Sara Pilgrim

Strayer University

BUS 599: Strategic Management

Professor Dr. Andrea Banto

November 20, 2024

BUS599 – Strategic Management

© 2024 Strayer University. All Rights Reserved. This document contains Strayer University confidential and proprietary information and may not be copied, further distributed, or otherwise disclosed in whole or in part, without the expressed written permission of Strayer University. 2

Operations, Technology, and Management, and Social Responsibility Plan

Operations Plan

The operations plan for Earthly Elegance prioritizes efficiency and sustainability, aligning with the company’s mission to deliver eco-friendly fashion. Included in the plan of the facility will be a front door to the business, a store room to store merchandise, and room for management, utilizing power-saving bulbs to cut expenses and pollution. Manufacturing systems will involve the use of ethical production materials besides implementing measures that would ensure that quality meets the consumer expectation. POS systems and appropriate shelves and storage equipment will enable the proper and efficient functioning of the business. Company employees involved shall include retail associates and store assistants, who will be trained on organizational values. It also creates a clear visionary map for daily management, to transform the company and establish its authority in the field of eco-fashion.

Facilities

Earthly Elegance will operate from a 2,000-square-foot leased retail space in midtown Atlanta, Georgia, a high-traffic area ideal for visibility and accessibility. This commercial space costs $4,500 monthly, which suits a startup retail business in this region depending on the expenses estimated for the space. Utilities include water and sewer $200, electricity $400, gas $150, and trash removal $100; giving a total of $850 for one month. These costs accounted for the total facility expense, of $5,350 every month.

The retail space will have a visually appealing storefront to attract customers and a well-organized layout to showcase merchandise effectively (Awais, 2023). The institution will comprise a stockroom for efficient storage of stock to meet the flow of customers and a small office for administrative and managerial work. In keeping with the firm’s responsibility towards the environment, the use of the products will entail the use of energy-efficient or green products like LED lighting products or fixtures, for instance. These features not only reduce the overall effects on the environment that the store imposes but also decrease the amount of costs for utilities in the long run as the store has worked in maintaining the ecological standard and efficiency. The incorporation of functional elements with sustainability measures will also help to improve the retail-based area for the customer while keeping with the ethos of the company to offer sustainable clothing.

Production Process/ Description of Operations (if service company)

As a retail company, Earthly Elegance will source sustainable materials and finished products from certified eco-friendly suppliers. The business will focus on the following operational processes:

1. Inventory Management: Real-time tracking software will monitor stock levels, ensuring timely reordering to prevent overstocking or shortages (Mohamed, 2024).

2. Merchandising: Display furniture and racks will showcase products attractively and effectively for customers.

3. Quality Control: Each shipment will be inspected for quality and adherence to sustainability certifications, maintaining the company’s reputation for ethical practices.

The following equipment is necessary for operations:

· Display furniture and racks: $3,000

· Point-of-sale (POS) system: $2,500

· Security cameras: $1,200

· Miscellaneous supplies (tags, reusable bags): $1,000

· Total initial equipment costs amount to $7,700

Personnel Needs in Operations

The success of Earthly Elegance depends on its dedicated and skilled workforce. The company will employ a total of five staff members:

1. Store Manager: This role oversees daily operations, manages inventory, and ensures exceptional customer service (Kondo & Vicente, 2023). The annual salary for the manager is $50,000.

2. Sales Associates (4): These employees will handle customer interactions, assist with inventory, and operate the POS system. Each associate will earn $15/hour, amounting to an estimated $30,000 annually per associate.

Total personnel costs are projected at $170,000 annually, inclusive of salaries and wages.

Earthly Elegance prioritizes operational efficiency, quality control, and a motivated team to deliver on its promise of sustainable fashion. By carefully managing facilities, production, and staffing, the company is positioned for a successful launch and steady growth in the competitive eco-fashion market.

Technology Plan

The technology plan for Earthly Elegance is designed to enhance operational efficiency, ensure smooth communication, and provide superior customer service. It is spent on software, hardware, and telecommunications to suit a modern retail business that is environmentally sensitive.

Software needs

1. Point-of-Sale (POS) System A robust POS software like Square will manage sales transactions, track inventory, and generate detailed sales reports (Charles & Jackson, 2021). This makes the business acquire accurate and efficient cloud-based plans at the checkout counter. Currently, Square POS costs $60 a month and a total of $720 per year.

