Communication is one of the important tools that support entities in expanding their business across the world. Managing communication is the tool in which managers of the organization monitor the activities in order to complete the task within stipulated time and quality. Knowledge and information play a significant role in managing communication, with the help of sufficient information managers can make sound strategic decisions for the growth of firms. The present report is based on the ALDI food shop which is working in the UK as a medium-size organization (Stadtler, 2015). The cited firm is planning to open a food shop for selling high-quality nutrients in the European market.
The current assignment will discuss the range of decisions taken by management for expanding their business and information need by them to accomplish an objective. Several stakeholders of the organization will be identified whose decision any influence the business goal. For improving the process of ALDI, several strategies will be illustrated in this study (Lock, 2014). A personal development plan will be created to improve own communication skill. In addition, existing approaches of collection, storage, formatting, and dissemination will be covered in this report.
1.1 Range of decisions taken by an organization
The strategical verdict is an important part of firms, a sound business decision can support in increasing profit of the entities and accomplishing their objective significantly. ALDI is aiming to enter into the non-UK country and wants to provide quality food to consumers. For that cited firm needed various information, resources so that it can establish in the new market successfully (Tannenbaum, Weschler and Massarik, 2013). For starting up a new food shop, ALDI needs to take a range of judgments, which are described as below:
For taking such types of decision, top authorities get involved in the discussion. It includes discussion about policies, norms, mission, objective, etc. Higher management level persons communicate their views and on the basis of discussion final decision is taken by the involved persons (Drew and Coulson‐Thomas, 2013). In addition to this, strategic level people discuss technologies needed for the task, issues in the business operations and accordingly they take judgment so that cited firms can successfully run its business in the European market.
It is a type of judgment in which medium-term decisions are taken by the firm such as marketing, training, distribution, etc. Middle layer employees of ALDI discuss about the strategy that can help in attracting people towards the brand (Sallis, 2014). They discuss giving the training to lower staff so that they can communicate with consumers effectively.
In this, operational level workers discuss products which are needed to be offered to the non-UK population that can satisfy them. Apart from this, employees think about budget, execution or implementation of plan in order to accomplish objectives of ALDI (Børøsund and et.al, 2014).
1.2 Information and knowledge needed to ensure effective decision making
To work in a new market or an entirely new country is a very difficult task for the organizations. Before entering into new market firms have to know about their potential, needs of consumers, etc. So that they can establish in such locations successfully. ALDI is planning to open a new food store in the European country for that cited firm needs skilled employees, good financial resources, technical equipment, etc. Information and knowledge play a significant role in the organizations, with the help of this, entities can make a sound judgment (Yoon, Kim and Lee, 2015). ALDI needs to ensure the external market condition of non-UK countries. Such as cited firm will have to look upon the legislation so that it can plan the operations and can manage standards.
On the other hand, the cited firm has to ensure the economic condition of the European nation, accordingly, it has to take its pricing decisions and promotion strategies. By examining the external environment ALDI can know about the technology required for opening a new store and for providing quality food to customers (Chedid and Teixeira, 2016). A cited firm needs information about suppliers' power, consumer's preferences, the income potential of users, etc. This information will support the organization in expanding its business and establishing its shop in a completely new market. On the basis of these detail managers of ALDI will be able to make sound decisions for the welfare of the entity.
In addition to this, information related to the buying behavior of consumers can help in identifying growth opportunities in the European market (Haimes, 2015). Apart from this ALDI needs knowledge about the skills required to open a new shop and to provide quality food products to the guests. In this way, they will be able to take their decision related to the training or development of employees. Information regarding finance can help in examining the fund's requirement so that they can make a judgment regarding increasing cash inflow in the organization (Gilson and et.al, 2015). Information about technologies will support identifying the level of competitors so that it can enhance its standards and can gain a competitive advantage in the European market.
1.3 Internal and external sources of information and understanding
For starting up a new shop in non-UK countries is impossible if the firms do not have reliable and accurate information. There are various external and internal sources that can give accurate and realistic information about the new market and can help in making sound decisions for the establishment (World Health Organization, 2014). Description of these sources are discussed as below:
There are many external factors that influence the business decisions, for that firm has to look upon these elements and have to make their strategies accordingly.
