CanGo Week Two Analysis Report
Bus460 Senior Project
Instructor: "Dr. John"
Assure Analysis Inc. have spent the last two weeks observing CanGo and their business practices to help them determine the weaknesses within their organization. We will use our knowledge and experience to provide suggestions for improvement that will have a positive impact not only on CanGo’s bottom line but also on the morale of all those who are employed by the organizations. Elizabeth (Liz), who is the owner of CanGo, first conceived the idea of the company in 2006. Since then, the company has grown exponentially. According to the company’s intranet “Liz’s experience and education helped refine her vision of a business environment centered on the Internet revolution. Under her leadership, CanGo has grown from a small online book retailer to a leader in entertainment focused e-commerce”. Liz has done very well for herself and the company with the effort and ideas that she has used thus far. CanGo is growing so fast that she now needs help to show her how to be prepared for what could happen and what she wants to happen as a company. When there is so much growth and so much competition, Liz and CanGo need to have a plan. That is why we are here; to help the company stay successful even when they are considering expanding into a new market.
During this research period, The Grads have come up with the top issues that the CanGo team needs to address so that they can ensure further successfulness. The six top issues that we are going to address here in this Week Two Analysis Report are: The lack of direction the company has; its poor management skills; absence of proper communication; the company has a lack of financial awareness; lack of Management by Objectives (MBO) as well as lack of cohesiveness between management and their expectations and the employees and their expectations. We feel as though this report properly addresses each of these issues and offers CanGo recommendations that will help them overcome them.
Assure Analysis Inc. have researched CanGo extensively in order to identify the areas in which CanGo needs the most improvement. The following SWOT analysis will begin the identification of these issues.
Assure Analysis Inc. has determined that CanGo has four internal strengths. The first is the technologies of CanGo. The company possesses the ability to implement a new online type of gaming because they already have the streaming technology in place and can create a parallel installation of the two processes.
The second internal strength that we feel CanGo has is low operating costs. They own the “brick and mortar” and overhead is not very high for their day-to-day operations. From what we have seen in the financials, they are bringing in revenue of $33 million.
The third internal strength that we feel CanGo has deals with their business processes. The business has a scope that includes capturing mass market segments in the business solution market, online books, and now online gaming. These business processes for CanGo are providing low-cost entertainment opportunities so the online gaming process will be quick to implement.
Last but not least is profit. CanGo are in a profitable market with an immense scope of growth. Online reading, magazines, audio, and video consumers are increasing every day which provides the company with a broad customer base.
After looking at CanGo as a whole, we have come up with some internal weaknesses with which the company is struggling. First, we take into their business plan. Their business plan covers corporate planning which has all the operations of the company. CanGo is lacking in this area of planning which makes their cash flow limited due to a lack of operations and control. This can pose serious problems in setting and achieving long term goals. Another area of internal weakness we feel CanGo has is...
References: Bogue Robert (2008) Use S.M.A.R.T. goals to launch management by objectives plan. Retrieved from: www.techrepublic.com/article/use-smart-goals-to-launch-management-by-objectives-plan/
Entrepreneur (2003) How to Write a Mission Statement. Retrieved from: http://www.entrepreneur.com/article/65230#
Management by objectives (mbo). In (2013). Business dictionary. Retrieved from http://www.businessdictionary.com/definition/management-by-objectives-MBO.html
Office of the Chief Information Officer (2012) Project Management Framework Planning Phase Communication Plan. Retrieved from: http://www.ofm.wa.gov/ocio/pmframework/initiation/planning/communications.asp
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