2. Customer Relationship Management (CRM) Software HubSpot CRM will support customer engagement by tracking customer interactions, managing email marketing campaigns, and maintaining a database for loyalty programs (Khan, Akter, & Islam, 2024). In Customer Engagement, HubSpot CRM will assist in monitoring customer engagements, the sending of email newsletters, and the creation of a loyalty point database. This tool results in a specific customer experience that encourages returns to the business. It takes $50 monthly or $600 per year, to use the software.

3. Accounting Software QuickBooks Online will handle financial management, including bookkeeping, payroll processing, and tax preparation (Onuotu & Amaewhule, 2024). The financial compliance feature of this software ensures compliance with set financial legal requirements while real-time access to financial information is also made available. They made the subscription fee cheap at $85 per month or $1,020 per year.

4. Inventory Management Software Sortly Pro will enable the business to track inventory levels, monitor reorder points, and manage product information (Go, 2021). This tool helps in minimizing waste and at the same time helps to restock on time. The software costs $49/ month or $ 588 per year.

5. Office Productivity Suite Microsoft 365 will facilitate internal communication and document creation (Ilag & Sabale, 2022). This suite comprises popular applications, as it contains such means as Word, Excel, and Outlook. It costs $12.50 per user per month, and $150 per year to license one user.

Hardware Needs

1. Computers and Monitors Two desktop computers, such as Dell OptiPlex systems, will be installed for administrative tasks and store operations. These high-performance machines thus guarantee easy multi-tasking and effectiveness. The entire system costs $1,200 each and the two systems therefore would cost $2,400 in total.

2. Tablets Two iPads will function as mobile POS stations, allowing staff to assist customers directly on the sales floor. These adjustments provide greater convenience for the customer and greatly decrease the amount of time that must be spent waiting. The first and second tablets have a price of $500, so the final price will amount to $1000.

3. Receipt Printers and Cash Drawers Receipt printers and integrated cash drawers will be used for the POS system (Gicale & Dasargo, 2022). It makes going through the checkouts easier and safer in handling cash. They cost $450 each and the kiln requires two sets for $900.

4. Barcode Scanners Barcode scanners will simplify inventory management and ensure accuracy in tracking stock. Two units, costing $150 each, will be purchased for a total of $300.

5. Networking Equipment A high-quality router and modem will provide stable internet connectivity for operations, ensuring reliable access to cloud-based systems. The estimated cost for this setup is $300.

6. Backup System An external hard drive will secure data backups, preventing information loss due to system failures. This device costs approximately $120.

Telecommunication Needs

1. Business Internet and Phone Services A reliable internet is essential for running cloud-based software, processing transactions, and facilitating communication (Murthy, Shri, Kadry, & Lim, 2020). A high-speed internet plan for business use is $100 monthly and is $1,200 on an annual basis. An exclusive business phone line will address customer contact and supplier networking at $50 monthly or $600 yearly.

2. Mobile Phones To guarantee consistent availability and effective communication, the store manager and assistant manager will each have a cell phones. Each phone, including a data plan, costs $50 per month, or $1,200 annually for both.

3. Email Hosting Professional email hosting through Google Workspace will establish credibility and streamline communication with customers and vendors (Walizad, 2023). The service costs $6 user per user monthly with an annual subscription of $72 for one use.

Management and Organization Plan

The management and organization plan for Earthly Elegance focuses on assembling a skilled and experienced team to ensure efficient operations, strategic decision-making, and alignment with the company’s mission of providing eco-friendly fashion. In this section, information concerning the major management staff, the roles and responsibilities of the major stakeholders, and the organizational structure is provided to ensure efficient management and communication.

Key Management Employees

1. Chief Executive Officer (CEO) The CEO will oversee the overall vision and strategic direction of the company. In these three areas of business development, partnership, and integration of sustainability aspect, this role will involve. A bachelor's degree in business administration and more than ten years of experience running retail establishments with an emphasis on sustainability are prerequisites for the CEO position. The gross annual remuneration package for this job is One hundred and twenty Thousand United States dollars.

