AssessmentHospitality and Management Assessment 2 Instructions Please respond to all the following questions. You can write your answers under each question directly. You might have to undertake the appropriate research to answer these questions. SITXCCS007 - ENHANCE CUSTOMER SERVICE EXPERIENCES Short Answer Questions Question 1 What is active listening and why is it an important part of providing an enhanced customer service experience for customers? Active listening is a communication technique used in counseling, training, and conflict resolution. It requires that the listener fully concentrate, understand, respond and then remember what is being said. Active listening is an important because it demonstrates courtesy and respect for the customers. Also, you might learn something new anf encourage further communication. Question 2 Identify and describe at least three techniques that can be used to anticipate customer preferences, needs and expectations. Provide an example of each. There are a variety of ways in which you cab anticipate customer preferences, needs and expectations. In some cases, you will deal with return customers, when this is the case you can use their past history to allow you to make an educated guess about what they want, need or expect. For example, you might remember that Mr and Mrs Jones have an Irish coffee at the end of their meal. Prior to asking them if they are ready for their invoice you might go to their table and ask whether they would like you to bring them an Irish coffee. It has the added benefit of making customers feel that they are valued by the organisation as they have been remembered. Sometimes you cab use demographic trends to anticipate customer preferences, needs and expectations. These might relate to your customers’ age, gender or social and cultural characteristics. For example, you might discuss a customer group’s need for kosher food due to the fact they are orthodox Jews. Knowing this you could recognize that your customers will probably want to finish their meal in time and to allow them to drive home for @NIET Version 1.0Page 1 of 84 Assessment Sabbath(when orthodox Jews are not permitted to drive)/ You could guess that a customer group containing several children might interest in colour pencils and puzzle books. You should use your skills in observation to anticipate customer preferences, needs and expectations. You might see a customer group decked out in football jersey, scarves and hats arrive at your hotel shortly before a football match. It is likely that these customers want the television channel changed so they can watch the game. In some cases, you simply need to use your common sense. A customer who has ordered a bottle of sparkling wine is likely to expect an ice bucket. A customer who is wondering around your hotel wearing sports clothes looking lost and might need directions to het to the in-house gym. When considering the needs, wants and expectations of your customers consider those with special needs. A customer who uses a wheelchair might need assistance to access the lift. A customer with vision impairment might need you to read the items on the menu to them. A woman with a small baby could need a private location to breastfeed a child or use of facilities to allow her to hear formula/milk. Question 3 How can negotiation be used to resolve conflict? Identify at least five negotiation behaviours. There are five long-recognized styles of negotiating which characterize both approaches to resolving disputes or making deals and the default approach taken by each individual to negotiating. These styles can be thought of as means for achieving negotiated outcomes as well as a categorization of individuals negotiating. Avoiding Primarily concerned with avoiding intra-personal conflict Is useful when the the stakes of a negotiated outcome are not worth the investment of time or the potential for igniting conflict Characterized by sidestepping, postponing, and ignoring the issue or situation Effective when avoidance of the situation or issue does not greatly affect the relationship and short term task is not important to either party Accommodating Primarily concerned with the relationship between the parties Easily gives the other side concessions in hopes of strengthening the relationship, but often gives away too much too soon Tend to neglect their own needs in favor of helping the other side get what they want Effective when long term relationship is important and short term task is not important Compromising The style falling between accommodating and competing Useful when time is a concern or there is a strong relationship between the parties Requires concessions from both sides to find agreement Does not focus on legitimate or fair standards for settlement and instead utilizes “Meet in the middle,” or “Split the difference” solutions Collaborating Focuses on using problem solving methods to create value and discover mutually satisfactory agreements Utilizes the creativity of both parties to find solutions to both sides’ interests @NIET Version 1.0Page 2 of 84 Assessment Tend to be assertive about their needs and cooperative with the other side Effective when long term relationship is important and short term task is important Competing Primarily concerned with achieving their own goals regardless of the impact on others Views negotiation as a win/lose rather than a problem solving activity Often utilize manipulative tactics such as attacks, threats, and other aggressive behavior to achieve their objectives Effective when long term relationship is not important and short term task is important Question 4 What is the value to a business of feedback from customers about their customer service experiences? Customer feedback is so important because it provides marketers and business owners with insight that they can use to improve their business, products and/or overall customer experience. The following are the top six reasons why customer feedback is important to your business. 1. It can help improve a product or service 2. It offers the best way to measure customer satisfaction 3. It provides actionable insight to create a better customer experience 4. It can help improve customer retention 5. It delivers tangible data that can be used to make better business decisions 6. It can be used to identify customer advocates Question 5 @NIET Version 1.0Page 3 of 84 Assessment What is cross-selling and how can it be used to encourage customers to purchase add-ons that might enhance their experience. Provide five examples of add-ons that customers in a restaurant might be encouraged to buy. Cross-selling is a sales tactic aimed at generating more sales by suggesting additional, related or complementary items to a buyer who’s already committed to making a purchase. The examples of add –ons that customers in a restaurant might be encouraged to buy: Desserts Tea and coffee Garlic or herb bread Cocktails and liqueurs Bottled water Question 6 What is an organisation’s customer database? How are they used/ what type of information is entered into them? Why are they useful? Customer Data Management (CDM) is a solution mechanism in which an organization's customer data is collected, managed and analyzed. CDM is geared toward resolving customer requirements and issues while enhancing customer retention and satisfaction, allowing an organization to convert customer data into Customer Intelligence (CI). Databases can be organized in many different ways, and thus take many forms. The most popular form of database today is the relational database. Popular examples of relational databases are Microsoft Access, MySQL, and Oracle. A relational database is one in which data is organized into one or more tables. Each table has a set of fields, which define the nature of the data stored in the table. A record is one instance of a set of fields in a table. To visualize this, think of the records as the rows of the table and the fields as the columns of the table. In the example below, we have a table of student information, with each row representing a student and each column representing one piece of information about the student. Why use a Database? Keep all your customer details up to date and easily manageable Retain existing customers and build loyalty by providing a personalised service and communication Generate referrals from satisfied customers Follow and track potential customers easily Question 7 What will be contained in organisational policies and procedures relating to compensating customers who have made complaints? @NIET Version 1.0Page 4 of 84 Online promotions 2. all of the staff might be authorized to offer a free drink to customers who have had a drink spilt on them. @NIET Version 1. Customer complaint Compensation Double bookings/ taking reservations when fully booked Discount voucher for later date Long wait periods Complementary products (free tea or coffee while waiting). travel or tourism industries promote products and services? There are two different ways for the hospitality. travel or tourism industries promote products and services: 1. For example. However. Reward systems and loyalty programs Question 9 Complete the table by identifying a method of compensating a customer who has made the commonly listed complaints. late checkout Drinks spilt on customer Free drink Poor quality product/ service Partial refund Question 10 What constraints might hospitality. tourism and travel staffs have on them in terms of proactively offering compensation to customers for service difficulties? Provide at least three examples. only the manager might be authorized to compensate a customer with complementary dinks for an entire evening Question 8 What are two different ways that the hospitality.0Page 5 of 84 .Assessment Most of the organisations will have policies and procedures that set up the objectives and process for compensating customers for product or service difficulties. They also identify who is responsible for approving compensation. Compensation policy and procedures 3. 1. Verbal feedback 2. To determine customer preferences. To verify the meaning of what have been said 5. Question 12 What types of feedback would you expect to observe when a person is receptive to suggestive selling? Provide at least four examples. The purpose of using questions is: 1. Costs and budgets 2. hearing or vision impairment. To reinforce with the customer your interest them 3.DEVELOP AND MANAGE QUALITY CUSTOMER SERVICE PRACTICES Short Answer Questions Question 1 How do principles of customer service change when customers make high value purchases? @NIET Version 1. Profitability of intended sale Question 11 What special needs might you have to take into consideration when communicating with customers? Provide at least two examples. 2. 1. To encourage the speaker to keep talking 2. Language (e. Body language 4. Eye contact Question 13 For what purposes can questions be used? Provide at least five examples.g.0Page 6 of 84 . physical impairment. psychiatric disability. not familiar with service-specific jargon and acronyms).Assessment There are three examples of proactively offering compensation to customers for service difficulties: 1. and attention deficits). non-English-speaking backgrounds. Non-verbal feedback 3. Disability (including but not limited to intellectual impairment. needs and expectations SITXCCS008 . To add background or detail to what has been said 4. learning difficulties. Question 3 What are the roles and responsibilities of managers in the provision of quality customer service? Managers share responsibility for developing quality customer service practices. you’ll be able to understand when. administrative policies. wars and currency devaluation eventually trickle down to most commercial enterprises. at some time. continuous improvement and customer service. 1. complaint handing procedures and accurate advertising.0Page 7 of 84 . Other responsibilities including: Acting as role models and mentors for staff Complaints Initiating staff training Customer service training Question 4 Identify five trends in the external environment affecting the way organisations do business and provide customer service. They must also demonstrate that they have all the relevant insurances in place and comply with regulatory requirements. managing the delivery of quality service and monitoring and adjusting customer service practices to meet business objectives. @NIET Version 1. When done right. business practice. To achieve quality assurance scheme accreditation businesses must demonstrate their ongong commitment to business development. Economy The global economy is one of the biggest external factors that will. affect your business. By integrating loyalty data into your delivery providers and personalization tools. Question 2 How does accreditation help to build professional industry standards? Accreditation assists businesses to improve the quality and consistency of their products. Businesses assess on customer service. personlisaed touched to interact with them across multiple channels. terrorism attacks. work processes and efficiency which in turn increases customer satisfaction and confidence.Assessment Reward for cusomters loyalty. services. presentation and provision of facilities. loyalty programs remove barriers between your customer and their purchases and streamline their shopping experience. Doing so can empower the customer with a sense of agency when they realize that their actions have a direct impact on their experiences with you and what services you can offer them. Market fluctuations based on politics. how and why high-value customers access your site and design useful. and in the coming weeks. 2. Government regulations such as those that affect the environment or communication are beyond your control and could have a direct impact on your business. @NIET Version 1. Changes in the local infrastructure may prove either disastrous or fortuitous to your company. 5. 3. Interest rates. Weather If man could control the weather. Cigarette manufacturers learned this lesson when public smoking was outlawed in many areas and smoking indoors has become practically nonexistent. User activity 5. Storms. the availability of credit and consumer loans are external factors you rarely can control. measure. hurricanes and wildfires are outside your purview of controllable business factors. but eventually they may affect your ability to continue doing business. restaurants.0Page 8 of 84 . Introduction content – Include relevant contact details. tornadoes. manufacturers and other businesses that rely on a location for success. Laws State. highway construction and housing development are particularly important to retail establishments. Finance Wall Street and the solvency of big banks and financial institutions may not seem to have much to do with your business. 4. intent of survey. privacy notification and instructions.Assessment 2. and evaluate customer satisfaction. local or federal changes in the laws can have a direct impact on your business if the service or product becomes highly regulated or outlawed. In addition to the direct impact a storm may have on your ability to open your doors at any given time. Feedback boxes 3. What methods can be used to survey customers? What are the components of an effective survey? How should the data received be used by the organisation? Here are the 5 best ways to get consistent (and high quality) feedback from your customers: 1. I will focus on each item in list and provide additional ideas for how to make your survey a success. Question 5 Customer satisfaction surveys can be used as a research tool to monitor. Reach out directly 4. 1. Infrastructure Zoning laws. vacation resorts would know exactly when to charge the highest room rates. widespread weather events often carry a substantial trickle-down effect to a wide range of businesses. Surveys 2. Usability Tests They use a 7-point checklist at the start of each survey to assess what I want to include in the survey and how it will affect the data. Colors and logo – Brand the survey design to your company’s look and feel. This post introduces the checklist. 5. Procedures are specific. Question 6 How does the development of customer service policies and procedures contribute to the provision of quality customer service? Organisations develop policies and procedures for a variety of reasons.Assessment 3. It should be designed as a series of steps to be followed as a consistent and repetitive approach or cycle to accomplish at the end of result. Policies must comply with legal requirements. A policy is a guiding principle used to set up a direction for the organisation. edit the error messages accordingly). Closed ended questions can take the form of yes/no. to comply with legislation or in response to concerns from stakeholders or to change workplace behavior. Make sure your questions get to the point and avoid the use of jargon. Policies and procedures are important because: they are a legal requirement under various workplace legislation identify and minimize risks etc. slang or acronyms.0Page 9 of 84 . for example. factual. golas and management philosophies of a business. adjust the question placement and spacing for a clean look (more/less white space) so it’s easy for your respondents to complete your survey. making it easier to analyze results. 7. It should be used to guide and facilitate decision-making within the framework of the objectives. There are many ways to collect information on your customers. Policies can range from broad philosophies to specific rules. 4.g. 6. succinct and to the point. @NIET Version 1. Do you want respondents to return to your site? Do you want the window to close? Include final information and thank the respondent. A procedure details the action to betaken to address the policy. Survey content – Create question types based on what you want the data to look like or do. Pre–test your survey – Make sure you pre–test your survey with a few members of your target audience and/or co–workers to find glitches and unexpected question interpretations.g. use Text Validation (e. multiple choice or rating scale. Yes or No).. Survey finish option – Decide how do you want the survey to end. including: order forms enquiries complaints warranty cards customer rewards programs customer satisfaction surveys feedback cards customer competitions your website. Use closed ended questions whenever possible – Closed ended survey questions give respondents specific choices (e. Polish the design – Apply the Required Answer feature. 