1. Executive Summary
The business idea of X-Comms is to provide cross-cultural services, or more specifically,
intercultural communication training services for business corporations that wish to expand into
the international market. What differentiates us from our competitors, specifically traditional
cross-cultural services, is that we have narrowed down our content from the broad spectrum of
cross-cultural training and focusing solely on communications within the international markets of
the Middle East, China, Southeast Asia and India and focusing on large Australian corporations
as our target market. By differentiating ourselves in this way, the chances of success for the
business will significantly increase. We have defined our unique selling proposition as giving a
hand towards improving the ability for Australian businesses to adapt to different communication
styles in foreign nations, minimizing misunderstandings and frustrations between international
business partners and simultaneously improving relationships within a diversified workplace and
therefore, increasing the success rate of a business to flourish internationally.
2. Background
Mission and Vision
X-Comms highly prioritizes sustainability. As a part of a cross-cultural service, our main focus
without a doubt, focuses on the people or social aspects of the community. The partners are
comprised of a diverse individuals from different backgrounds and cultures from all over the
world. When coming up with the business idea, our goal was originally to improve the
relationships between people of different cultures. With this in mind, we have decided to
integrate our original idea to the differentiation of our business. Portraying our diversity by
providing an educational service that would help corporations make profits as the same time. In
order to realize our goals, the owners have all undergone a Masters of Cross Cultural
Communication course. At the same time, we have all graduated from Curtin University as
bachelors of business. Therefore, we are able to implement the concepts from our studies into
the creation of a successful business. From an economical standpoint, our business is expected
to generate vast amounts of revenue over the years. This is due to constant intake of potential
customers in the future. We can assume this with evidence from the STEP and Porter’s
analysis, as well as our financial forecast. X-Comms as a business does not contribute much to
the environmental aspects but we as owners will contribute as much as we can to do so. Little
actions such as, using energy saving light bulbs and paper as well as reducing the use of plastic
bags although insignificant implied in the short term, will prove to be a major contribution over
time. X-Comms aims to be a leading example for other potential businesses to devise creative
and innovative strategies towards the sustainability of a business.
3. Marketing
Market Research
In Australia, ⅓ of public sector organizations and ⅔ private sector companies implement
cross-cultural training (Bean, 2006). The industry is ever growing due to the increased changes
in population and corporate globalization. In a domestic industry, customer base is miniscule
and opportunities are limited, because of this businesses look to the international market to
expand their business and thus increasing overall revenue (Kokemuller, 2017). However, in the
process of obtaining a competitive advantage against rivals, cultural differences are perceived to
be a key factor of weakness within a corporation, leading organizations to continue pursuing the
services of cross-cultural training (Jack and Lornbiecki, 1999). In accordance to this research,
we have decided to focus the business towards corporations as a target market.
Market Analysis
STEP Analysis
Social
● In the constantly changing global business environment, it is necessary for businesses to
form strategic plans to venture into international markets in order to penetrate new
markets. Therefore, businesses are increasingly recognizing the importance of taking up
cross-cultural training to promote employee success to reduce the risks of failure within
the international market (Bennett et al, 2000). As corporations will always employ new
employees from time to time, our source of our revenue will not diminish over time.
●
●
Technology
A majority of Australians, approximately 13.7 million have access to the internet and rely
on it for a convenient way to access information (ausstats, 2017). In relation to this,
advancements in web hosting service providers with are enhancing the quality for users
by raising server limitations so that users are able to host all services on a single
platform. They have also increase bandwidth speed so that customers are able to
access websites on the fly. Cloud hosting is the latest technological advancement and
benefits users by providing a space where all files and data can be stored and access
through the internet (How advancement, 2017).This technological advancement is
relevant to us as one of the services that we provide includes an online learning
package.
Economic
The Australian economy has gone 25 years without experiencing economic recession.
However, according Graham 2017, the overall economic portrayal is misleading. The
article stated that Western Australia was experiencing economic difficulties after the
mining boom. Although looking pessimistic, it is advantageous to the business if we
relate to economic theories. Cross-cultural training is essentially focuses towards
communication and the understanding of people and avoiding misunderstandings. This
helps strengthen the relationships of business partners both locally and internationally.
At the same time, reducing miscommunication within a diverse workplace as well,
therefore increasing productivity and efficiency within an organization. In an economic
standpoint, increase productivity will result in increased aggregate supply in the industry
and ultimately, in the bigger picture, contributes towards increased GDP of Australia (J.
Barro 1994)
●
Political
The Australian government highly encourages cross-cultural training for overseas
business ventures as seen in the initiation of the New Colombo Plan. This is a
public-private partnership between the Australian government, the Bennelong
Foundation, the Myer Foundation and Asialink Business in order to create long-lasting
relationships with the Indo-Pacific to boost Australia’s economy. With the plan put to
action, the number of corporations that require multicultural communication training will
spike, benefiting to the business (Chai, 2017).
