Delivery in day(s): 5
Diploma in Business
Unit Number and Title
Unit 33 Small Business Enterprise
Business enterprises are been categorized on the basis of different scales at which the operations are carried out. Small business enterprises are the independently owned and regulated enterprise which acquires certain limits in size, scale, operations and revenue as per the industry. The present report is been carried out with the purpose to evaluate the operation of small business along with its strengths and weaknesses. Small business enterprise would be identifying the measures to overcome the weaknesses of the business and would also focus on the ways in which the enterprise could maintain its existing performances (Denscombe, 2014). It would be evaluating the importance of developing the business skills and manage the business performances effectively. Furthermore, it would be assessing the current business obje ctives and plans so that to revise the business plan and make suitable changes. At the end, the report would elaborate the impacts of the changes being made in the business. It would highlight the plan to manage the changes and monitor the improvement in the business performances. In order to gain an enhanced understanding about the small consultancy firms the functionalities of Brawa Accounting and consultancy would be elaborated in detail throughout the report.
Every organization is limited to its scales or size depending on the investments and the business operations (Goss, 2015). These are important aspect of contract law which help in carrying out the business properly and manage the performances accordingly.
Brawa Accounting is operating the business operations with purpose to execute the accounting principles to the management. Brawa is developing the good opportunities for young professional to explore the market and built the career in interested areas (Brawa Accounting, 2016). It facilitates which fruitful advices to various leading businesses and institutions especially in London and other part of UK. The organization includes more than 500 information and research experts to carry out the functionalities in an effective manner. Organization has appointed the knowledgeable staff members and offering the essential direction and training that helping to meet the satisfaction level of clients and customers. The Brawa Accounting was been called as the accounting and management organization and initiated to provide the firm with consultancy on using the accounting principles as the management tool.
SWOT analysis of Brawa Accounting and management consultancy
Table 1: SWOT analysis
Brawa Accounting is a small consultancy firm and acquires huge amount of competition from other agencies either new entrants or existing one in the market. It has been found that over the past 8 years the enterprise had been driven with extraordinary investments returns which are been now weakening and event depicting a reverse effect on the business (Ivanov and Sokolov, 2013). With respect to Brawa accounting, it has been recognized that the enterprise had recorded an earnings of approximately about $10 million in the year 2015 and had acquired nearly about 5.5% of the returns. Recently in 2015, the consultancy firm had experienced a growth of nearly about 6 to 18 % revenue incomes (Brawa Accounting, 2016). It has been observed that with the increase in the demands of consultancy services in different sectors the competition over the functionalities has also been increased.
Moreover, with the intention to expand the operations the enterprise had increased the levels of investments and the strategies so that to acquire the desired returns out of the amount. The performances of the business could be measured through various different ways which provides with the records of the growth or decline in the business. Accounts receivable turnover analysis, Gross and net profit margin analysis, etc. are some of the measures which could signify the performances and the levels of improvements in the same (Dey and Cheffi, 2013). It has been identified that the increased growth of business would help in attracting the clients and enhances the profitability in the next few years. It has been also found that with the help of profit enhancements the enterprise would be able to expand the tour operations and cover the maximum number of areas under its brand and establish its position in the market more effectively.
With the help of effective analysis of the business activities of Brawa Accounting, it has been identified that there are some of the weaknesses which the enterprise is facing in the present scenario in its daily routines. With the purpose to overcome with the weakness it requires having effective strategies and actions which would help the enterprise come up and establish the business activities appropriately (Ates.et.al, 2013). The most crucial factors which prove to be the weakness of Brawa Accounting are as follows:
Ineffective cost structure: It is very much important for Brawa Accounting to focus on the cost structure which has been followed by the management in the current times. The costs structures depict the status and position of the business and make the clients incline towards it. The enterprise must bring enhancements in the investment patterns and raise the cost structure of the business. In addition to this, it has also been seen that with the improvement in cost structure Brawa Accounting would be able to attain higher trust and inclination of stakeholders with the intension to gain more returns out of it (Zikmund.et.al, 2013). Tough competition: In order to attain sustainable position in the consultancy industry it is very much important for Brawa Accounting to come up with more new services which meets the trends and demands of the clients. For instance, there is a boom in the educational sector where the students require having proper consultancies. Thus the enterprise could expand and reform the services and provide the student with more qualified and fruitful consultancies and establish a reliable brand image and value among them.
In order to improve the existing performances the management of Brawa Accounting requires to initiate with the below aspects. The enterprise would be able to sustain a growth in its existing performances in the same way as it use to be before. The following aspects would assist Brawa Accounting in maintaining and strengthening its business activities and gain higher returns out of it. The major factors are:
Growing demands: It has been observed that there is a increasing rate of demands of the consultancy firms which would help in growing the profitability and maintain its performances (Cummings and Worley, 2014). It has been identified that with the increase in the competition there is a remarkable increase in the demands of consultancy firms in each and every field of business. The increased inclination towards the consultancies and demands among the clients would provide with higher customer base and business profitability out of it.
