5- Recommended ACA & Action Plan

PROCESS OF ANALYSIS

POINTERS:
The best alternative course of action should be justified
in qualitative format supported by quantitative analysis
Best ACA should be transformed into reality through
the Action Plan
Objective/s per functional unit should be in accordance
with the realization of the best ACA
Strategies to operationalize the functional objectives
should be aligned with the best ACA
Time frame should consider a period of not less than 3
years
The budget should be linked to the values of items
listed in the financial statements
#5- Recommended ACA & Action Plan
Discuss the evaluation of the ACAs in view of the Quantitative Strategic
Planning Matrix outcome

The Quantitative Strategic Planning Matrix results indicated that

ACA __ obtained the highest overall score which means that this
is the best alternative course of action that could significantly
address the identified major problem. Evaluation indicated that
__________(justification of best ACA in qualitative form)_____.
#5- Recommended ACA & Action Plan
Develop an Action Plan Matrix

FUNCTIONAL OBJECTIVES STRATEGIES TIME BUDGET

AREA FRAME

Finance

R&D

Operations

Marketing

Other
Functional
Areas
Functional Strategies
Goal-directed decisions and
actions of the organizations
functional units based on
resources, capabilities and
competencies

Production Operations
Marketing
Human Resources
Finance
Research & Development
Information Systems
Production Operations Strategies
CAPACITY Size of facility
Efficient use of facility

WORK DESIGN Job specialization

Work methods
Motivation-incentive systems
Standard-output levels

PRODUCTION Purchasing procedures

MANAGEMENT
Inventory management
Maintenance management
Marketing Strategies

PRODUCT Satisfy needs and wants of

target market

PRICE Make product affordable

and reflect value

PLACE Make product available and

accessible

PROMOTION Build and improve consumer

demand
R & D Strategies

EMPHASIS Process development

Product development

FOCUS Separate R&D department

Cross-functional team
HRM Strategies

WORK FLOWS Organize for efficiency,

control and flexibility

STAFFING Internal or external

recruitment
Hiring decisions

TRAINING Buy or develop skills

Individual or team-based
On-the-job or external
Finance Strategies

FINANCE MIX Sources of funds

DECISIONS Control of costs

IS Strategies

SYSTEM Manual or computer-based

TECHNOLOGY

INFORMATION Office automation system

SYSTEMS
Management info system
Decision support system
Electronic data sharing
Internet & world wide web
5- Recommended ACA & Action Plan
Develop an Action Plan Matrix

BEST ACA: LOW-COST STRATEGY

FUNCTIONAL OBJECTIVES STRATEGIES TIME BUDGET

AREA FRAME

Finance Low financial Borrowing when

cost credit costs are low
R&D Reduce Process R&D
operations cost aimed at lowering
cost
Operations Efficiency in Capital-labor
operation substitution
Marketing Low cost Reduce cost in
advertising and
distribution
Information Cheap Timely and
Systems information relevant info on
transfer costs of operations