2. However. Furthermore. Question 8 Identify and briefly describe at least five examples of quality assurance schemes. you can use their feedback to improve your product or service. including: Has this happened before? Have the complaints been recorded? How often does the same compliant arise? Is there a pattern to this complaint in how it was received? Has the same customer reported this previously? By answering these questions. customers have more power than ever. you can investigate and improve to prevent further complaints in the future.Assessment Question 7 How can complaints be used to good effect by organisations? Why should they be monitored. if you are currently working on a solution. research finds that customers’ whose complaints are handled quickly can often turn into loyal customers and even brand advocates. in detail. Or. they will share this experience with friends. you can create an email template for support that explains. According to research by Esteban Kolsky. he or she is voicing a concern in relation to your product or service. not all complaints are to be treated equally and there are several questions to ask yourself before you take action. And for customers that don’t complain.0Page 10 of 84 . how are you going to solve it. @NIET Version 1. For example. Furthermore. reviewed. categorize and handle customer complaints. employees or internal processes. yet you still receive complaints from your customer base. There is a silver lining here: A customer complaint highlights a problem. Complaint Analysis Complaint analysis is used to track. a customer complaint can become very profitable when you can resolve their problem. you can take the necessary steps required to prevent them from happening again. family and connections. if several customers complain about a specific issue. whether that’s a problem with your product. 13% of unhappy customers will share their complaint with 15 or more people. All at zero cost. recorded and analysed? In today’s Internet-driven world. Advanced product quality planning (or APQP) is a framework of procedures and techniques used to develop products in industry. particularly the automotive industry. Hatchery Quality Assurance Scheme (HQAS) accredits NSW fish hatcheries for the production of native fish fingerlings for recreational fishing enhancement stocking programs and aquaculture production. When a customer makes a complaint. If customers have a positive customer experience. and by hearing these problems directly from your customers. Simply put. only 1 in 26 unhappy customers complain directly to you. which in turn can lead to new business. they just stop doing business with you. Your customers will complain. 1. But what happens if you fail to provide a positive customer experience? The answer is simple. marketing and advertising.MANAGE FINANCES WITHIN A BUDGET Short Answer Questions Question 1 List 10 types of financial records that can be used to assist with financial management within a budget. SITXFIN003 . ISO 9001 deals with the requirements that organizations wishing to meet the standard must fulfill. For example. Product quality 3. warranties. 1. Pricing and service guarantees 4. 5.Assessment 3. Response times 2. Banking summaries @NIET Version 1. price fixing. Capability Maturity Model Integration (CMMI) is a process level improvement training and appraisal program. Question 9 What topics might be included in customer service policies and procedures to ensure quality customer service? Provide at least three examples. 4.0Page 11 of 84 . including the seven quality management principles upon which the family of standards is based. A measurement systems analysis (MSA) is a thorough assessment of a measurement process. Bank statements 2. unconscionable conduct and other issues. It convers areas such as . and typically includes a specially designed experiment that seeks to identify the components of variation in that measurement process. Complaint and dispute management Question 10 What is the intent of competition and consumer legislation that applies in your state/ territory and how does this influence service delivery? Response should refer to relevant competition and consumer legislation. The ISO 9000 family of quality management systems standards is designed to help organizations ensure that they meet the needs of customers and other stakeholders while meeting statutory and regulatory requirements related to a product or program. such as advertising. returns. It covers anti-competitve conduct. ISO 9000 deals with the fundamentals of quality management systems. 1. contracts. refunds. competition and consumer legislation aims to give businesses a fair and competitive operating environment. The legislation also sets out consumers’ rights and responsibilities. 0Page 12 of 84 . Stock levels 9. Occupancy rates and financial return 14. Merchant statements 9.Plan your organization or company event 5. Sales performances 12. Transaction reports 6. Cash flow 2. Commission earnings 4. 7. Daily. daily. 1. Yield 10. Event budgets . Merchant summaries 10. Covers and financial return 5. Expenditure 6. 1.A sales budget is an important first step in structuring an overall budget for your small business. Project budgets. or piecework basis Question 3 List 15 considerations in the preparation of financial or statistical reports. Staff costs 8. Commercial account activity 3.Plan your orgnaisation projects 6. Invoices 5. Cash budgets . Sales returns 13. 4. Sales budgets . Income 7.Assessment 3. 2. Wastage 11. Departmental budgets . Cash flow budgets . Journal entries 8.It establishes how much money is needed and when it will be needed 3. weekly and monthly transactions @NIET Version 1. Bank deposit documentation Question 2 List and briefly describe seven types of budgets.A departmental budget allows the firm to analyze the costs and expenses related to a certain department and whether the firm's income is sufficient to meet these expenses. Credit card transaction statements 7. Cheque books 4.The cash budget contains an itemization of the projected sources and uses of cash in a future period. Wage budgets .a payment usually of money for labor or services usually according to contract and on an hourly. Since there is nothing to compel company owners to spend all of the funds allocated to each line item. ultimately choosing the approach that will produce the greatest level of benefit. a rigid budget that does not allow for any adjustments may work quite well. choosing between a fixed and flexible budget may involve structuring a budget that makes it easier to transfer funds from one line item to the next. utility costs. @NIET Version 1. and labor is important to the process. In contrast. Since the ability to adapt is important in deciding between a fixed and flexible financial strategy. making it possible to transfer funds from one item to another if the need should arise. Creating the ideal budget arrangement will involve considering both a fixed and flexible budget strategy. a flexible budget does provide some room for shifts in allocations to different line items. it is possible to use a fixed budget approach and achieve a balanced budget for the year. assuming the income level and the reserves of the business are sufficient to used what is known as padding for each of the line items. when and as certain events occur. taxes.0Page 13 of 84 . When considering the merits of both the fixed and flexible budget. Budget line items will include allocating funds for raw materials. and use that difference to cover increased labor costs. there is no one right choice that fits every situation. labor costs and other expenses that may or may not change at some point during the year. projecting possible shifts in generated revenue. Depending on the type of business operation involved. As the names for the two strategies imply. It is still possible to go with a fixed budget even if there is anticipation of some changes. this makes the flexible budget approach more practical. since the same amount of money is involved.Assessment 15. there is a key difference between them that must be well understood before making that final choice. Doing so will provide the best possible working platform for managing company finances and improve the chances that all resources are used to best effect. If the company currently has vendor agreements in place that guarantee pricing for raw materials and utilities as well as contracts that prevent changes in labor costs for that period. effectively creating a financial cushion that can be called upon if needed. While the two budget types share a number of characteristics. Since not every company has surplus to devote to each line item. Budget planners must realistically consider the circumstances surrounding the operation and plan the budget accordingly. Performance of department. such as the next calendar or fiscal year. One of the easiest ways to understand this key difference between a fixed and flexible budget is to consider a company owner that is preparing an operating budget for an upcoming accounting period. Since most businesses cannot guarantee at least some shifts in operational costs. utilities. the flexible budget would make it easy to move funds set aside for raw materials if lower rates for those materials are negotiated. allowing for at least some flexibility is important. Businesses benefit from creating a budget that helps to control how income is spent. The overall budget remains balanced. the single most important difference between a fixed and flexible budget is that the former does not provide any room for making changes to budget line items when and as various events or circumstances change. project and / or products and services Question 4 Explain the difference between fixed and flexible budgeting and explain how budgets are used to allocate resources for business operations. Padding is simply choosing to increase the anticipated allocation for the line items by a certain percentage. For example. ratios may be expressed as the ratio. what procedures should be followed when collecting data to inform budgets. industrial buildings or equipment. depending on your own preference. The procedures: Consult with staff to identify needs and changes in income and expenditure priorities collect data and ideas from the various cost centres bring down draft budget and present it so that feedback can be given consult and inform all relevant personnel in relation to resource decision Promote awareness of the importance of budget control Maintain detailed records fo resource allocation according to organisation control systems Question 6 What is ratio analysis. A sales budget is an important first step in structuring an overall budget for your small business. To provide useful meaning. or CapEx. how can it help in measuring business performance and setting objectives/ goals and how can you ensure accuracy when collecting data for drawing up financial and statistical reports? Ratio Analysis is a form of Financial Statement Analysis that is used to obtain a quick indication of a firm's financial performance in several key areas.Assessment Question 5 Explain the purpose of each of the following: a cash flow budget. Theratios are categorized as Short-term Solvency Ratios. in general terms. are funds used by a company to acquire or upgrade physical assets such as property. bimonthly. and Market Value Ratios. In financial analysis. Capital expenditure. It is often used to undertake new projects or investments by the firm. Profitability Ratios. Commonly used financial ratios Your first decision will be which financial ratios to use. Estimates can be made monthly. a capital expenditure budget. or quarterly. A cash flow budget is an estimate of all cash receipts and all cash expenditures that are expected to occur during a certain time period. Debt Management Ratios.e. Asset Management Ratios. The most common categories of ratios are: profitability .use gross profit margin and net profit margin ratios as 2 key indicators of business performance and likelihood of success @NIET Version 1. a sales budget and explain. a small business owner makes well- informed decisions. trend analysis) the results by other competitors (if these are available) industry benchmarks or general business standards budgeted results the effect of economic conditions. With an accurate projection of future sales. financial ratios need to be compared with.0Page 14 of 84 . and can include nonfarm income and expenditures as well as farm items. A ratio is a means of relating one number to another. for example: the trend of your results over the past year or so (i. keeps expenses in line and protects his company from failing. rate or percentage. terminology is inextricably linked with specialist knowledge and hence with special languages or languages for special purposes (LSPs). formulae. such as translation and technical writing. Do some research and identify and provide descriptions for terminology unique to your industry. end up associating it with "thermal science" and hence radiators. words. and work out how solvent the business is in the short to medium term risk and return .use these ratios to judge how successful investment in your business is. Question 8 What financial reporting cycles can be used by an organisation? @NIET Version 1. drawings. Non-financial ratios Non-financial ratios can also be important to your business. Thus many people simply have no idea at all of what it is. Learn more about non-financial ratios. proper terminology is concerned with the relationship between concepts. etc.0Page 15 of 84 . a designation does not necessarily have to be a word or phrase. A common problem of terminology work is that the importance and indeed the very nature of terminology is poorly understood. searching for an explanation of some sort. This will help you assess productivity by comparing your performance to other businesses in your industry. codes. This point is especially important given the move to multimedia systems.Assessment cash flow and liquidity . rather than with designations alone or with the objects they represent. although it often is.use these ratios to identify overstocking or deficiencies in your production or marketing strategies. and what effect further investment may have in specific parts of the business stock turnover and sales . Staff turnover and client satisfaction are examples of non-financial factors you may want to examine. Secondly. Question 7 Each industry has financial terminology unique to it. will often be aware of the word without having precise knowledge of what it entails. Thirdly. Three major points need to be made here: Firstly.use these ratios to assess the amount of working capital you have in your business. you can use them to benchmark your business. especially with synonyms and in multilingual environments. or even instead of. as well as. When you have started to analyse the figures produced by your financial ratios. Thus terminological resources may comprise symbols. as they can highlight issues that may not show up on the balance sheet. Related professions in the communications field. and between them and their designations. Getting help with financial ratios Financial advisers can recommend the most suitable ratios for your business and show you how to produce reports to calculate and monitor them. while others. This point is essential if quality is to be achieved. PREPARE AND MONITOR BUDGETS Short Answer Questions Question 1 List and briefly describe seven types of budgets. Cash flow budgets 3. buildings. SITXFIN004 . 