In this task I am going to explain different types of business information, their sources and purposes. I am also going to present a table showing six different types of information the business might use, three internal and external. There are many different types of information such as verbal, written, on- screen and multi-media. Verbal information is pretty straight forward, it allows to share views within the team, quicker discussion and much better understanding than any other sources. It is either face-to-face, telephone conversation or a meeting with a group of people, employees, managers or partners.
Face-to -face and meeting are two of the most popular and easiest ways of passing or receiving information. There is much less misunderstanding when talking to a person and seeing their body movement and reaction to some issues. However, there is a need of making time or budget to see another person, which is not always possible. There are different meetings in John Lewis which are a part of verbal communication. There are staff meetings, management meetings, sales meetings, trainings, budget meetings, marketing meetings etc. Telephone conversations are very useful as they are very quick and normally not very formal.
Written communication, as it says, it is all about writing. In terms of general written communication there are many more different types of it, such as books, newspapers etc. John Lewis focuses on vouchers, posters, emails to its customers, different campaigns, billboards that are a part of marketing, leaflets etc. There are also surveys for the customers to fill out, posters around the shop floor informing about different promotions and offers, one of the most obvious is receipt. There are also marketing materials, application forms, cover letters, CSV’s and invoices.
However, written communication is tot all about words but also all types of numeric documentation, different diagrams, charts and graphs. This documentation is normally kept in the finance and marketing departments. There is also one type of sources that links been written communication and a verbal communication, which is Powering presentation. The slides are a written form but the presenter uses the verbal communication so that everyone can understand what the presentation is about. It is a time to move onto on-screen information. The screens are normally on the shop floor and the wall of e. . Baker Street tube station. This attracts customers, it gets their attention. Once their eyes are on the screens, customers start focus on this particular advert. As most of us know, John Lewis uses screens around the shop floor to keep its customers aware of the offers and promotions. Also to keep them entertained while shopping. John Lewis uses animation, graphics, music and text on the adverts. The next of the types of information is multimedia. The word itself explains many different types of media. John Lewis uses its web site as a multimedia information source.
The web site contains pictures, texts, graphics, video, audio, animation, data etc. It can also stand for a video games or an information kiosk. There are other terms for multimedia such as hypermedia and rich media. Its main activity is to attract more customers. Lastly in terms of business information types, there is a web-based information type. This is one of the most beneficial types of information in terms of multimedia technology. John Lewis uses its web page so customers can also shop online wherever they are and this is very profitable for the organization.
The purpose of information is to the screens above presents a way of keeping employees, partners in John Lewis case, updated in terms of what is going round the business. John Lewis without any guidance would be just as wandering around in the dark. This means that if at any point the team will get to the place they want to be, it is just done by luck rather than good planning. John Lewis uses number of key purposes. Firstly, it updates its knowledge, that means keeping up to date the changes in its markets, and informs future developments.
This means that the John Lewis needs to make sure that it makes the right decisions regarding the products and its sell. Information that John Lewis needs to know are: What the economy is doing? How its markets are developing? How labor markets are changing? What new laws are being passed that might affect the way its trade? All of this information helps John Lewis making the accurate decisions based on full knowledge. Secondly it uses a strategic direction; this is a determining John Lexis’s purposes, objectives and desires level of accomplishment, and SOOT analysis.
SOOT means a strategic planning method used to evaluate the strengths, weaknesses, these are the internal factors. Opportunities and threats which are the external factors, involved in a project or in a business venture. It involves specifying the objectives of the business venture or a project and identifying the internal and external factors that are favorable and unfavorable to achieve specific objectives. Possible strengths for John Lewis could be: Specialist marketing expertise New product or service Location of a store The other aspects of John Lewis that adds value to its products and services.
The weaknesses might also occur, they would be: Lack of marketing expertise A poor quality products and services. When it comes to the external factors, in terms of the opportunity it would be: International market Profits coming from the internet purchases Moving into a different market segments which offer better profits. There are also the threats such as: Competitors (such as Marks&Spencer) Taxation Competition having superior access to channels of distribution. Thirdly, communicating sales promotions and that is promoting products to customers so the sell rate will increase.
John Lewis uses different types of communication with customers so that it promotes the prod cuts and services. It uses posters, TV adverts, weeping etc. It basically uses a variety of information and methods to push its sells targets. The better the information research is, the more customers are attracted in the product and they are being motivated to buy it. Finally, inviting support for activities to achieve market. John Lewis requires and uses information to support its activities. The support for John Lewis is coming either from the outside of it or inside the organization.
Lets say, if John Lewis wanted to change something regarding the way it operates, it would need to get a support from its partners. John Lewis needs to make sure that is passes the right information to its partners so that there is no misunderstanding and there also needs to e a good explanation to why John Lewis needs to make such a decision. There are two different types of sources of information; internal and external. Internal source of information means that the information is being gathered from inside the John Lewis. John Lewis’ finance department produces large range of information related to John Lewis’ performance.