Market research: It is one of the important tools through which accurate and reliable information can be gathered by the ALDI (Armstrong, M. and Taylor, 2014). With the help of research, cited firms can know about buying behavior of consumers, trends, political legislation, competitors' position, etc. Before opening a shop in the European market ALDI needs to analyze these areas so that it can plan its production process so that cited firms can provide quality food to the customers (Jennings and Stadler, 2015).
Government websites: it is another external source through which an entity can collect relevant information easily. With the help of this source, cited firm can know about fiscal policy, tax policy, trade agreements, monitory regulations, etc. By this way ALDI can make its pricing decisions easily and can make sound decisions (Communication network. 2014).
Trade journals: This is another external source that can help in collecting relevant information by the ALDI so that cited firm can identify its growth in the new market and can plan its activities in such manner which can help in accomplishing its objective soon (The Decision-Making Process in an Organization. 2015).
Company's internal detail: For attaining the objective of the organization cited firm will have to know its inner strength and weakness first then accordingly it has to plan for the future development. Firstly it has looked upon the number of existing consumers, technologies used currently and its effectiveness, relationship with employees, skills of workers, etc. In this way, ALDI will be able to know how much training is needed to give to its employees so that they can perform their responsibility in the European market significantly (The Importance of Communication in the Organizational Structure. 2016).
Feedback from employees: ALDI is aiming to open a shop in non-UK country for that it needs to collect information about the test and preferences of consumers. A sales team can tell about their needs and wants, so by taking feedback from the salespersons' company can plan its activities and can improve the product's quality accordingly. That would help in achieving its objectives soon (Jennings and Stadler, 2015).
1.4 Recommendation for improvement in methods
Market research is a very time-consuming method, though it can give good information due to this firm like ALDI has to invest lots of time. For that, it can be recommended that ALDI should determine the market fluctuations. In this way, cited firms will be able to monitor the changes and it will support in making good planning which can help in accomplishing the goal of the organization (World Health Organization, 2014). In addition to this, cited firm must involve its all stakeholders in decision making process. They all have good knowledge of market conditions so they can give a good suggestion for opening and establishing a new food shop in the European market. Apart from this, rather than investing too much time in market research cited firms can take the support of secondary sources such as books, journals, internet articles that can help in knowing about trends, competitor's strategies, etc (Chedid and Teixeira, 2016).
Knowing about the test and preferences of new customers who belong to non-UK counties, ALDI should prepare a questionnaire that can help in getting information about their demand thus, a cited firm can improve the quality of products accordingly. Apart from this organizations should develop a relationship with its employees so that they accept changes and support management (Sallis, 2014). In this way, the firm will be able to implement advanced technologies in the workplace which can help in raising standards and providing quality food to the customers.
2.1 Stakeholder whose actions may influence the decision-making process
Stakeholders are the persons who get influenced by business activities and their decisions also impact the organization to a great extent.
- Employees: Workers are the assets of the organization, ALDI needs to modify its operation for opening a new shop in European market. It is necessary that workers support firm, if they take negative action then for the organization it would not be possible to establish in the new market (Yoon, Kim and Lee, 2015). A company needs to motivate them so that they like workplace and support management that would help in gaining high profit in the new market significantly.
- Suppliers: They are another important stakeholder, if they do not supply raw material on time then it may hamper the production, by this way ALDI will not be able to provide quality products to new consumers. For that organization need to develop its credibility and relationship with the suppliers so that they supply quality material on time.
- Customers: They are an important part of business, if consumers are not satisfied then it would give loss to the organization (Haimes, 2015). For opening a new shop in the European market and to offer consumer quality food, it is necessary that ALDI offers them satisfactory products so that they be positive towards the brand, otherwise cited firms will not be able to accomplish its objective.
- Government: they are major stakeholders they can influence business decisions to a great extent. If the European government makes changes in tax policy then ALDI will have to change its pricing strategies (Armstrong, M. and Taylor, 2014). For sustaining in the new market for a longer period cited firms will have to follow legislation otherwise it would not be able to operate a business in non-UK countries.
