The Purpose of the Company Essay
Key areas • What business is the company in? – A collection of stylish and unpretentious properties, Hotel du Vin & Bistro strives to be elegant but relaxed, classic yet quirky. Each hotel boasts its own unique location, be it townhouse, brewery, warehouse or renovated hospital, complemented by the unmistakable Hotel du Vin essentials. French-style bistros with a modern edge; unsurpassed wine cellars; eclectic furnishings; Egyptian linen; monsoon-like showers and handsprung mattresses. • Mission evaluation
Hotel du Vin has a commitment to focus on what matters most to our guests, with a dedicated team who ensure that quality and friendly, unstuffy service are at the heart of what we do Stakeholders Analysis The complexities of achieving Hotel Du Vin’s success through increased efficiency, effectiveness and competitiveness, combined with innovative applications of the online marketing or the Internet, has heightened the awareness of business managers towards more strategically oriented approaches for choosing business strategies (Jain, 1989).
In any business organization, the core responsibility of the management is to ensure the consistency of its stakeholders’ relationships, to establish that the planned output can be achieved with the planned inputs of labour, capital, and materials. Prior to the common use of the term sustainable industries,
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They coined the most broadly used definition of sustainable development as, development that meets the needs of the present without compromising the ability of future generations to meet their own needs (Handfield, 1999; Kohut and Segars,1992). Sustainable development demands that the search for ways of living, working and being that allow all people to guide vigorous, satisfying, and economically safe lives without destroying the environment and without endangering the potential interests others (Alexander and Young, 1996).
Sustainable development is an economic state where the demands placed upon the environment by people and commerce can be met without reducing the capacity of the environment to provide for future generations; is economic development that has a positive long-term social and/or environmental benefit; and meets the needs of the present without compromising the ability of future generations to meet their own needs (Thieruf, 2001).
People anxious about sustainable development recommend that meeting the needs of the future depends on how well we balance social, economic, and environmental objectives–or needs–when making decisions today. It requires an understanding that operating has consequences and that we must find inventive ways to change institutional structures and influence individual behavior. Merely it is about taking action, changing policy and practice at all levels, from the individual to the international (Abraham 1997). Level 2-Internal Analysis Corporate Strategy
Several Companies in the commercial and industrial business where Hotel Du Vin is major players are in a race that gets more difficult every year, with bigger, stronger, and more innovative competitors. In addition, the rules of the race are constantly changing with the emergence of electronic business, globalization, disruptive technologies, innovation and convergence of industries. Competitors who have been in other races suddenly join your race with strength, technology, and new approaches to the market, often becoming instant leaders (David, 2002).
Moreover, it is possible to lead in this race for long periods of time and to create significant value for shareholders and employees. To make the possibilities of these, different sectoral organizations need a strategy that sustains their strong position in the race, anticipates changes, and helps them continue to lead. The rules to be ahead are the following: • Competitive advantage is short-lived • Today’s competitive advantage is tomorrow’s competitive requirement • Companies without a competitive advantage should expect, at best, zero return.
For a variety of reasons, many companies have underdeveloped strategies. Sometimes an underdeveloped strategy is effective, a single spectacular idea can carry a business a long way, even without an explicitly stated strategy. Management intuition and organizational willpower can substitute temporarily as well. However, with the pace of business today, industry leaders need to think through and plan for the next industry lifecycle or risk being dethroned (Fombrun and Shanley, 1990).
It is possible in today’s environment to fully engineer a company from a strategic point of view in a way that was unthinkable five years ago. Advances in technology, combined with worldwide deregulation and decontrol of product and financial markets, allows new flexibility in the implementation of company strategies. The key to implementing this type of strategic structure are managers who have competency and understanding in the broad strategic and tactical issues facing each functional area of a company (Kohut and Segars, 1992).
These managers are able to implement strategies based upon creating value from cross-functional processes. An effective strategy development process begins to recreate this general management perspective and builds a general management learning competency among top executives at business and enterprise levels. Strategy is what a company does to sustain and grow its business value into the future (Bryan et al, 1998). Over the years, strategy has evolved from the traditional financial planning of the fifties to asset management in the nineties.
Hotel Du Vin Inc strategy practitioners continue to build and refine their approaches to strategy with investment in thought leadership, in order to remain a step ahead. Strategic Change characterizes the approach for the new millennium and is also the name for their strategy practice. Here is the Hotel Du Vin’s strategic evolution. Sustaining the value in presently a very highly competitive market that is usually involves a breakthrough strategy, one where a company wins by changing the rules of the industry in which it competes and is rewarded by a disproportionate increase in sustained value.
Identifying breakthrough opportunities is difficult because they imply major change and risk for the company. Implementing them is even more difficult. This is why breakthroughs are well rewarded in the market. In this context, the job of a contemporary strategist is to structure a continuous management process that relentlessly seeks and achieves value for the company. Too often, management finds that it is unable to gain a broad perspective on their business, and assess in a coherent way the range of value creation opportunities available to them (Bannister and Higgins, 1993).