Justification: The company will benefit from the CEO’s knowledge of sustainable retail and the ability to continue leading growth while staying true to being green.

2. Chief Operating Officer (COO) The COO will manage day-to-day operations, including supply chain management, quality control, and inventory oversight. This candidate is expected to be savvy in operation management with prior experience of 8+ years in logistics and vendors. It is $100, 000 a year.

Justification: The operational experience of this executive makes processes effective, and products of the highest quality at the least cost possible to the customers.

3. Marketing Director The Marketing Director will oversee the company’s branding, advertising campaigns, and customer engagement initiatives. This position demands a degree in marketing and relevant work experience of not less than five years in Digital marketing. The annual salary is $80,000.

Justification: To achieve the goals, the Marketing Director will work on the relevant campaigns for brands, which will raise brand awareness among the audience and develop its devotion to the businesses supporting it and paying for the ads.

4. Store Manager The Store Manager will supervise daily retail operations, manage staff, and ensure excellent customer service. This position requires a candidate having 3 years or more experience in retail management. The annual salary is $50,000.

Justification: Leadership by the Store Manager will ensure that the store environment contributes to customer satisfaction while ensuring staff efficiency guaranteed to encourage repeat business.

5. Finance Manager The Finance Manager will oversee budgeting, financial reporting, and cash flow management. This individual will have a degree in accounting and over five years of experience in the area of planning for finances. The annual salary is $75,000.

Justification: A specialized Finance Manager keeps the company financially healthy and uses market-quantifiable information for sustainable decision-making.

6. E-commerce Specialist The E-commerce Specialist will manage the company’s online store, optimize the website for user experience, and implement SEO strategies. To fill this position, a candidate must possess a bachelor’s degree in IT or marketing and experience working in e-commerce for 3+ years. The annual salary is $65,000.

Justification: In the position of the E-commerce Specialist, the company will have a chance to develop new extravagant markets and boost revenue

Management Hierarchy

Earthly Elegance’s organizational structure is designed for clear communication and efficient decision-making. There are several levels in this hierarchy and at the top sits the CEO, who is directly reporting to the COO, Marketing Director, and Finance Manager. The COO supervises the Store Manager as well as the E-commerce Specialist to enhance the coordination of most retail stores and online outlets.

The diagram below illustrates the organizational hierarchy:

Figure 1 : Organization Hierarchy

This streamlined structure ensures accountability while fostering collaboration across departments

Social Responsibility Plan

The Social Responsibility Plan for Earthly Elegance integrates ethical business practices that ensure a positive impact on stakeholders, the community, and the environment. CR management is a core component of the company’s brand, and this plan provides details on the following areas: Employee relations, customer considerations, suppliers’ interaction, community engagement, and environmental interactions.

Impact on Stakeholders

Employees: Earthly Elegance recognizes the value of its employees and aims to create a positive and rewarding work environment. The company will provide a fair salary comparable with other entities and, of course, medical insurance, paid vacation, and a chance to gain new skills. An annual program for working flexibility will be introduced to follow the flexible working time arrangement that is favorable to employees’ work-life balance, particularly to administrative staff. Training for career development opportunities will be included for employees, where sustainability practices are adopted.

Customers: Customers are at the heart of Earthly Elegance’s business, and the company is committed to providing high-quality, eco-friendly fashion that reflects the values of sustainability and ethical consumerism. The company will promote transparency in its operations and customers will be informed about the products available and assisted in making the right decisions. Social media also acts as another way through which customers will be reached to create a community of people who are concerned about engaging in environmentally friendly activities.

Suppliers: Earthly Elegance will work with suppliers who share the company’s commitment to sustainability. Through these strategic partnerships the company will maintain good business relations with its suppliers, fair price will always prevail and this will guarantee consistent supplies to Earthly Elegance. Primary selection criteria include the suppliers’ adherence to sustainable environmental practices like the use of green raw materials and the amount of waste that a supplier discharges during the production process. Communication with suppliers will happen continuously and will involve the sharing of ideas and strategies toward achieving a low-carbon supply chain.