- Competitors: It is necessary to have an eye on competitors' policies, in this way ALDI will be able to formulate strategies that can help in meeting standards of competitors (Jennings and Stadler, 2015).
2.2 Develop a business relationship with stakeholders
For successfully run the business it is essential for the entities to build a strong relationship with the stakeholder. For developing a relationship with stakeholders ALDI can use several ways:
Mail and calls: It is the best way through which companies can maintain their relationship with stakeholders (Gilson and et.al, 2015). With the help of this source, ALDI can inform its customers about offers and trade discounts, apart from this cited firm make contact with suppliers as well. By keeping them up to date organization can gain their trust and it will develop a relationship between them.
Formal meeting: ALDI can arrange a meeting for its suppliers, consumers, employees, in this cited firm can inform them of recent changes and benefits for them. It will make them loyal towards the brand and they will give their positive support to the organization (Tannenbaum, Weschler and Massarik, 2013).
Social networking sites: Cited firms can take the support of social media and can be connected with the stakeholders. In this way it will be able to keep them updated with the offers that would make them loyal and it will develop an interpersonal relationship with the stakeholders (Sallis, 2014).
2.3 Planning to involve the identified people in the decision-making process
It is necessary that all stakeholders get involved in the decision-making process. Below described plan can help for the same:
Pricing strategy: Price is the biggest factor that influences the mind of consumers. If ALDI offers them quality food products at lower cost then it will gain their attention and they will buy the products of the cited firms. For that ALDI needs to conduct meeting with stakeholders, timing needs to be circulated on time so that no confusion takes place (Gilson and et.al, 2015). Cited firm needs to take their suggestions so that they can make effective pricing decisions.
Location strategy: Non-UK country is very big so the company has to select the proper location before opening a new shop. Management has to provide necessary information to its stakeholders through mails or calls. Managers need to ask about their point of view, according to their suggestion company need to make their decisions (World Health Organization, 2014).
2.4 Strategies for future improvements
In order to work better in a new market, ALDI needs to adopt several strategies that can help in improving future of cited firm:
- ALDI should sell its products at a lower rate that would help in attracting more consumers in the European market. That would make them loyal and build strong relationship with the stakeholders (Jennings and Stadler, 2015).
- The cited firms should take feedback from the employees, in this way they will be positive towards the brand and will sustain in the workplace for longer duration.
- ALDI should train its staff members well so that they can perform better in the new market and can communicate well with the consumers.
- A cited firm should make alternative strategies so that risk can be managed in an effective manner (Haimes, 2015). Risk management strategies will support the organization in reducing uncertain events of the corporation.
3.1 Existing processes of communication
The existing communication process of ALDI is very simple. Employees and managers can interact with each other easily. Process of communication is described as below:
- Sender: Higher authorities generate an idea and send it to all employees via mail.
- Message: They convert it into the proper message so that people can understand it.
- Encoding: Sender transfers the message into a meaningful way so that no confusion takes place (Tannenbaum, Weschler and Massarik, 2013). They use symbols and proper words so that effective communication can be done.
- Transmission: The company takes the support of mail, fax, letter, etc. to communicate the message. This source of a medium is very helpful and through which immediate communication can be done.
- Decoding: Final message decoded by a receiver in an understandable way ((Communication network. 2014)).
- Receiver: Final information pass from one person to another person, people get the message that helps in creating a good environment.
- Feedback: Once the message is circulated, management takes feedback from the staff members and it tries to resolve the confusion of the employees.
3.2 Different communication processes
There are many other communication processes that can help ALDI in establishing in the European market significantly ((The Importance of Communication in the Organizational Structure. 2016)).
Wheel pattern: it is the type of communication process in which the centralized system is followed. In this, managers or higher authorities pass the necessary information to the department head and they communicate to lower staff members. In this type of process lower employees are bound to follow the instruction of management ((The Decision-Making Process in an Organization. 2015)).
Multiple communication channels Though ALDI is using mails for communication but it can also take the support of other communication channels. That would help in building a relationship between employees and managers thus staff members will support the organization in opening its new shop in the European market.
Free flow: It is another method of communication in which management gives rights to staff members in interacting freely ((Communication network. 2014)). Any person can share their feeling with anyone. It is a quick communicating process and helps in creating a positive work environment in the organization.
