MAN 3503: Strategic Management
Assignment 2 – Group Report
The purpose of this report was to analyse internal and external strategies to identify potential gaps in the process of gaining competitive advantage to expand into the Eastern states of Australia. The key factors discussed in this report are identified with the use of a SWOT analysis which will enable BankWest to utilise the appropriate strategic initiatives. The two recommended strategic initiatives to be implemented and focused on over the next 18 months in this report are: •Global Strategy
The key issues faced by BankWest from external forces include the global economy as a result of the American stock market and the reduced spending and investments in the stock exchange leading for decreased interest rates. These factors have lead to the need for the global strategy. The global strategy takes into account a lower need for customer responsiveness and a higher need for overall cost reduction. The internal processes have been examined to improve efficiency and effectiveness to increase customer service and to gain competitive advantage the areas of Information Technology, Human Resources and Banking Security. These areas are examined in detail, with suggested changes, to deliver customers service with flexibility in further differentiation from other leading banks. If implemented, it could result in gaining competitive advantage and secure new markets in the Eastern states of Australia. The implementation plan for internal and external processes to implement both strategies is outlined on pages 9 and 14.
Table of Contents
2.0 SWOT Analysis2
3.0 1st Strategic Initiative: Business-Level Strategy3
3.1 Key Issues Faced by the Company3
3.2 Information Technology, Banking Security and Human Resources3 3.3 Outcome of Suggested Strategy7
Figure 1: 8
3.4 Implementation Plan for Business-level Strategy9
4.0 2nd Strategic Initiative: International Strategy10
4.3 Key Issues Faced by the Company11
4.4 Implementation Plan for Global Strategy14
4.5 Implementing Global Strategy15
BankWest is one of Australia’s leading banks holding a significant portion of the market share. However, BankWest faces a number of key issues in both the internal and external environment. The key factors discussed in this report include the volatile economical changes and current financial crisis and customer service issues. This report aims to develop two key strategic initiatives that BankWest is able to pursue over the next 18 months. In addition, a SWOT analysis is done to identify the strengths and weaknesses of the internal environment and the opportunities and threats of the external environment, which will enable BankWest to utilise the appropriate strategic initiative. Furthermore, the report introduces implementation strategies which will allow BankWest to identify key performance indicators and a timeframe with which to implement specific initiatives. These key strategic initiatives should provide BankWest with a competitive advantage within the banking and financial industry, if implemented appropriately. These initiatives aim to counter act the weaknesses and threats to the organisation and provide a specific direction that the company could work towards. Additionally, there will inevitably be a set of outcomes from implementing the strategic initiatives, which will be discussed further in this report.
2.0 SWOT Analysis
1.Brand name – over 100 years old
2.Award winning organisation – reducing supply cost, providing high savings deposit rates and low home loan...