1. Departmental budgets 4. and equipment. a business may also take use the financial reports to identify the company’s assets and plan its finances. Salary budgets Question 2 Define the budgetary terms. Event budgets 5. such as land.0Page 16 of 84 . Project budgets 6.Assessment Financial reports are produced once a year to reflect the business’s earnings and spending within the given fiscal year. Although it is produced so shareholders. vendors and investors can see how the business is spending the money. Terminology Definition Assets Items that are owned or controlled by the business Capital expenditure money spent by a business or organization on acquiring or maintaining fixed assets. Sales budgets 7. @NIET Version 1. Cash budgets 2. investing. COGS Cost of goods sold (COGS) are the direct costs attributable to the production of the goods sold by a company. supplies. or provision of a service. This amount includes the cost of the materials used in creating the good along with the direct labor costs used to produce the good. It presents cash inflows (receipts) and outflows (payments) in the three activities of business: operating. a particular work order. as well as paying dividends or servicing any debt held by the company.Assessment Cash inflows A Statement of Cash Flows (or Cash Flow Statement) shows the movement in theCash account of a company. @NIET Version 1. and financing. Direct labour costs Direct labor cost is a part of wage-bill or payroll that can be specifically and consistently assigned to or associated with the manufacture of a product.0Page 17 of 84 . and maintenance. A company may be required to seek additional financing if cash outflows exceed cash inflows. Expenses The cost incurred in or required for something. Accountants follow the accrual basis in measuring income and expenses. Cash outflows Cash outflows include expenses such as salaries. It is the "top line" or "gross income" figure from which costs are subtracted to determine net income. Sales forecast A sales forecast is an essential tool for managing a business of any size. It’s a really useful report as it shows you your net Profit (or loss) based on your Income & Expenses. that are constant whatever the amount of goods produced. Liabilities the state of being legally responsible for something.Assessment Fixed costs business costs. or the costs associated with providing its services. including discounts and deductions for returned merchandise.0Page 18 of 84 . Gross profit is the profit a company makes after deducting the costs associated with making and selling its products. Gross profit Gross profit is a company's total revenue (equivalent to total sales) minus the cost of goods sold. and that can be used to come up with some cost cutting strategies! Revenue Revenue is the amount of money that a company actually receives during a specific period. @NIET Version 1. such as rent. Profit and loss report A Profit and Loss Report (P&L) is a report that shows your total Income and your total Expenses in a specific period of time. Most businesses draw up asales forecast once a year. It is a month-by- month forecast of the level ofsales you expect to achieve. manufacturers and other businesses that rely on a location for success. vacation resorts would know exactly when to charge the highest room rates. Although it is produced so shareholders. widespread weather events often carry a substantial trickle-down effect to a wide range of businesses. Changes in the local infrastructure may prove either disastrous or fortuitous to your company. vendors and investors can see how the business is spending the money. restaurants. Celebrities who become advocates for a cause or decide to boycott a certain business practice can start a trend that could seriously affect your business if you're on the wrong side of the trend. In addition to the direct impact a storm may have on your ability to open your doors at any given time. a business may also take use the financial reports to identify the company’s assets and plan its finances. some are beyond your control. local or federal changes in the laws can have a direct impact on your business if the service or product becomes highly regulated or outlawed. highway construction and housing development are particularly important to retail establishments. Government regulations such as those that affect the environment or communication are beyond your control and could have a direct impact on your business. Cigarette manufacturers learned this lesson when public smoking was outlawed in many areas and smoking indoors has become practically nonexistent. but you may not have planned for the widespread use of social media that could affect your business. Trends While you may spend a good part of your profits on marketing in the hopes of favorably influencing trends. Question 4 List seven internal and external factors that impact on budget development. Storms. hurricanes and wildfires are outside your purview of controllable business factors. Infrastructure Zoning laws. Weather If man could control the weather. tornadoes. @NIET Version 1. An increase in technology use by your customers may be built into your strategic planning. Laws State.0Page 19 of 84 .Assessment Question 3 What financial reporting cycles can be used by an organisation? Financial reports are produced once a year to reflect the business’s earnings and spending within the given fiscal year. but eventually they may affect your ability to continue doing business. Finance Wall Street and the solvency of big banks and financial institutions may not seem to have much to do with your business. You need to include sources and contents of data required for budget preparation. terrorism attacks. marketing etc. You'll find that money starts to move in many different directions through your organisation .defined by your plan that your business wants to achieve. the availability of credit and consumer loans are external factors you rarely can control. at some time. A budget is a plan to: control your finances ensure you can continue to fund your current commitments enable you to make confident financial decisions and meet your objectives ensure you have enough money for your future projects It outlines what you will spend your money on and how that spending will be financed. However. Budgeting is the most effective way to control your cashflow. if you are planning for your business' future.Assessment Customer Base Your target customer base may change suddenly or slowly over a period of time. Interest rates. wars and currency devaluation eventually trickle down to most commercial enterprises. it is not a forecast. Market fluctuations based on politics. You may have to split your budget up between different areas such as sales.budgets are a vital tool in ensuring that you stay in control of expenditure. New small business owners may run their businesses in a relaxed way and may not see the need to budget. affect your business. A forecast is a prediction of the future whereas a budget is a planned outcome of the future . If your business is growing. you may not always be able to be hands-on with every part of it. family-oriented customer base.PROFILE THE MARKET Short Answer Questions @NIET Version 1.0Page 20 of 84 . Cultural implications of a changing neighborhood may affect your business negatively or positively depending on your ability to meet the needs of changing demographics. However. Question 5 Explain budget preparation and monitoring techniques. The changing makeup of your neighborhood that attracts more singles or young renters can affect your business for example if you cater to a more upwardly mobile. BSBMKG401 . production. Economy The global economy is one of the biggest external factors that will. techniques for making budget estimates and common reasons for deviations and budget deviation management. allowing you to invest in new opportunities at the appropriate time. you will need to fund your plans. 0Page 21 of 84 . Question 2 There are a number of key provisions of relevant legislation and regulations from all levels of government that may affect aspects of business operations. Branch offices in each state conduct events on topics of local interest to augment national programs. Members guide the policy and priorities of the Institute through elected State Councils and a National Board of Directors. Today the AMI represents professional marketers throughout Australia. Through our unified voice. ensuring representation for every state at the national level. the establishment of a Code of Professional Conduct. The AMI's leadership role in advancing the marketing profession has resulted in the emergence of Certified Practising Marketer (CPM) accreditation as a practising benchmark. The Australian Marketing Institute's record of service to the marketing profession goes all the way back to our origin in 1933. academia and government to become the voice of the marketing profession. delivering services to help members maximise their professional growth. the Institute has established strong links with business. and the move towards defined practising standards for marketers and marketing metrics for organisations. including practitioners from all marketing functions and industries. Over the intervening years we have continually evolved to meet the changing needs of marketers. such as: • anti-discrimination legislation • ethical principles • codes of practice • privacy laws • financial legislation • health and safety legislation • consumer law • credit procedures legislation and regulations @NIET Version 1.Assessment Question 1 Summarise the requirements of the Australian Marketing Institute Code of Professional Conduct. ” Depending on the discipline or field. These are data that deal with quantities. size. price.Assessment Why is it necessary to have a working knowledge of the legislation involved in business? How in-depth must your knowledge of legislation be and where can you find this information? That legislation outlines what it is and isn't legal for a business to do. That is why. Quantitative Data. Question 3 What is quantitative research in relation to data collection and when is it helpful? Whether it is business. they are usually expressed in numerical form. making them measurable. serving as their respective starting points. amount. Your marketing strategy affects the way you run your entire business. they could break the law and get into serious trouble. marketing. The use of statistics to generate and subsequently analyze this type of data add credence or credibility to it. and outlines the steps you need to take to achieve these goals. A good marketing strategy helps you define your vision. The approach to applying the methods may also vary. it's important for businesses to know what their legal rights and responsibilities are. and the rules on that are very complicated these days. and evaluate outcomes. physical sciences.0Page 22 of 84 . the methods of data collection will vary. As such. humanities. mission and business goals. customized to suit the purpose and prevailing circumstances. the nature of the information being sought. so it should be planned and developed in consultation with your team. They could lose their legal rights to operate. and the objective or goal of users. Thus. accuracy and reliability of the data. in all of these processes that involve the usage of information and knowledge. stated research questions. how you would source information and how an organisation’s culture might influence the marketing plan. values or numbers.so even if you don't know the law. and even duration. Legally. Effective marketing starts with a considered. or other fields of study or discipline. Data collection is described as the “process of gathering and measuring information on variables of interest. one of the very first steps is data collection. Question 4 Outline what you need to know in order to develop a marketing plan. ignorance is no excuse. so that quantitative data is overall seen as more reliable and objective. without compromising the integrity. social sciences. and the staff could even go to prison in some cases. if you break it you still get in trouble (this is to stop people just claiming they didn't know something was illegal). data plays a very important role. If they don't know this. in an established systematic fashion that enables one to answer queries. test hypotheses. such as length. It is a wide-reaching and comprehensive strategic planning tool that: describes your business and its products and services @NIET Version 1. well-informed marketing strategy. positions first. (2) Pricing as a positioning strategy – Quality Approach or Positioning by Price-Quality – Lets take an example and understand this approach just suppose you have to go and buy a pair ofjeans. while your marketing plan usually describes tactics to be achieved in the current year. Question 5 List at least seven positioning strategies that an organisation uses when communicating with consumers about a product. Hero Cycles Ltd. As soon as look at the jeans of 350 Rupees you say that it is not good in quality. a boy growing up in China may generally accept the importance of his relationships with others. You would have seen this in the case of toothpaste market. we're more likely to engage in an internal debate. They charge more. At time even you would have noticed that a product is positioned along two or more product characteristics at the same time. But in addition to this shared set of ideas. In other words. when pressured to form a quick judgment.Assessment explains the position and role of your products and services in the market profiles your customers and your competition identifies the marketing tactics you will use allows you to build a marketing plan and measure its effectiveness. In many product categories. culturally derived practices. But more personal knowledge — such as being exposed to pictures of American cultural icons like Green Day or Madonna — may lead him to sometimes wear clothes that his parents don't like. economy or reliability etc. as it is frustrating to have some good characteristics that are not communicated. If we look at this Price – quality approach it is important and is largely used in product positioning. A marketing strategy sets the overall direction and goals for your marketing. It is always tempting to try to position along several product characteristics.0Page 23 of 84 . looks and others stress on their durability. and therefore seek to keep harmony with family members. and is therefore different from a marketing plan. Your marketing strategy could be developed for the next few years." But when making a thoughtful deliberation. @NIET Version 1. emphasizing durability and style for its cycle. there are brands that deliberately attempt to offer more in terms of service. features or performance. some on power. which outlines the specific actions you will take to implement your marketing strategy. as most of us perceive that if a product is expensive will be a quality product where as product that is cheap is lower in quality. most toothpaste insists on ‘freshness’ and ‘cavity fighter’ as the product characteristics. For example. we generally rely on cultural norms as a "default. Lets take an example of motorbikes some are emphasizing on fuel economy. (1) Using Product characteristics or Customer Benefits as a positioning strategy This strategy basically focuses upon the characteristics of the product or customer benefits. certainly of higher quality. we also have personal knowledge that can conflict with accepted. as soon as you enter in the shop you will find different price rage jeans in the showroom say price ranging from 350 rupees to 2000 rupees. Why? Basically because of perception. • General cultural knowledge includes implicit theories about the world we live in that are largely shared by the members of our society. For example if I say Imported items it basically tell or illustrate a variety of product characteristics such as durability. partly to cover higher costs and partly to let the consumers believe that the product is. and waver. Air India uses maharaja as its logo. (6) Positioning strategy based on Cultural Symbols – In today’s world many advertisers are using deeply entrenched cultural symbols to differentiate their brands from that of competitors. Basically this type of positioning-by-use represents a second or third position for the brand. reference competitor(s) can be the dominant aspect of the positioning strategies of the firm. If you are introducing new uses of the product that will automatically expand the brand’s market. Makes of casual clothing like jeans have introduced ‘designer labels’ to develop a fashion image.Assessment (3) Positioning strategy based on Use or Application – Lets understand this with the help of an example like Nescafe Coffee for many years positioned it self as a winter product and advertised mainly in winter but the introduction of cold coffee has developed a positioning strategy for the summer months also. the firm either uses the same of similar positioning strategies as used by the competitors or the advertiser uses a new strategy taking the competitors’ strategy as the base. Colgate when entered into the market focused on to family protection but when Pepsodent entered into the market with focus on 24 hour protection and basically for kids. Colgate changed its focus from family protection to kids teeth protection which was a positioning strategy adopted because of competition.0Page 24 of 84 . (7) Positioning strategy based on Competitors – In this type of positioning strategies. In this case the expectation is that the model or personality will influence the product’s image by reflecting the characteristics and image of the model or personality communicated as a product user. @NIET Version 1. Using and popularizing trademarks generally follow this type of positioning. an implicit or explicit frame of reference is one or more competitors. The essential task is to identify something that is very meaningful to people that other competitors are not using and associate this brand with that symbol. This repositioning resulted in a market share. Lets not forget that Johnson and Johnson repositioned its shampoo from one used for babies to one used by people who wash their hair frequently and therefore need a mild people who wash their hair frequently and therefore need a mild shampoo. It describes business activities involved in accomplishing specific marketing objectives within a set time frame. (4) Positioning strategy based on Product Process – Another positioning approach is to associate the product with its users or a class of users. Question 6 • What is a marketing plan and what is a business plan? A marketing plan is a comprehensive document or blueprint that outlines a business advertising and marketing efforts for the coming year. by this they are trying to show that we welcome guest and give them royal treatment with lot of respect and it also highlights Indian tradition. freeze dried coffee needed to positions itself with respect to regular and instant coffee and similarly in case of dried milk makers came out with instant breakfast positioned as a breakfast substitute and virtually identical product positioned as a dietary meal substitute. (5) Positioning strategy based on Product Class – In some product class we have to make sure critical positioning decisions For example. such type of positioning is done deliberately to expand the brand’s market. A good example of this would be Colgate and Pepsodent. In some cases. A commitment to using the best practices in any field is a commitment to using all the knowledge and technology at one's disposal to ensure success. Question 8 Define. the following statistical terms: • segmentation • sampling Market segmentation is the process of dividing a market of potential customers into groups. but may include simple random sampling or systematic sampling. The methodology used to sample from a larger population depends on the type of analysis being performed. the education system. Question 7 In a paragraph explain the term best practice.0Page 25 of 84 . or segments. reasons they are attainable. The employer Government websites Question 2 @NIET Version 1. SITXHRM002 . needs. through experience and research. A best practice is a technique or methodology that. based on different characteristics. It may also contain background information about the organization or team attempting to reach those goals. has proven to reliably lead to a desired result. The segments created are composed of consumers who will respond similarly to marketing strategies and who share traits such as similar interests. hardware and software product development. or locations Sampling is a process used in statistical analysis in which a predetermined number of observations are taken from a larger population. project management. and plans for reaching them. and elsewhere. government administration. in a few short sentences.Assessment A business plan is a formal statement of business goals. The term is used frequently in the fields of health care.ROSTER STAFF Short answer Question 1 Identify two sources that would provide information on relevant awards and other industrial provisions. the employee must give an unpaid meal break od no less than 30 minutes. In the case of changeover of rosters. eight hours will be substituted for 10 hours. Standard. Mandated breaks between shifts The roster for all employees than casual will provide for a minimum 10 hours break between ordinary hours on a day. What 11 things will the award or agreement define? 