Outline For Class Project Audit Plan April 5, 2015

Outline For Class Project Audit Plandue April 5 2015the Objective

Outline for Class Project – Audit Plan (Due April 5, 2015) The objectives of this project are as follows: 1. To acquaint you with the Strategic Plan of Federal Agencies and departments’ audit organization. 2. To acquaint you with the steps agencies used to develop an internal audit strategic plan: a) Understand the organization’s objectives. b) Understand stakeholder expectations. c) Update the internal audit vision and mission. d) Define the critical success factors. e) Perform a strengths, weaknesses, opportunities, and threats (SWOT) analysis. f) Identify key initiatives. Detailed Instructions a) The audit organizations objective(s), b) The audit organization’s stakeholder and stakeholder’s expectations, c) The audit organization’s mission, d) The audit organization’s vision, e) The audit organization’s goals, f) The audit organization’s structure, g) The resource requirements for the audit organization to achieve its objectives a. budget b. employees c. equipment h) The audit organization is located? i) Discuss the key internal and external factors that are important to achieving the organization’s strategy 2. Obtain a copy of the audit organization’s Semi-annual Report to Congress for 2 recent periods, preferably March 2014 and December 2014. The reports should discuss the following topics: a) The number of reports the organization issued per semiannual report to Congress in March 2014, b) The number of reports the organization issued per semiannual report to congress in September 2014, c) The organization’s mission, d) The organization’s vision, e) The organization’s core values, f) The core mission areas that were discussed, g) Type of reports the organization issued, h) Number of findings that were issued, i) Monetary benefits, 1. Select a federal agency or department to obtain a copy of the agency/department most recent Strategic Audit Plan. Prepare a report to address the following questions: k) Compare the audit organization’s mission and vision in the audit plan to the audit organization’s mission and vision listed in the Semi-annual Report to Congress for September 2014. j) Compare the audit organization’s Semi-Annual Report to Congress for March 2014 to Semi-Annual Report to Congress for September and discuss the different. 3. Obtain a copy of the audit organization’s chart. The report should discuss the following topics: a. Who is the Chief Audit Executive (Director, Inspector General, etc.? b. Who does the CAE report to within the agencies? 4. Prepare a PowerPoint slide and post the presentation in the conference folder for other classmate to review and provide feedback. Also, you need to review and provide feedback to one of your classmate PowerPoint Slide. No more than 10 slides. 5. The report and PPT should be posted in the Assignments folder. The assignment will be graded as follows: Item Content Style Total 1 25% 10% 2 20% 5% 3 15% 5% 4 10% 10% 70% 30% 100% Week 5 Assignment Your assignment this week is to review the IKEA Case Study below. While reviewing it, consider it as background information for your upcoming presentation to the IKEA Senior Management Team. More details on your upcoming PowerPoint presentation to the management team are provided at the end of the case study guidelines. Deliver the Value: IKEA Case Study IKEA is a Swedish-owned global business founded in 1943. The business generates annual revenues of 27 billion euros and employs 139,000 people in 298 stores and 26 countries. The values and design philosophy of the founder continue to underpin the brand. These values might be summed up as frugal, democratic, environmentally aware, and design oriented. IKEA has become synonymous with Swedish lifestyle. The stores are virtually identical across the globe and sell a range of globally sourced flat-packed furniture products as well as a range of related furnishings for the home—the stores offer customers a Swedish experience by incorporating restaurants and a variety of customer services intended to simplify the shopping process (e.g., childcare). What is interesting about IKEA is that customers have become a significant part of the value creating process—customers play a key role in terms of logistics and in production. By performing the assembly of the flat-packed furniture, customers complete the final stages in the production process. In terms of logistics, the customer “moves” goods from warehouse-style storage through the checkout, and then transports the goods home. The trade-off for the consumer is lower prices and immediate gratification—furniture is typically sold using just in time (JIT) inventory management, which means that once a customer has placed an order, the furniture then goes into production and is delivered to the customer’s home some 3–4 months later. IKEA’s senior management has in the past pursued an aggressive expansion policy, but management is currently changing direction, adopting a slower rate of expansion and