The Wealthy Barber was an excellently told story that showed the importance of financial planning for anyone, no matter where they were in their life. Roy, “the wealthy barber”, was….
SWOT Analysis of BARbershop
SWOT examination offers a company upgraded information about its achieved and unachievable weaknesses, strengths, possible opportunities, dangers, risks, and business trends. The main elements of SWOT examination can be split under the heads of external and internal elements (Pearce & Robinson, 2009). This analysis describes in depth-evaluation of the external and internal elements. This administrative evaluation of the BARbershop can influence the feasibility, establishing competitive advantage, and the stakeholders’ satisfaction.
External Resources for the BARbershop
Several external resources have influence over the BARbershop to accomplish its goals and objectives to be successful. The BARbershop needs to innovate an appropriate strategic to maintain the business anticipation. Legal issues, government regulations, technological, and social factors may influence the environment of the external resources. Prompt adjustments occur in the external environment when a company becomes competitive. Competition is crucial element to the effectiveness of the long-term plan.
The BARbershop becomes instantly competitive by offering drinks becomes a legal issue, government regulations must be met, and it has to be socially accept. Legal and Government Regulations Factors These elements have the complete capability to help with company’s strategic goals. Rules specifically involving information technology (IT) would provide increased safety to the organization by ceasing the unauthorized access. The evaluation of these exterior elements must be comprehensive by the business. Read Siemens SWOT Analysis
Legal and Government Regulations Factors
These elements have the complete capability to help with company’s strategic goals. Rules specifically involving information technology (IT) would provide increased safety to the organization by ceasing the unauthorized access. The evaluation of these exterior elements must be comprehensive by the business.
IT standards and rules usually are stringent and indisputable. The BARbershop will have a big business possibility from clients who want to have a waiting experience at the waiting room. The BARbershop must evaluate the modifications in rules or regulations constantly because it can be dangerous or risky for the company. One rule, the BARbershop must have a licensed master barber. This master barber can be the shift manager. Also establishment must meet codes of the government. For example, the American Disabilities Act requirements.
One of these codes says “Public entities must ensure newly constructed buildings and facilities are free of architectural and communication barriers restricting access or use by individuals with disabilities” (Novo). The BARbershop is built accordingly. Prior to opening a new establishment or relocating an establishment an inspector of the board must inspect and approve the building for business. Also barbershop establishments produce air and water pollution because its chemicals used to color, dye, or perm hair or mustache. If the BARbershop do not install a good ventilation system excessive chemicals in the environment may occur.
Those chemicals can be ammonia, carbon monoxide, and carbon dioxide increasing the formation of air pollution. Water pollution occurs mainly when chemicals are dump into the sewer. Dumping chemicals in the sewer is prohibiting by law. Economic factors The prosperity of the BARbershop is relying on the expertise and social skills of its employees. The BARbershop benefits mostly through referrals; delighted customers will
The prosperity of the BARbershop is relying on the expertise and social skills of its employees. The BARbershop benefits mostly through referrals; delighted customers will comeback bringing their friends and family along. The BARbershop will need to take into account that the present world economy is experiencing a downfall.
The administration of the BARbershop can set strategies after watching the economic trend and economic tendency for the future. The BARbershop can be enjoyable and financially rewarding. Technological factors The BARbershop waiting room provides its clients with the latest technology available, for
The BARbershop waiting room provides its clients with the latest technology available, for example big screen televisions, Wife system, computers, and printers for he paid customer. However, the BARbershop will have to evaluate or examine the effect of the technology on the company as any mistake can be liable for the company. The growth of technologies both regarding hardware and software carry chances for the company.
Innovation is the strength character of the company, depending on the technological inventions and the appropriate economic situations of the industry. The solid point for the BARbershop is to organize revolutionary technology, suitable market research as well as personnel skills. The efficient utilization of the latest technology, company should be provide training for new trends and advances. Upgrading the latest transforming technology and continual invention can be beneficial for the BARbershop. Socio-cultural factors on this establishment; clients over 21 is the target market.
Socio-cultural factors on this establishment; clients over 21 is the target market.
The BARbershop is following cultures and values according to the needs of its clients. Its services represent different cultures, attracting clients from different societies. It offers a multicultural service, giving priority to the values of integrity to obtain the full support of its clients. The BARbershop has essential interaction within the community, it organize programs assisting the community needs.
Communities are base on societies. The BARbershop wants to fit-in as part of its society by coordinating programs within the community.
Internal Resources for the BARbershop
The internal resources include interaction within employees; brand loyalty. Interaction within employees and management; employee satisfaction. Interaction within management and interaction within management and shareholders; reputation for fairness.