1. Standard. Minimum roster hour per week for part-time.0Page 26 of 84 . Access the applicable award and record the details surrounding: 1. If an employee. Sick leave 6. Maximum allowed shift hours One each occasion a casual employee is required to attend wotl and they are entitled to a minimum payment for 2 hours work. Employees 4. Superannuation entitlements 9. full-time and casual 11. the award or enterprise agreement has a large impact on what the roster needs to include. Pay and general working conditions 10. Family leave 5. overtime and penalty rates Participants should access the Restaurant Industry Award 2010 The following details including: Leave provisions Leave provisions do not apply to casual employment. Holiday leave 7.Assessment When preparing staff rosters. Roster days off 2. Leave provisions 2. Safety at work 8. Maximum allowed shift hours 4. overtime and penalty rates @NIET Version 1. Mandated breaks between shifts 3. Clothing and other allowances Question 3 You are working in a restaurant as a casual employee. The break must give no earlier than one hour after starting work ad no later than six hours after starting work. Overtime rates 3. including a casual employee is required to work for five or more hours in a day . Managers guarantee coverage is met by filling time slots with the most skilled workers. 5. To avoid a perception of favoritism. Combining wage and staff rosters give managers a heads up before wage costs exceed the department budget. 2. managers might begin cutting hours on the slow days. Managers and supervisors should begin with allocating shifts and responsibilities based on hourly rates. it puts the business first. the final schedule depends on business needs. 3. employees know which days are the busiest. Show wage cost as you build the staff roster. The ability to handle time-off requests online is an advantage for everyone. but this will allow employees to play an active role in deciding when they must report to work. managers should share schedule options with all employees. then that is the day scheduled hours should begin. especially if they rely on these employees to fill schedule gaps.0Page 27 of 84 . 7. When this occurs. Some employees may begin to call in sick or one day hand in their resignation. Typically. However. Automatically handle availability and time-off requests online. Question 4 What should be considered when preparing staff rosters? 1. Fill busy shifts with the most experienced and skilled staff. @NIET Version 1. Make sure everyone receives two days off. some people just feel more productive at certain times and certain days. Burnout and loss of performance is inevitable when employees work for more than five consecutive days. Managers should avoid constant long hour shifts. Even employees with the most experience want a few days off. Begin the roster week on a busy day. While this is opposite of the traditional roster method. Only full-time and part-time employees can get pay at overtime for any work done outside during the spread of hours or normal working hours.Assessment Casual staffs are entitled to 25% loading on pay rates (including penalty rates). Ultimately. When there is flexibility. Although the needs of the company are important. Plan the roster before adding individual names. denying or forgetting requests can impact daily attendance negatively. 6. there may not be enough employees working when business picks up. but may not always volunteer to be available. 4. Most managers create the roster based on the standard Monday to Sunday work week. The next step is to add names who are skilled to build the roster around individual requests. Managers would be wise to grant those days. This will help to prevent a gap in coverage. Notwithstanding the time double shifts or extra days are necessary to meet deadlines or service customers. if the busiest days for a service-oriented company begins on Thursday. Otherwise. This practice provides accurate forecasting and budget controls. Share schedule options with the entire staff. Alerts to know whenever a day or shift is understaffed enables managers to fill busy shifts. by the people to whom they apply. They can do this without contacting HR or their managers. different formats used for rosters and the different methods used to communicate rosters to staff. Basic rosters can use a Word or Excel spreadsheet document but some of the businesses use more complex software products which cab be beneficial in drawing up rosters for large organisations with a wide spread of employees and roles. Question 6 If you were developing the rosters for a large five-star hotel.mothly. Preparing the roster online also gives employees the opportunity to view their schedules. Regarding of the format and method. they should be printed and placed on the same noticeboard at the time weekly. Automating swaps and time off streamlines the process. in a timely manner. Rosters must be easily accessed. Question 5 Explain the role of rosters and their importance in controlling staff costs in the hospitality industry. Give your staff enough time to plan for obligations outside of work. This will vary from department to department within large organisations and across the whole enterprise and for specific projects or events.fornight. cultural and skills mix of the team to be roster @NIET Version 1. This gives employees time to plan around different schedules or see if they can swap schedules with other employees. Self-service options also includes making change requests. Rosters are used to ensure there is sufficient staff working to provide the level of service required in the enterprise. They can design a basic roster or as a roster and wage and labour cost management tool. staff must know hwere hwn and how they can access the roster information. Alternately. they might be presented in electronic format and placed in staff pigeonholes.Assessment 8. Allow your staff to check their roster. Include information on system capabilities and functions of rostering software programs. Larger orgnaisation trend to combine and these systems with their payroll or existing accounting packages. An effective roster should be planned as far in advance as possible. 9. Software programs cab sloe use to formulate rosters in conjunction with the organisation’s payroll system. what would you need to consider? We need to consider: social.0Page 28 of 84 . That is. A roster indicates: The number of people working The number of hours The number of shifts required for a certain period of time Software products are after a range of capabilities. Similarly.0Page 29 of 84 . department or event subject to roster Wage budget for the business activity. Broad consultation with other members of the organisation. Operational requirements of the business activity. There will be many times when you will need to return to stakeholders and seek further input. Formal sunmissions should occur before the planning activities commence. in the planning cycle. when you have a draft of your operational plan in place. constantly seeking feedback and input will allow you to develop ideas for the next year’s operational plan and to refine your planning process. from team members to senior management is a good way to contribute to the success of operational planning. As you implement the plan and undertake projects. should it be carried out? What outcomes would you hope to achieve from this process? Consultation should be an ongoing process throughout the operationl planning cycle. When. Why do budgets need frequent reviews and adjustments? Who is responsible for ensuring that budgets and other financial documents are accurate? When creating financial reports. involving team members from all levels of the business. it will be useful to ask stakeholders who have made major contributions to read it and after comments. nut they will not stop there. is a useful way to develop objectives and targets that are: o Widely supported and understood o Relevant across the whole business o Consistent across different business units and teams o Detailed and clear 2. what sources of information need to be analysed? @NIET Version 1. department or event subject to rostering Portfolio Part 1: 1.Assessment full details of human resource policies and procedures that cover leave provisions and socio-cultural issues. from senior management to new team member. Individuals utilizing zero-based budgets must make the income and expenses equal. Responsible businesses are. Today. Creating a budget is beneficial because it helps individuals and households reveal wasted money. If the income is less than the expenses. What does the term resource efficiency refer to? Identify five things an organisation could do to reduce the amount of paper and energy used and wasted. phones and food. However any efficiency improvements will be temporary if the new practices are not supported by management and not embedded into daily procedures and workplace culture – “how we do business”. Employees ‘at the coal face’ often have good ideas about how to reduce energy. explains Dave Ramsey's official website. 4. notes Debt.Assessment Because most people's expenses change from month to month. a targeted change management approach might be needed to help you address any pockets of resistance.0Page 30 of 84 . Operational resource efficiency focuses on what can be achieved at the operational. shop floor or team level. but that it is also about their environmental and social performance. Efficient use of resources is an essential part of business sustainability. vehicle costs. fuel and water use. 3. therefore. Reducing your energy and fuel consumption will reduce costs as well as improving your environmental sustainability performance. Encouraging employees to take a personal interest in sustainability will help to embed new practices and procedures that might otherwise fall by the wayside. inefficient use of raw materials might be the biggest issue for others. minimise reject products and wastage and what to recycle or reuse. However. This type of budget lists all of the household's income sources on one side of the page and lists all of the household expenses on the other side of the page. Water is a significant factor for some businesses. @NIET Version 1. A budget also improves people's financial situations by teaching them to use money as a tool for meeting long-term goals and future financial needs. Why is it necessary to have a working knowledge of the legislation relating to operations and associated planning? You might have to undertake the appropriate research to answer this question. making every effort to ensure that they use resources efficiently. individuals who use zero- based budgets must make new spending plans every month.org. more and more businesses understand that being successful is about more than just economic performance. create priorities for their money and reduce stress related to finances. Expenses may include mortgage payments. the individual must find a way to either increase the income or decrease the expenses. For many businesses energy and fuel savings can be made throughout its operations. All your employees can affect the efficient use of resources in day to day operations. They are aware that increasing use of the Earth’s natural resources places a strain on the planet. cable. You are not expected to be a lawyer. such as getting tied up in lengthy legal battles for unfair staff dismissal etc. Industrial relations legislation . Environmental issues o Code of practice EEO ensuring that employment practices hire the best applicants are employed. . Competition and consumer protection legislation . companies are able to issue an automatic dismissal without giving any notice. Privacy legislation . Outline how the below legislation and regulatory context may impact customer service.Assessment If you are thinking of opening up a business. supporting the delivery of quality services to customers o EEO ensuring that all employees have fair access to appropriate training and development supporting better service for customer needs @NIET Version 1. However. 1. This is important because it will ensure that you are abiding and complying with the law rather than breaking it and facing possibly harsh consequences. Your business may also prosper if you provide excellent products and services for the public. the employee and the company. Equal employment opportunity legislation . Wrongful dismissal of staff through not following the proper dismissal procedure as cited in the contract will mean the dismissed employee is eligible to take his case to a tribunal and in many instances. you will need to research and familiarise yourself with regulations like this to protect yourself and your business from unforeseen situations. such as fighting or theft. Laws are put into place to protect everyone . Work health and safety legislation . but being aware of the relevant legislations will help your organisation run more smoothly and avoid complications in the future. These regulations are put into place to protect the consumers' rights and ensure they receive good quality products or services at all times. Businesses are also expected to provide their staff with a fair employee scheme. in some cases of gross misconduct. sue the company for their illegal actions. Being a professional and fair-minded employer will make you an attractiveorganisation to work for. you will need to have a good working knowledge of the legislation involved with your business. regardless of whether it's a clothes shop or coffee shop. Anti-discrimination legislation . Again. Some of the common legislations applicable to traders include the Consumer Protection Act 1987 and the Consumer Protection from Unfair Trading Regulations 2008.0Page 31 of 84 .the customer. Don't get defensive. Discuss managing customer complaints. Solve the problem. The more information you can get from the customer. Ask questions in a caring and concerned manner. 3. I’ve found it’s best to propose one or more solutions to alleviate his or her pain. Describe the ways in which employees can learn the skills needed to provide good customer service.Assessment o Anti-discrimination principles supporting respect for the social and cultural backgrounds of all customers o Products and services being provided to customers in an environmentally responsible way o Customers wishing to purchase products or services that meet specific environmental standards. Induction and training programs should be initiated. 6.0Page 32 of 84 . "What would be an acceptable solution to you?" Whether or not the customer knows what a good solution would be. I’ve learned it’s easier to ask questions than to jump to conclusions. they become more expensive to handle and only add to the customer's frustration. Where problems arise or employees indicate a need for increased skills development. This applies to those employees who are in direct contact with customers and those who have no direct contact with customers. certifications or requirements 6. When complaints are moved up the chain of command. not argue. coaching. 4. 5. The customer needs to feel like you’re on his or her side and that you empathize with the situation. In answering this question participant should draw on the text to describe the different learning procedures that might be initiated. the better you will understand his or her perspective. Just say. Apologize without blaming. mentoring. or find someone who can solve it— quickly! Research indicates that customers prefer the person they are speaking with to instantly solve their problem. Ask the customer. Identify and explain the stages that should be followed when dealing with a customer complaint. it usually diffuses the situation. Repeat back what you are hearing to show that you have listened. It requires that employees receive appropriate training and learn to understand their role/s with regard to customer service. When a customer senses that you are sincerely sorry. your goal is to solve the problem. 1. Listen carefully to what the customer has to say. Put yourself in their shoes. and let them finish. The customer is not attacking you personally. Don't blame another person or department.” 5. Being able to provide good customer service is not an innate skill. 2. work shadowing etc might be utilized. "I'm sorry about that. They should also acknowledge the fact that might @NIET Version 1. Employees who have good customer service skills will generally encounter fewer complaints. he or she has a problem and is upset. As a business owner. Become a partner with the customer in solving the problem. For the customer/ end-user to receive quality products/ services it is necessary that all aspects of the customer–supply chain meet specific quality objectives. poor service levels will mean that customers will turn to your competitors. They should also acknowledge the fact that adult learning needs and understanding of learner preferences should also be accommodated.who can provide both the product and high levels of service. The required level of service will relate to attention. then customers will choose to purchase elsewhere. Standards: Establish a goal to direct your efforts Give a clear sense direction @NIET Version 1. This applies whether you offer self-service. When a customer enters a retail outlet they will expect to be abke to purchase the product they require and to receive an appropriate level of service to go with the purchase. Who actually sets these quality standards and how are they set? Service standards set a target for companies to meet customer needs through the use of its people. In any organisation there are both internal and external customers. information provision. This is called bundling. 