Developing a Business Plan for a Boarding School - Case Study Example

Developing a Business Plan for a Boarding School Contents Executive Summary 3 Introduction 4 Marketing 5 Operations Management 5 Human Resource Management 6 Risk Management 6 Business Name, Vision and Mission of the Organization 7 Predicted Financial Statements 7 Conclusion 9 References 10 Executive Summary The report is written so that a detailed business plan for newly formed business can be developed. The findings reveal the fact that HRM must not be intensively implemented in SMEs because of their smaller sizes (Paik, Chow and Vance 2011). Furthermore, the business of Body-boarding is strongly linked with the health of the public in the area. The overweigh patients will have the opportunity to lose their weights in a productive manner (Palgar 2000). The school is more like a moral center of the country rather than a place where people can be taught about making money. The teachers and universities have to play the role of greatest inspirers in the lives of their students (Gilley, Gilley and McMillan 2009). The education is having an ultimate purpose of making students human more than anything. The students have been known to remain dissatisfied after having everything one can imagine in life to have and in spite of having all that they remain empty from the inside. The feelings of emptiness can only be removed if one makes the much needed effort to improve the lives of others (Peck 2005) and that is what, educational world is not teaching in all parts of the world. People are getting educated but humanity is dying out because business institutions are creating professionals with capitalistic mindset who plan in order to eat away the world so that they can become capable of maximizing their monetary gains. The education’s sole meaning of creating good humans is getting compromised. Developing a Business Plan for a Boarding School Introduction Business planning is an integral part of an effort of starting a new venture. The new businesses have to pinpoint customers’ unfulfilled demands which they have the ability to meet in the near future (Auger, et al. 2003). Everything in this universe is created with a purpose and with long-term and short-term objectives. The newly started businesses have to find out their reason of existence before plunging to the hot zone of the industry. The companies in every field of life have to create a blue sea environment for themselves as MTV did in the summers of 2007 when they entered into Arabian market. However, it was a risk of a significant magnitude but they managed it with the help of being vigilant and exercising cultural and societal sensitivity, they have emerged as an entertainment giant in the current times. A similar strategy is required when it comes to managing businesses throughout the world. The businesses are also required to establish in front of the people of certain geographical locations that they are operating in order to make the local living standards better (Baron and Tang 2011). The betterment of the society is a core objective of the modern notion which is known as Corporate Social Responsibility. The CSR is believed to be the most effective way of making a profit (Gjølberg 2010) because with the help of this the companies can win the hearts as well as the minds of their stakeholders and create loyalty in the consumer base as well. Nevertheless, the concept of serving the society is so important for an educational industry that without it, the very basis of education is shaken up and those who take and treat a school as a commercial entity are greatly mistaken. The scholarly publications have grown into a moneymaking business as well. Furthermore, human nature has been changed and people fell into the fallacy that “evil is the way of getting to the glory in this world” but it is not at all the method of getting famous and rich (Neiss and Nelson.E 2005). Additionally, people guide that students should not work hard when they can deceive others in order to make a fortune out of their lives. Marketing In Australia youngsters do not engage themselves in physical sports and therefore, diseases like diabetes, weight-gain and obesity are growing with leaps and bounds. However, Body-boarding is a sport which needs considerable amount of upper body strength to participate. Overweight people can greatly benefit from this service and for this reason, we are going to advertise our company to those individuals who are interested in losing their weight. The company will soon launch its own and private version of “The Biggest Looser” and it is important to note that we have to hire those people who should be committed to the cause of the company. The company should have an inspirational mission and vision statements which will be proposed in the later stages of the report. Michael Porter profoundly argued that mission statement of the companies should be written on the shirts of their employees so that they can get a sense of direction consistently. The marketing and advertisement will be conducted by using Facebook, Twitter and Linkedin (Jansen, et al. 2009) because these methods will allow us to cover tremendous number of people against the most nominal costs one can imagine (Fischer and Reuber 2011). Operations Management The services provided by the facility will be educational in nature and we will like to have donations from United Nations and financially stable people in order to keep the school