Waterside Boarding Kennels

Environmental Analysis – Business Management

1 Executive Summary

This report reflects an environmental analysis of Waterside Kennels.Co To write this report I looked into internal and external environments of the company using the SWOT,PEST and Porters Five Forces tools. This report offers opportunity of improvement and reflections of the threats which may occur within the Waterside Kennels.Co

2 Title

An Environmental Analysis of the Waterside Kennels.Co

3 Terms of Reference

On Wednesday day 16thSeptember 2009 the Business Management Tutor Ms Karen Abberton requested a report on Environmental Analysis of a Company of Work placement to comply with the requirements of the FETAC level 6 Business Management.

I choose Waterside Boarding Kennels where I am doing work experience.

This report is to submitted by 15th December 2009.

Recommendation were requested.

4 Method of procedure

In order to obtain relevant information the following procedures were adopted to acquire the information in the report:

* Waterside Kennels Co.

* Website research

* College handouts

5 Findings

5.1 History of the Company

Waterside Kennels is a solo proprietorship founded and owned by Fred Quinn, established 5 years ago in North Co. Dublin on the old N2 road.

5.1.1 Type of work carried by Waterside Boarding Kennels

Every pet should have a good home but if you are going to be away for a while because of business or a holiday, your pet still needs the proper care and handling until you come back from an out-of-town business meeting or holiday. The best way to do this is to get in touch with a pet care and boarding business which can help your cat, dog or other pet. When you choose a pet care and boarding business you want the best care for your pet while you are away from home. The goal is to get a pet care and boarding business that feels close to the comforts of your home. Your pet will feel more comfortable in an environment that resembles your home environment and won’t experience anxiety if you must leave for a few days.

At Waterside Kennels, we specialise in caring. Whether it is providing a happy holiday home for pet, training dogs to be a socially acceptable companions or advanced competition dogs the owner’s peace of mind and a contented pet is our prime concern.

The Waterside Kennels is able to offer this specialized attention because they are equipped very well. When customers leave their dog at the Waterside Kennels it is surrounded by people all day, has its own bed and is taken for walk twice a day and has an eleven acre of grassland fenced in backyard to explore. The Waterside Kennels is a superior alternative to a Kennel because the dog gets attention all day, have plush facilities and have ample opportunities to exercise.

5.1.2 Organization Structure

Pet care and boarding services include a wide range of full or part-time employment opportunities for people that want to provide care for animals on a temporary basis. Services such as boarding, grooming, house sitting and training pets are a part of lucrative market especially to people that have experience in pet care and boarding services.

Waterside Kennels is a flat company administrated by Fred Quinn

The organisational structure of Waterside Kennels is the follow:

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From the chart above we can see that Waterside Kennels Co is managed by Fred Quinn who at the same time is in control of finances and is in top of all departments.

John Lynch is responsible in training the dogs.

Kevin Hogan is in charge of caring the dogs and cleaning the kennels. At my request to get work experience placement Fred Quinn positioned me in advertising department , and ask me to do a research what are wants and needs of people with pets on this period of time. Veterinary services for Waterside Kennels provides Veterinary Clinique from Asbourne on request.

5.1.3 Capability

Waterside Kennels buildings is zoned perfectly on 11 acres of grassland, and has ability to host more than 60 dogs at the same time.

Company provides services, such as grooming, training or doggy day care.

Waterside Kennels is open all year round for boarding for dogs, cats and small animals and can also offer a collection and delivery service for you.

Company is capable to take in consideration every needs of each individual customer.

5.2 SWOT

SWOT is an abbreviation for Strengths, Weaknesses, Opportunities and Threats.

SWOT analysis is an important tool for auditing the overall strategic position of a business and its environments.

The following SWOT analysis captures key strengths and weaknesses within the Waterside Kennels and describe the opportunity and treats that facing the company.

Strengths

Ø Strong relationship with the Human Society and local breeders.

Ø Ample time to dedicate to the care of the animal

Ø Ideal facility

Ø High customer loyalty

Weaknesses

Ø Lack of visibility in the community

Ø A limited marketing budget

Ø A limited access of Dublin customers

Opportunities

Ø Growing market with a significant percentage of the market still not aware that the Waterside Boarding Kennels exists

Ø Fixed cost that is reduced when spread over multiple animals.

Treats

Ø A slump in the economy that will reduce people’s discretionary income, thereby, reducing their opportunity to travel

Ø New competitors realising the true market potential

5.3 PEST

The PEST analysis is a useful tool for understanding the “Picture” of the environment in which you are operating and the Opportunities and Threats that lie within it.

By understanding the environment in which you operate (external to your company) you can take advantage of the opportunities and minimize the threats.

The PEST is used to describe a framework for the analysis of a range of macro environmental factors including the Political, Economical, Social and Technological.

By using the following PEST method I will look at some of the outside factors which affects Waterside Boarding Kennels.

Political

* Introduction of water charges levy. This introduction affects the company budget as it will cost 800 euro a month.

* Introduction of more strictly regulation such as waste, fire, health and safety make the company to spend more money to be in line with this regulation.

Economical

* Downturn in the economy affected people’s ability to travel. The company relays on holidaying people.

* Interest rates increasing leaving the company to struggle whit the monthly repayments. The company borrowed from the bank 300.000 euro to develop the business.

* Increase in unemployment. With no jobs people care for their pets themselves.

Social

* Life style changes in the last 3-4 years many people moved to live in Dublin.

* The customers are 30-60 years.

* Increase in unemployment is a big issue for the company

Technological

* Company is using website for advertising

* At all the time supervision by developed technology

* Working on project of modifying the locking system on the kennels which will allow to close and open the door automatically in case of Health and Safety (Fire, Flooding)

5.4 Porter 5 Forces

Michael Porter has identified five forces that are widely used to assess the structure of any industry. Porter five forces are:

Ø Bargaining Power of Suppliers

Ø Bargaining Power of Buyers

Ø Treats of New Entrants

Ø Treats of Substitutes

Ø Rivalry among Competitors

Together the strength of the five forces determines the profit potential in an industry by influencing the prices, costs and required investments of business. Stronger forces are associated with a more challenging business environment.

Scanning Waterside Boarding Kennels I remarked the follows:

Ø Power of suppliers for Waterside Boarding Kennels is low. It is easy to switch from one supplier to another.

Ø Power of buyers is medium. In boarding business customers like to stay with the same company as they feel their pets are happy.

Ø Treats of new entrants is medium. Depends on how much the entrants will invest. Waterside Kennels invested, (for boarding business ) a lot of money and try to have a high standard of services. For five years period the company acquired a good reputation. Customers are loyal to our company.

Ø To reduce the treats of substitutes we are staying closely in tune with customers preferences.

Ø To look at competitive rivalry whiten boarding industry in Ireland, I did a research and realised there were many boarding businesses. The Waterside Kennels have low rivalry as there no other boarding business in the area.

6 Conclusion

Waterside Boarding Kennels Co. is very well placed on N2 road with new ideal facilities.

The owner invested a lot of money unexpecting the downturn in economy which affected the company. This company must to do a research on their needs/wants. In my view, boarding business is like any businesses have to have strategies. There is still a lot to be done. At the moment company operates for local customers. It is time to expand coverage. I am optimistic on this company future. Not many people will turn away from their love pets.

7 Recommendations

My recommendations Waterside Boarding Kennels are the following:

* Review the company strategies.

* More advertising

* Organise events

* Clear signs for directions(location)

* Coffee machine for customers

* Collecting rain water for cleaning will reduce water charges bill

* Employ volunteers who can come with good ideas

8 Bibliography

Waterside Boarding Kennels company.