The competitive analysis mode.l A new approach to strategic development for small businesses, страница 5

This is shown in Table X and it shows where the firm is ranked in relation to the three leagues.

The rankings enables the firm’s coalition to focus on those areas in which improvement could apparently be made: for example: sales volume growth, return on sales, new product and new market development and supplier and competitor strategy.

Section 2: Overview of the convenience foods sector

Using CAM data and government statistics, this section compares the overall performance of the convenience food sector with other industrial sectors. The other sectors with which it is compared are: Food, drink and tobacco; Textiles, clothing and leather; Wood and wood products; Coke, chemicals and rubber; Basic metals, machinery, electrical; Other manufacturing; and Non-manufacturing. The comparison is by means of a written commentary plus graphs showing:

• average annual turnover growth (per cent);
• average value added to turnover (per cent),
• average profit per employee (£000s);
• average profit to assets (per cent);
• average turnover per employee (£000s);
• average value added to assets (percent).

One graph from the Glangras Foods report – average annual turnover growth – is reproduced in Figure 6.

As can be seen, the convenience foods sub-sector has enjoyed the highest rate of turnover growth of the eight sectors considered[10]. Consequently it should be expected that Glangras Foods ought to have a relatively high turnover growth rate.

Section 3: Performance benchmarks for Glangras Foods

This section shows Glangras Foods’ growth and profitability for all performance measures by means of:

• a table to show actual performance in all leagues (shown in Table III);
• a table to show relative performance in all leagues (shown in Table VI); and
• a set of graphs to show relative performance in all leagues: shown in Figures 2, 3 and 4.

Similar tables and figures to show actual and relative performance are used in Sections 4 and 5 below.

Section 4: Internal benchmarks

In this section tables and graphs to benchmark Glangras Foods’ internal performance factors are presented. Although there are five major areas for internal benchmarking – Productivity and asset utilisation; Investment and debt management; Product quality; Export markets; and Product and market development, just one area – Productivity and asset utilisation – is presented in Tables XI and XII and Figures 7, 8 and 9.

Section 5: External benchmarks for Glangras Foods

This section benchmarks Glangras Foods’ external performance. Although there are two major areas for external benchmarking – Operating environment and Customers and suppliers – just one area – Operating environment – is presented in Tables XIII and XIV and Figures 10, 11 and 12.

Section 5A: Business strategy priorities

This section benchmarks the strategies that Glangras Foods has been following. The strategies are presented in Tables XV and XVI and Figures 13, 14 and 15.

Section 6: Summary tables

These provide summaries of Sections 3, 4 and 5 and are not reproduced here.

Section 7: Convenience food benchmarks

The benchmarks in the previous sections are largely based upon either performance ratios or factors which are known to affect performance in any business. In this section the benchmarks are based on a number of factors which the database has identified as having particular impact on performance in the convenience foods sub-sector. This section is therefore aimed at providing the managers of Glangras Foods with more detailed sub-sector information with which they themselves can determine the effect upon their actual values and their league positions. In the case of Glangras Foods the major factors which seem to have particularly strong impact upon firms in the convenience foods sub-sector are set out in Table XVII.