9 Action Plan for Functional-level strategy

No.

Task or Action

Responsibility

Target

Time line

1.

Extend product line. At the present, Macro

Sales

Increase sales to

From

offers around 150 products in wholefoods

Department

achieve

2012-2014

range. The products range should be

projected

increased to 500 products in 2012, 700

financial growth

products in year 2013, 900 products in year

2014.

2.

The selection available in the supermarkets

Sales and

To increase sales

Beginning of

should be reviewed regularly to provide

Marketing

2012

customers with the value they require.

Departments

onwards

3.

The product line should be extended by

Sales and

To deliver

From

10% a year, mainly by new products

Marketing

required value to

beginning of

available to the market.

Departments

the customers

2015

onwards

4.

10% of the existing products should be

Marketing and

To deliver

From

replaced by either new or better substitutes.

sales

required value to

beginning of

Departments

the customers

2015

onwards

5.

Macro should adopt either integrated or

Marketing

To make it easier

Beginning of

separated approach to product display and

Department

for customers to

2012

redesign its supermarket layout accordingly.

shop for

It is recommended to adopt integrated

wholefoods

layout.

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6.

Redesign supermarket layout.

Marketing

To make it easier By the end

All existing supermarkets should be

Department

for customers to

of 2012

rearranged; wholefoods selection indicated

shop for

with purple outline of the shelves and aisles.

wholefoods

7.

A separate supply chain department should

Senior

Strengthen

By the end of

be created to ensure supply meets growing

Management

supply chain

2012

demand, and to deliver quality products in a

timely manner.

8.

Develop better relationship with organic

Supply Chain

To make sure

From 2012

farmers by signing exclusive agreements,

Department

supply meets

onwards

advising farmers on the projected market

demand

demand and helping them with organic

certification.

9.

Increase the number of organic farmers by

Supply Chain

To make sure

From 2012

50% in year 2012, by 30% in year 2013, by

Department

supply meets

onwards

20% in year 2014, and by 10% afterwards

demand

9.2 Marketing

No.

Task or Action

Responsibility

Target

Time line

1.

To Increase customer awareness about

Marketing VP of

The Target of

From

benefits of organic/wholefood via following

Macro will be

this marketing

2012-2015

campaigns:

in-charge with

campaign will

Direct marketing in Woolworth catalogue

his team of

be creating

TV ads, ads in health magazine,

promotions

customer

newspapers and internet

awareness of

Promotion of organic food on social media

organic

(Facebook, Twitter)

products to

Sponsoring charity programs, environment

80%

concern program

2.

Deliver message that macro is serious

Public

To strengthen

Beginning of

about wholefoods through TV ads, Social

Relationship

brand image

2012 onwards

media, hiring nutritionists

manager

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3.

To bring publicity of Macro brand.

Hiring 3

To Create

From beginning

personal for

Brand

of 2012

Public

penetration

onwards

relationship.

and Brand

One will be the

image in

head and other

market.

two will be

assistant

4.

Develop Brand Loyalty by creating a

Hiring CRM

To increase

Beginning of

membership card and forming a club for

consultants

customer

2012 onwards

organic interaction of Macro customers on

loyalty by

internet.

more than

60%

5.

To create a database of information about

Hiring One IT

To have

In next six

customers to manage relationship with

personal who

better

months time

them by giving offers, special offers and

will work closely

knowledge

period

creating special events.

with CRM

about

consultants

customers

6.

Use social networking sites (like Facebook)

Hiring one

To implement

Beginning of

to create homepage of Woolworths Macro

personal who

Social

2012

which will communicate with its customers

will report to

Customer

and target new customers by ad campaign

marketing VP.

relationship

and social networking.

management

7.

Investigate and compare economic benefits

Marketing

To adopt the

In the first

of integrated and separated approaches to

Department

optimal

quarter of 2012

product layout.

supermarket

layout.

8.

Rearrange all existing Woolworths

Marketing

To make it

By the end of

supermarkets to accommodate the chosen

Department

easy for

2012

approach.

customers to

shop for

wholefoods.

9.

Purple price tags have already been

Marketing

To make it

From 2012

adopted to indicate organic produce,

Department

easy for

onwards

therefore purple colour is to be used in

customers to

shelves and aisles design to make it easy

shop for

for customers to find wholefoods (see

wholefoods.

suggested Aisle Design attached in

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10. Design the layout of the supermarkets in a

Marketing

To make it

From 2012

way that as the product line extends, it

Department

easy for

onwards

easily allows to expend wholefoods display.

customers to

Regardless of the layout approach adopted,

shop for

wholefoods display is to be organized next

wholefoods.

to/ on the way to everyday popular items to

promote customer awareness.

No

Task or Actions

Responsibility

Target

Time line

1.

To dedicate a separate supply chain

The supply chain

To improve the

To establish the

department for Macro food products

head or VP of

distribution

supply chain

which will deal with Storage, packaging

Woolworths

channel

department in

and distribution channel

supermarket

efficiency and

one year. 2012 -

reduce cost of

2013

logistics

2.

To develop a ‘Demand Forecast Model’

Marketing head

To increase

Should be

which will estimate and plan future

and supply chain

availability of

completed in

demands of Macro’s organic products

head will jointly

organic

Next six months

based on organic market research and

work together to

products to

by calculating effect of marketing

carry out this

customers and

campaign carried out

task.

manage supply

3.

To form a ‘Macro’s Farmers Association’

Hiring 6

To improve

By mid of 2012.

which will coordinate with all its farmers

employees who

supply of its

and suppliers

will report to

existing

supply chain

products

head. One senior

manager, one

manager and

other four

assistants.

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