Community : Earthly Elegance understands its responsibility to the communities in which it operates. The company will participate in local sensitization programs on the environment and the general welfare of society. This may include offering sponsorship for events with eco-theme, providing classes that teach fashion made from recycled materials, or working with local environmental groups. Another issue that will also be covered under the social responsibility umbrella by Earthly Elegance will be embracing charitable causes taking to environmental conservationism and social justice initiatives as embraced by most of the firm’s buyers, and workforce.

Environmental Impact

Earthly Elegance is deeply committed to minimizing its environmental impact across all areas of its operations. The company will incorporate various sustainable activities that will help curtail waste production, energy use, and emissions.

Minimizing Waste:

To reduce waste, Earthly Elegance will implement a zero-waste policy in its operations, including packaging and product production. Each pack of a product will be made from recycled material and the company will support customers to recycle or reuse packing material. The company will also engage suppliers in finding ways of minimizing waste on packaging materials and ways to package products to have low impact on the environment.

Energy Efficiency:

The company will make use of energy-efficient technologies, such as LED lighting and low-energy appliances, in its retail locations and administrative offices. Besides, more effort will be applied to minimizing energy utilization through the regulation of the heating, cooling, and lighting of the facility.

Sustainable Production:

Earthly Elegance will source materials for its products from sustainable suppliers who use environmentally friendly processes in the production of fabrics and accessories. This entails, for instance, employing organic cotton, recycled polyester, and natural dyes, all of which are less destructive to the environment than traditionally produced fabrics. The company will also arrange partnerships and contracts with manufacturers to guarantee that their production will be energy-saving and environmentally friendly.

Carbon Offset Program:

Earthly Elegance will offset its carbon emissions by investing in renewable energy projects and other environmental initiatives that help to balance the impact of the company's operations. It will form part of the lengthy process towards the company achieving carbon neutrality in the long run.

References Awais, M. A. (2023). Impact of Retail Layout and Design on Retail Business. Pmanagement Studies, 55-71. https://pmanagementstudies.com/poms/index.php/poms/article/view/30/30 Charles, N., & Jackson, N. (2021). Influence of Electronic Point of Sale on Inventory Optimization in Major Supermarkets in Nairobi City County, Kenya. Journal of Procurement and Management, 633-653. https://grandmarkpublishers.com/journals/42711Ndegwa%20Charles.pdf Gicale, R. A., & Dasargo, C. D. (2022). GREENPOS: Electronic Receipt Issuance Using Android App for Online Sale. https://papers.ssrn.com/sol3/Delivery.cfm?abstractid=4070270 Go, D. (2021). Improving inventory management to increase profitability. Doctoral dissertation. https://dspace.mit.edu/bitstream/handle/1721.1/139147/go-debcgo-mba-mgt-2021-thesis.pdf?sequence=1&isAllowed=y Ilag, B. N., & Sabale, A. M. (2022). Microsoft teams overview. Troubleshooting Microsoft Teams: Enlisting the Right Approach and Tools in Teams for Mapping and Troubleshooting Issues, 17-74. https://doi.org/10.1007/978-1-4842-8622-7_2 Khan, M. A., Akter, M. S., & Islam, R. (2024). Big Data Analytics And Predictive Analysis In Enhancing Customer Relationship Management (CRM): A Systematic Review Of Techniques And Tools. Journal of Machine Learning, Data Engineering and Data Science, 83-99. https://doi.org/10.70008/jmldeds.v1i01.44 Kondo, K., & Vicente, Â. J. (2023). The Coordination Imperative: A Comprehensive Approach to Align Customer Demand and Inventory Management for Superior Customer Experience in Retail. Doctoral dissertation. https://dspace.mit.edu/bitstream/handle/1721.1/152447/kondo-kochiro-mba-mgt-2023-thesis.pdf?sequence=1&isAllowed=y Mohamed, A. E. (2024). Inventory Management. https://doi.org/10.5772/intechopen.113282 Murthy, C. V., Shri, M. L., Kadry, S., & Lim, S. (2020). Blockchain based cloud computing: Architecture and research challenges. IEEE access, 205190-205205. https://doi.org/10.1109/ACCESS.2020.3036812 Onuotu, R. N., & Amaewhule, W. A. (2024). Influence of Automated Accounting System on Payroll Preparation of Small and Medium Scale Enterprises in Rivers State. Rivers State University Journal of Education, 212-220. https://rsujoe.com.ng/index.php/joe/article/download/217/186 Walizad, M. N. (2023). The Impact of Digital Marketing Strategies on the Growth of SMEs (based on OÜ Partnerway). Doctoral dissertation. https://elib.uacu.edu.ua/xmlui/bitstream/handle/123456789/121/BQW_Walizad.pdf?sequence=1&isAllowed=y