up and running (Saleebey 1996). The sport of Body-boarding requires considerable amount of upper body strength and therefore, children enrolled in the school will be made fit enough to participate in the game. The gym service will be provided for them to acquire sufficient fitness. Then, they will be trained by the most proficient coaches in the country. Additionally, they will be trained in the art of playing the actual game and in this regard, this will have visual and auditory assistance as well. Finally, at the end of each year, the students will be encouraged to forge teams and then these teams will compete in an annual competition while, the winner team will be given a cash prize and trophy as well. On the other hand, seminars and classes on the topic of becoming an effective member of the society will also be delivered by well-known scholars. The price of one year course will be 2000 Australian Dollars. Human Resource Management We need three kinds of people who are namely management, lifeguards, instructors and visiting motivational faculty. The managers and lifeguards will be hired permanently as they will be required at all times (Gilley, Gilley and McMillan 2009). However, instructors will be paid on the basis of the number of lectures they conduct during the month. The HR manager will be responsible for taking the attendance of all the staff and transferring salaries to their accounts and as the size of the organization will grow then we will increase our HR department in terms of number of employees. The employee contract will be formed in the light of local regulations whereas; the lifeguards will be paid hazardous pay every time they save a life. The lifejackets will also be provided by the company to trainees and lifeguards. Risk Management The only danger the new-born company is facing right now is the liquidity risk. We have planned for that because we are going to get help from social workers (Kenney, LaBrie and Hummer 2012) whereas, the employee and managerial layers will be maintained in linkage with the amount of customers we have at that point in time. Additionally, we will open the service provider as sole-proprietorship so that we can drive down the risks of default and bankruptcy. The building blocks of the organization will most probably be formed by donations of UN and social workers. In this way, we will be able to sale safely without carrying enough of the risk on our delicate shoulders. Furthermore, people of Australia are miserable by the demon of overweighting and the current political leadership of the country will no doubt jump on the opportunity to create goodwill in the public by donating money to newly established training institution which has been formed in order to help people in losing weight. In the modern organizational world, one has to create a new product or at least be able to link the existing one with the unmet psychological needs of the target population and we are choosing to do the latter in order to be able to prosper in the market of the featured economy. Business Name, Vision and Mission of the Organization The business will be named as “Getting Smart” Body-Boarding Club and it would be a sole-proprietorship with great plans of expansion in the future. The mission statement of the business is “we work to make people of Perth healthy by deploying advanced technology in Body-boarding”. Vision statement argues that “at Getting Smart” Body-Boarding Club the sport becomes fun” and the major purpose of the company is to make exercising more fun in nature. Predicted Financial Statements Following is the predicted financial statements of the company. Budgeted Statement of Financial Performance (P&L) Year 1       PERIOD: July 14--July15         INCOME $         Sales Revenue 80*2000=160000       LESS: Cost of Goods Sold (Trading Stock) 95,000         GROSS PROFIT 65000             EXPENSES         Accounting/Legal Services 400     Advertising 150     Bank Fees 60     Equipment Purchases 250     Equipment Leases 0     Insurance 100     Light & Power 900     Loan Repayments 0     Motor Vehicle - Fuel 1200     Motor Vehicle - Other Costs 78     Petty Cash 1000     Postage, Printing & Stationery 50     Rent 200     Repairs and Maintenance 200     Staff - Wages 5000     Staff - Superannuation 0     Telephone 300     Owners Drawings 0     Other 0     Depreciation 400         TOTAL EXPENSES 10288         NET PROFIT 54712                   Budgeted Statement of Financial Performance (P&L) YEAR 2       PERIOD: July 15------- June 16         INCOME $         Sales Revenue 2500*100=250000       LESS: Cost of Goods Sold (Trading Stock) 150,000         GROSS PROFIT 100,000             EXPENSES         Accounting/Legal Services 500     Advertising 120     Bank Fees 400     Equipment Purchases 600     Equipment Leases 0     Insurance 0     Light & Power 1300     Loan Repayments 1400     Motor Vehicle – Fuel 700     Motor Vehicle - Other Costs 200     Petty Cash 6700     Postage, Printing & Stationery 130     Rent 1245     Repairs and Maintenance 134     Staff – Wages 7400     Staff – Superannuation 200.04     Telephone 200     Owners Drawings 0     Other 0     Depreciation 459         TOTAL EXPENSES 21688.04         NET PROFIT 78311.96                   Conclusion This paper has been developed in order to come up with a detailed business plan for the newly established Body-boarding school in the geographical location of Perth, Australia. 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