Porter’s Analysis
●
●
●
●
Buyer Power
Buyer power is perceived as low in relation to our business. As we have implemented a
customer loyalty program, corporations will have the incentive to return to us for future
training of employees. Our prices are set a little above average asking price for a similar
course, but as we are properly certified and accredited, the quality of our content is
beyond par compared to traditional cross-cultural services. Therefore, the switching
costs of of buyers will be high which in the end reduces buyer power.
Supplier Power
The power of suppliers are low. This is because we get our materials from various book
publishers to create our syllabus for the courses we instruct.
Threat of Substitution
Threat of substitutes are low. Although there are many cross-cultural training institution
and training centres in Perth, corporations do not necessarily need the extra information
provided by their services for the purpose of successfully expanding to international
markets. By differentiating the service provided, providing a service that is relevant to
what our target market wants, reduces the chances for our service to be substituted.
Threat of New Entrants
Threats of new entrants are relatively high in the cross-cultural training industry as it
requires low capital to start up and yields high returns. However, we have differentiated
from traditional cross-cultural training. Narrowing down our spectrum from cross-cultural
training and solely focusing on intercultural communications, providing a specific service
for a specific purpose. This way, we can retain distinct customers of our target market
and build up customer loyalty to our business brand as there are no businesses in Perth
that targets such a specific market. Thus reducing the threat of new entrants.
●
Competitive Rivalry
Competitive rivalry is low as we have a sustainable competitive advantage by innovation
through differentiation. We have set up a powerful competitive strategy.
Marketing Plan
Competitor Analysis
Competitor Name
Target Market
Service
Rural Health West
(Indirect Competitor)
Medical and health
professionals
●
Aboriginal cultural
awareness training for
prior to working in rural
WA
Cultural Chameleon
(Direct Competitor)
Public and Corporate
individuals
●
Workshops for gaining
competitive edge into
Asia
Managing international
teams virtually
Multicultural team
building
Expatriate coaching
●
●
●
X-Comms
Corporate individuals
●
Courses for intercultural
communication within
international markets.
(China, India, Middle
East, Southeast Asia)
According to our competitor analysis, most of our competitors are based similar to what Rural
Health West operates. They target a wider target market and focuses mainly towards domestic
cultural awareness towards the culture of aboriginals, which makes them indirect competitors.
Our main competitor will be Cultural Chameleon as they also target corporate individuals and
provide a similar service to us. What differentiates X-Comms from Cultural Chameleons will be
further explained with the 7p’s:
Product
X-Comms will provide intercultural communication training services focusing solely on
communications within the international markets of the Middle East, China, Southeast Asia and
India. The three service packages are shown below.
Packages
Type
Feature
Benefit
Price
1
E-Learning
USB storage of
material
Own pace
$900
Provided material
4 months
High flexibility
2
Correspondence
In-person
Direct
communication
Allows
client-to-trainer
contact
$900
Cheaper
$750
At preferred
location/Workplace
3
Online
2 months
Flexible
Target Market
The target market involves higher end organisations that are involved in international relations
with markets in the Middle East, China, Southeast Asia and India. As a small start up business
basing in Belmont, we will be only be supplying this service to the Perth Metropolitan areas.
This is necessary due to the examination to obtain the certificate in the final stage for all the
certificates involves an in-person paper examination.
Placement
The base of the business will be located in an office space in Belmont. The chosen location will
allow us to pay lower rent for office space, allowing us to keep our pricing competitive.
However our service work will take place through two forms, through our website as well as our
mobile in-person training. Providing packages such as an online-training course, allows
consumers who need highly accessible and time-flexible training to still do our course. While our
mobile in-person training will involve going to the client’s desired location at their set desired
time. This will aid in ensuring our service is as accessible as our clients want, in specific to their
needs and availabilities.
Promotion
Due to the specialized nature of our service, mainstream forms of advertising would not be as
beneficial for our business. Because of the highly specialised nature of our service, we will be
focusing on promoting our business through outreaching to potential customers.
This will be done through providing information about the importance of our cultural training for
their staff. This will also involve outlining the unique benefits X-Comms can provide and aiming
at developing loyalty to our service.
We will provide a promotional offer to returning clients through our Customer Loyalty System.
This will involves corporations that use our services for the second time onwards receiving a
10% loyalty discount on each future employee they get training for.
