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Harvard
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Business & Marketing
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Research Paper
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Topic:

Effective Business Operations Management (Research Paper Sample)

Instructions:

The sample anaylyse Aldhi supermarket. It discusses the SWOT Analysis for the Chain Supermarket.

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Essential Components for effective business operations management for Aldi Supermarket (Aldi) in UK.Aldi has several components that have contributed to effective operations management. They include creating value through marketing mix, increased business expansion through training and development of the employees and the customers. Lastly Aldi, has a competitive advantage through efficiency and effectiveness (Roy, 2005, p. 85).Firstly, The retail has a clear way of creating value through marketing mix. Aldi has established the most reputable retailers in the world. The main reason for the increased reputation is to increase sales and revenue in the business. It is clear that customers will choose to buy products and services where they get satisfaction. Therefore, Aldi has used this strategy of making sure that they satisfy the consumer needs and wants. Aldi has a unique marketing strategy that captures the interests of the consumers. They have used a strong promotion campaign to sensitive and influence consumers. The four marketing mix include, offering the best quality product and service and delivering at the right place. Promotion and sales are also required in any business. Aldhi has tagged reasonable prices in the goods and services it offers.They demonstrate the like brands to attract royal consumers and grow its market shares. They have the best quality and products in the UK, which matches the prices the impose on their goods and services. They also have the best branding on their products, which influences the buyer's decision making. Aldi’s has strong marketing objectives that aim at increasing its market share. Customer loyalty achieved by maintaining the first customer and satisfying their needs. Retaining the current customers that are already aware of the brand is essential. Buyers are given priority, and they are placed at the heart of the business. Adhi has created a unique brand of the best products. Marketing mix has different variables that every business must identify (Roy, 2005, p. 85). Aldi supermarket focuses on providing the best products that are cheaper and or that are equal to the famous products in the business. It focuses on offering lower prices than those of the major competitors and at the same time offering the best quality. Aldhi has a strategy of growing both locally and globally. The aim of the promotional mix is to create interest, and initiate awareness to the customers leading to the buyers taking action of buying their products. Aida also seeks to balance the mix to satisfy the customers needs. Every royal and new customer of Aida products get the best quality products. The products include fresh vegetables, meat, and electronics. It outsources its products around the world and then labels them before selling in their own brand labels. Competitive pricing is a key strategy for the market. Aldi buys large quantities and volumes of the products from the sellers at a lower price. It is called economies of scale, this leads to pass the lowest prices to the customers. Aldi makes a good marketing research to identify the places where they have potential customers. It can keep costs down and, therefore, leading to low wastage. The main consideration of the place is important because the company can know the accessibility of the stores, the position of the store. It is also very vital for Aldi to achieve its growing market share by observing the "above line promotion." The balancing of the marketing mixture increases the customer loyalty communicating the key quality and the value of the information delivered during advertisement and promotion campaigns. Promotions help in improving the image of the brand, proving the superiority of the products, increasing demand for the products, and increasing awareness to the consumers. It aims at a mass audience, such as television, radio, newspaper and magazines. Some of these methods are very expensive, but Aldi uses the brand campaigns like to feature a product in the television for 20 seconds. They use the slogans "Like brands. Only cheaper." The advertisements reinforce what the customer knows about the product. The humor created during these campaigns helps to build an emotional connection and trust with the target customers. Also, below the line promotion is sensitive in marketing. Consumers are engaged through e-mails to the consumers, using third parties and the social media. In this case, Aldi has greater control over the communication. They also use the media like facebook and twitter pages. It creates a forum where customers are able to interact directly. Customers can give their feedback and opinions. Aldi has a different approach to retailing. It has a unique balance that enables them to deliver and satisfy their clients efficiently. It is also innovative in designing its brand like "swap & save." These four marketing strategies have helped in achieving the company’s objectives (Roy, 2005, p. 88).Secondly, is through Aldhi expansion through training and development. It is a leading retailer with 8,000 stores in UK. It is also growing in other states. The supermarkets are stocked with a wide variety of products leading the company to be associated with the value of money. Training helps increase business efficiency and effectiveness. Training and developments help in building the workforce, they gain knowledge and skills and develop a variety of attributes. Aldi has a strategy of retaining its employee. Many of the employees will leave the company if they realize that they are not developing their skills. They acquire skills that they use to order for goods in the stores if they fall below the level. The company also offers the best salary to its employees to make sure that they do not leave the company. Each employee in Aldhi supermarket gets their job description of their positions. It shows the roles and responsibility of every employee in the business. Employees are able to specialize in their work, thus giving the best output to the business. The efforts of the employees are reflected in the company’s performance. The Aldhi human resource is very careful when selecting its employees. They recruit qualified and motivated employees. Later, they are trained in all areas of the business. They are able to know how the retail stores operates, financial planning, office tasks, logistics and retail operations. There is a structured training program and the new employees to learn their expectations in the business. They have both online and offline business training. Online training includes work rotation, coaching and mentoring. A good example is where the store manager acts as a trainer. The manager provides the instructions and observes as the trainee does it practically. It involves training on the skills that are transferable. Aldi offers offline training skills as performance reviews, Aldi management system and employment law. It also has an apprenticeship that provides a training opportunity for the young people. Aldhi current growth implies that there is an opportunity for growth and expansion. Development is also very necessary. Employees get to improve their personal skill. Aldhi supermarket has taken this risk by providing the best for the employees (Roy, 2005, p. 89).The last component is creating a competitive advantage through efficiency. Aldhi has a strategy of ensuring that the consumer gets the best quality, and they also get the value of money. The supermarket has over 8000 outlets that provide these goods without compromising the quality of the products. Aldhi can increase its efficiency and effectiveness by saving energy, time, space and effort. Since it deals with food stuffs it has a continuous improvement of its products, time management plans, total quality management and JIT Production approach. The company is also able to reduce wastage and reducing costs. Also, It has corporate social responsibility to both the employees and customers (Bacal, 2005, p. 200).
Software systems Methodology and the online systems.Checklands system modelThis Model provides a clear distinction between things that happen in the real world and the systems thinking. If Aldhi decides to shift to online shopping process, it is likely face a number of challenges. They include, challenges of technology, people or customers may resist the change to move to the new online system. Also, high capital required to install the components like computers and internet and insecurity issues like cyber crime. By using this model, they will discuss how software system design is used (Bartol, K. & Martin, D. 1994 p.145).
Real situation
Fictional situation
Aldi uses Retail shops and stores in its operations. These are very expensive compared to the centralized operations. Online shopping requires a centralized system. It makes the operations easier. Also, resources are effectively and efficiently used. Aldhi uses retail supermarkets that are not centralized and in the long run there is increased cost implication. Aldhi must install a centralized system so that it can accurately monitor the stock level. The online system will make it easier to use JIT management system. It is very hard to handle the online shopping process with stores in place. With the new system, there is reduced costs. The managers will be able to track the product that is selling mostly in the market. Therefore, Aldhi must change its management system from decentralized to centralized management systems (Bourne, M., & Bourne, P. 2007).Parcel ConundrumAccording to parcel conundrum news, customers are not able to receive goods on time. It creates a waste of time. There is a lack of a centralized process where the customers and the consumers can agree. Demand and supply law is not obeyed...
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