This could be a profit and loss account, cost of running the stores, balance sheet and cash flow information. When it comes to sales department within the John Lewis will need the access to the information about customers, this will include ales record for John Lexis’s services and products. Human resources department at John Lewis in essential and it provides information about staffing, retirement and training within John Lewis. This would be a staff turnover, skills available, number of staff, projection for the organization for future employment and training needs.
John Lewis does not have a production department as it does not produce its products. There is a marketing department at John Lewis which is responsible for giving information regarding results of undertaken research, success of previous marketing campaigns and promotional activities. One of the most obvious departments at John Lewis is obviously a customer service. This department can tell what customers think of a specific product or the entire organization. It also gives information on what was the response from the customer regarding a service. The other source of information is external.
This source is bringing the information from outside John Lewis. The company has the rights to receive the information from the government such as ONES, which stands for Office of National Statistics, Monthly Digest of Statistics which contains the latest month and quarterly business, economic and social data. John Lewis also uses the EDIT which a Department for Trade and Industry. The other part of external sources is trade grouping. These are the groups from retail or the same marketplace that provide a service to representatives Of their industry.
They publish trade journals and these are a very useful resource. Leaders in retail publish the journals for the people who are working in this industry. They also make the excellent research materials. Supermarkets is one of the best journal for the people involved in retail and food trade. John Lewis certainly obtains information retained from a market search which then are gathered in the groups of an age group, fashion style, food market. In this part of the task I am going to evaluate the appropriateness of John Lewis information used to make strategic decisions.
John Lewis is one of the best known Auk’s leading organizations in terms of retail. It has 30 department stores, 9 home stores, its weeping, over 250 Waitress supermarkets, 35 Waitress convenience stores, Waitress’s website and also BOB (business to business) contracts within the I-J and outside of it. As mentioned above, John Lewis does not have employees but partners only. It has over 84, 700 partners and every new employee becomes a partner of John Lewis straight away. This partnership is aiming to ensure that everybody within the company is enjoying the experience of it.
It is all done by sharing the profits, having access to information and it is also a part of democratic process which improves decision-making. John Lewis Partnership Pl and its subsidiary John Lewis have little issues Of preference stock which have first claim of profits. The rest of the profits is used for the benefits of partners and the business itself. Profits are shared between the partners and the Partnership Bonus each year. For the year of 2012/1 3, the partners received 17% bonus as their shares of pre-tax profits. In total it came up to EYE 0. 8 million.
During that time the Partnership traded strongly in a tough market and achieved a massive robust sales and profit growth. Partnership gross sales which include VAT were more than E. 5 billion, an increase of 9. 3% on a previous year. Revenue, excluding the VAT was about ?8. 5 billion, up for 9. 1%. There is also an operating profit which came up to IEEE. 7 million in increase of 15% and the margin increased from 5. 0% to 5. 3%. Moving to the costs of John Lewis, there is a net finance cost, tax and profit for the year. Net finance cost has increased by 8. 5%.
The profit for the year has increased by 1 1. 2%. Prediction for the investment for the next years is quite detailed. This is very important to John Lewis so that the management is aware of everything good so as bad that can come up while making decisions. John Lewis needs to be sure, in terms of the investments, so that the money is not going to waste. It has invested over IEEE million to reflect its strategy of opening new stores, refurbishment of big stores and supporting Omni-channel trading by investing in information technology and distributing infrastructure.
Just like in every other organization, there are many different risks, such as economics, reputation and financial risk. Economic risk speaks about sustainability of a business, whether it has a chance to survive. Financial risk is slightly more complicated because of the different contexts of it. It could be anything starting from credit risk, through foreign currency and capital risk, up to energy risk. One of the m main risks in managing the business is its reputation. It took John Lewis years to build its fantastic reputation.
However, t can take just a matter of really small issue to ruin the hard work. That is the reason why John Lewis cares about its customers. The picture below illustrates how well the organization is doing year by year. The table below shows the six different types of information the business might use, three internal and external. Types of communication Is it internal or external? Why is it appropriate? Face to Face complaints External Once the complaint is made, John Lewis knows what to improve and what to put a pressure on. Emails Internal and external Informs the partners of upcoming meeting.
It informs the customers about he promotions within the John Lewis, whether it is an online or in-store promotion. Trainings internal Provides a larger range of knowledge for the partners of John Lewis so that they are capable of helping customers as much as possible. Annual team meetings Informs the partners of an actual forecast comparing the issues from a previous year and setting objectives for the actual year. Press releases external Provides information to the potential customers regarding the products, services and also the cash-flow forecast from the past year. Allows competitors to see what offers does John Lewis do.