THECONTENTCREATORS.COM
As a business that provides its own content that is developed by us we would consider using
professionals such as thecontentcreators.com.au to help us further strengthen our website and
help us develop our trademarks and copyright requirements as we would distribute or content to
the consumers this is where our copyrights comes in as it protects our content from illegal
distribution of our content . furthermore thecontentcreators.com.au will help us develop our
marketing strategy which consists of out reaching , business cards , social media presence and
they'll help us develop a logo and a social media presence on important sites such as LinkedIN
to help us build professional networks and attract new business , furthermore this can be used
to help us attract the employees we require.
https://www.payscale.com/research/AU/Job=Marketing_Consultant/Hourly_Rate
http://www.thecontentcreators.com.au/services
Process and Physical Evidence
As promoting our service as a credible source of cultural training is a vital part of attracting and
maintaining customers, we are ensuring we can present a credible accreditation to our
customers. We will therefore be aiming to ensure our content is approved by the Training
Accreditation Council of Western Australia and display this accreditation.
To ensure our processes are efficient and up to our clients standards, we are implementing a
feedback form after every assessment. This allow us to develop customer review feedback,
where we will be able to analyse and understand our clients experience with our service. From
this we can ensure we maximise our customers satisfaction with our training service as well as
minimise potential service failures.
Pricing strategy
Our service will provide our cultural training through three different packages, which includes;
e-learning ($900), correspondence ($900) and online ($750). The pricing has been decided
through a market analysis of developing a competitive price in our market. By providing the
online slightly more affordable option, we are hoping to be able to attract a larger range of
clients, penetrating different market levels.
The pricing is not marketed as the lowest offered price on the market, as part of our unique
selling proposition involves offering high quality specialized training. This will aim to provide a
perception of our service being a more luxury choice, hoping to attract higher end clienteles.
The pricing we are providing are fixed prices, which further ensures our customers predictable
costs.
ICT Marketing Strategy
Even though out-reaching will be the main strategic form of attracting our customers, utilizing
various forms of internet mediums to promote our business will be essential. This will be heavily
aided through employing a form of a Marketing Consultant, such as The Content Creators, a
copyright and design specialising agency. The Content Creators were chosen as the
best-suited agency to go with due to their specialisation in Australian small businesses and
strategic branding.
The aim with hiring the ContentCreators will be to focus on developing a strategic media
platform and campaign for our business. This will involve the legal implications and the
development of our brand’s image (such as the logo and website). They will be heavily required
in the startup period of our business especially as part of our launch strategy.
However the long term plan is to train our Administrative employee with the essential social
media skills to continue implementing the developed marketing strategies.
Evaluation of Marketing
Evaluating the success of our different marketing strategies will involves analysing the sales
results, customer response as well as our own internal evaluation.
An increase in sales will be a vital reflection of the success of our marketing strategies.
However, even before sales, the initial customer reach out to our company is a key sign. For
example increased customers reaching out to us, right after a post or ad has been published,
will be a significant sign that the promotion is a success.
Through our customer feedback forms we will be able to comprise a clear understanding of
what worked and what did not with our strategies.
Continuous evaluation of the efficiency of our marketing strategies can help ensure we are
utilizing the most effective methods and ensuring the future success of our business.
4. Operational Plan
Operating Laws and Licenses
There are several licensing requirements to fulfill in order to establish an intercultural
communications training business. According to the Small Business Development Corporations
Business License Centre, small businesses will need to comply with the laws and regulations As
we as owners have decided on establishing a general partnership as a business, the business
would require a Tax File Number to be set up as a partnership is not a separate legal entity
differing from the elements of a company(Government 2017). Partners are individually liable for
the accumulated debts of the business as well as the managerial duties (Government 2017).
moreover as the partnership laws state that we don't pay tax on the separate income earned
rather we pay tax of the shared sum of revenue . in regards to the superannuation this is a
personal responsibility as we aren't working for a employer rather we are the owners . in regards
to to GST we should be registered for it if the annual income turnover is 75k or over (Government
2017) . furthermore as a small business we should have the following
Types of Licensing Required for the Business
License
Reason
Time
ABN
(Partnership
License)
To register
for GST and
ATO
National
Business
Name
Registration
Registration
of Trademark
Training
Processes
Cost
Up to 28
days
Online
application
Free
To have our
own unique
brand name
5 minutes
within
submission
Online
$82 for 3
years.
To protect or
name from
being used
by someone
else
13 weeks
Online with E
services
$500 for 10
year
Goods and
Services Tax
(GST)
Registration
To help pay
taxes and
file for tax
returns
10-28 days
Online via the $75
(Government
Business
2017)
Portal
Tax File
Number
To lodge
taxes to
government
10-28 days
Online
Certificate of
Registration
of Limited
Partnership
To certify our
partnership
agreements
and make
sure it
complies
with the laws
and
regulation s
10-28 days
Registration
of
Copyrights
for materials
To protect
our content
from illegal
distribution
also from
others
claiming
credit for it
No waiting
time: online
deposit and
deposit
certificate in
real time by
e-mail
Credentials
by the
Training
Accreditation
Council of
Western
Australia
To accredit
our business
and become
a legitimate
training
business
7-9 months
Free
(Government
2017)
Training and
development
to meet
requirements
for the RTO
Meet in
person:
Associations
Registrations
Section,
Gordon
Stephenson
House, Level
2, 140
William
Street, Perth
$555
Online
application
plus payment
to receive
certification
$49
online
registration
service,
asqanet.
