Overview:
The Better Business Bureau (BBB) was founded in 1912. It is a private, nonprofit organization, whose self-described mission is to focus on advancing ethics and trust between businesses and their customers. The members are adhering to self-regulation. The BBB refrains from recommending or endorsing any specific business, products, or service, to avoid conflict of interest. The BBB has a rating system for its business members. The scale is from A+ to F. The evaluation is based on 17 factors. It analyzes the datapoints and generates a grade to the business. If the business is in good standing, then it will allow the busines to use the BBB logo in marketing materials. The BBB has been a trusted partner in our communities for over 100 years. However, the Circle of Trust has competitors and critics stating that Yelp, Angie’s List and Google Reviews is doing a better job.
Your assignment is to use the SWOT Analysis on page 32 to 39 and analyze the Better Business Bureau. In many ways it is a strategic audit paper. It will give you the opportunity to practice competitive intelligence and conduct a mosaic analysis of internal and external factors. Strategic Audits help business keep their competitive edge in a world where disruptive innovation changes the playing field on a daily basis.
SWOT Outline:
• 1. Cover Page • 2. Executive summary that concludes with recommendations for change. • 3. Current Situation • 4. Corporate Governance• 5. External Environment: Opportunities and Threatso https://www.checkbca.org/o https://www.angieslist.com/o https://www.yelp.com/o https://www.homeadvisor.com/o https://porch.com/o https://www.thumbtack.com/o https://www.trustpilot.com/o https://www.checkbook.org/o https://www.groupon.com/o https://www.ispionage.com/o https://support.google.com/maps/answer/6230175?co=GENIE.Platform%3DDesktop&hl=en • 6. Internal Environment: Strength and Weaknesseso https://www.bbb.org/ o https://www.bbb.org/local-bbb/bbb-serving-wisconsino https://www.bbbtrustscore.org/o https://www.bbb.org/wisconsin/torch-awards-for-ethics/nomination/• 7. Analysis of Strategic Factors • 8. Strategic Alternatives • 9. Implementation • 10. Evaluation and Control • 11. References and Bibliography
SWOT Analysis
1. Current Situation a. Current Performance b. Strategic Posture
• Mantra: 3 to 5 key word slogan• Vision: Who, What, When, Where, Why and How?• Objectives: What are the functional objectives and are they functional for internal and external performance measurements?• Strategies: What policies do we have or need and are they consistent with our vision, mission and objectives?• Plans: What is our to do list and does the work support our strategic direction, objectives and strategies?• How did the corporation perform in the past year overall in terms of return on investment, market share and profitability?
2. Corporate Governancea. Board of Directorsb. Board of Advisorsc. Managers • Who is the board? How many are internal and external? Which board members own shares of stock?• What do the board members contribute to the corporation in terms of knowledge, skills, background and connections?• How long has members served on the board? What is the level of involvement in strategic decisions?• What person or group constitute top management? What is the knowledge, skills, background and style?• Is the top management responsible for corporate performance? How long have they been in their position?• Are decisions made ethically in socially responsible manner?• Are decisions made in an environmentally sustainable manner?
3. Internal Environment: Strength and Weaknessesa. Corporate Structureb. Corporate Culture c. Corporate Resourcesd. Summary of Internal Factors • How is the organization structured? Who has decision making authority? How does it compare to other organizations?• Is the culture defined? What values, expectations and beliefs does the organizations? Diversity?• Marketing, Finance, R&D, Operations, Logistics, HR and IT analysis.• Which of these factors are core competencies? Which are the most important? Which functions or activities can be outsourced?4. External Environment: Opportunities and Threatsa. Natural Physical Environments b. Societal Environment c. Task Environment d. Summary of External Factors • What forces from the environment/environment is affecting the organization? Categorize current and future threats? Opportunities?• Economic, technological, political and sociocultural threats or opportunities?• Rank High, Medium or Low for threats: new entrants, bargaining power of consumers/suppliers, substitute products, rivalry, power of unions?• Rank from High, Medium to Low the most important threats or opportunities for the organization?
5. Analysis of Strategic Factors: SWOTa. Situational Analysis b. Review of Mission and Objectives• What strategies are the most important for the organization now and in the future?• Given the current strategy: does the Mission and Objectives support the current strategy? Do we need to amend the Mission or Objectives?
6. Strategic Alternatives and Recommended Strategy a. Strategic Alternativesb. Recommended Strategy • What changes do we need to implement for Objectives? Stability, growth, retrenchment, cost leadership, differentiation, or other future needs.• What strategies are recommended? Justify your answer? What policies needs to be revised or developed? What is the impact on the organization?
7. Implementation a. Programs and Tacticsb. Budgetc. Operating Procedures• What kind of programs or tactics should be developed to implement the recommended strategy?• Are the programs or tactics financially feasible?• Will new standard operating procedures need to be developed?
8. Evaluation and Control a. Communication b. Performance Review • Is the current information system capable of providing sufficient feedback on implementation activities and performance?• Are adequate control measures in place conformance with the recommended strategic plan?
References:
1.Webmaster. Better Business Bureau. August 29 2020. Wikipedia. September 2, 2020 <https://en.wikipedia.org/wiki/Better_Business_Bureau#:~:text=The%20Better%20Business%20Bureau%20(BBB,the%20International%20Association%20of%20Better>.
2.—. Investor Reporting Framework. September 2 2020. Principles for Responsible Investment <https://www.unpri.org/reporting-and-assessment-resources/investor-reporting-framework/5373.article>.
3.—. US SIF Trends Report. September 2 2020. US SIF <https://www.ussif.org/trends>.
4.SEC Investment Advisory Committee. . 2020. September 2, 2020 <https://www.sec.gov/spotlight/investor-advisory-committee-2012/recommendation-of-the-investor-as-owner-subcommittee-on-esg-disclosure.pdf>.
5.Pope Francis. . 2015. September 2, 2020 <http://www.vatican.va/content/francesco/en/encyclicals/documents/papa-francesco_20150524_enciclica-laudato-si.html>.
6.Webmaster with Better Business Bureau. BBB Trust Score. 2020. Better Business Bureau. September 2, 2020 <https://www.bbbtrustscore.org/>.
7.— with Better Business Bureau. . 2020. BBB Wisconsin. September 2, 2020 <https://www.bbb.org/local-bbb/bbb-serving-wisconsin?gclid=Cj0KCQjwhb36BRCfARIsAKcXh6FSB3o6nZWslT-1MDOWY1ZvNTt_weujgxM_a0SZM_f1_Qp4lDDK5rMaAjJkEALw_wcB>.
8.HEIKKINEN, SARAH. “Can You Trust the Better Business Bureau?” Deal News February 28 2019. September 2, 2020 <https://www.dealnews.com/features/What-Happens-When-You-Submit-a-Complaint-to-the-Better-Business-Bureau/1946621.html>.
