
BSBOPS601 Develop and Implement Business Plan Diploma Sample
Questions
Provide answers to all of the questions below:
Question 1. Outline three reasons why a company may choose to develop a business plan.
Three reasons why a company may choose to develop a business plan:
- Fund and Investment Security- A business plan plays an important role in attracting investors as it helps in portraying the company’s understanding in terms of the market. Therefore a business plan that is well crafted helps in managing the fund and investing along with maintaining security.
- Operational Efficiency and Growth- With the help of the business plan operational efficiency and growth are also provided (Talwar et al., 2021). A business plan serves to measure progress and also helps in identifying the areas where it is needed.
- Clarity and Direction- In this case, it can be stated that a business plan acts as a roadmap where the goals, missions, and objectives are provided. Hence the business plan also helps in the identification of challenges and opportunities as well.
Question 2. Identify the key steps involved in developing & monitoring a business plan (at least four).
The key steps that are involved in developing and monitoring a business plan are mentioned below in the following points:
For Developing a Business Plan
- Defining the Goal of the business
- Conducting the market research on which the company is based.
- Developing the strategies for achieving the business plan.
For Monitoring a Business Plan
- One of the monitoring processes for a business plan is tracking the key metrics by defining the key performance indicators.
- Adapting and Updating based on strategies and also the goals that are required.
- Comparing the actual performance with the planned performance also helps in monitoring areas that need improvement.
Question 3. List five common components of a business plan
The five common components of a business plan are as follows:
- Executive Summary- This provides an overview based on the entire business plan along with the main key points that will be made in the plan.
- Description of The Company- In the section the description of the company is given where the mission, vision, legal structure, and value are mentioned.
- Market Analysis- The information in this section is provided on the basis of the target market, demographics can also be purchased (Mahmood et al., 2021).
- Marketing and Sales Plan- This helps in outlining the strategies that help in reaching the target market along with converting such into customers.
- Management Team- It portrays the experience as well as the expertise of the management team present in the company.
Question 4. Outline three areas that the initial business planning process may address.
The three areas that the initial business planning process may address are as follows:
- Market and Opportunity- This is one of the areas that focuses on the target market, the competitive landscape, and also the trends in the market along with the proposition.
- Operations and Business Model- This specific area is based on products and services, sales and marketing, and also operations that are related to the company and its model of business.
- Team and Management- The main focus of this area is the management team where the leaders are identified along with the structure of the team and human resources.
Question 5. Describe the purpose of a SWOT analysis in a business planning process. Why is it important to consider the customer needs & budgeting information for a business plan?
One of the major purposes of a SWOT analysis in a business planning process is that it helps in the identification of the opportunities that can lead to growth and development. With the help of SWOT analysis for university assignment help, the external factors are being explored which can be considered lucrative for the business planning of the company. It is important to consider the customer needs and budgeting information for a business plan because understanding the needs of the customers along with their preferences is very essential because the company can make the plan for the products.
Question 6. Explain the relationship between performance objectives and key performance indicators in a business plan.
Performance objectives are the high-level goals that one wants to achieve whereas the key performance indicators (KPI) can be defined as measurable metrics that help in tracking progress with the objectives of the performance (Said et al., 2020). One of the relationships that can be mentioned is that once the objectives are defined the KPI helps in tracking whether it is on the right track and the things which still needs to be covered.
Question 7. Explain why it is important for a business to use a range of performance measures within its business plan.
Potential reliance on a single performance measure can mislead and be detrimental to continuing a long-term business. Effective utilisation of a range of measures within a business plan can help in providing a holistic view by offering insight into various aspects of the business like operations, finance, social impact prospectus etc. Utilisation of a range of performance measures can also help in identifying strengths and weaknesses and also help them inform decision-making (Murphy., 2020). Multiple performance measures can help business planning in terms of tracking progress and performance and also incorporate accountability and motivation by setting goals and tracking performance across different departments.
Question 8. If a business plan has an objective of improving customer satisfaction, identify three performance measures that could be used to measure customer satisfaction.
Three performance measures can be used for measuring customer satisfaction:
- Net Promoters Score (NPS)
This measure will help my measuring loyalty indicators by asking questions to the customers regarding how they can recommend a particular product of the organisation on a scale of 1 to 10. the scale will be categorised by three sectors (9-10) as promoters (7- 8) as passives, and (6-0) as detractors (Baehre et al., 2022).
- Customer Satisfaction Score (CSS)
This measure will help by asking customers directly about their satisfaction through service rating after specific interactions of purchase as well as Customer Service Delivery.
- Customer Effort Score (CES)
CES will help to measure the effort customers put in the process of achieving their goals with the business by highlighting the areas of customer experience.
Question 9. Identify key stakeholders who may be involved in business planning and explain how they are involved.
There will be two kinds of stakeholders which can involved with the business planning,
- Internal Stakeholders
Senior management (CEOs, department heads, directors), middle management (departmental managers) and employees who can be directly involved in the process of drafting business planning by sharing their knowledge and expertise.
- External Stakeholders
Some external stakeholders including customers, investors and shareholders, suppliers and partners, regulatory bodies and the local communities can also help shape the plan of the business (Chygryn et al., 2020).
Question 10. Explain the importance of pre-existing strategic, business, and operational plans to the development of a new business plan.
The importance of pre-existing strategies, businesses and operations and planning in the process of developing a new business plan includes,
- Strategic planning helps by outlining the long-term vision, mission and goals of the organisation (Fuertes et al., 2020).
- Business planning effectively provides little road maps for achieving specific business objectives. Business planning can also help by leveraging existing frameworks, resources and strategies outlined in the previous planning and also help in fostering efficiency in the business.
- Operation planning helps in providing details of the day-to-day process and procedures of executing business planning which can financially help in identifying the areas of improvement by optimizing resource allocation.
Question 11. Explain why it is important to understand a business’ vision, mission, values and objectives when developing a business plan. Give an example to illustrate your answer.
Vision:
In a developing business plan vision is important because it helps in setting dreams or aspirations for the business with a guiding star. This also helps to ensure all elements of the plant should contribute towards reaching the ultimate goal.
Mission:
The mission helps to outline the purpose and core activities of the company by keeping the plan focused on its intended path.
Values:
Values help by guiding principles which can define the character and decision-making of the organisation by ensuring its ethical and responsible practices in business planning (Sjödin et al., 2020).
Objectives:
Objectives help in setting clear targets for the plan based on several factors like specific, measurable, achievable valuable and time-bound (SMART).
For example,
Company: A tech Start-Up
Vision: Becoming a leader in sustainable energy solution
Mission: Providing innovative solar power technology that can be affordable and accessible for every customer.
Values: Incorporate environmental responsibility, community engagement and innovation.
Objectives: Increasing the market share by 20% in the next 3 years and increasing invest 10% of profit and community renewable energy projects.
Question 12. Describe at least three regulations/permits requirements/licence requirements to consider when initiating a new business activity that may require a permit or licence.
- Industry-specific regulations are needed to govern their operations. For example, the restaurant industry must incorporate food safety regulations.
- Following resoning regulations is needed for operating in a specific location.
- Environmental regulations should be followed.
Business registration and taxation:
- Business registrations are needed from the government which may involve a business licence or permit.
- Tax registrations are needed as per the business structure location and activities (Nohoua., 2021).
Other licences and permits:
- The inclusion of health and safety permits is needed.
- Inclusion of professional licensing for providing professional services like legal services, accounting services etc.
- Some special permits and licences are needed from government agencies in terms of selling particular products like alcohol. For example, for selling alcohol the company needs a liquor licence from the government.
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