3. Business Planning Flashcards
What is a SWOT analysis?
- A SWOT analysis can be used to analyse the internal strengths and weaknesses and external threats and opportunities of a company.
- This is carried out with a view to exploiting strengths and opportunities and mitigating weaknesses and threats.
What is a PESTLE analysis?
- This is a structured method of analysing the key factors influencing market conditions.
- These factors are:
o Political influences.
o Economical influences.
o Socio-demographical influences.
o Technological influences.
o Legal
o Environmental influences.
What are Porter’s five forces?
- They are used to analyse the competitiveness of an industry and the barriers to entry.
- These typically include:
o Competition
o Threat of new entrants
o Supplier bargaining power
o Customer bargaining power
o Substitutes
How do companies write a business plan?
- They undertake an analysis of the market and industry to identify business opportunities and critical success factors.
- Companies should focus their resources in developing their competences in the critical success factors.
- This then leads to the development of goals and objectives with their associated strategies and actions.
What is a Client Account Planning session?
- A review of current workload, resources & fees.
- It involves the identification of key client personnel who have influence over job opportunities and identification of who the firm should look to build relationships with.
- A review of pipeline opportunities with that client is also undertaken
What is a Business Plan?
- A formal statement of the business’s goals with reasons why they are thought to be attainable and the plan for reaching the goals.
- The business plan also provides employers with a common ground to focus upon.
What is contained within an appointment document?
- It includes a clarification of the work scope.
- The agreed fee bid.
- The firms terms of business.
- Any agreed amendments to the firms’ terms of business.
- Contact Details.
Does your firm produce an annual account?
- Yes it produces a statement of turnover, gross profit & net profit.
- This must be submitted to Companies House in accordance with the Companies Act.
Would you be able to interpret & understand an annual account?
- At a high level but I would seek further advice from one of our internal Chartered Accountants if necessary.
What is your firms business plan?
To increase growth of clients within new sectors
How do you contribute to your company’s goals?
Focus on client retention
- Focus on safety.
- Maintain excellence in my work.
- Sharing knowledge within integrated teams.
- Keeping up with new technologies.
- Upskilling new and junior team members.
How do you think an up to date business plan can help an organisation in the current economic climate?
- To support with gaining additional investment, funding or finance.
- To gain new instructions from new and existing clients.
- The business plan will help focus on key priorities.
- It allows the organisation to respond to change.
- For budgeting purposes.
- To support with recovery from Covid-19.
- To facilitate the setting of targets for staff.
What issues would a company experience with a high staff turnover?
Increased recruitment costs
Increased training costs
Poor staff morale
Give some examples of fee earning vs non fee earning
Fee earning are quantify surveyors, project managers, building surveyors
Non - IT, admin staff
What is an Investment appraisal
Investment appraisal is used to determine whether a business or project would generate the required level of return and be considered viable