7. online sales or direct sales etc.0Page 33 of 84 . friendliness and the competence of the sales personnel. 6.Assessment be initiated. face-to-face service. What are the questions that all customers ask themselves (consciously or subconsciously) before they commit to a purchase and how is the presented product/ service bundle likely to affect a customer’s purchasing decision? Questions might include: o Do I have a need or do I simply want this product? o Does this product meet my needs? o What benefits accompany this purchase? o Am I receiving a proper level of accompanying service? o Am I happy with the overall product/ service offering? o Does this meet my perception( expectation) of value on the basis of product. service or bundle? o Will I receive value for money if I buy? o Can I afford this? Customers do not purchase prducts alone – they purchase product/ service bundles. systems and technology. phone sales service. timeliness. Even though your organisation might have the product required by the customer. These are all part of the customer–supplier chain. If an organisation cannot provide an appropriate product /service bundle. they should: Be planned and agreed upon by the staff affected by the standard Be created carefully Be stated in writing Meet customer needs @NIET Version 1.they should be precise in meaning Measurable . that is.0Page 34 of 84 .there should be a time frame set on the standard to indicate how often or how quickly an action is to occur Supported . While this criteria does not have to be written into the standard itself.Assessment Tell what level must be reached Give something to measure success against Service standards can become a valuable management tool.they need to focus on the correct priorities." Developing Service Standards: When developing service standards. the needs of the customer Time Limited .they need to be quantifiable. Once you have developed a complete list of service standards they can form a basis for recruitment. induction processes. others in the organisation should also be held accountable for ensuring that the standards can be achieved. technology and processes that support the service staff. SMART Standards: When writing quality service standards. or able to be measured Achievable .they must be realistic to the work to be done with the available resources Relevant . training and performance appraisal and feedback. they should be written using SMART or SMARTS criteria: Specific . job descriptions.this includes the systems. An example of a SMART standard might be: "Retrieve and return call to IVR customers and website call back customers within three working hours. Make your business important to your suppliers and they will work harder for you. How can an organisation encourage suppliers—both internal and external—to participate in actively ensuring quality standards are maintained so that fewer customer complaints are likely? BUILDING GOOD RELATIONSHIPS WITH SUPPLIERS It pays to invest time in building good relationships with your key suppliers. See the page in this guide on how you can help your key suppliers. Some suppliers may offer better deals if you promise to use them exclusively. Meet the people who'll be managing your account and make sure they can be easily contacted. @NIET Version 1. Will this affect the goods or services they're providing to you? Help your suppliers by placing orders in good time. Understanding how your supplier works gives you a better sense of how it can benefit your business.0Page 35 of 84 . being clear about deadlines and paying on time. Ask about their plans for development or expansion. If you can save money or improve the quality of the goods or services you buy from your suppliers.Assessment Be clearly written Be supported by management Be changed if they are not working or outdated Be added to Reflect organisational goals Be communicated effectively and continually 8. Hints on dealing with your suppliers Consider some of the following when working with your suppliers: Meet your contacts face-to-face and see how their business operates. Keep an eye open for any opportunities you can pass their way -in a good customer- supplier relationship they'll do the same for you. However this may cause significant problems if they go out of business. your business stands to gain. USE TECHNOLOGY TO IMPROVE EFFICIENCY A high speed Internet connection such as broadband will allow you to collaborate more closely with your suppliers through sharing plans. forecasts and consumer data. Update them on strategic changes or new products early on . Consider additional products or services that your supplier could provide. Pay bills promptly. Sharing such information with your suppliers makes it easier for you to: @NIET Version 1. as their performance may be crucial to your business. This process will guard against complacency on the part of the supplier. Discuss ways to reduce overall costs through size or timing of orders/contracts.this helps them adapt to meet those changes. Sharing the results of this analysis with your suppliers will allow you to develop accurate sales plans and hone shared sales forecasts and schedules. Consider whether a contract or a service level agreement (SLA) is necessary.a copy should be sent to your suppliers. Analyse how well you forecast sales and plan to meet your supply needs. Paying late will strain your relationship with the supplier and could lead to less favourable terms in future.0Page 36 of 84 . Keep your options open by monitoring the deals offered by other suppliers. Here are some ways that you can help your key suppliers: Co-ordinate your production schedule with theirs. Ideally you should have a payment policy that commits your business to paying undisputed bills on time . Use a purchase order system to control and monitor the buying of goods and services from suppliers . HOW YOU CAN HELP YOUR KEY SUPPLIERS It is in everyone's interests that you do well out of key supplier relationships.Assessment Don't ignore opportunities offered elsewhere. See our guide on stock control and inventory.especially Internet-based communications - can help you develop and maintain a good relationship with your suppliers.this facilitates internal financial controls and prevents specification misunderstandings at the supplier's end. There are many ways in which technology . See the page in this guide on service level agreements. Suppliers warrant careful attention. These systems can be very expensive. can be simple. SLAs can be used in any supplier contract where a business' ability to meet its customer requirements is dependent on the supplier. When sharing information. such as staff training.accurate information on stock means you will only order the supplies you need E-collaboration with your suppliers.can plan and schedule your entire business.analyse past sales performances and compare the forecasts from different suppliers. such as using email and sharing spreadsheets. make sure that your data and your suppliers' data is protected. Drawing up an SLA It is important that you are involved in drawing up the agreement together with the supplier.use your inventory records to forecast the market demand for your product.Assessment analyse real-time information about sales. orders or market trends forecast and react quickly to changes in demand improve efficiency .0Page 37 of 84 . SLAs themselves are contractual obligations and are often built into a contract . but the greatest benefits come from sharing information in "real time". and which also set out responsibilities and priorities.however there will still be some extra costs. such as the following: Inventory planning or forecasting systems . ERP systems can be rented from an Application Service Provider . By connecting your order and purchasing system with that of your suppliers.in the form of one or more clauses or as an entire section. Online analytical processing systems . Enterprise resource planning (ERP) systems . @NIET Version 1. SLAs are complex documents that should be well defined and cannot be drawn up in an ad hoc fashion. orders can automatically be placed and tracked and the supplier will automatically issue an invoice. This requires more sophisticated technology. SERVICE LEVEL AGREEMENTS Service level agreements (SLAs) are agreements or contracts with suppliers that define the service they must provide and the level of service to be delivered. How can you collect customer feedback about customer service levels. Include any potential customers who have made enquiries about your goods or services. why they are buying. their satisfaction with products and services and any complaints they might have? Collecting information When collecting information about customers. If the needs of your business change.Assessment Typical SLAs set out: the service being provided the standards of service the timetable for delivery respective responsibilities of supplier and customer provisions for legal and regulatory compliance mechanisms for monitoring and reporting of service payment terms how disputes will be resolved confidentiality and non-disclosure provisions termination conditions If suppliers fail to meet agreed levels of service. 9. highlight the most critical components of the deal so you can apply the strictest penalties to these.0Page 38 of 84 . Build periodic performance reviews into the SLA. and how often they are buying. SLAs usually provide for compensation. @NIET Version 1. try to find out what your customers are buying. SLAs require constant discussion and updating. Likewise improvements in technology should be taken into account when reviewing your SLA. you may require different performance criteria. commonly in the form of rebates on monthly service charges. When drawing up your SLA with your supplier. 10. therefore need to analyze the what. Explain how consumer or buyer behaviour can be identified and how understanding buyer behaviour will influence the elements of the marketing mix. where. A firm needs to analyze buying behavior for: Buyers reactions to a firms marketing strategy has a great impact on the firms success. A consumer’s buyer behaviour is influenced by four major factors @NIET Version 1.Assessment There are many ways to collect information on your customers. Consumer Buying Behavior refers to the buying behavior of the ultimate consumer. Marketers can better predict how consumers will respond to marketing strategies. The marketing concept stresses that a firm should create a Marketing Mix (MM) that satisfies (gives utility to) customers. Need to understand: why consumers make the purchases that they make? what factors influence consumer purchases? the changing factors in our society. when and how consumers buy. Definition of Buying Behavior: Buying Behavior is the decision processes and acts of people involved in buying and using products. including: order forms enquiries complaints warranty cards customer rewards programs customer satisfaction surveys feedback cards customer competitions your website.0Page 39 of 84 . focus groups. 1. the more reliable your results will be. In-person surveys can generate response rates of more than 90 percent. Surveys. observation. The type of data you need and how much money you’re willing to spend will determine which techniques you choose for your business. understanding of their impact is essential as marketing mix strategies can be developed to appeal to the preferences of the target market. What statistical techniques are commonly used by business organisations to gather marketing information? Summarise a number of techniques and explain how you might use them to identify markets and marketing opportunities. @NIET Version 1. or advertising and gather immediate feedback. you can analyze a sample group that represents your target market. These factors cause consumers to develop product and brand preferences. With concise and straightforward questionnaires. While there are many ways to perform market research.Assessment 1) Cultural. The larger the sample. and field trials. They allow you to present people with samples of products.0Page 40 of 84 . Although many of these factors cannot be directly controlled by marketers. With the time and labor involved. personal interviews. packaging. 2) Social 3) Personal 4) Psychological. In-person surveys are one-on-one interviews typically conducted in high-traffic locations such as shopping malls. the tab for an in-person survey can run as high as $100 per interview. Conduct appropriate research to answer this question. 11. but they are costly. most businesses use one or more of five basic methods: surveys. inexpensive way to collect anecdotal evidence and gather customer opinions and preferences. new products and techniques. With new technologies like MeetingSift they can use their smart devices to go from passive spectators to active participants.The vast majority of business decisions are made by groups in meetings.0Page 41 of 84 . Mail surveys are a relatively inexpensive way to reach a broad audience. keynotes. There are different types of group decision making processes. making the meeting more engaging and productive for all. and any special considerations. This could be information about things like upcoming changes. Telephone surveys generally yield response rates of 50 to 60 percent. 3. but they only generate response rates of 3 percent to 15 percent. At information sharing meetings the attendees have historically been passive listeners. Despite the low return. convincing people to participate in phone surveys has grown increasingly difficult. challenges. due to consumer resistance to relentless telemarketing. 2. While mall decisions are made in all kinds of meetings. prioritization. but costlier than mail. However. and task assignment. But an online survey is a simple. decision making. and lectures are all examples of information sharing meetings. The description should include the structure and typical arrangements for each meeting type. They’re much cheaper than in-person and phone surveys. and next steps. are powerful tools for making the shared information more memorable. 1. Visual communication tools. Status update meeting -Status update meetings is one of the most common meeting types. or in depth knowledge of a domain. Information sharing meeting -Presentations. because you have no control over the pool of respondents.Assessment Telephone surveys are less expensive than in-person surveys. Decision Making Meetings . like slides and videos. the more important decisions often get their own dedicated meetings. and care should be taken to choose a process that best matches the @NIET Version 1. Online surveys usually generate unpredictable response rates and unreliable data. 12. mail surveys remain a cost- effective choice for small businesses. panel debates. List and describe three different types of meetings. The primary goal of these meeting is for the speakers to share information with the attendees. Commonly found group activities in these kinds of meetings are problem solving. This category includes regular team and project meetings. where the primary goal is to align the team via updates on progress. ranking preferences. Provide the physical. Provide induction training at the commencement of employment to train new employees to be knowledgeable. online store manager. ABC will focus on the following business goals: Financial stability: . The organisation is committed to: . Providing high quality products and services to customers . A decision making process can include group processes like information gathering and sharing.0Page 42 of 84 . within budget and by the agreed deadlines Right people: . Offer innovative product solutions and meet the changing needs of customers . Employing professional and enthusiastic staff . Maintain annual profit levels of 15% of revenue for all products and services. Activity Objective Resources Procedures Responsibl When? Budget (What is to (Why will (Where (How will it e person be done?) we do it?) will it be be done?) (Who will done?) do it?) @NIET Version 1. human and time resources to support an annual professional development program for all ABC employees Stakeholders include senior management team. brainstorming solutions. Part 2 ABC Hotel provides exclusive hotel services. Increase revenue by 15% (compared to the previous 12 months) by the end of the financial year . Maintain the number one rating in the annual national industry customer service awards . sales staff. Deliver great customer service . helpful and enthusiastic . Undertaking continuous improvement processes The business has a 5 years plan which is to consolidate its position in the market for high quality exclusive services. retail store manager. calculated at the end of each financial year . To do this. and voting. Reinvest 75% of profit back into the business at the end of each financial year Market position: . customers and recruitment agency. evaluating options. ahead of competitors. Launch new high quality exclusive services to meet customer demand.Assessment situation. 