Business Continuity Management - Essay Example

What changes should Norman make, when, and in what order should make them Archie Norman must institute many drastic changes NOW, not tomorrow, to improve the financial performance of ASDA? Most of its store outlets must lower their selling prices to bring back droves of its former loyal customers who could not afford the sudden increase in prices. The ASDA increased its upscale offerings to corner the rich client's market segment. The rich clients prefer to shop with an upscale store that carried high-end brands.

A few branches of ASDA located near rich neighborhoods can still continue with its upscale offerings to continue serving its rich clients. Another change that Archie Norman will have to do is to call a general meeting of all its rank and file employees. The financial problem of the company will be brought out and each will submit before the meeting ends their comments, suggestions, and complaints. A select committee will be formed composed of the managers of each branch and other upper-level management staff.

They will now come up with projected (or forecasted) income statements and balance sheets. The forecast will be brainstormed by the different departments involved such as the finance department ( to give assurance that enough cash inflow will be available to pay its obligations when they become due), the buying department ( the buying department must only buy what the marketing department asks them to buy), marketing department ( the marketing department will make sales forecast based on its historical (past) sales trend and its new and more vigorous promotional ventures ( advertisements in the tri-media [ radio, television, newspaper] to drum up sales), store managers ( each store is treated a cost center meaning they have to forecast their own sales and expenses and to explain why there is an increase or decrease in the assets, liabilities, capital, income, and expenses for each month).

Those top managers who have not performed well with no hope of improving will be retrenched after reviewing the results of the psychological tests given to them. All ASDA stores will now have a fast food corner. Since the customers have declined for the past few years ending 1991.