$8,800
(("Accountant
(Department of
mines ,
Industry
Regulations
and Safety
2017)
("Copyright-Au
stralia.Com:
Copyright
Registration
Office By
Public Notary
In Australia
Certified For
Life In 172
Countries."
2016)
Salary
(Australia)"
2016)
Master's
Degree for
partners
To help us
build
credibility
1 year 6
months
Education at
a educational
institute
On campus
education
100,000$
($25,000 per
partner)("Mast
er In Cross
Cultural And
Applied
Linguistics"
2017)
Management Details
The specifics of our business is as follows:
Partners:
Eddie ,Neeka ,Rohit and Salem
Address:
Suite 11, 16 Brodie Hall Drive, Technology Park, Bentley
Telephone:
Ph: (02) 8888 8888
Email
Info@X-comms.com
Website
www.xcomms.com.au
Qualifications:
Masters of Cross Cultural Communications
Staffing
Since the partners will be doing most of the hard work, it is unnecessary to hire an abundance
of staff. A total of two employees will be hired throughout our two year forecast which includes a
receptionist that will be working with us from day one, and an accountant which will be hired
starting year two; both will be working full time. The reason for hiring an accountant only after a
year into our business is due to increased workload forecasted in the second year. Which would
mean Eddie, our accounting graduate won’t have the sufficient time to further manage our
accounts. A part-time professional advisor is also hired to provide us with more insight towards
structuring our business. A job description is stated for the each of the owners and employees
below:
Eddie Lai Chii Yea
Educator / Accountant / Syllabus Creator / Owner
●
●
●
●
Creator and designer of our syllabus circulating the Southeast Asian and Chinese
culture. .
Specialist in providing information regarding these markets due to personal experiences
and background.
Holds an additional Bachelor's Degree in Accounting, eligible for accounting duties in the
first year to reduce costs.
Weekly hours : 35
Neeka Zand
Educator / Human Resource Manager / Syllabus Creator / Owner
●
●
●
●
Creator and designer of our syllabus regarding Middle Eastern cultures.
Significant knowledge of Middle Eastern culture due to personal experiences and
background..
Holds an additional Bachelor's degree in Human Resource Management. .
Weekly hours : 35
Rohit Sreedharan
Educator / Syllabus Creator / Managerial Executive / Owner
●
●
●
●
Creator and designer of the Indian Culture syllabus.
SIgnificant knowledge of Indian culture due to background and personal experiences.
Holds an additional Bachelor's Degree in Business Management, eligible for managerial
duties within the business.
Weekly hours : 35
Salem Diab
Educator / Human Resource Manager / Syllabus Creator / Owner.
●
●
●
●
·
Creator and designer of Middle Eastern culture syllabus.
Extensive knowledge towards Middle Eastern culture due to background and personal
experiences.
Holds an additional Bachelor’s Degree in Human Resources Management, qualified for
human resource operations.
Weekly hours : 35
Receptionist
● Familiar with the operations of front desk duties.
● Always maintaining a friendly and approachable attitude.
● Manages schedules between the educators and applicants of the course.
● Manages customer and applicant information...
● Wages: AUD$32,000 per annum ("Receptionist Salary (Australia)" 2016)
● High School Graduate
● Weekly hours : 35
Accountant
● Extensive knowledge regarding the processes of accounting.
● At least 2-3 years working experience in the accounting industry..
● Wages: AUD$45,000 per annum ("Accountant Salary (Australia)" 2016)
● Weekly hours : 35
Professional Advisor
Maya Shah
Content Research Consultant
● Familiar with developing new content material
● 3 years of experience in the multicultural NGO sector
● Office experience with United Nations on project management
SUMMERS LEGAL
As a small business just getting into the market we would require legal advice on legal
compliance and develop awareness of the laws and regulations. This is cost effective as hiring a
lawyer is more expensive and isn't the most strategic move to do for a new business. The
following consulted:
●
●
●
●
●
●
●
●
●
●
●
●
●
Capital raising and public offers
ASX listing
Corporate structuring and joint ventures
Constitutional, Company and board advice
Shareholder agreements
Due diligence
Business succession planning
Terms of trade
Leasing and Licensing
Joint venture arrangements
Sale and purchase of assets and businesses
Sale and distribution agreements
Protection of assets under the Personal Property and Security
( Summers Legal WA 2017)
Insurance and Security Needs
●
Workers Compensation
This insurance is mandatory in Australia, it covers injury, death and illness in the
workplace. It is necessary for us to acquire this insurance for the adequate protection for
our staff members. Every state has different laws in Australia regarding to public liability.