000. whole construction building. Acquire To Install a Contact ABC IT manager 31 $5. ation dedicated arrange for nt conferencin between video. supply and g all conferenci installation. Allocate costs ts and back. provide marketing the required brand logo.000 additional facilitate multi. marketing per Bus resources – service and detail obtain quotes manager Service and it with the and purchase Bus. d by a onto the business Each service business national by 15% by department is case sales 30 June to develop a strategy.Assessment Revisit sales To It will be Update Finance 30 June $3. managers Septem fittings – across the Hire local ber hotel.000 additional a delivery new buses suppliers. Acquire To provide Purchase Contact Head office 31 July $250. IT service and August per resources – communic channel support to departme video. increased supporte that add t of the targets. bus.000 fixtures and decoration done drawn up.0 budgets and increase done service Manager 00 total develop the sales across the department’s and outlet-by. recognitio Contact sign n writers to have marketing decals attached to the Buses.0Page 43 of 84 . reduce time and costs. Reorganize New It will be Have plans Head office 30 $500. sales strategy to support the new targets. company @NIET Version 1. departmen ng facility. equipment. of the whole sales budgets needs to outlet sales services organisati to reflect the be strategies componen on. 000 full staffing maintain new full. recruiting new staff as soon as existing positions are vacated Consultation strategy Stakeholder Role in the problem Objective Consultation method Senior management Made the decision to Keep informed Feedback session plan increase sales by Email 15% annually communications Newsletters Videoconferencing Manager Develop an Implement plan Staff meetings operational plan and Consult Outlet manager implement the plan meetings via to increase sales videoconferencing Interviews Sales staff Implementers of the Consult Meetings plan to achieve the Keep motivated and Feedback sessions intended results engaged Online and phone Provide sales Consult frequently Videoconferencing Sales @NIET Version 1. staff to skill staff done training department August Addition provide and to across all programs manager al after sales improve the whole resources support.0Page 44 of 84 . It will be Deliver Service 31 In house. Maintain To Thirteen ABC HR 31 $2.recruitment manager August recruitme capacity and time sales procedures Recruitment nt costs through increase staff will agency per rapid sales replace vacant recruitment capacity staff position to fill by vacancies vacancies. business support case is required.Assessment Train sales To multi. the level service available of after departmen but a sales t. 1. key performance indicators . You work as a retail store manager for ABC Hotel and your managing director of ABC Hotel requires you to create an operational plan on January.0Page 45 of 84 . The organisation is committed to: o Offer innovative product and service solutions and meet the changing needs of customers o Providing high quality products and services to customers o Deliver great customer service o Employing professional and enthusiastic staff o Undertaking continuous improvement processes Business Goals For the following 5 years. ABC will consolidate its position in the market for high quality @NIET Version 1. You must cover below points in your plan: . resources requirements . monitoring processes . they have budgeted an additional 5% of training costs to employ a training consultant to provide additional training resources.Assessment Major customers People who make Consult Phone calls major purchases of Personal visits ABC services Email communication Newsletters Customers People who make Obtain feedback Email small purchases of communication ABC services Newsletters Recruitment agency Involved in Consult Meetings recruiting staff In the event that ABC does not meet these objectives. financial contingency plans Executive Summary ABC Hotel provides exclusive hotel services. ahead of competitors. within budget and by the agreed deadlines Right people: o Provide induction training at the commencement of employment to train new employees to be knowledgeable.0Page 46 of 84 . human and time resources to support and annual professional development program for all ABC employees Consultation strategy Stakeholder Role in the problem Objective Consultation method Senior management Made the decision to Keep informed Feedback session plan increase sales by Email 15% annually communications Newsletters Videoconferencing Manager Develop an Implement plan Staff meetings operational plan and Consult Outlet manager implement the plan meetings via to increase sales videoconferencing Interviews Sales staff Implementers of the Consult Meetings plan to achieve the Keep motivated and Feedback sessions intended results engaged @NIET Version 1. ABC will docus on the following business goals: Financial stability: o Increase revenue by 15% (compared to the previous 12 months) by the end of the financial year o Maintain annual profit levels of 15% of revenue for all products and services. To do this. helpful and enthusiastic o Provide the physical.Assessment exclusive products and services. calculated at the end of each financial year o Reinvest 75% of profit back into the business at the end of each financial year Market position: o Maintain the number one rating in the annual national industry customer service awards o Launch new high quality exclusive consumer products to meet customer demand. Assessment Online and phone Provide sales Consult frequently Videoconferencing Sales Major customers People who make Consult Phone calls major purchases of Personal visits ABC services Email communication Newsletters Customers People who make Obtain feedback Email small purchases of communication ABC services Newsletters Recruitment agency Involved in Consult Meetings recruiting staff Plan Stakeholders include senior management team, retail store manager, sales staff, online store manager, customers and recruitment agency. Activity KPI (what is to be done?) Revisit sales budgets and develop outlet-by- The sales of the business increased by 15% outlet sales strategies that add onto the by the end of the financial year national sales strategy. Acquire additional resources – video- All video- conferencing equipment installed conferencing equipment. by 31 August Acquire additional resources – Service Bus. Buses purchased and decals attached by 31 July Reorganize fixtures and fittings – hotel. Finish decoration by 30 September Train sales staff to provide after sales All existing service staff training in multi- support. skilling completed by 31 August Maintain full staffing capacity through rapid 13 new sales staff employed, induct and recruitment to fill vacancies trained by 31 August Financial contingency plan The timely recruitment and training of new staff is a key success factor in meeting the strategic objectives of the business plan. In order to meet the objectives, it is necessary to have recruited the new staff and upskilled our current staff in after sales product support by 31 August. In the event that we do not meet these objectives, we have budgeted an additional 5% of training costs to employ a training consultant to provide additional training resources. Monitoring process It is critical that our managers’ monitor the progress of their operational plans against the target KPLs established. To that end, it is essential to review the operational plan monthly. 2. Read the issues below. You are required to develop implementation strategies for staff members to follow, ensure they achieve the KPIs. @NIET Version 1.0Page 47 of 84 Assessment The organisation needs to maintain full staffing capacity through rapid recruitment to fill vacancies and there are 13 new sales staff needing to be employed, inducted and trained in the next 2 months. acquiring physical resources and services the marketing department has provided you with some specifications for the design of the decals for the buses. You need to take this information to a graphic artist and request a design for use on the sides and back of the buses. Before entering into any purchasing agreement, prepare a short briefing document the outlines the intellectual property issues that may be associated with the supply of this design. Create an acceptable levels of variation Use the KPIs to develop a monitoring process for the implementation of the detailed operational plan. ABC Hotel is committed to selecting and recruiting competent, capabe and suitably qualified staff. All new applicants must meet the following minimum criteria: o Possess suitable qualifications and experience o Pass job-specific interview questions o Undertake approved reference testing o Attend and complete any training courses, induction and assessment as prescribed prior to or on commencement of their employment. Acquires resources and services. The organization will: o Endeavor to always get value for money o Be held accountable for all procurement results o Ensure the decision-making process is transparent and documented o Ensure that all staff involved in the purchasing process possess and demonstrate at all times highly developed professional ethics and standards of personal integrity o Comply with all aspects of Australian laws and regulations that pertain to purchasing goods and services o Integrate the practice of sustainability (wherever possible) into the acquisition of goods and services by, where possible, prioritizing products that: - contain the highest percentage of postconsumer recycled content possible – are made with renewable energy – are reusable, recyclable or bio-based/compostable – have minimal packaging @NIET Version 1.0Page 48 of 84 Assessment o Serve several functions (e.g. generic cleaning detergents) - have minimal effect on the depletion of natural resources and biodiversity Intellectual property issues All records created by staff (including contractors) in the course of their duties remain the physical and intellectual property. Personal use of records and information is prohibited unless approved by the Business Operations Manager or senior management. Record keeping is planned to ensure that all records embody the required characteristics; authenticity, integrity, reliability and usability. Generally, there is an acceptable level of variation, either a fixed amount or (more commonly) a percentage. Variance analysis is usually reported on a monthly basis. Care should also be taken to ensure that annual expenditure patterns are taken into account. In considering the variance, it is important to determine the reson for the variations. Look for explanation and determine fi action needs to be taken. Simply shifting savings or additional income to overruns on costs or to offset a lower-than- expected income area in not addressing the cause. The monitoring process should include a breakdown of the overall plan into tasks, timelines and responsibilities assigned fir each task and a mechanism to quantitatively analyse the level of completion of each task (e.g 15 delivered equates to 10% completed) 3. Once you complete the operational plan, you need to communicate effectively with relevant stakeholders to explain the plan and supporting information, seek approvals, negotiate variations. Firstly, you need to plan a meeting. Please provide your answers for the items below: - Develop an agenda for this formal project team meeting - Prepare a list of instructions for the junior project administrator to follow for the project meetings. These instructions should include: (a). Identify meeting participants (b). How to check participants’ availability? (c). How to send out invitations and other notifications as required? - How to organise and confirm meeting arrangements @NIET Version 1.0Page 49 of 84 Assessment - Describe how you will ensure that meetings and other relevant notes will reflect a true and accurate record of the meeting. How to document them? Secondly, you need to chair the meeting. Your assessor will act as your managing director and other stakeholders who need to view your operational plan. During the meeting, you need to: - Take part in and chair a meeting - Participate in verbal exchanges using appropriate style, tone and vocabulary for audience, context and purpose - Ensure the meeting is focused, time efficient and achieve the approval of the operational plan - Listen for specific information during the meeting - Ask questions and listen to responses to clarify understanding An agenda was created to ensure accuracy and completeness of all required information using the relevant template and following the relevant organizational conventions and procedures. An agenda will outline: o Meeting’s purpose o Date,time and location of meeting o Nominated chairperson and minute taker The meeting must include managing director, relevant stakeholders, and chairperson and minute taker. Before a meeting can take place the purpose should be clearly identified. Determine why the meeting needs to be held and what it is intended to achieve. Send email to confirm availability. A reminder email is also needed to be sent before the meeting. When planning the meeting you will consider: o Venue o Seating o Refreshments (if applicable) o Timing and timeframes o Information to be presented and methods of presentation @NIET Version 1.0Page 50 of 84 charts whiteboards etc) o Handouts (written materials) o Methods of informing attendees of the meeting o Specific roles to be played by staff members (who take the meeting minutes etc) Minutes should include: o Issues for discussion. Decisions must be clearly noted so that everybody is aware of the decision and so that there is a written record. This ensures that they do not get lost and that it is easier to pick up later on these issues. information and then spend unproductive time working out whether anything has happened. Actions that flow decisions must be carried out by a person or group of people. By recording this information in the minutes there should be little doubt about who is responsible.Assessment o Format (formal or informal) o Tools and/ or technology to be used (equipment.0Page 51 of 84 . Human memory and human perception are notoriously unreliable and it is not productive for later meetings to be concerned with typing to come to consensus on just what an earlier decision was. o Timelines. It is also important to indicate a timeline by which actions must be completed. o Persons responsible for the actions.or not. Items Yes/No Comments Meeting style and structure were appropriate for the purpose of the meeting Take part in and chair a @NIET Version 1. o Decision. It is important to include the issues that were no decisions taken about them. Recording the actions allows you to check whether the actions have been followed through. PPT. This allows for checking that the decision has been implemented. Assessor needs to use the below meeting performance checklist to assess the meeting. This again allows you to check whether the action has occurred within the set timelines. yet vital. Far too often organisations do not record this basic. o Action. Record the actions that will happen as a result of the decision. Please find the details below. Activity Objective Resources Procedures Responsibl When? Budget (What is to (Why will (Where (How will it e person be done?) we do it?) will it be be done?) (Who will done?) do it?) @NIET Version 1. The current month is January. tone and vocabulary for audience.Assessment meeting Participate in verbal exchanges using appropriate style. Once the operational plan has been approved. time efficient and achieve the approval of the operational plan Listen for specific information during the meeting Ask questions and identifying to responses to clarify understanding 4. Assume you are a project manager to lead your team to acquire additional delivery van for the company. you need to start to make detail plans to complete each task. context and purpose Ensure the meeting is focused.0Page 52 of 84 . Define the parameters of the project including: . Please prepare work breakdown. The managing director might require you to report your progress throughout the project. Relationship of project to organisational objectives and other projects . monthly or quarterly) or as certain things are achieved. There is a risk that your team could not acquire additional vehicles on time. You are required to purchase buses and detail it with the marketing logo. bus. Project scope . Resources requirements Project scope is to provide a delivery service and provide brand recognition before 31 July within budget. and supplier and sign writer. Reporting requirements .0Page 53 of 84 . You will need to make time to write these reports and will need to include all the information required by the delegating authority. including own responsibilities . Project stakeholders. timelines. and action plan to treat the risk.000 additional a delivery new buses suppliers.Assessment Acquire To provide Purchase Contact Head office 31 July $250. provide marketing the required brand logo. head office marketing manager. recognitio Contact sign n writers to have marketing decals attached to the Buses. This project stakeholder includes retail shop manager. marketing per Bus resources – service and detail obtain quotes manager Service and it with the and purchase Bus. 5. Stakeholder analysis @NIET Version 1. Analyse information from a range of sources to identify the scope and context of the risk management process including: . This project contributes to the organisation to achieve all the KPLs according to the operational plan. You might be required to make reports at specified dates (weekly. Both require a systematic approach. that reflects the speed at which change occurs within the internal and external environment. the external. @NIET Version 1. defined as those persons or organizations that can affect. Monitoring and review Monitoring and review are two distinct processes intended to detect change and determine the ongoing validity of assumptions. Communication and consultation are processes and not outcomes. internal and risk management contexts should be established. technological and policy context . economic. Communication and consultation are therefore key supporting activities for all parts of the risk management process. integrated into an organisation’s management systems. They normally take place with stakeholders. Step-wise process elements Establishing the context Before any risk management activity takes place and especially before risk assessment occurs. be affected by or perceive themselves to be affected by a decision or activity. Political. legal.0Page 54 of 84 . social. Objectives and critical success factors for the area included in scope Risks that may apply to scope Continuous process elements Communication and consultation Managing risk necessarily involves people because: The interests of people are part of the organization’s objectives People will need to take (or not take) particular