Strategic Plan Part 2

New Business Division; Vision, Mission, and Value Proposition

Executive Summary

The vision statement of the Safeway states that, "We earn the loyalty of the people we serve through the talents and passion of employees." Besides, the mission statement of the Company states "We earn the loyalty of the people we serve by first anticipating, then fulfilling their needs with our superior-quality products, a unique shopping experience, customer- focused service and continuous innovation, while generating long-term profitable growth for our shareholders". Therefore, the mission and vision of the Safeway Company is focused on the customer loyalty and the four ways to earn that loyalty. The mission of the Safeway Company in the grocery chain commences with a general vision that focuses on the employees of the corporation on building a royal relationship with Safeway Customers. Additionally, for the corporation to ensure that the vision statement is more real and actionable, the corporation provided its employees with a mission statement, which specifies the four ways in which the employees of the corporation work to earn that customer loyalty in their daily job performance in all levels of the Company. These are anticipating and then fulfilling the customers' needs with superior quality products, a unique shopping experience, customer focused service and innovation.

Introduction

Every organization globally is struggling to be innovative in the business world to remain competitive and to achieve the set organizational objectives. In definition, innovation refers to the creation of the new and more effective process, products and ideas. It may also be viewed as the application of better methods, ways, and solutions that meet the requirement of the existing market needs. For business, it could mean creating new dynamic products or improving the existing services of the business. Being innovative in business does not only mean inventing new products and services in the market but can also mean changing the business model to adapt to the changing business environment to deliver better products and services to the customers (Caiazza, 2015). The report is based on the first part of the strategic project management where new business division of the Safeway Company is formed due to the merger with the Albertsons Corporation.

Strategic Plan Part 1

New Company Division

The new company division is based on the merger between Albertsons and the Safeway Corporation. The division is drawing on the strong talent within the companies employees to build an innovative, customer-focused and growth driven company. The best way for the new division to grow the business is to be innovative and remain customer focused by ensuring lower prices, which are affordable, clean stores, well stocked-stores and the best customer service in the market (Deiser, 2009). Besides, the employees of the new division should be focused on delivering what customers want locally and the division teams should have the responsibility to have the right assortment of products and services for their market in order for the new business division to remain customer-focused.

The mission statement of the new division states, “We plan to be favorite local supermarket in every community we serve by knowing, listening to, and delighting our customers; providing the right products at a compelling value; and delivering a superior shopping experience trough continuous innovation. We will also continue to be active members of our local communities.” While the vision statement is, "We plan to be favorite local supermarket in every community we serve at a compelling value, and delivering a superior shopping experience." The merger creates a unified, strong organization that is dedicated to bringing a better shopping experience to customer across the country. Our combined geographic footprint, vast range of brands and products, and service-oriented staff will enable us to meet evolving shopping preferences." Therefore, innovative mission is important in responding to the changing trends and competition in the market. Innovation can help the new division to discover new opportunities now and in the future (Randall, 2005). Besides, it assist the division to make most of what already exists through increased efficiency, find new customers and increase profit. Innovative mission statement also helps in developing a unique selling point, which increases the competitive advantage of the division.

New product

The proposed new product of the new division is production of Safe- T-Way, these are safety containers that can be used to store transport flammable products. These containers are designed and manufactured to store flammable liquids and gases. The new product is designed to automatically relieve the build-up internal pressure thus preventing explosions and personal injuries even in situations of fire. This product is unsurpassed for safety, quality and value. Besides, the containers are made from corrosion resistant with an exclusive exterior coating to ensure a durable finish and long life. Additionally, the cans are tested twice before leaving the factory to ensure that they are safe and of value to the customers. Therefore, this makes the new product best for the customers to buy and it is sold at affordable prices.

How the Company Addresses the Customers' Needs and Achieve Competitive Advantage

The new business division creates a strong unified business division that is dedicated to bringing a better shopping experience to more customers across the country. The division will create vast range of brands and products for its customers to choose from, which will ensure satisfaction of their needs and timely delivery. Besides, the combined geographic footprint will ensure that the customers' needs are satisfied in the shortest time possible to the reduced distances and time for delivery. Additionally, the combined talented employees of the new division who are service-oriented staff will enable the division to meet evolving shopping preferences, which will meet the customers need (Kalay, 2015).

