New Rose Blossom

New Rose Florist

Naicss 453110:Florist Industry

Global Environment

Mission is to provide customers with beautiful, high quality bouquets and flower arrangements, made with fresh pesticide free organic flowers

Use a differentiation strategy

2

Global Environment

Competitive advantage achieved through:

Differentiation by producing organic, pesticide free bouquets and flower arrangements

Experience differentiation

Cost

Response → bouquets delivered quickly

3

Global Environment

No international expansion plans in the 5 year long term forecast

After 5 years, may consider cross-border delivery

4

Project Management

•Project planning, scheduling and controlling are important phases of any project in any business as they allow our managers to efficiently complete projects.

•Efficiency is clearly derived from making sure that all the phases in a project are effectively develop and applied.

•We make sure that when we plan we are specific about the project requirements and goals.

•We also form a project organization to tackle projects as well as a work breakdown structure to break down the project’s tasks into more manageable activities.

Example, conference or wedding.

5

Project Management

In the scheduling phase…

•Enough time is allocated for each activity as well as enough resources.

•We make a Gantt chart to be able to know exactly how many resources need to be allocated to the project.

•Furthermore, by utilizing a Gantt chart management is able to graphically see the progress of the activities in the project and make sure that they are followed as intended and finished on time.

6

Project Management

In the controlling phase…

•the critical path method to enable us to control resources more efficiently as it shows us which activities if delay will delay the whole project.

•If projects are delayed the costs are higher as more resources are needed to complete it.

7

Forecasting

Forecasting Time Horizons

Short-Range

Medium-Range

Long-Range Forecast

How they relate to HR, Capacity, and Supply-chain.

Forecasting is the categorized according to the length it covers. The medium range forecast for us is 3-18 months.

8

Forecasting

Valentine’s Day is busy time for us:

We need to forecast demand, staff, and material. Four employees will work.

Forecasted revenue . It is expected that units sold in January will be 350 with revenues of $31,500. Sales in February will increase to 750 units and revenues of $78,750. Sales in March will drastically decrease to 300 units and revenues of $27,000.

Business will be grown at a continuous pace of $500,000 a year. Expansion of online presence, other shops in Vancouver within 5 years. Florists make around $500,000 in revenue a year.

9

Forecasting

Will enable us to have enough raw material and personnel to make the arrangements at all times in order to satisfy customer needs and increase profits.

Four employees would make up our management team. 13 employees would be permanently working at the shops. Their duties would include helping customer, taking orders, putting together the custom arrangements and fulfilling orders, keeping the store clean, and restocking the store. Four employees would be responsible for delivering the arrangements. The remaining four employees would in charge of placing the arrangements the venues. These operations would allow it to reach revenues worth $2.5 million in the five-year period.

10

Managing Quality

International quality standards

Register as an ISO 9000 company

9-18 months of audits, site assessments, and documentation of quality procedures to become certified

planning for potential future international expansion

Register as an ISO 14000 company

focus on environmental impact through use of organic, pesticide free flowers

11

Managing Quality

Follow Deming’s 14 points in implementing quality control

continuously improve bouquets, productivity, and services they provide

Follow DMAIC to ensure total customer satisfaction

Use quality circles to solve problems and promote employee empowerment

Benchmarking

Utilize JIT

12

Managing Quality

Use check sheets to tally defective flowers received

Use pareto charts to organize their errors, problems, and defects

Use flowcharts to outline their process for creating bouquets

13

Process Strategy and Sustainability.