According to the current market of Boston Beer Company, they are slowly losing customers to the other brands despite the company being the number one distributor of beer in the country. Therefore, if there is no strategy put in place for the company, it will continue losing market resulting to low profitability levels in the next accounting periods (The Boston Beer Company, Inc., 2012). For this reason, a strategic plan that will help to put Boston Beer Company back in the market for the next five account periods is essential. Strategic planning is the process of creating a course of direction for the company and making decisions that will help in maintaining this course (Saloner, Shepard & Podolny, 2001). In this case, several importances should be taken into account when applying a strategic plan.
First, a strategic plan will help in identifying mistakes the company is making. In this case, the strategic plan will help in establishing why Boston Beer Company is slowly losing market for its products (Saloner, Shepard, & Podolny, 2001). Secondly, a strategic plan helps a company to remain on track with the main goals leading to profitability (Saloner, Shepard, & Podolny, 2001). In the case of Boston Beer Company, a strategic plan is going to help in making sure that all relevant parties focus on the main goals of the company. In addition, a strategic plan will ensure that everybody in the company knows his or her roles and expectations. Finally, the directive is going to help the company achieve its main goals (Saloner, Shepard, & Podolny, 2001).
The mission statement of Boston Beer Company is ‘To seek long-term profitable growth by offering the highest quality products to the U.S. beer drinker’ (Samuel Adams, 2012). A mission statement provides the company with key measures of their success. In addition, a mission statement helps to motivate all the relevant parties of the company towards the achievement of company goals. In this case, the above mission statement shows that crafted beer is the main success of Boston Beer Company. The company has been able to maintain the same recipe for over one hundred and fifty years. Additionally, it has been able to maintain high quality in its products. Therefore, the mission statement is reminding the management and stockholders why Boston Beer Company is successful giving them a direction on the way forward. As a result, this is going to improve the company’s success.
The vision statement should be ‘We work round the clock to ensure the customer receives high quality beer with a soothing taste at their convenience providing the best experience of their life’ (Adams, 2012). This vision is going to help Boston Beer Company regain the market back. The mission statement includes the measures the company uses to achieve success. However, the vision statement includes the mission and the values of the company. Therefore, the vision statement relates with the mission statement in how the values of the company blend with its measures of achieving success. In this case, the measures of Boston Beer Company are to produce high quality crafted beer and make it available at the convenience of the customer. The achievement of these measures is through to be the value of the company working round the clock. For this reason, it is clear that the mission statement relates well with the mission statement.
The main financial objective of the company is trying to cut costs for the purpose of increasing the profitability levels. In addition, the process of cutting costs is not going to affect the quality of the beer (The Boston Beer Company, Inc., 2012). Secondly, the company aims at increasing the profitability levels through the increase of sales in their products. The company is trying hard to increase the overall sales in the next five years resulting to the increase of profits at the end of every accounting period (The Boston Beer Company, Inc., 2012). Therefore, the objectives of reducing costs and increasing total sales are extremely essential to the company success as they contribute to achieving the targeted profit levels.
The first operational objective of the company is to maintain originality and increasing quality of their beer products (The Boston Beer Company, Inc., 2012). Secondly, all departments in the organization should work together to increase the quality of products resulting to an increase in sales (The Boston Beer Company, Inc., 2012). In this case, the marketing department is going to collaborate with the production department by providing information about the customer’s specifications. Finally, all the operations of the company should aim at creating value in the company. Therefore, the management of the company should consider strategies to train their employees leading to quality improvement in company’s operations. The operational objectives are valuable to the company because they serve for achieving production of quality goods.
The main human resource objectives of the company are to improve teamwork and increase morale. First, every member of the company needs to work together as a team to ensure efficiency in operations (Ekanaye, Getov, & Naridze, 2012). In this case, employees need to share information and assist each other in performing their duties in the company. Secondly, the management of the company should create techniques to motivate the employees (Ekanaye, Getov, & Naridze, 2012). This will make sure employees work efficiently and effectively to produce quality service and products.
The main marketing objective is to regain and expand the market either locally or globally. According to a survey, Boston Beer Company is slowly losing customers. If this continues, the company is going to report loses at the end of every accounting period (The Boston Beer Company, Inc., 2012). For this reason, they need to regain the lost market. In addition, they need to continue expanding their market once they regain the lost market. In this case, the company should try to explore other markets where they are not venturing. These objectives are going to help the company attain a wide base of consumers.
Finally, the main objective of the customer care department is to work tirelessly to satisfy the customer needs. The current survey conducted shows that Boston Beer Company is losing consumers to other beer companies in the market (Ekanaye, Getov, & Naridze, 2012). In this case, the customer care department should conduct a research on the strategies they will apply in order to satisfy their customers. For instance, the customer care department in collaboration with the sales department has to ensure that customers receive beer at their convenience. This objective is going to help the company succeed in increasing the overall sales of the company.
How the Objectives Support the Mission and Vision Statements
The mission and vision statements sensitize that the company works tirelessly to offer their customers quality, original beers with unique tastes. In this case, the human resource, operational, customer care and marketing objectives ensure that customers receive quality products at their convenience. In addition, the financial objectives ensure that there is no wastage of resources in the process of attaining the vision and mission of the company. This clearly shows that the objectives of the company support the mission and the vision statements of the company.