A comprehensive analysis is require of the BARbershop sign, employee skills, system process, and strategies. Structure IT and innovation inspired the BARbershop desires to have an organizational design well delineate.
This element allows in creating a procedure which supports effective working environment. Ineffective organizational shape will lead to bad organizational efficiency as well as worker growth. IT assist in decreasing operational expenses, save time, versatility, and decision making.
Core competency of the BARbershop is related with facilitation of quick, specific services utilize IT. As businesses are transforming greatly with differing market conditions the BARbershop will continue to upgrade its core competencies to have competitive edge over the competitors.
This can be assisted through regular research carried out from the clients. Systems process The good point for the BARbershop is in managing the IT technology services in a manner that it will create higher profits through costs reductions as well as save time. Accomplishing this task, the company will need less expensive and modern processes, skilled staff, and well qualified barbers. The BArbershop can use its reoccurred as it benefit through revolutionary technology and inner sources and modifying it appropriately to match business and environment tendencies.
The company also requires introducing training and development programs for the employees so they can improve their IT tools associated understanding and also the techniques of its used in the company. Strategies Innovation strategy is chiefly pursue by the company to decrease expenses as well as save time and establish a new online concept of health consultancy service. The company’s objective, perception, and value statements have a direct influence over he corporate and business strategies of the BARbershop.
The key program of objective as well as perception of the organization is supplying VASS (value added services) to its clients at a fair price as well as motivate its workers to maximum use the achievable possibility. The strategy will be productive for the company when the individual targets of workers are in line along with the general company objectives. These kinds of strategies can be assembled by effective resource use, efficient marketing, accessibility to research, development, and adequate funds.
The weak pot concerning this strategy will be higher expense of supplies of this type of growing into new areas and giving company a lasting competitive edge over the competitors. The organization will need to take into account the points such as funds, employee improvement; marketing, as well as client interaction or otherwise the strategy established, will be useless. Useful formulation, as well as performance of plans, would lead towards long lasting expansion business expansion of the organization. For a good company it is necessary to evaluate both its exterior and interior elements.
Every area of the company that is contributing toward organic or inorganic development of the company must be take into account. It is necessary for the firms to appreciate that these points are interconnected and cannot be evaluated on individual basis. For example the exterior regulations and rules influence the interior organizational design as well as strategies. The assessments must be from the holistic point of view to obtain better outcomes and advantages. Additionally the significance of continuous evaluation of points must be understood because it helps o stay ready for suggested or sudden alternation in surroundings.
SWOT Analysis Table
Strength Weakness Opportunity Threat
Trend External Factors
Small sum of starting money is required; fewer funds are needed for executing daily functions.
Low client loyalty.
Client starting to know the BARbershop service.
Excellent opportunity of developing a brand name and thus higher economic development by supplying values to customers.
Present international economic slowdown.
Good marketing plan Legal &
Regulatory Rules and regulations assist in improving company’s strategic plans.Lenient rules as well as regulations; alcohol is serve, the BARbershop must check ID’s before serving drinks
Increasing company’s earnings.
Minors may want to obtain their complementary drink.
Rules will become rigid in the coming future.
Quick as well as dependable for the BARbershop; technological empowerment of clients.
Technology is vulnerable to high value mistakes.
Rapid development in IT technology will provide huge possibilities of value improvement.
Higher rivalry from existing and fresh entrants.
Consumers are searching for a lot more personalized and customized services.
Collaborating innovation technology with professional barbers and the favorite drink at reach
Shortage of advancement will hinder business expansion and eventually results in loss
Clients are entice toward the complementary drinks and a haircut with the free service of its technologies
Brief life cycle of service can result in potential loss.
Must take advantage of the service before others copy such service
Utilization of service is in development phase.
Internal Factors Strategy
Efficient formulation ; execution of plan is designed as the base for the company accomplishment.
It needs massive capital investment.
Big modifications to get competitive advantage via beneficial strategy.
Danger of failing is higher, in case it doesn’t examine all aspects of the company such as financial, human, growth,
IT Effective formulation & execution plan contributes in competitive position & development.
A well developed design will boost performance, every worker will know specifically what is expected from them. It will also contribute to swift decision making. Ineffective design can result in decline in expansion and developmental risks.
Business will be able to watching its organization as well as operational services.
In case important processes are ignored in that case it can lead to loss of business.
Increasing tendency for Matrix organizational structure in IT business atmosphere.
Successful and financially lasting processes can result in business expansion.
Higher money requirement and regular requirement of training.
Excellent chance for increasing company’s business and upgrading operational procedures.
Prospective opposition from workers.
Specific methods are on progress.
Rapid and responsive specialized cost effective services for clients.
Huge competitive industry.