investing in existing stores. The company plans to increase sales by 10% a year to 2020, thereby doubling annual sales revenues. Management is concerned about how expansion in the BRIC countries, particularly India and China, is pursued. There are fears about preserving the company’s culture in these huge markets (Milne, 2013). Sources: Milne, R. (2013, September 1). Ikea signals slower expansion. Financial Times. What do you think? What would you do? What problems do you foresee and how will this impact IKEA’s Swedish concept? Please recommend a marketing solution that will help IKEA achieve growth in either India or China based on your understanding of the place P and how delivering the value is evolving. Please use the case study guidelines below to perform a brief analysis, identify the problem, suggest alternative solutions, and make recommendations for the implementation of the solution that you believe is the best fit. Case Study Guidelines 1. Analysis of the Current Situation— The proper context must be established for the case analysis. Please provide a SWOT analysis in a SWOT box. · Research: Identify the key environmental factors such as industry trends, level of competitiveness, customer perceptions, legal considerations, and evolving technology at the outset of the analysis. · Summarize the key aspects of the internal environment of the firm in terms of strengths and weaknesses and the external environment in terms of opportunities and threats to the firm in your SWOT box. 2. The Target Market— Identify your target market: Who is your target customer? In terms of demographics and lifestyle, what aspects of consumer behavior provide insights into this group of customers? 3. The Problem— Identification of key problem(s). It is easy to identify symptoms of problems while failing to identify the real problems. For example, declining sales may be identified as a problem, when the decline is only symptomatic of more complex problems that are harder to observe. Make a clear distinction between what is identified as the problem and the symptoms of the problems. 4. Alternative Solutions— Identify and evaluate alternatives. Develop reasonable alternatives and evaluate them in terms of feasibility, projected costs advantages, disadvantages, and potential short-term and long-term consequences. 5. Recommended Course of Action— Select a course of action and provide the appropriate strategies and tactics to accomplish the chosen course. Justify your choice in terms of your analysis. As most practitioners know, charting a course of action can be a difficult job, but implementation is the true challenge. Produce a workable action plan that would have a reasonable probability of success in the implementation phase. This assignment will be a presentation using PowerPoint. Develop a set of at least five (5) PowerPoint slides to present the findings of your analysis. Some additional research is expected. The IKEA website is highly informative. Use APA format and include an additional slide with your sources. Assume that your analysis will be presented to the IKEA senior management team and that your job depends on it! Grading Rubric: Outline Points Description Best Practices Followed 15/15 At least 5 slides that follow provided best practices: · First slide should include the Title of the Presentation, Student’s name, Course Name and Number, Professor’s name and date submitted · Each slide should have a clear and meaningful title · Keep text to a minimum, limit slides to five bullet points · Use simple, non-distracting slide design with easy-to-read font · Add meaningful graphics but do not use animations or sound files in a recorded Presentation Analysis of Situation/SWOT 15/15 The proper context must be established for the case analysis. Please provide a SWOT analysis in a SWOT box. Target Market 15/15 Identify your target market: Who is your target customer? In terms of demographics and lifestyle, what aspects of consumer behavior provide insights into this group of customers? Problem 15/15 Identification of key problem(s). It is easy to identify symptoms of problems while failing to identify the real problems. Make a clear distinction between what is identified as the problem and the symptoms of the problems. Alternative Solutions 15/15 Identify and evaluate alternatives. Develop reasonable alternatives and evaluate them in terms of feasibility, projected costs advantages, disadvantages, and potential short-term and long-term consequences. Final Solution Proposal 15/15 Select a course of action and provide the appropriate strategies and tactics to accomplish the chosen course. Justify your choice in terms of your analysis. As most practitioners know, charting a course of action can be a difficult job, but implementation is the true challenge. Produce a workable action plan that would have a reasonable probability of success in the implementation phase. Editing, spelling, grammar; Sources on last slide in APA format 10/10 Written at a graduate level, more than 5 error results in 0 points. Total 100

