermarkets that offer products the categories of food items, non-food items, pharmacy, George, and opticians. Moreover, a fourth category of ASDA Living Store contain George brand fashion and households and the non-food items. ASDA is also operating Petrol Filling Stations with small convenience stores in the UK (ASDA, 2022)
According to Davey (2022), the Kantar industry report 2021 ranked the top three UK superstore chains grocers as Tesco is