APC out line Business Planning– M 002 OQSC APC Discussions Group JV Presentation July 1, 2016 Agenda • • • • • • • • Previously asked questions What is business ? Decision to start – analysis Establishment of business – Corporate and business objectives vision & mission Short & long term strategies 5 year plans Support systems Questions out line • • • • What is business planning? What are levels of business planning ? How you will analyze the market condition? In the business planning, what is planning and strategies? • What are the objectives of Business Planning? • How do you advice a client on business planning? • How you will start your own business? Questions out line …. • what are SWOT and PEST ? • How do you do Business planning? • How do you start a Business in this economic condition in Dubai? • What are the components of business planning? • Why you need the business plan? Questions out line…. • What is benchmarking? How do you use it? • How to start a business ? (2014) Business • An organization or economic system where goods and services are exchanged one another or for money • Business can be privately owned, state owned or non profit How to start a business?- make the decision • Purpose of business is earning profits • How we earn profits? By doing business. • How we assess ? • Let’s do an analysis ? • What are our strengths? Do we have knowledge? Do we have money? Are we familiar with customers? Is our product popular ? Do we have resources ? Make the decision…. • What are our weaknesses? We may not have sufficient experience Funds may not be enough Our technology may be out dated Our product may not suit to local conditions Make the decision… • What are our opportunities? How is the demand for our product? No competitors ? Booming economy Surplus cash TAX Free country ? Cheap labor Make the decision… • What are the threats ? Other competitors rising prices of raw materials Changing customer requirements Instability of the market So we did a “SWOT” analysis Make the decision… • If you plan a business in a foreign country how you do an analysis? We concern about Political situation How is the Economy in the country? What are the Social impacts ? How available Technology help? So, we do PEST analysis Further, we may analyze Environment & Legal situations, hence we do ‘PESTEL’ analysis Establishment • We have decided to start the business…. • We have to establish Business plans (Short term and long term) To be included in business plans: Business goals and objectives Strategies - short term and long term Mission and vision Cash flows Risks assessment Feasibility studies out come Support systems … Strategies • Strategy been borrowed from military to business • Strategy has various meanings • In the business point of view strategy means ‘how you will achieve your objectives’ in other words it is an ‘action plan’ towards objective. • Long term or short term strategy depend on your business • Normally 5 years is a long term strategy for a real estate developer Vision & Mission • Vision – the ultimate objective of your organization. What are you going to achieve? Emmar vision - ‘Our vision for Emaar is its transformation into one of the most valuable lifestyle developers in the world beyond real estate development.’ • Mission – how to achieve your mission Emmar mission - Our mission is to transform Emaar into a one-stop, global solution provider for lifestyle, including homes, work, play, leisure, retail, health, education, finance, industry and more. (www.Emaar.com) Corporate & Business objectives • What is corporate ? – in business language ‘corporation’ means an entity has separate legal rights than owners. Corporate gives a meaning of ‘central’ or ‘common’ function of multiple business functions. • Each business function has own objectives and corporate function has its own objectives • Business functions objectives shall be in line with corporate objectives / shall help to meet corporate objectives 5 year business plan • We should have plans for every thing, same theory applicable to ‘Business’ • What are the components of Business Plan? Objectives , vision and mission , goals (Goals are long term aims to be accomplished Objectives are concrete attainments (achievements) that can be achieved by following a certain number of steps.) Projects going to be executed Financial feasibility analysis Sales and marketing strategy Budget Resource allocation Cash flow (income and expenses) Profitability analysis 5 year business plan… Market benchmarks Risk assessment Technical feasibility reports Environment feasibility reports Support • • • • • IT – to establish systems HR – to deploy resources Marketing – to market the product HSE – to ensure safe working environment Compliance & Legal – to ensure comply with Legal and regulatory requirements • Accounts & Finance – to support with accounting reports, financial analysis , reporting profitability's • Internal & External audit – to ensure the accuracy of the process Support in preparing Business plans.. • • • • IT – establish system Marketing – financial feasibility surveys Legal – Legal feasibility study Finance – investment appraisals / profitability analysis • QS – Costing of the construction project RICS APC competency definition • Level 1 – Demonstrate knowledge and understanding of the role & significance of RICS and its functions. Also an appreciation of your personal & professional role and society’s expectations of professional practice and RICS code of conduct and conduct regulation including general principles of Law & the Legal system in your country of practice. • Level 2 – Provide evidence of practical application in your area of practice, being able to justify actions at all times and demonstrate personal commitment to the rules of conduct & ethical standards • Level 3 – Provide evidence of application of the above in your area of practice in the context of advising clients. • Required level – 3 Q&A THANK YOU !