Therefore, the insurance policy in Western Australia will only cover the percentage,
based off employee wages which will be insurance premium tax return, while assuming
nominal first. According to our financial calculations, our workers compensations would
be estimated at AUD$450 in the first year and AUD$1,142 In our second year. ("Alliance
Insurance" 2017)
●
Public Liability
This insurance is relevant for our business as we would protect us from physical
accidents occurring during our interaction with clients. Protecting us against claims of
personal injury or property damage suffered from a third party generated by the activities
of our business. The type of insurance claim chosen would cover up to AUD$5,000,000
with yearly repayments of approximately AUD$1,400("Public And Products Liability - Small
Business Insurance - Allianz Australia" 2017)
●
Small Business Advanced Pack
In this offer, our business will have the opportunity to outsource a tailor made insurance
package for our business. The package covers a variety of damages including material
damage, theft of money, electronic equipment, personal accident/ sickness, business
interruptions and finally management liability which covers directors and offers
employment practice liability , crime and finally tax audit. The overall package would be
estimated at $3000 per year. ("Allianz Business Insurance - Small Business Advantage Pack"
2017)
Business premises
Management Details
16 Brodie Hall Drive, Technology Park, Bentley
The rented office space for X-Comms is located in Bentley, at the designated address given
above. It is a professional co-working space, property is equipped with a reception desk and 3
office desks which will be relative to conduct business meets and operations. The property
offers unlimited National Broadband Network and a storage for all our materials. It also includes
a printing station, copying and faxing equipment. We will also be purchasing printers as
mentioned in the equipment list as we need to print essential content in house. The location is
10 minutes from the Perth CBD area and AUD$125 will be charged per week as rent, which
totals to AUD$500 a month. The main reason for choosing this location is primarily because it is
fully furnished negating the need to fork out additional capital on furniture. The location is also at
a strategic, central location being nearby most corporations of our potential clientele thus,
reducing inefficient travel distance and time during business runs.
Equipment list
Equipment List
Price AUD/
Units
Source
Reason
Microsoft Surface Pro
Core 128GB Tablet
$1,198 x 4 =
$4792
JB Hi Fi
To conduct our
operations at
businesses
("JB Hi-Fi | JB Hi-Fi Australia's Largest
Home Entertainment
Retailer" 2017)
Canon Office Maxify
MB2760 All-in-One
Printer
$169 x 2 = $338
JB Hi Fi
Hard copies for
customers and
handouts during
meeting and record
keeping
("JB Hi-Fi | JB Hi-Fi Australia's Largest
Home Entertainment
Retailer" 2017)
Nescafe Dolce Gusto
Jovia Coffee Machine
$50 x 1 = $50
Officeworks
("Office Supplies,
Office Furniture,
Stationery, Ink & Toner
At The Lowest Prices |
Officeworks" 2017)
Stationary
$200
Officeworks
All office related
operations
("Office Supplies,
Office Furniture,
Stationery, Ink & Toner
At The Lowest Prices |
Officeworks" 2017)
Paper & ink
$200
Officeworks
All office related
operations
("Office Supplies,
Office Furniture,
Stationery, Ink & Toner
At The Lowest Prices |
Officeworks" 2017)
Company phone
Huawei Y7 Handset
$249 x 1 = $249
SANDISK CRUZER
BLADE 8GB, USB 2.0
$6 x 200 =
$1,200
JB Hi Fi
Receptionist
("JB Hi-Fi | JB Hi-Fi Australia's Largest
Home Entertainment
Retailer" 2017)
JB Hi Fi
content for
customers
("JB Hi-Fi | JB Hi-Fi Australia's Largest
Home Entertainment
Retailer" 2017)
Service Processes
Our customers are mainly corporate employees sent from individual corporations. Signing up for
our courses can be done by the higher ups of the corporation or by the individual employees
themselves. This can be done by coming to our office and providing the necessary information
for a physical application or fill in a digital application online as a more convenient means of
registration. They are also asked to accept to our terms and conditions. After submitting the
forms, customers are required to pay the fees, again with physical means through direct
interaction with our receptionist or through the internet through E-banking. Customers are then
eligible for one of the courses mentioned below:
●
E- learning
Applicants will be given a USB storage device with the necessary content according to
what the customers/ corporations require. This product is a flexible package where
applicants are allotted a time frame of up to 4 months to study our content, this gives the
them a flexible time frame to learn our content at their own pace, and is especially
recommended for applicants with a busier schedule.
●
Correspondence (Traditional Book and Paper Based)
In this learning package, applicants will have the benefit of having real time lectures with
the educators. We are able to directly interact with the applicants and at the same time
be able to receive feedback for future improvements. As we prioritize customer service,
we will hold our book and paper based courses within the customer’s organisation
premises, which means customers will have the convenience of having us go to them for
our services. Our teaching materials can be modified according to the needs of the
customer. This course takes 100 hours to complete over a period of 2 months.
