Business Simulation Reflection

Business Simulation Reflection Name Institutional Affiliation Instructor Course Date Business Simulation Reflection Case Studies Case Study 1: Board Member Selection Workwear Group carefully conducted Tim Bult’s appointment as a board member under tense pressure because of the players at stake across different divisions and internal politics within Wesfarmers Inc. The issue was complicated due to the association with the salary limit that the group had to work with. Tim Bult had expertise in the industrial and safety sectors but received a lower salary due to financial constraints. Therefore, other divisions, such as Health Group, took advantage of their proximity to the CEO to argue for the candidate that the candidate should be more. The relationship dynamic illustrated how having the right connections could cause the formation of ill-advised strategic actions that are not economically rational. The Health Group also applied its social capital to influence the selection of the CEO. This particular case showed just how difficult it could be for organizations to balance political capital within their systems with the advice of experts, especially if different units have varying degrees of control over top management. Case Study 2: Strategic Partnership Decision The Workwear Group encountered extra challenges while in negotiations to form a strategic partnership for technological growth with PT San Ika International. The initial plan was to integrate with Coregas and Blackwoods to form mutual service consortia that would offer numerous technological and economic benefits. Regrettably, financial constraints and other business priorities made it impossible for Coregas to invest in their preferred $2 million low-emission technology due to their business plan. This firm stance forced the team to make changes, and ended up with the $1.5 million plans with Bollore Africa Logistics, which meant the initial plan was undermined. This case showed the challenges in the negotiation of budgets as well as the importance of pre-negotiation discussion amongst the various business units on the budget priority. Therefore, there would be no significant degree of strategic concession that might not be aligned with the initial strategic intent of a business. Success in Implementing the Strategic Recommendations PESTEL Analysis The Workwear Group managed to implement the strategy recommendations and liaised with the PESTEL analysis on the identified external environmental factors. Tim Bult’s decision to join the board covered sociocultural and ecological aspects like the increasing desire for safety and ecologically friendly work conditions. Bult was, therefore, able to help the group develop and implement strategies that met both statutory and sustainability requirements. The lower pay at Bult alleviated economic concerns due to Australia’s slow economic growth. This guaranteed the organization’s efficiency with its money while being positioned in line with broader market objectives. Porter's Analysis Porter's Five Forces Model was a tool that helped to determine various factors that contributed to the group's success. Tim Bult classifies the Workwear Group as a company that achieved a competitive advantage by combining supplier power and consumer demand to gain an edge over its competitors. Since Bult had a good understanding of industrial safety, the group could bargain with suppliers to...