PREDIJ - How to structure strong paragraphs
Examples
Structure
benefit of a rise in GDP would be that the average income would increase and
Point: benefit, drawback or Atherefore
so would disposable income.
issue to consider
is because there is lower unemployment and demand for businesses goods
Reason: why is this likely to This
and services are increased.
happen?
it states that there is a correlation between the volume of waste
Evidence: facts and figures InandtheUKcase
standard of living, there is also a positive income elasticity of demand.
from the case to support this
will mean that VGL will benefit from both greater supply of waste materials
Develop: what will this lead This
and demand for recycled materials, leading to great revenue, especially
coupled with the fact that legislation dictate that more waste be recycled.
to?
is particularly important because it will enable VGL to achieve its objective
Importance: why is this good This
of increasing revenue by 6%. Connected to this, it could also enable them sell
their £14m worth of stock for a favourable price on the spot market meaning
or bad for the business?
Judgement: show some
prudence…
that their poor acid test of 0.57:1 could be greatly improved.
However, VGL are working at close to full capacity (24 hours a day, 6 days a
week) and so Phoebe needs to ensure that VGL can manage this increased
demand, possibly via further training for the staff or communication with
customers regarding the separation or waste.
Repeat 2 more times, ensuring you have a balanced argument.
Structure for Final Paragraph
Decision
Justification
Short term / long term
consideration
Caveat
Recommendation
Example
Overall, I believe that GDP will benefit VGL to a small extent…
This is because an increase in living standards will increase the supply,
demand and potential value of their service, as more waste is produced, and
more packaging is required.
In the short term, they will need to ensure that their employees are given
additional training, potentially as Michael suggested, so that contamination is
kept to a minimum during this busy time. If this is done successfully, it should
lead to an increase in revenue greater than 6%.
However, with high GDP will increase the financial attractiveness of the
market meaning that more competitors may enter. I feel that the biggest
problem that this could create for VGL would be from a retention point of
view; conditions at VGL are dirty and noisy, meaning they may not be
achieving their hygiene factors. If a competitor is to enter the market with
more appealing pay and working conditions, this could hinder VGL achieving
their retention objective.
It is therefore imperative that as GDP and sales increase (hopefully also
freeing up the £14m in stock), they prioritise spending this on improving the
machinery and working conditions for their staff. This will have the duel
benefit of improving retention and ensuring contamination is kept to a
minimum.
Demonstrating Level 4 Judgement
Throughout the answer, and in the conclusion, ensure you are including some of the points below
Demonstrating Judgement
Choose a stakeholder who may be negatively affected by your point. Why could
How will it affect your stakeholders? this be a problem?
Which stakeholder(s) have the most power?
Which stakeholders are the most
Which group is most interested in the business?
How should they be managed?
important?
Will the proposal require further training or finance? If so, how much?
Short term v long term costs and
Will there be much disruption to the business?
Are the staff ready for the change?
In the long term, how will the benefits outweigh the costs?
benefits?
When will the business start to reap the benefits?
Potential Risk and Reward?
How will affect your Core business
What extra research needs to be
done?
Recommendations on how to
proceed
What functional area will benefit the most from this change?
Is that the most important functional area right now?
How will key stakeholders react?
What else will benefit from this change?
What are the likely problems?
What is the likelihood of success?
Will the change help or hinder your core business?
Will your existing customers be happy or annoyed about the change?
Does the business have the skill / resources / ability to make this change?
Is the information reliable?
Who performed the market research? Is bias an issue?
Does historical data inform future data?
What external factors may affect the research?
What is the best way for the business to reach its objectives / mission statement?
What should be prioritised and why?
What is the best way to overcome the biggest barrier?