●
Online
In relation to our online course, customers will be given access to our company website,
they will be given a username and password upon registration to have access to our
course content. Applicants that register for this package will have access to our content
24/7 for 2 months, providing them with the flexibility of study.
Access to the online package will be restricted after a period of 2 months and the applicants are
required to return our USB storage devices after 4 months with the E-learning package.
Applicants that have completed the courses are eligible to take one of our exams which will be
held every 2 months on the end of February, April and so on. Applicants that pass our exams
will be handed out a Certificate of Achievement from our business.
Service Blueprint for Correspondence Learning Package
F
R
O
N
T
S
T
A
G
E
Service
Standards
& Scripts
Identifying
consumer
needs in
regards to
desired
region of
operations
Provide
customer with
quote through
email
Receive filled out
forms from
consumers online
Physical
evidence
Provide the
consumers
with a copy
of
credentials
through
email
Preparation of
professional
outlook
Sending
consumer
agreement terms
of time dates and
welcoming email
Line
Contact
Person
(Visible
Actions)
Contact for
confirmation
before
course
commences
Wait
point :
Not
punctual
reaching
customer
premises
Line
B
A
C
K
S
Contact
Person
(Invisible
Actions)
Thought
process on
creating an
interactive
session
of Interaction
Quality of
content
interactions
and Q&A
Feedback and
overview of next
sessions content
.
of Visibility
Decision
made on how
to make class
more
engaging
example
using the
10:2 method
Self reflection on
session and how
to improve
T
A
G
E
Line
Support
Process
of Physical
Checking if
we have the
required
equipment
Interaction
Making sure
objectives of
meeting are
being meet
Line
of Internal
Recording
relevant
data ,
checking
next session
time and
date
Update social
media
accounts
Maintenance of
equipment
Interaction
Fail point:
Missing
customer
payment
information
Make sure all
financial data is
backed up in a
reliable storage
systems
Critical Risks/ Contingency Plan
Risk
Malfunction of
organisation equipment
Probability
(1 to 5)
Impact
(1 to 5)
2
3
Risk
M/H/E
M
Proposed Action
●
●
Failure to identify
customer requirements
1
3
M
●
●
●
Miscommunication of
information of customer
e.g Payment Information ,
Required Content and
Times and dates of
sessions
2
4
H
●
●
Regular maintenance of
equipments with
Regular updates of
programs and technologies
Double checking with
customer on requirements
Records of all tasks required
Receive email from
customers with requirements
Double checking with
consumer on information
Regular check ups with
consumers before sessions
occurs
●
●
Failure to create engaging
session for consumers
which leads to lower
levels of knowledge
transfer
3
Negative reviews from
customers
2
3
M
●
●
●
4
Receptionist hard copies of
information
Backing up information to
safe and reliable storage
system
Beforehand research on
how to create engaging
session
Customer feedback on how
to improve
Q/A sessions to ensure
knowledge has been
transferred
E
●
●
●
Extensive research on
customers needs
Research incident
Provide consumers with
refunds
Information and Communications Technology Systems and Strategy (ICT)
Our business will use two different software applications for two different tasks, one of which
being an accounting app FreshBooks which is a cloud-based accounting program to record
accounting information("Invoice And Accounting Software For Small Businesses | Freshbooks" 2017).
WhenIWork will be the next application which will be used would be in relation to scheduling it is
called, the main reason for this application would be make our scheduling process simple,
reduce absences and avoid miscommunication. The when I work application offers mobile
accessibility to employees and owners to look over shifts. The program is on a subscription
basis and, would cost $29 per month and manage up to 20 staff members(when i
work,2017).("Free Online Employee Scheduling Software And Time Clock" 2017)
An ICT strategy is devised and implemented to mitigate the risks arising from the wait and fail
points within the service blueprint as this will hinder business goals and strategic objectives. The
FreshBooks accounting software will help us keep our accounting information organized so that
we could easily track our financials. This would help us in the long-term to maximize our budget
and increase our profits in addition to keeping customers financial data. The When IWork app
will be essential to maintain customer service. By keeping our schedule in check, we are able to
increase efficiency within our business by reducing untimeliness.
5. Financial Projections
The basis of our income is made up from the sales of our 3 service packages included in our
sales mix. Our expenses however, is made up of several elements such as cost of goods sold,
accounting services, legal services, advertising and etc. These elements and the digits
incorporated with them can be found in our financial forecast.
Analysis of Financial Forecasts
● Profitability Ratios
- Measures profitability of the business.
- Gross Profit Margin % = Gross Profit / Sales Turnover x 100
- Net Profit Margin % = Net Profit before tax/ Sales turnover x 100
●
Liquidity Ratios
- Measures the ability of the business to survive.
