Executive Summary
sklmwinbrianna
Capstoneweek6.docx
Red Team Capstone: Week 6
Brianna Baldwin, Brittney Mendez, Catherine Thyben, Chelsea Slawson,
Christopher Mitchell, David Chavez, Gabriel Parra, Jill Peterson
Grand Canyon University: BUS-485
April 14, 2019
Running head: ASSIGNMENT TITLE HERE
1
Capstone: Week 6
The Multi-Fry-ers strategic risk management planning, including task list, contingency and milestone plans are vital components for its success. By integrating new technology, such as mobile apps and a social media marketing campaign to keep up with current trends the Multi-Fry-er can eventually secure enough capital to obtain a second truck and double its sales. Multi-Fry-er’s contingency plan is optimistic yet cautious and potential critical risks have been charted in order to minimize unwelcome surprises. According to Britton (2016), creating a plan and making it readily available to stakeholders and employees alike will ensure that everyone has the same understanding of the strategy for success.
Milestones Schedule
The milestone schedule maps out Multi-Fry-er’s path to a successful and profitable start-up. According to Parsons, successful milestones should include a description, due date, budget, and responsible person (2017). Below is a Gantt chart depicting The Multi-Fry-er’s timeline for critical decisions and dates. Each task has been chosen to advance Multi-Fry-er’s operations.
The first critical task is securing capital. This is a specific number The Multi-Fry-er is targeting that will be sufficient to get the business operating successfully. The second task is to negotiate a competitive lease for office space. Following these initial tasks, the next task is to set up an event calendar, which will outline the events The Multi-Fry-er will target once running. The fourth critical task will be to hire and train superior staff, which will be the heart and soul of the operation. The fifth critical task will be to launch an app for ordering, in order to streamline the processes. At this point, Multi-Fry-er will be operating smoothly and ready for the next critical task which will be establishing/implementing a social media campaign to effectively reach the target market. The seventh critical task will be to reach the objective of 100 sales per lunchtime order. Once that benchmark is reached, the next objective will be to reach 150 sales per lunchtime order. These benchmarks will allow Multi-Fry-er to stay on track with its financial plan. The ninth critical task will be to begin franchising, and the final critical task will be to add a second truck to original operation. Each task has been strategically mapped out on a timeline. In most instances, each task proceeds the previous, timewise, however there is overlap in some instances as certain strategies take more time and preparation.
1. Secure initial capital contributions (Completed)
2. Negotiate lease for office space (April 2019)
3. Research and plan event calendar for 2019-2020 (1 month, Spring 2019)
4. Hire and train superior staff (Spring 2019)
5. Launch new app for ordering (development 2 months, Spring 2019)
6. Social media campaign (prepare 1 month, run 3 months, Summer 2019)
7. Reach 100 sales per lunch hour (2 months)
8. Reach 150 sales per lunch hour (6 months)
|
Causes/Issues |
Explanation |
Impact/Risk |
|
Equipment |
Breakdowns, Repairs, Maintenance |
High |
|
Materials (Food Supplier/Supplies) |
Availability, Obsolescence |
High |
|
Methods |
Safety, Compliance |
Medium |
|
Business Success |
Success Plan, Ownership, Financial Management |
Medium |
A contingency plan is a very important piece of the puzzle when it comes to creating a business plan. It helps the firm plan for all the risks and possibilities that could arise and go wrong in the future. By identifying potential problems, Multi-Fry-er can put a financial plan in place to deal with problems if they arise (Kearns, 2016). First, Multi-Fry-er has identified the key risks that could potentially be huge problem areas in the future. Maintenance and repairs could be an issue when it comes to the truck and kitchen appliances that are in the food truck. Purchasing is another significant issue that could develop if a supplier went out of business or if an account gets lost with one of the vendors that is used frequently. Sales could become an area of concern if fellow food trucks in the industry try to capitalize on Multi-Fry-er’s signature offerings.
As far as a timeline goes, if any of the above issues occur, it is crucial that Multi-Fry-er addresses them immediately. Regular research into alternative options should be conducted. When issues arise, appointments must be made the same day, whether it is for repairs on the truck or to source a new supplier for the necessary food and supply products. Strong communication and teamwork from all staff will enable Multi-Fry-er to resolve the issues in a timely manner so that business isn’t impacted in a negative way. The Multi-Fry-er can reduce the risk of unplanned problems by conducting weekly maintenance checks on all equipment, and most importantly ensuring that all bills are reconciled and relationships with suppliers are built and lasting.
The Multi-Fry-er also faces the risk of being shut down if compliance and safety audits are not passed. The Multi-Fry-er will utilize checklists for safety and cleanliness which will be reviewed daily upon opening and closing. Through a rigorous training and regular certifications, Multi-Fry-er’s staff will stay on top of compliance and safety issues. This will ensure that when the audits occur, the Multi-Fry-er will pass and will be able to continue to serve food to the community.
Conclusion
The creation of a milestone schedule is key to communicating and explaining the business plan to all necessary stakeholders (Johnson, 2019). Milestone schedules lay out a plan of action and show progress when activities are completed. Contingency planning is important to the creation of a milestone schedule because they assume the possibility of risk (Johnson, 2019). In other words, contingency plans are the back-up plan if events require a change of direction in the planning and scheduling of events. The milestone schedule for The Multi-Fry-er is vital to remaining consistent to timelines and managing projects to assure the sustainability of the business and the ability to deliver a high standard of services and products to the consumers. Further, for the Multi-Fry-er maintain an advantage in a competitive market, the necessity of strategic risk management planning and organization are significantly important components for assuring Multi-Fry-er longevity in the food truck market.
References
Britton C. (2016). What Is A Business Contingency Plan & How To Create One
https://www.rockdovesolutions.com/blog/what-is-a-business-contingency-plan-how-to-create-one
Johnson, D. (2019). The Importance of Critical Path Milestones. Retrieved from
https://www.brighthubpm.com/project-planning/75565-critical-path-milestones/
Kearns, S. (2016, December 21). Business Contingency Plans and Why You Need One. Retrieved from https://quickbooks.intuit.com/r/business-planning/what-is-a-contingency-plan-and-why-does-your-business-need-one/
Parsons, N. (2017). How to build a lean business plan step 3: Set milestones. Retrieved from https://www.liveplan.com/blog/lean-planning-step-3-make-your-plan-real-with-milestones/