3.3 Implement improvements to ensure greater integration of systems
For easy and effective communication ALDI needs to take the support of LAN and the internet in the workplace. By his way, the information will be passed from one person to another easily and quickly. With the help of this employees will be able to get relevant information soon. It will develop an interpersonal relationship between employees and employees thus, conflicts situation will not take place (Jennings and Stadler, 2015).
ALDI is required to arrange formal and informal meetings with the employees so that people can develop between understanding between them and can pass information easily. It is necessary that managers of cited firm pay clear attention on the words of workers by this way individual will be able to understand their needs and will be able to provide them healthy working environment, In such workplace environment people will feel comfortable and they will support management in opening a new shop in the non-UK country (Sallis, 2014).
3.4 Creating a personal development plan
Communication plays a vital role in the success of an organization. For improving communication skills, a development plan is created as below:
Improve listening skills
For developing communication skills, management needs to first improve its listing skills. If a person listens properly then it would be easy for the individual to make coordination.
Enhance non verbal signals
Individual needs to use positive body language, eye contact, voice tone etc. By this way manager will be able to coordinate well with the staff members (Børøsund and et.al, 2014).
Once the information is gets passed then it may be possible that people do not like it. So the manager should check its stress or emotional level and accordingly they should interact so that the stress level of an employee can be minimized.
Avoid conversation fillers
A manager should use proper and professional words. Individual needs to avoid hurting words. It will help in enhancing communication skills (Haimes, 2015).
4.1 Existing approaches to the collection, formatting, storage, and dissemination of information and knowledge in business
ALDI is using several approaches for collecting information and gathering knowledge:
Collecting: Cited firm uses a traditional method of collecting information. All departments send information and evaluate it. In this way they get to know about the performance of the organization (Drew and Coulson‐Thomas, 2013).
Formatting: All information is entered into the company's financial account such as balance sheet, cash flow statement or income statement, etc. By this way cited firm analyses the growth and drawback of the current process.
Storage: Collected information is kept secure in password-protected computers. By looking upon these details ALDI makes effective strategies that can help in improving the performance of the organization (Stadtler, 2015).
Disseminating: For conveying the information to other stakeholders cited firm conduct meeting with the stakeholders. In this way, stakeholders give their suggestions that can help in establishing new shops in the European market (Lock, 2014).
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4.2 Appropriate changes to improve collection, formatting, storage and dissemination of information and knowledge
For accomplishing the objective of ALDI it is necessary for making appropriate changes in the system. These changes are described below:
- ALDI needs to give training to its staff members so that they can collect reliable information from the market (Børøsund and et.al, 2014). For collecting the information cited firm needs to take the support of digital libraries, specialized databases, etc. So that relevant information can be gathered from correct resources.
- A company needs to make changes in its formatting process and has to present the information in an accurate manner (Gilson and et.al, 2015).
- For improvement in the storage approaches, cited firms can take the support of highly advanced technologies that can keep data secure.
- In making changes in dissemination, a cited firm should use online marketing, promotional activities, etc. that would help ALDI in opening a new food shop in the European market (Jennings and Stadler, 2015).
4.3 Implementation of strategy to improve access to systems of information and knowledge
Information and knowledge system plays a significant role in the organization. For the improvement in accessing knowledge cited firms should emphasize reliability and sustaining of information (Yoon, Kim, and Lee, 2015).
- ALDI should do SWOT analyses that would help in identifying current strength and weakness so the cited firm will get to know about the area which needed improvement. In this way, it will be able to make effective strategies to improve its weakness and establishing in the European market successfully (Sallis, 2014).
- A cited firm should conduct meetings with stakeholders frequently that would develop a relationship with them and they will share their innovative ideas that would help in opening a new shops in newmarket (Gilson and et.al, 2015).
From the above discussion, it can be concluded that communication plays a vital role in organizations. That supports entities in expanding their business and establishing into new market. Market research and survey are the best methods of collecting information in this way company can get to know about the potential of market and growth opportunities in a completely different market. Providing quality products cited firm needs to understand the requirement and buying behavior of consumers, it will help in establishing into a new market successfully.
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