actions in order for risk to be managed effectively People have most of the knowledge and information on which effective risk management relies Some people might have a right to be informed or consulted. Current arrangements .Assessment . and that those risks remain within its risk criteria. Both are necessary to ensure that an organisation maintains a current and correct understanding of its risks. Risk evaluation Risk evaluation uses the information generated by risk identification and risk analysis to make decisions about whether each risk falls within an organisation’s risk criteria and whether it requires treatment. over time.0Page 55 of 84 . Risk analysis Risk analysis investigates and draws upon: The information on risks generated during risk identification The effectiveness and reliability of controls Additional information from the statement of context Supporting statistical data. and therefore to derive the level of risk. results of predictive modelling or expert judgement The risk criteria developed during establishing the context. Normally organisations specify the actions required by managers for risks at each level of risk and the time allowed for their completion. Establishing the context also provides the information that allows the other steps of the risk management process to occur. A trained facilitator and recorder should normally be present. at a fixed or variable rate. The aim of risk analysis is to gain an understanding of the nature of each risk. these effects or consequences might only occur at some future point or they might be experienced. including the magnitude of its consequences and their likelihoods. and those external and internal factors that could be a source of uncertainty. Risk analysis enables each risk (or group of risks when considered in the aggregate) to be evaluated in order to determine whether risk treatment is needed. so that risks can be identified more readily. In some cases. when. where. @NIET Version 1. They also specify which levels of management will be permitted to accept the continued exposure and tolerance of certain levels of risk. Risk identification Carried out thoroughly. why and how something could happen or occur and the range of possible effects on objectives. the risk identification step reveals what.Assessment A key aim of the ‘establish the context’ step in the risk management process is to identify the organization’s objectives. Risk identification would normally occur in a workshop involving appropriate stakeholders. This involves the 'establishing the context' step of the risk management process.Assessment Risk treatment At its simplest. Therefore. external stakeholders and key external organizational drivers. risk treatments will either create new controls or amend existing controls. those risks that the organisation judges are unacceptable should be treated. Preparing for risk assessment Establishing the context It is impossible to conduct an efficient and effective risk assessment unless there is suitable preparation. the organisation is looking retrospectively at the risk created by decisions taken and implemented previously. Analysing important stakeholders to determine their objectives and the preferred means to communicate and consult with them 3. where an organisation has successfully integrated risk management into a system of management.0Page 56 of 84 . and so any risk treatments found necessary will be remedial in nature. risk treatment is integral to and effectively indistinguishable from decision-making. physical. In the proactive context. cultural. for example. Risk treatment takes place in two distinctive contexts: 1. at the time a decision is finalised the risk created by the decision will be within the organisation’s risk criteria. both inputs being necessary to find and select the best risk treatment. Gaining agreement on the scope and objectives for the risk management process 2. @NIET Version 1. which is normally conducted through discussions with the sponsor of the risk assessment and selected stakeholders. We would normally establish the context by considering the following discrete activities: 1. In a reactive context. 2. the social. This could include. financial and political environment. Identifying the significant factors in the external environment that give rise to uncertainty. Once implemented. risk treatment involves a process to modify a risk by changing the consequences that could occur or their likelihood. regulatory. This process requires creative consideration of options and detailed design. In both contexts. strengths and weaknesses of he organisation in terms of resources. where. and defining the depth. for example. Whichever method we use. It is not advisable to undertake it in the same session. it is normal that the information gathered during 'establishing the context' is summarised in a briefing note that is sent to them prior to the workshop. 5. specifying the nature of the decisions that have to be made based on the risk assessment outcomes. Setting the scope and boundaries of a risk assessment by defining the organizational part. @NIET Version 1. and the relevant organizational goals and objectives. In all cases. and any boundaries. defining the extent of the change or activity or function in terms of time and location. because risks not identified at this stage are excluded from further analysis and treatment. whether or not they are under the direct control of the organsiation. why. This could include. including specific inclusions and exclusions.Assessment 4. the organisation’s culture. Identifying the significant factors in the internal environment that give rise to uncertainty. we follow the same general process for risk identification given below. people. Establishing the context is normally conducted several days before risk identification. Comprehensive identification using a well-structured and systematic process is critical. internal stakeholders. breadth and rigour of the risk assessment. project. the key element structure prepared during the context step should be followed. Broadleaf uses many methods for risk identification from brainstorming to more rigorous and highly-structured processes such as HAZOP and FMEA. Risk assessment Identifying the risks Risk assessment involves the identification of what. Identification should include all risks. Briefing note To ensure that those who participate in the risk assessment are properly prepared. The briefing note and the context information it contains should be preserved as part of the risk assessment record. identifying any scoping studies needed and their scope. when and how events or situations could either harm or enhance the ability of the organisation to achieve its objectives. defining any specific criteria that will be used as part of risk evaluation. activity or change and its goals and objectives. objectives and the resources required. the capabilities.0Page 57 of 84 . systems and processes. They are then considered in more detail to identify what could happen. This information is recorded in a risk register. We use Excel or Word templates to capture the information. @NIET Version 1. How and why could it happen? Having identified what might happen. at least initially. Even if quantitative analysis is required later.Assessment What could happen. Quantitative approaches can be used when more definition and rigour are needed.0Page 58 of 84 . degrade. Risk is analysed by combining consequences and likelihood. delay or enhance the achievement of the objectives. It provides an input to decisions on whether risks need to be further controlled and the most appropriate and cost- effective treatment actions to take. we help our client consider possible causes. It is normally not efficient to attempt to input the information directly into a risk management database during the workshop session. we normally find it efficient to use a qualitative system for screening purposes. Broadleaf uses a qualitative method of risk analysis to prioritise risks for attention. Risk analysis involves consideration of the positive and negative consequences and the likelihood that those consequences may occur. It is normally inefficient for one person to facilitate the workshop and record the outcomes at the same time. Factors that affect consequences and likelihood may be identified. In general they are only used: Where the most likely consequence is high Where reliable quantitative data is available or can be generated Where the level of definition required by decision makers is high. are omitted. particularly root causes. situations or circumstances that might have an impact on the achievement of each of the relevant objectives. Analysing the risks Risk analysis is about developing an understanding of each risk. taking into account the existing controls. It is important that no significant causes. There are many ways an event could occur or a circumstance might arise. The events or circumstances might prevent. where and when? Our aim is to generate a comprehensive list of events. or more usually combinations of options.Assessment We often conduct the risk rating process during the workshop used for risk identification. social. effectiveness and other criteria of relevance to the organisation. Risk treatment Options It is usually not cost-effective or even desirable to implement all possible risk treatments. For this reason development of an overall treatment strategy should be a top-down process. We also determine a measure of potential exposure (PE) that represents the total plausible maximum impact on the organisation arising from a risk without regard to controls. Treatment of individual risks seldom occurs in isolation. Having a clear understanding of a complete treatment strategy is important to ensure that critical dependencies and linkages are not compromised and to ensure the use of resources and budgets is efficient. This measure is use to identify the key controls that should be subject to assurance and. however.0Page 59 of 84 . Treatment options. This is estimated by considering the consequences that could arise if all existing controls were ineffective or missing. particularly in terms of monitoring the progress of risk treatment plans The risks and the associated controls that should be subject to planned assurance. However. We use control effectiveness (CE) to take into account both the adequacy and effectiveness of the controls for a particular risk. and options should be considered together as part of an overall treatment strategy. particularly through continual monitoring as well as periodic review. political and economic matters may need to be taken into account. driven jointly @NIET Version 1. in particular. necessary to choose. We always analyse the risk in terms of how the organisation currently operates. prioritise and implement the most appropriate combination of risk treatments. It is. Factors such as legal. and in particular taking into account existing controls and their effectiveness. sometimes it is preferable to analyse the risks at another time using subject matter specialists. and then reconvene the original workshop team to agree and verify the ratings. are selected by considering factors such as costs and benefits. From the risk analysis output we can advise clients on: The preferred strategies for risk treatment The priority with which risks should be considered for treatment Those risks that should be the subject to senior level oversight. monitored continuously for effectiveness. Table 1: Treatment options associated with surface traffic accidents at a mine site Treatment Completion option Benefits Disadvantages Result date Survey Understand Will require Yes 31-Jul-13 current rules the current some effort to and situation and achieve.Assessment by the need to achieve objectives and satisfy organizational and budgetary constraints while controlling uncertainty to the extent that this is desirable. Many treatments need be acceptable to stakeholders or those who are involved in implementation if they are to be effective and sustainable. The table below contains an example of cost benefit analysis applied to risk treatment options. We help our clients identify possible options for risk treatment and then test each of these using cost benefit analysis. Cost benefit analysis The primary consideration for most risks is whether the risk can be further treated in a way that is reasonable and cost effective. preparation for a risk treatment workshop is vital if it is to be effective and efficient. This should consider all direct costs and ancillary costs (dis-benefits) as well as all the direct benefits and ancillary benefits (opportunities). We advise our clients to be flexible about risk treatment options and consult broadly with stakeholders as well as with peers and specialists. If most of the costs or the benefits are unlikely to be experienced within the first year or so then it may be necessary to discount the benefits and costs to allow the assessment to be made ‘in today’s money’. In general this involves considering: Whether the risk is being controlled to a level that is reasonably achievable Whether it would be cost-effective to further treat the risk The organisation’s willingness to tolerate risks of that kind. Determining the cost-effectiveness of further treatment involves the application of cost benefit analysis. We often use bow-tie analysis to help our clients identify possible risk treatment measures based on control gaps. May @NIET Version 1.0Page 60 of 84 . As with risk assessment. the removal of company. in mines and the safe alternatives. speedos.Assessment Treatment Completion option Benefits Disadvantages Result date variations the potential conclude that across for confusion. Develop a Speeds are strategy to enforced by limit speeds removal of through gears which blocking places motors gears etc. behaviours. as 1). Ultimately it Consider the will reduce role of the likelihood despatch on of accidents each mine. Conduct a Currently Will require Yes 31-Jul-13 study to there are no effort to determine standards or achieve (but safe speeds rules. Move to despatch is not Develop a understand desirable from standard for the need for a safety safe driving despatch or perspective. Many could be below and vehicles do conducted at above not have the same time ground.0Page 61 of 84 . under stress. that can cause death and serious injury and plant damage. Survey Development Will take some Maybe 31-Dec-13 @NIET Version 1. Risk treatment plans We help our clients generate and record potential options for risk treatment as that shown above. the benefit and costs or disadvantages are expressed and a decision is placed in the final column. Our capability @NIET Version 1. walking areas etc. proximity avoidance of devices as ambiguity. Will interactions suitable for all lead to some below and mines. basis for Develop training and standards in enforcement terms of of standards. The decision is either ‘yes’ because the risk treatment option is value accretive. opposition as above Consistency it may restrict ground. All those options marked ‘yes’ go ahead as risk treatment measures and plans are developed for their implementation. For each option. Train all mine staff on rules and enforce.Assessment Treatment Completion option Benefits Disadvantages Result date pedestrian of a solution effort to and vehicle that is achieve. between where people Consider mines and walk. If the evaluation in inconclusive. or ‘no’ because it is not. part of the Provide a solution.0Page 62 of 84 . a ‘maybe’ is recorded and more detailed benefit-cost analysis may be required. delaminated areas. How to implement your plan . How to monitor your plan . We also specialise in training our clients to conduct risk assessments for themselves.Assessment All members of Broadleaf are highly proficient in preparing for and conducting risk assessment workshops and risk treatment workshops. Activity Objective Resources Procedures Responsibl When? Budget (What is to (Why will (Where (How will it e person be done?) we do it?) will it be be done?) (Who will done?) do it?) Train sales To multi. ABC Hotel would like to deliver great customer service by providing training sales staff to provide after sales product support. timelines and responsibilities assigned for each task and milestones) . Every client’s needs are different. staff to skill staff done training department August Addition provide and to across all programs manager al after sales improve the whole resources support. the level service available of after departmen but a sales t. 6. business support case is required. This training is highly intensive and practical so that participants quickly learn the skills they require and gain the confidence to facilitate their own workshop sessions. What is your action plan? (you can break your overall activity into small tasks. According to the operational plan. 1. As a manager you need to develop and manage your action plan to align with the organisation plan. and we are able to tailor the basic process and utilise the appropriate tools and methods to generate the most efficient process and most reliable outcomes. You need to cover: .0Page 63 of 84 . How to review your plan @NIET Version 1. It will be Deliver Service 31 In house. Write a report to explain marketing mix according to ABC Hotel’s operational plan. Small tasks may include analysis current staff knowledge.0Page 64 of 84 . but the key point is: Overall activity is to train sales staff to provide after sales support. Presponse may include a discussion of the pros and cons of: o Analyzing and assessing sales figures and service turnover o Keeping a close eye on the KPIs and KRAs o Observing and assessing the attitudes among customer service representatives o Holding meetings to collect information and discuss issues related to customer interactions o Collecting quantitative data to monitor performance o Collecting and analyzing qualitative data about customer service performance o Observing face-to-face service situations o Market research 7. The answers may vary. 1. To monitor and review the plan. You work as a payroll officer for ABC Hotel and you have extracted the below information from the company history cards: Name Staff A Staff B Staff C Employee number 1 2 3 @NIET Version 1.Assessment . identify training scope. timelines and responsibilities assigned for each task and a mechanism to quantitatively analyse the level of completion of each task. location. provider. submit a business case to get final approval. implementation and review. If there are complex complaints and system problems that lead to poor customer service. what can you do? Students need to break the overall activity into small tasks. confirm training price. 