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Q1.

Critique the Vision & Mission statements of the organisation


Johnson & Sholes(2008) defines mission & ision as follo!s"
#$ mission is a general e%&ression of the oerall &ur&ose of the organisation' !hi(h' ideall)'
is in line !ith the alues and e%&e(tations of ma*or sta+eholders and (on(erned !ith the
s(o&e and ,oundaries of the organisation. -t is sometimes referred to in terms of the
a&&arentl) sim&le ,ut (hallenging question" .What business are we in?/
$ vision or strategic intent is the desired future state of the organisation. -t is an as&iration
around !hi(h a strategist' &erha&s a (hief e%e(utie' might see+ to fo(us the attention and
energies of mem,ers of the organisation.
EABL WEBSITE
#0ast $fri(an 1re!eries 2imited (0$12) is 0ast $fri(a3s leading ,randed al(ohol ,eerage
,usiness !ith an outstanding (olle(tion of ,rands that range from ,eer' s&irits and adult non
al(oholi( drin+s ($4$5s) reaffirming our standing as a total adult ,eerage (6$1)
(om&an).
7ith ,re!eries' distilleries' su&&ort industries and a distri,ution net!or+ a(ross the region'
the grou&3s diersit) is an im&ortant fa(tor in deliering the highest qualit) ,rands to 0ast
$fri(an (onsumers and long8term alue to 0ast $fri(an inestors.
$s a (onsumer drien ,usiness 0$12 ta+es time to stud) the mar+et and understand
(onsumer needs and !ants as !ell as ho! ,est to satisf) them. 6hat is !h) !e (onstantl)
inest in innoating and renoating our ,rands to sta) at &ar !ith d)nami( (onsumer trends.
6his goes hand in hand !ith our Vision to ,e the most (ele,rated ,usiness in 0astern $fri(a.
Our Purpose:
Celebrating life every day, everywhere.
Our Vision:
To be the most celebrated business in every maret in !astern "frica.
This means attaining the following:
a) 0m&lo)er of (hoi(e
,)5eliering su&erior total shareholder returns
() 9or(e for good in eer) mar+et in 0ast $fri(a
Our Values:
Our Values are at the heart of our business. They form a critical element of our corporate
strategy, influencing the way we wor everyday and everywhere.
We are passionate about consumers. Our curiosity and consumer insights drive our
growth. #e cherish our brands and we are creative in pursuing their full potential. #e are
innovative, constantly searching for new ideas that drive growth and developing them across
the business.
We value each other. #e see and strive for inclusion and diversity, mutually fulfilling
relationships and partnerships and respect for people$s lives.
#e give ourselves and each other the Freedom to Succeed. #e trust each other, we are
open to challenges and we respond %uicly to the opportunities this creates.
#e are Proud of what we do and how we do it. #e behave responsibly with the highest
standards of integrity and social responsibility.
#e strive to Be the best. #e are always learning and improving, we set high standards and
stretch to e&ceed them. #e celebrate our success.
:ier(e & ;o,inson(2011) (on(ur that three indis&ensa,le (om&onents of mission statements
are the s&e(ifi(ation of ,asi( &rodu(t or seri(e's&e(ifi(ation of &rimar) mar+et &
s&e(ifi(ation of &rin(i&al te(hnolog) for &rodu(tion or delier).6his is not (learl) arti(ulated
in 0$12/s mission.<o!eer' it ma) ,e im&lied sin(e missions are not ne(essaril) e%&e(ted
to ,e e%&li(it & do(umented.
0$12 requires to ma+e e(onomi( &rofit for its surial in the future to ,e
*ustified.<o!eer'it defines its mission in terms of (ele,rating life eer)da)'eer)!here.
6his mission needs to ,e (learl) arti(ulated to aoid am,iguit) in ,usiness long term &ur&ose
definition.<o!eer' it is eas) to re(all.
6his 0$12/s mission statement a&&ears to ,e ins&iring ,ut diffi(ult to inter&rete.Sim&le &
(lear mission statements that are eas) to inter&rete (reate more im&a(t throughout the
organisation than (om&le% & detailed ones that are diffi(ult to remem,er.