- Current Assets / Current Liabilities x 100
●
Return on Investment - Net Profit / Total Investment x 100
Liquidity ratios cannot be used to measure our business as the business does not have any
significant assets that generate revenue. Therefore, we will be measuring the business by using
Return on Investment and Gross Profit Margin.
Gross Profit Margin %
First Year
Second Year
Return on Investment %
First Year
Second Year
= Gross Profit/ Sales Turnover x 100
= $350,380 / $432,000 x 100
= 81.1%
= $463,110 / $577,500 x 100
= 80.1%
= Net Profit / Total Investment x 100
= -$26595.2 / $40,000
= -67.49%
= $157273 / $40,000
= 393.2%
The ratios used above will deduce our business performance for our potential investors.
Sales Mix Forecast
Costs of Goods Sold Per Item for each item in the Sales Mix are as follows:
Year 1
E-Learning
This package will have the variable costs of postage for the distribution of our
E-learning package to applicants.
Correspondence
Fuel costs are included as we are needed to instruct the applicants within the
facilities of our clients.
Paper costs are included as we will be preparing some on paper interactive
sessions during our courses.
Online Learning
Costs of web hosts will be included.
Year 2
E-Learning
This package will have postage costs for the distribution of our E-learning package to the
applicants of the course.
Correspondence
Fuel costs are increased compared to that of the first-year sales mix.
Paper costs are included as we will be preparing some on paper interactive sessions
during our courses.
Online Learning
Costs of web hosts will be included.
Cash Flow Forecast
● Light and Power cost are calculated every 3 months in Western Australia.
● An assumed amount of petty cash in injected on months of celebration and holidays, for
example celebration for Christmas in December.
● Postage Costs are the costs of distributing flyers and brochures to the corporations of
potential customers in July and distribution of our E-learning package to applicants for
the rest of the months.
● The costs incorporated in Other is the costs of undergoing our Master of Crosscultural
Communications.
Projected Profit/ Loss Statement
6. Implementation Timetable (Pre-startup gantt chart or critical path diagram /
post-startup promotional plan, identifying milestones to achieve)
Pre-startup
2018
●
●
●
●
●
●
●
●
●
●
●
●
2019
Achieved Masters of Crosscultural Communication from University of
Sydney.
Had consultation from Maya Shah to gain knowledge about cross-cultural
training.
Had a business consultation from SummersLegal
Set up an agreement between the Partners
Register for Partnership license.
Choosing a location
Create business bank account from bankWest Australia. (Business TeleNet
Saver)
Apply for insurances
Applied for HostPapa Web
Created our website
Constructed our syllabuses
Outreaching to potential customer
Post - Startup
●
●
●
●
●
Increasing Social-media traffic
Continuous out-reaching
Increase search engine search traffic
Promote customer loyalty systems
Online advertisements on popular websites and applications
7. Appendix : Research Reference Sources
"8153.0 - Internet Activity, Australia, June 2017". Abs.gov.au.
http://www.abs.gov.au/ausstats/abs@.nsf/mf/8153.0.
"Accountant Salary (Australia)". 2016. Payscale.Com.
https://www.payscale.com/research/AU/Job=Accountant/Salary.
"Alliance Insurance". 2017.
https://www.allianz.com.au/business/workers-compensation/wa/.
"Allianz Business Insurance - Small Business Advantage Pack". 2017. Allianz.Com.Au.
https://www.allianz.com.au/business/business-insurance/business-advantage-pack/.
"Australian Web Hosting From HostPapa". Hostpapa.com.au.
https://www.hostpapa.com.au/lp/best/?_ga=2.262747724.1975823198.1509125805-13
44196563.1509125805&_gac=1.12265088.1509125805.EAIaIQobChMIrsmduquR1wI
VCQQqCh0tCQ4wEAAYASAAEgKFD_D_BwE.
"Australian Web Hosting From HostPapa". Hostpapa.com.au.
https://www.hostpapa.com.au/lp/best/?_ga=2.262747724.1975823198.1509125805-13
44196563.1509125805&_gac=1.12265088.1509125805.EAIaIQobChMIrsmduquR1wI
VCQQqCh0tCQ4wEAAYASAAEgKFD_D_BwE.
"Copyright-Australia.Com: Copyright Registration Office By Public Notary In Australia
Certified For Life In 172 Countries.". 2016. Copyright-Australia.Com.
http://www.copyright-australia.com.
"Cultural Training | Medical & Health Professionals | Rural Health West".
Ruralhealthwest.com.au.
http://www.ruralhealthwest.com.au/about-us/cultural-awareness-training.
"Cultural Training | Medical & Health Professionals | Rural Health West".
Ruralhealthwest.com.au.
http://www.ruralhealthwest.com.au/about-us/cultural-awareness-training.