Higher expansion: In the recent times there has been a trend of hiring consulting companies in diversified areas which thus opens up new avenues to expand the functionalities and cover wider market areas in the industry. Different sectors like businesses, educational institutes, medical, employment, etc. are moving towards the agencies and thus Brawa Accounting have wider scopes of expanding its business operations and gain higher profits out of it. The organization could move towards any of the stream to expand its branches and operations in diversified fields effectively (Sterling and Huckle, 2014). However, it has been found that Brawa Accounting require having effective strategic plans and actions so that to acquire proper results with effective planning and procedures. Proper planning and strategies plays an important role as it provides with the actual ideas to move in the direction which leads towards the success along with the higher growth in the performances.
There are wide range of areas which could be adopted by Brawa Accounting and expand its operations in the industry. It has been found that it is the global leading organization which provides consultancy services to various governmental and nongovernmental businesses in the present times. Therefore, Brawa Accounting could move towards the educational field which is now a day’s experiencing a boom of consultancy demands. In addition to this, the organization would approach people with employability advices regarding their specific fields. Expansion in educational sector would provide with higher scopes as with the increasing competition in every sector there is a need for a better advice and guideline to the individuals. People now days are seeking for the reliable advices so that could move towards the right direction in a right manner (Chambers and Burkhardt, 2015). For instance, students are facing tough competition in selecting the right field for their higher studies and move towards the profitable and useful direction which could facilitate them with the bright future scopes and make them work accordingly. Moreover, it has been seen that every business organization now hires professionals for providing with the expert advices and so not lead towards any losses. Brawa Accounting could get in contract with the industries seeking to have consultancies and facilitate them with the effective and reliable services. This would provide with new avenues to the business of Brawa Accounting and would help in expanding the operation in wider areas of industry.
Every organization acquires some of the set objectives which are been made to move towards the desired profitability out of the business. The objectives are mainly framed with the purpose to conduct the business activities in an effective manner and acquire the desired outputs in the business. The basic objectives and plans of Brawa Accounting are as follows:
With the evaluation of the existing objectives and plan it has been found that Brawa Accounting requires revising the plans and bring effective changes in the business operations. The suitable revision in the business plans which could be made in the current operations are as follows:
It has been proposed that Brawa Accounting implement the changes to enhance their business in educational sector. The changes are lying down by adopting appropriate action plan. The organization include following action plan:
The changes would lay down to different impacts on business of Brawa Accounting. These are as follows:
Address the “human side” systematically: Any significant change in the organization creates people’s issue. In Brawa Accounting , a formal approach for managing change is followed which begins with the leadership team and then engaging the key stakeholders and leaders developed early and adapted often as change moves through the organization. The change-management approach is fully integrated into program design and decision making. It is based on a organization capacity to change.
A continuous monitoring of the business operation assists the enterprise in maintain and improving the performances on regular basis and avoid any of the losses. To monitor the performance of the business various methods can be used (Harmon, 2014). Organization can set the specific goals and target to measure the performance, management can measure the performance of new ideas by encouraging the employees to provide the ideas. Business can also set the benchmark to measure the performance of the business. In addition to this, to monitor the performance of the business activities management can covey the targets to the employee which Brawa Accounting wants to achieve in the particular year. In relation to Brawa Accounting the organization should set the SMART objectives to monitor the performance of the business.
Moreover, these objectives assist Brawa Accounting to monitor the overall year performance of the organization. These smart objectives set the benchmark for the employees and they have to achieve till the end of 2016.
With the above report it could be concluded that small business enterprises are mainly the independently owned and regulated enterprise which acquires certain limits in size, scale, operations and revenue as per the industry. It has been found that to overcome with the weakness it requires having effective strategies and actions which would help the enterprise come up and establish the business activities appropriately. The report revealed that Brawa Accounting could move towards the educational field which is now a day’s experiencing a boom of consultancy demands.
Books and journals:
Ates, A., Garengo, P., Cocca, P. and Bititci, U., 2013. The development of SME managerial practice for effective performance management. Journal of Small Business and Enterprise Development, 20(1), pp.28-54.
Blocker, C.P., Flint, D.J., Myers, M.B. and Slater, S.F., 2011. Proactive customer orientation and its role for creating customer value in global markets. Journal of the Academy of Marketing Science, 39(2), pp.216-233.
Bruhn, M., Karlan, D.S. and Schoar, A., 2013. The impact of consulting services on small and medium enterprises: Evidence from a randomized trial in mexico. World Bank Policy Research Working Paper, (6508).
Brawa Accounting, 2016, Brawa Accounting (About Us), last retrieved from http://www.brawa-accounting.com/ on 3rd July 2016
Bryson, J.M., 2012. Strategic Planning and. The SAGE Handbook of Public Administration, p.50.
Chambers, A.C. and Burkhardt, J.C. eds., 2015. Higher education for the public good: Emerging voices from a national movement. John Wiley & Sons.
Cummings, T.G. and Worley, C.G., 2014. Organization development and change. Cengage learning.
Czerniawska, F., 2016. Management Consultancy: what next?. Springer.
Denscombe, M., 2014. The good research guide: for small-scale social research projects. McGraw-Hill Education (UK).
Dey, P.K. and Cheffi, W., 2013. Green supply chain performance measurement using the analytic hierarchy process: a comparative analysis of manufacturing organisations. Marketing Planning & Control, 24(8-9), pp.702-720.