6he 0$12/S Vision (an ,e modified to ma+e it more releant as stated ,elo!"
#6o ,e the 4o.1 drin+s (om&an) ,) alue & Segment in 0astern $fri(a ,) 2020.
$ !ell 8 esta,lished strategi( dire(tion &roides guidan(e to the sta+eholders inside the
organi=ation !ho are largel) res&onsi,le for (arr)ing it out. $ !ell 8 defi ned dire(tion also
&roides e%ternal sta+eholders !ith a greater understanding of the (om&an) and its a(tiities.
Q2.:0S602 $4$2>S-S
P!'T!( ")"(*'+'
Political ,actors
!"-(.s operations are greatly influenced by the political forces.
" stable east "frican government favours economic stability .'outhern 'udan recent
formation of government provides huge opportunities for growth.
+nfrastructure investments in roads rehabilitation, airports / ports mordenisation within the
region provide opportunities for reducing the cost of doing business.
!conomic ,actors:
" steady !astern "frican economy promises a growing 01P average of about 23.
'trigent ta&ation of alcoholic products hurts industry profitability.
" fast growing population means more people are reaching the legal drining age.
(ow percapita consumption of beer at a region.s average of 4(itres versus the global
average of 52(itres.
)atural gas discoveries in Tan6ania,Oil discoveries in 7ganda,8adagascar / 9enya as well
as oil e&ploration in :wanda is e&pected to fuel upwards the per capita alcohol consumption
rate.
'ocial cultural ,actors:
(ow income levels / a fairly substantial population of muslim community is impacting on
alcohol sales in Tan6ania,'omali ,!thiopia / 'udan.
" growing middle class with a good disposable income is boon for the industry.
Technological ,actors:
!"-(.s appetite for continuous improvement and innovations and has led large capital
e&penditure investments directed towards improving its technological prowess to meet the
changing re%uirements of a growing economy.
0ood mobile penetration levels within the region provide opportunity to reduce the time
taen to maret to the (egal drining age ;(1"< consumer at a lower cost.

!nvironmental ,actors:
The pollution, global warming,loss of biodiversity / habitat as well as depleting water and
energy resources are a cause of concern for all.
(egal ,actors:
!"-( continues to be impacted by the changing regulatory policies e.g. ban of 'achets in
7ganda, "1C" ("#' in 9enya etc
+mplications for threats / opportunities
a<T=:!"T'
0rowing intense competition in 9enya,7ganda / Tan6ania
(iely entry of new beer / spirits competitors in the maret
=igh inflation costs,currency,depreciation,energy crisis / rising interest rates
+ncreased legislation / regulation in 9enya / 7ganda.
7nstable world crude oil prices
+ncreasing operating costs of fuel,electricity / raw materials
b<OPPO:T7)+T+!'
0rowing disposable income among the emerging middle class >population /
increasing consumer affluence.
"ccelerated !"'T ",:+C" CO887)+T* integration process.
Positive economic growth across !astern "frican countries.
0rowing per capita consumption of alcohol within the region.
'table political environment within the region
+mproved infrastructure development
!&pansion into new geographic marets
+nnovation of new premium segment brands.

#5eelo&ing mar+ets remain the engine of olume gro!th for the glo,al ,eer industr). :er
(a&ita al(ohol (onsum&tion (ontinues to rise as dis&osa,le in(omes in(rease and (onsumers
trade u& from informal al(ohol (often s&irits) to &rofessionall) ,re!ed ,eer.
6he ,eer (ategor) remains a er) attra(tie long8term inestment o&&ortunit).
0uro&ean large (a& ,re!ers out&erformed the sto(+ mar+et' as measured ,) the MSC-
0uro&e inde%' ,) 2?@ in 2012' follo!ing an aerage 11@ out&erforman(e eer) )ear for the
last 10 )ears.
:ros&e(ts for future gro!th remain strong !ith olume gro!th &rimaril) drien ,)
deelo&ing mar+ets. -n deelo&ed mar+ets the fo(us !ill ,e on &remium ,rands' ne! ariants
and &ri(ing. 6ogether !ith in(reasing e(onomies of s(ale and effi(ien() saings' these trends
should ensure stead) margin e%&ansion and strong (ash flo!.ALeading beverage analyst
Ma) 201B 1) JC<4 D$C<-;- (1-E 5$-2>)

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