"Free Online Employee Scheduling Software And Time Clock". 2017. Wheniwork.Com.
https://wheniwork.com.
"How Advancement in web hosting services is improving technology? | This is Maral".
This-is-maral.com. http://this-is-maral.com/web-hosting-server-advancements.
"Invoice And Accounting Software For Small Businesses | Freshbooks". 2017.
Freshbooks.Com. https://www.freshbooks.com.
"Invoice And Accounting Software For Small Businesses | Freshbooks". 2017.
Freshbooks.Com. https://www.freshbooks.com.
"JB Hi-Fi | JB Hi-Fi - Australia's Largest Home Entertainment Retailer". 2017.
Jbhifi.Com.Au. https://www.jbhifi.com.au.
"Lawyers Perth | Legal Advice, Solicitors Perth - Summers Legal WA". 2017.
Summerslegal.Com.Au. https://www.summerslegal.com.au/.
"Master In Cross Cultural And Applied Linguistics". 2017. The University Of Sydney.
https://sydney.edu.au/courses/courses/pc/master-of-crosscultural-and-applied-linguisti
cs.html.
"Master the Art of Doing Business in Asia | Cultural Chameleon".
Culturalchameleon.com.au. http://culturalchameleon.com.au/.
"Office Supplies, Office Furniture, Stationery, Ink & Toner At The Lowest Prices |
Officeworks". 2017. Officeworks.Com.Au. https://www.officeworks.com.au.
"Public And Products Liability - Small Business Insurance - Allianz Australia". 2017.
Allianz.Com.Au. https://www.allianz.com.au/business/public-product-liability/.
"Receptionist Salary (Australia)". 2016. Payscale.Com.
https://www.payscale.com/research/AU/Job=Receptionist/Hourly_Rate.
"Set up a business bank account". Business.gov.au.
https://www.business.gov.au/info/run/finance-and-accounting/finance/set-up-a-busines
s-bank-account.
"Taking Your Australian Business Overseas | White & Black Chartered Accountants". White
& Black Chartered Accountants.
http://www.whiteblack.com.au/taking-your-australian-business-overseas/.
"TeleNet Saver - Small Business Deposits Account - Bankwest". Bankwest.com.au.
https://www.bankwest.com.au/small-business/business-accounts/compare-business-ac
counts/business-telenet-saver.
"The Top Small Business Software For 2015". 2017. Inc.Com.
https://www.inc.com/sujan-patel/the-top-small-business-software-programs-for-2015.ht
ml.
Bennett, Rita; Aston, Anne & Colquhoun, Tracy. 2000. "Cross-Cultural Training: A Critical
Step In Ensuring the Success of International Assignments". Human Resource
Management 39 (2): 239.
Bruce-Lockhart, Anna. 2016. "5 countries with the strictest dress codes". World Economic
Forum.
https://www.weforum.org/agenda/2016/01/5-countries-with-the-strictest-dress-codes/.
Chai, Heather. 2017. "Foreign Affairs Minister launches innovative cross-cultural training for
New Colombo Plan students | Asialink Business". Asialink Business.
https://asialinkbusiness.com.au/news-media/minister-for-foreign-affairs-launches-innov
ative-cross-cultural-training-fo.
Department of mines , Industry Regulations and Safety, Government of western Australia.
2017. "Fees And Forms For Limited Partnerships". Www.Commerce.Wa.Gov.Au.
https://www.commerce.wa.gov.au/consumer-protection/fees-and-forms-limited-partners
hips.
Government, Australian. 2017. "Partnership". Business.Gov.Au.
https://www.business.gov.au/Info/Plan-and-Start/Start-your-business/Business-structur
e/Business-structures-and-types/Partnership.
Government, Australian. 2017. "Welcome To The Fair Work Ombudsman Website". Fair
Work Ombudsman.
https://www.fairwork.gov.au/how-we-will-help/templates-and-guides/fact-sheets/minimu
m-workplace-entitlements/minimum-wages.
Graham, Ben. 2017. "Why Australia is ‘The Lucky Country’". NewsComAu.
http://www.news.com.au/finance/economy/australian-economy/how-australia-escapedthe-global-financial-crises-of-the-last-25-years/news-story/ecaf8a34a20ea9ffbec8d69c
d01c3d20.
J. Barro, Robert. 1994. "The Aggregate-Supply/Aggregate-Demand Model". Eastern
Economic Journal20 (1): 1-6. http://www.jstor.org/stable/40325537.
Kokemuller, Neil. 2017. "Why Do Businesses Operate Internationally?".
Smallbusiness.chron.com.
http://smallbusiness.chron.com/businesses-operate-internationally-78226.html
Newnham, Max. 2014. "When Do You Need An ABN?". The Sydney Morning Herald.
http://www.smh.com.au/small-business/finance/when-do-you-need-an-abn-20140406-3
67bo.html.