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© 2024 Strayer University. All Rights Reserved. This document contains confidential and proprietary information about Strayer University. It may not be copied, further distributed, or otherwise disclosed in whole or in part without the expressed written permission of Strayer University. 2

Company Description and Mission Statement

"Earthly Elegance," a for-profit business, will provide self-care items that are made sustainably and with minimal impact on the environment. Earthly Elegance is a fitting name for the company, since it embodies both its mission and range of offerings. Customers can deduce the backstory of our products' meticulous manufacturing without sacrificing sustainability and quality from the company's name. The company's name is derived from two words: "Earthly" represents the relationship our company has with nature, and "Elegance" denotes self-care.

We at "Earthly Elegance" provide an extensive selection of reasonably priced self-care items. Earthly Elegance is dedicated to offering organic personal care products that minimize their negative effects on the environment while prioritizing delightful client experiences. These personal care products will be made using natural, biodegradable raw ingredients in our production. Our goal is to satisfy our target market's changing demands and tastes while providing the best personal care products possible.

The business will first present the following product lines: a) A range of formulations, including options for hydrating, volumizing, and accommodating sensitive or complicated scalps, will be available for organic shampoo and conditioner. b) A variety of formulas for face and body wash will be available, each catered to the needs and preferences of the consumer. Strictly forbidden from using any chemicals, these goods will only be made using natural raw materials. Because there won't be any foam from the face wash, the skin will stay smooth and fresh for longer. Extensive research on various skin types will be carried out to ensure that our products yield positive outcomes.

c) To improve our clients' everyday experiences, we will be introducing natural fragrances made from fruit and flower extracts. d) In an effort to protect our valued clients' skin, we will add makeup removers and skin care wipes to our assortment of personal care accessories.

e) Natural deodorants will be offered in stock and cream forms. They are made with fruit and flower extracts to give a pleasant feeling.

Our start-up's initial product line will focus on offering a variety of self-care products. Our objective in developing an extensive range of items is to establish ourselves as the go-to destination for customers seeking personal care solutions. Depending on consumer feedback and sales performance in the first quarter following our launch, we intend to expand our self-care offerings with additional products.

"To create luxurious yet affordable self-care solutions that respond to consumers' dynamic needs without compromising on environment sustainability" is the stated objective of the for-profit business. Self-care at Earthly Elegance is a means of achieving self-expression and confidence. We have combined natural ingredients with extensive research to create unique personal care products that empower people and increase their classic appeal. In today's market, consumers emphasize environmental responsibility and are becoming more aware of the effects of their purchases. As a result, we provide them with environmentally conscious and self-care products that are sustainable and organic.

Our Mission Statement

“Nurturing People, Planet, and Beauty: One Sustainable Step at a Time.”

Our goal at Earthly Elegance is to completely transform how we take care of the environment and ourselves. Since we think that sustainability and beauty go hand in hand, we're committed to making personal care products that are both environmentally friendly and will make you feel amazing.

Our promise

1. Using only the best, environmentally friendly materials, we will create products that are as kind to the environment as they are to your skin.

2. We'll be creative and enlightening, always looking for fresh approaches to lessen our environmental impact and encourage others to follow suit.

3. We'll create a community of people who are enthusiastic about coexisting with the environment and enable our clients to make decisions that are environmentally friendly.

This mission statement conveys the company's dedication to sustainability and eco-friendliness while also being amiable, upbeat, and inspirational. It aims to resonate with clients who share the company's values and inspire and energize the staff.

Trends in the industry

Customers monitor the manufacturing process of personal care items because they are aware of the impact these products have on their skin. Hygiene, sustainability, and individualized care solutions are highlighted in the latest personal care market trends. In the personal care sector, sustainable hygiene and self-care are becoming more popular as consumers become more conscious of their environmental impact and gravitate toward eco-friendly products. Customers are taking note of the sustainability principles that self-care companies uphold.

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