Paper For Above instruction

This comprehensive analysis seeks to evaluate IKEA’s strategic positioning and propose viable growth strategies in expanding to the BRIC nations, specifically focusing on India and China. The case study’s insights and the associated guidelines facilitate a structured approach to understanding the internal and external factors influencing IKEA’s expansion, identifying core issues, analyzing alternative solutions, and recommending the most effective course of action aligned with IKEA’s values and market dynamics.

Introduction

IKEA, founded in Sweden in 1943, has become a global leader in affordable, flat-pack furniture, exemplifying Scandinavian design principles, cost-efficiency, and customer involvement in the value chain. With revenues reaching approximately 27 billion euros and operating in nearly 26 countries, IKEA’s objective has been consistent: to offer stylish, functional furniture at low prices by leveraging economies of scale, efficient logistics, and customer participation in assembly. As IKEA strives to double its annual sales by 2020, its strategic focus has shifted toward slow, sustainable expansion in emerging markets, particularly in the BRIC countries.

SWOT Analysis of IKEA’s Expansion

Target Market Identification

The targeted demographic in India and China primarily encompasses middle-income urban consumers aged 25-45 who seek affordable, functional, and stylish furnishings. These consumers typically possess a growing disposable income, are tech-savvy, and value eco-friendly products aligned with global sustainability trends. In India, rural-urban migration fuels demand for modern, space-efficient furnishings suited for compact living environments, with a rising trend in online shopping driven by increased internet penetration. In China, the urban middle class's preference for Western-style living and home aesthetics plays a crucial role in shaping consumer behavior.

Key Problems and Symptoms

The core issue confronting IKEA’s expansion is balancing the preservation of its Swedish brand culture with the adaptation necessary to appeal and succeed in local markets. Symptoms include slower sales growth, difficulty in cultural integration, and competition from local and regional furniture brands. The overriding problem is whether IKEA can maintain its value proposition and cultural identity while tailoring its offerings and store formats to meet diverse consumer preferences in India and China.

Evaluation of Alternative Strategies

Option 1: Standardized Global Approach

Implementing the existing store format and product offerings in India and China, leveraging global brand recognition. This approach offers cost efficiency and brand consistency but risks cultural alienation and failure to attract local consumers who prefer customized shopping experiences. Challenges include limited local market adaptation and possible resistance due to cultural mismatches.

Option 2: Localization and Cultural Adaptation

Modifying product ranges, store layouts, marketing strategies, and customer service approaches to reflect local preferences and cultural nuances. While this may increase initial costs, it enhances customer acceptance and brand relevance. Long-term benefits include establishing stronger market presence, but risks involve over-diversification and dilution of brand identity.

Option 3: Digital and E-commerce Expansion

Focusing on expanding online sales channels to reach consumers more flexibly, especially given high internet penetration and smartphone adoption. This strategy reduces dependency on physical stores, allows targeted marketing, and can facilitate localization. However, logistical challenges and digital literacy disparities must be addressed.

Recommended Course of Action

The most viable strategy is a blended approach that combines localization with digital expansion. Customizing product offerings and store experiences to align with local cultural preferences while investing significantly in robust e-commerce platforms will address core cultural issues and reduce expansion costs.

Implementing targeted marketing campaigns, partnering with local suppliers, and establishing pilot stores in select metro areas will test adaptations before full rollout. This approach offers a reasonable probability of success by aligning with consumer behaviors and leveraging IKEA's core strengths.

Action Plan

1. Conduct detailed market research in selected urban centers in India and China to identify local preferences.

2. Develop localized product lines that suit space constraints, cultural aesthetics, and consumer preferences.

3. Upgrade digital infrastructure to support online sales, customer engagement, and local marketing.

4. Pilot small-scale stores in key cities, integrating local cultural elements into store design and branding.

5. Establish partnerships with local suppliers to reduce costs and improve cultural relevance of products.

6. Monitor customer feedback and sales performance to refine the strategy continuously.

7. Scale successful pilot programs to additional markets gradually, maintaining flexibility and cultural sensitivity.

Conclusion

IKEA’s successful expansion into India and China hinges on balancing its core values with local market customization. A hybrid strategy that emphasizes localization coupled with digital channels offers a sustainable path to growth while preserving the brand's integrity. Continuous market research and adaptive tactics will be essential to overcoming obstacles and ensuring long-term success in these dynamic markets.

References

• Friedman, T. L. (2005). The World is Flat: A Brief History of the Twenty-First Century. Farrar, Straus and Giroux.
• Hofstede, G. (2001). Culture's Consequences: Comparing Values, Behaviors, Institutions and Organizations across Nations. Sage Publications.
• Kim, D., & Mauborgne, R. (2004). Blue Ocean Strategy. Harvard Business Review, 82(10), 76-84.
• Milne, R. (2013, September 1). Ikea signals slower expansion. Financial Times.
• Rosenbaum-Elliott, R., Percy, L., & Pervan, S. (2015). Strategic Brand Management. Oxford University Press.
• Shirazi, M. A., & Zolfagharian, M. (2017). Cultural adaptation and international marketing strategy. Journal of International Business Studies, 48(4), 493-510.
• Skarmeas, D., & Naor, M. (2004). Internal and external perceptions in the export market: An exploratory study. Journal of International Marketing, 12(4), 41-65.
• Vajda, S. (2016). International Marketing and Cultural Adaptation Strategies. Journal of Global Marketing, 29(4), 232-245.
• Yip, G. S. (2003). Total global strategy II. McGraw-Hill.
• Zeithaml, V. A., & Bitner, M. J. (2003). Services Marketing. McGraw-Hill Education.