The new division also addresses the customers' needs and achieves competitive advantage through reduction in prices of its products. Reduction in prices of products and services of the new division ensures that the customers' needs are satisfied through provision of these products and services at affordable prices (Kalay, 2015). At the same time, the division attracts more customers to shop in its various chains of stores thus creating a competitive advantage in the market.

Vision and Business Model

Vision statement of the new business division is "We plan to be favorite local supermarket in every community we serve at a compelling value, and delivering a superior shopping experience." The model of the new division is a merger between the company and Albertsons. The merger is meant to enhance revenue generation due to the increased number of the chain of stores and good customer services provided by the division (Kalay, 2015). Merger between the two companies will ensure that they remain innovative in creation of products and services that are of compelling value to the customers. Besides, the vast service-oriented staff of the two companies will operate as a team, which will enhance customer service in the new division.

How the New Division's Mission, Vision and Values Align with the Company's Mission and Vision

The vision and mission of the company aligns with the new business's vision mission and values. The Company's vision and mission focused on the customers through provision of superior products, a unique shopping experience, and customer focused service and continuous innovation. Similarly, the new business divisions' vision, mission and values focus on its customers through provision of right products at compelling value, knowing, listening and delighting their customers, and delivering superior shopping experience. Additionally, the mission, vision and values of the new business division is based on innovation as well as the company's' mission and vision. Therefore, the innovation of products and services of the new business are aligned with the Company's innovation mission and vision.

How the Vision, Mission, and Values Guide the Division's Strategic Direction.

As part of the strategic move, Safeway is merging with Albertsons to launch a new business division. The direction of the Corporation is intended to accelerate the companies' competitiveness, growth and to improve other core capabilities such as innovation and improved quality of the products to the customers. This strategic plan is directly linked to the importance that the companies' brands play in the future as a retailer. Therefore, for the brands of Safeway to remain competitive, there is need to expand their market share through merger. Besides, for the company to accelerate the growth of its products, it must improve its product innovation, quality and execution especially through merger process.

Guiding principles and values in context of culture, social responsibility and ethics

Culture

a) Diversity– respecting the diversity, giving the best of composition among the employees and other stakeholders of the company, and ensuring employee equity in promotions and recruitment programs.

b) Empowerment – Encouraging employees to take initiative and give the best to the customers. The employees shall get appropriate assistance in growth and development in their job areas in order to deliver the best service to the customers

c) Innovation – Pursuing new creative ideas that have the potential to change the world

Social responsibility

a) Community –Contributing to society and demonstrating corporate social responsibility.

Ethics

a) Accountability – Acknowledging and assuming responsibility for actions, products, decisions, and policies of the employee of the company.

b) Integrity – Acting with honesty and honor without compromising the truth

c) Commitment – The new business division commits to great and safe products, services, and other initiatives that affect lives within and outside the organization.

Conclusion

In conclusion, the new division of Safeway Company is created through the merger between the company and the Albertsons Corporation. The strategy is meant to create a competitive advantage through customer focus. The vision of the new business division is to be the favorite in the local market in every community that its food chain stores operate. Through the mission of knowing, listening and delighting customers, providing innovative products that have compelling value to the customers and delivering a superior shopping experience. Thus, innovative mission statements assist the company to gain competitive advantage

References

Caiazza, R. (2015). Explaining innovation in mature industries: evidences from Italian SMEs. Technology Analysis & Strategic Management, 27(8), 975-985. doi:10.1080/09537325.2015.1038511

Deiser, R. (2009). Designing the smart organization: How breakthrough corporate learning initiatives drive strategic change and innovation. San Francisco, CA: Jossey-Bass.

Randall, R. (2005). Innovation. Bradford, England: Emerald Group Pub.

Kalay, F. (2015). The impact of strategic innovation management practices on firm innovation performance. Pressacademia, 2(3), 412-412. doi:10.17261/pressacademia.2015312989