Page 11 - CIMA May 18 - MCS Day 1 Suggested Solution

SUGGESTED SOLUTIONS

CHAPTER FIVE

EXERCISE 1

SUGGESTED DETAILED SWOT MENTA

STRENGTHS

 Established business
 Strong market position
 Range of services and routes
 Multinational player in the industry
 Wide geographical coverage
 Strong brand
 Strategic growth plans in place
 Increasing revenue year on year
 Profitable business
 Positive cash position
 Innovative, ambitious company
 Diversification into services (park and ride, trams etc.) spreading risk.
 Continued investment in technology
 High quality experienced leadership
 Emphasis on training staff
 Clear strategy

WEAKNESSES

 Rural route revenues fell by 7.8% in 2017
 Lack of monitoring of non‐financial performance indicators (NFPIs)
 Increasing reliance on future technological developments
 No obvious change management function
 No obvious risk management function
 No obvious HR function
 Health and safety in the workplace – e.g. ineffective selection/training for drivers
 Potential communication issues with multinational operations
 Costing systems – e.g. wide variety of variables
 Decentralised business ‐ potential for lack of goal congruence
 Lack of interaction between depots
 Robustness of tendering process
 Capacity issues ‐ i.e. passenger loads

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