Business Planning Flashcards
What is Lendlease’s strategy?
- Global business with three core business units across each region
- Listed on Australian Stock Exchange
- Share price has dropped
- Simplify organisation structure and right size its cost base
- Exit international construction, accelerate release of capital from offshore developments, recycle 4.5 billion by completing transactions underway
What are Lendlease’s objectives?
‘Create places for people to work, live, connect and enjoy’
Financial:
- Simplify organisation structure and right size its cost base
- Improve share price
How is my team’s performance measured?
- Planning approvals
- Plot completions
How does Lendlease market itself over the short, medium and long term?
Social, economic, environmental
Short - medium: Creating homes, jobs and improving the environment
Long: Tackling UK housing crisis, creating growth in areas, leaving the environment better than how we found it
What is included in a business plan?
- Opportunities and risks
- Resources required to service clients
What is a SWOT analysis?
Strengths, weaknesses, opportunities, threats
- Anticipate different SWOTs which helps with strategic thinking
- Helps decision making
- Helps set realistic objectives
- Allocate resources
How can firm’s plan for future business activities and ensure they hit the required profit margin?
Fee forecasts
How can firm’s allocate resources and expenditure?
- Budgets
- Cash flows
- Financial / audit controls
How would you set up as a sole practitioner?
What is a sole practitioner?
Individual who works independently without any partners
What is a partnership?
Partners share responsibility of the firm
What is an LLP?
Limited Liability Partnership - Partners have personal liability
What is a limited company?
Owned by shareholders, liability limited by shares, formally register on Companies House, shareholders don’t have personal liability
What is a PLC?
Public Limited Company - Shareholders own company, directors manage it, listed on stock exchange
How could a firm monitor its performance and what key management tools would be needed?
Financial - Revenue, profit margin, return on investment
Operational - Production output (number of flats delivered per annum)
Employee - Turnover rates
Customer - Customer retention rates, complaints
Quality - Defect rates, compliance with industry standards (construction - how many incidents)