5 times the normal rate on Monday to Saturday.30am to 5.30pm 7.Assessment Address 1 Sample Street.60 hours per day).5 hours with 1 hour break with 1 hour break break Wednesday 8. Any employees who work over 7. You are required to complete the timesheets and calculate the total gross payment amount for all 3 staff members.30pm with 1 hour break with 1 hour break with 1 hour break Tuesday 9. Sunnyplace Sunnyplace Sunnyplace Date of Birth 14/ 12/1985 9/12/1984 12/06/1980 Employment status Full-time Casual Full-time Occupation Supervisor Reception Team leader Date Commenced 1/01/2004 2/02/2012 3/03/2000 Current wage rate $24/ hour $16/ hour $18/ hour or annual salary Note that employees are paid under an award that requires 38 hours per week of work (for 7.10 pm • 8.30 pm 8.30pm 8.5 hours break @NIET Version 1.30 pm 8.00am to 5.30am to 5. 2 Sample Street.00pm with 1 hour break with 1 hour break with 1 hour break Thursday 9. This is week 5 and the ending work date is 26/02/20XX.5 hours with 0.30 pm 8.30am to 5.00am to 5.00 pm 8.30am to 7.5 hours with 1 hour break break break Saturday • 9.30pm 8. 3 Sample Street.30am to 6.30pm with 0. The 3 staff members working hours are: Staff A Staff B Staff C Monday 8. Sunday is double pay.00am to with 1 hour break with 0.00pm break with 1 hour break Friday 8.00am to 5.00 pm 9.00am to 2.5 hours 5.00pm 9.30am to 5.30am to 5.60 hours per day will receive overtime payment at 1.00am to 7.00am to 6.00 pm with o.30am to 6.30am to 6.30pm with 0.0Page 65 of 84 . 00 am 6.50 7.5 hours 8.30 pm 0.00 pm 1 hour 9.90 y Thursday 9.00 pm 0.5 hours 8.50 Sunday Totals 47.00 pm 1hour 9.30 am 6.0Page 66 of 84 .40 Tuesday 9.30 pm 1 hour 8.00 7.10 pm 0.60 0.40 Wednesda 8.60 Friday 8.30 am 7.00 pm 1 hour 8.00 7.XX Day Starting Finishing Time Total Normal Overtime time time off/ hours/ time hours meals minutes hours Monday 8.2.30 am 6.60 7.60 0.40 Wednesda 8.60 0.60 1.30 pm 1 hour 10.60 2.00 7.60 1.50 38.50 7.40 y Thursday 9.50 Total hours worked during the week: 47 hours 30 minutes Total gross payment: $1254 Employee name: Staff B Employee Number: 2 Week Number: 5 Week Ending: 26.50 7.00 7.00 7.2.40 Tuesday 8.30 pm 0.90 Saturday @NIET Version 1.60 0.30 am 5.00pm Sample timesheet: Employee name: Staff A Employee Number: 1 Week Number: 5 Week Ending:26.90 Saturday 9.00 am 5.00am to 1.00 am 7.40 Friday 8.30 am 5.5 hours 4.5 hours 8.5 hours 7.60 1.00 am 5.Assessment Sunday 9.30 pm 0.30 am 5.30 pm 1 hour 9.00 am 2.00 7.60 0.XX Day Starting Finishing Time Total Normal Overtime time time off/ hours/ time hours meals minutes hours Monday 8.00 9. 40 Saturday Sunday 9.Assessment Sunday Totals 41.00 7.60 0.40 Friday 8.00 7.90 Wednesda 7.30 am 5.40 Employee name: Staff 3 Employee Number: 3 Week Number: 5 Week Ending: 26.00 7.00 pm 4.00 am 1.30 am 6.0Page 67 of 84 .30 pm 1 hour 8.10 38.50 7.30 pm 1 hour 8.00 Totals 45.50 7. Name Staff A Staff B Staff C @NIET Version 1.30 am 5. The following tax and superannuation details have been extracted from the employee’s history card.40 Tuesday 8.00 4.60 0.00 am 5.00 5.60 0. You are required to prepare payroll and in accordance with organisation policy and procedures.00 38.30 pm 1 hour 8.6.60 0.00 pm 1 hour 8.00 Total hours worked during the week: 45 hours 0 minutes Total gross payment: $909 9.00 am 5.00 7. Please use information from both question 1 and 2 to prepare staff A’s employee earnings card.XX Day Starting Finishing Time Total Normal Overtime time time off/ hours/ time hours meals minutes hours Monday 9. The relevant templates have been provided.60 0.00 pm 1 hour 8.10 Total hours worked during the week: 43 hours 10 minutes Total gross payment: $730.90 y Thursday 8. cash analysis sheet and Staff A’s employee pay advice slip. 5 x normal pay rate ($) Overtime hours x 2 x normal pay rate ($) GROSS PAY ($) DEDUCTIONS ($) Income tax ($) 271 74 151 496 Medical association ($) Superannuation ($) TOTAL DEDUCTIONS ($) @NIET Version 1.5) Overtime hours (x 2) ENTITLEMENTS Normal pay ($) Overtime hours x 1.Assessment Deductions: Health insurance $22 per week $12 per week Nil Superannuation $25 per week Nil Nil ABC Hotel Payroll register for week ending: Employee Name Totals Staff A Staff B Staff C HOURS WORKED Normal hours Overtime hours (x 1.0Page 68 of 84 . X X ABC Hotel Cash analysis sheet for week ending: 26.0Page 69 of 84 . 3300.XX Notes Coins Employee Net name pay $ $100 $50 $20 $10 $5 $2 50¢ 20¢ 10¢ 5¢ 1 Staff A Staff B Staff C Totals @NIET Version 1.20XX Name: Employee no: Address: Pay Accumulated period Gross pay Deductions totals ending Net pay Date Norm 1. s 00 00 26.5 2.Assessment NET PAY ($) Employee earnings card for year ending: 26.02.02. Gross PAY Medi Sup Tota Gross Tax al $ $ 0 pay G cal er l $ pay $ withh $ $ tax ass’n $ $ eld $ $ $ Balance 10.02.000. Assessment ABC Hotel pay slip advice slip Employee no: Pay period ending: Employee name: Wages.1 3 17. overtime and allowances Hours Rate Amount Wages Overtime Allowances NA NA NA Payment summary This pay Wages Gross pay PAYG tax Deductions Net pay Deductions Amount PAYG tax Superannuation Health insurance Total deductions ABC Hotel Payroll register for week ending: Employee Name Totals Staff A Staff B Staff C HOURS WORKED Normal hours 38 38 38 114 Overtime hours (x 1.6 @NIET Version 1.0Page 70 of 84 .5 5.5) 9. 4 Employee earnings card for year ending: 26.0Page 71 of 84 .4 754 2.Assessment Overtime hours (x 2) 4 4 ENTITLEMENTS Normal pay ($) 912 608 684 2204 Overtime hours x 1.5 2. Gross PAY Medi Sup Tota Gross Tax al $ $ 0 pay G cal er l $ pay $ withh $ $ tax ass’n $ $ eld $ $ $ @NIET Version 1.336.4 DEDUCTIONS ($) Income tax ($) 271 74 151 496 Medical association ($) 22 12 34 Superannuation ($) 25 25 TOTAL DEDUCTIONS ($) 318 86 151 555 NET PAY ($) 932 640.02.4 81 545.4 Overtime hours x 2 x normal pay rate ($) 144 144 GROSS PAY ($) 1254 730 909 2893.20XX Name: Staff A Employee no: 1 Address: 1 Sample Street.5 x normal pay rate ($) 342 122. Sunnyplace Pay Accumulated period Gross pay Deductions totals ending Net pay Date Norm 1. X X 912 342 1254 271 22 25 318 922 11.02.4 6 2 2 Staff C 754 7 1 2 Totals 2336.02.20XX Employee name: staff A Wages.4 22 1 3 1 3 2 ABC Hotel pay slip advice slip Employee no: 1 Pay period ending: 26.0Page 72 of 84 . overtime and allowances Hours Rate Amount Wages 38 24 912 Overtime 9.XX Notes Coins Employee Net name pay $ $100 $50 $20 $10 $5 $2 50¢ 20¢ 10¢ 5¢ 1 Staff A 932 9 1 1 1 Staff B 640.Assessment Balance 10.02.5 36 342 Allowances NA NA NA Payment summary This pay Wages 912 Gross pay 1254 PAYG tax 271 Deductions 47 @NIET Version 1.254 3571 ABC Hotel Cash analysis sheet for week ending: 26.000. s 00 00 26. 3300. Assessment Net pay 932 Deductions Amount PAYG tax 271 Superannuation 22 Health insurance 25 Total deductions 318 10. Methods are selected according to the organisation’s policies and individual employee @NIET Version 1. The number of employees to be paid for the period should be checked against the number of employee history cards and the number of time sheets submitted for the pay period. Before a payroll register is released from the payroll officer. You are also required to describe where to find information about payments in an organisation and the records that correspond to different payment methods. Explain at least 2 difference methods that can be used to pay employees. penalties may apply for late payment to employees. The number of cheques or pays prepared for employees must tally with the number of employees on the payroll register. Organisatios pay employees by cash. Explain how and the procedures to reconcile total wages for pay period. that reconciliations have been done. Organisations are ablogated to pay employees on time and depending upon the award or enterprise bargaining agreement in place.0Page 73 of 84 . A comparison can be made of the normal and overtime hours recorded on the employee time sheets. cheque or electronic transfer fo funds. an authorized person in the organisation should ensure that payroll has been prepared according to the organisation’s procedures. 2. with the hours recorded in the payroll register. check and correct irregularities and refer to designated persons for resolution. The payroll should not be released until it has been authorized by someone with authority to do so. Codes of practice and ethical principles. govern the responsibility required of people involved in handing and processing financial information. Please explain the faults in this payroll procedure. At the end of each week you prepare the payroll register using the time sheets provided by the management and information can be found on each employee’s history card.Assessment needs. bank statements and pay advice slips. At a payroll processing level. Taxation legislation for: o Determining deductions for HELP and SFSS debt o Determining PAYG withholding tax o Calculating superannuation guarantee payments o Keeping payroll records for taxation reporting. The preparation of the payroll and the preparation of cheques should be undertaken by different people so that checks can be made of the payroll process. WHS legislation for : @NIET Version 1.0Page 74 of 84 . it requires integrity in following procedures and reporting errors and problems as they emerge. which can ne workplace-based or applied by a professional association. 3. cheques. you also prepare the pay advice slips are prepared and you write up and sign the cheque. If you work as the payroll officer for ABC Hotel and you are a part-time staff member. Privacy legislation for: o Maintaining confidentiality and security of payroll information o Maintaining individual privacy information. Information about preferred payment methods should be found in the organisation’s policies and procedures manual and in employee history cards. Anti-discrimination legislation for: o Ensuring the payroll process does not discriminate against people according to the legislation. cheque butts. Identify the key provisions of relevant legislation standards and codes that may affect payroll operations. After the payroll register is reconciled. The bookkeeper has too many tasks. Records of payment include the payroll register. 4. cash analysis sheet. The software will then access information about the employee and calculates pay details and withholdings automatically.000 (annualised projection) Monthly rent Current monthly invoice: $16. Most businesses will use software to organize all of the tasks of preparing and managing a payroll. List and explain at least 2 different types of payroll systems Manual – where payrolls are prepared by hand.000 plus GST Current monthly outgoing: $1. These are most suitable for very small organisations where there may only be one or two employees. Payroll software often requires minimal input from the employer except to input employee wage information and hours.000 plus GST for each year Business Overview Hours of operation Monday Tuesday Wednesday Thursday Friday Saturday Sunday @NIET Version 1.0Page 75 of 84 . 5.200. Part 3 Case Study ABC Coffee Summary Brand name ABC Coffee (one of the franchise store) Gross turnover 1 July 2XX1 to 30 June 2XX2 $1.800 plus GST Current market promotion fee: $810 plus GST Stock at Value (SAV) Approximately $5.000 1 July 2XX2 to 30 June 2XX3 $78.000 Adjusted net profit 1 July 2XX1 to 30 June 2XX2 $98.Assessment o Ensuring health and wellbeing is maintained. particularly for data entry operators.000 Franchise service fee 6% of weekly Gross Revenue (plus GST) (royalty) Franchise marketing 3% of weekly Gross Revenue (plus GST) levy (group 1% of weekly Gross Revenue (local marketing) marketing) Franchise renew fee $1. Software – the preferred approach for handing payroll. 14 Staff rostered each week excluding Mangers) Seating Current seating provided in Plant and Equipment includes 106 seats and 35 tables Strengths Existing business with loyal customer base Prime location in busy shopping centre in rapidly growing area Opportunities The opportunity to share in the success of an instantly recognisable and highly successful brand. This might involve verbal. Question 1 Book time with your assessor to do role plays to solve 3 different customer complaints. with a proven track record throughout Australia. • Check with the customers to ensure that they are happy with the problem solution. • Listen attentively to their complaints and work with them to negotiate satisfactory resolutions. face-to-face communication or telephone or email communication after the event.0Page 76 of 84 .Assessment 8:00am to 8:00am to 8:00am to 8:00am to 8:00am to 8:00am to 8:00am to 9:00 pm 9:00 pm 9:00 pm 9:00 pm 9:00 pm 9:00 pm 9:00 pm Staffing 2 Managers (1 full-time/ 1 part-time/ casual) 2 Cooks 1 Assistant Cook Approx. 4 Baristas/ 6-7 Floor Staff (staff requirement: approx. Complaint 1 @NIET Version 1. escalate the complaint to someone who can make suitable decisions. You act as waiter/ waitress and your assessor will be different angry customers. • If necessary. You are required to respond to and resolve these complaints according to organisational policies and procedures: • using negotiation techniques • using appropriate eye-contact • using a moderate tone of voice • in a calm manner • maintaining politeness at all times • Use appropriate communication skills to address and resolve customer complaints within the scope of your responsibility. @NIET Version 1. but he/ she find that the table is very dirty. Complaint 2 You serve one customer. Check with the customers to ensure that they are happy with the problem solution.Assessment An angry customer who has been waiting for his/ her food for more than 30 minutes. but you accidently took another customer’s rump stake to him/ her. The day is very busy and the store does not have capacity to accept too many orders. but you just about to serve another customer. Complaint 3 The customer just sits down. This might involve verbal. He/ she is not happy and he/ she asks you to clean it immediately. The customer ordered an eye fillet. but the meal is different with what the customer ordered. face-to-face communication or telephone or email communication after the event. Items Satisfactory or not Comments using negotiation techniques using appropriate eye-contact using a moderate tone of voice in a calm manner maintaining politeness at all times Use appropriate communication skills to address and resolve customer complaints within the scope of your responsibility Listen attentively to their complaints and work with them to negotiate satisfactory resolutions.0Page 77 of 84 . If necessary. escalate the complaint to someone who can make suitable decisions. Assessment Recommendation: Case 1 o Investigate lead times o Re-priorities delivery schedules. Please see the details below.0Page 78 of 84 . @NIET Version 1. The organisation has its own Document Style Guide. Discuss those issues and recommendation with your assessor and write a customer service policy for ABC Coffee for those 3 areas (take order. serve customer. maintain a clean environment). you are required to think about these issues and provide recommendation. o Train staff to provide more accurate delivery data to clients Case 2 o Train staff about the menu o Ensure the delivery is accurate o Make sure staff explain and apologies Case 3 o Train staff about policy o Check capacity o Staff training Question 2 After you solve those problem. Use A4 page layout. . full-time. 12. 7. format and communication style of the document should be suitable for the intended audience. It is the aim of ABC to provide our customers with the highest level of customer service at all times. .Copies and documents should be filed safely Style guide 1. plart-time. staff members should always demonstrate the following: o Professional courtesy in all dealings with internal and external customers @NIET Version 1.All documents should be checked for readability.Assessment ABC Coffee Document Style Guide Purpose and scope In accordance with the ABC Information Policy. The standard font is Times New Roman 12 3. organisation. All topics need to have clear heading 4. for example 28 June 2016 5. spelling and sentence and paragraph construction before they are distributed. Documentation should be produced using MS Word. 8. these procedures describe the requirements for producing and storing formal documents in a consistent format through appropriate styling. . Check that MS Word is set to English (Australian). Refer to the Macquarie Dictionary. consistent document handing procedures and appropriate protocols. Time use 11 am. The purpose. for example. Dates use date month year. permanent or temporary. inclusive and non- discriminatory. Use a friendly. Customer Service Policy Our aim The ABC Coffee Customer Service Policy applies to all ABC employees – casual. Use Australian spelling. clear style. 6. grammar. All documents are to be distributed evenly 2. This will ensure portability of files and consistency of operation.30pm 9. tone.0Page 79 of 84 . colour. In order to achieve this. Responsibilities All ABC staff members are responsible to follow the policy when creating formal business documents. Use language that is unambiguous. 4 Baristas/ 6-7 Floor Staff @NIET Version 1. their dealing with customers and the service they provide o Effective communication skills o Integrity. This is located in the policies and procedures section of the ABC intranet. Currently you have: • 2 Managers (1 full-time/ 1 part-time/ casual) • 2 Cooks • 1 Assistant Cook • Approx. 11-4.Assessment o Accuracy and efficiency with regards to the products and services they promote and/ or provide o Accountability for their actions. team leader or manager Management must: o Act immediately if poor customer service is brought to their attention by staff o Where appropriate. You need to prepare approximately 14 staff rostered each week excluding managers. where required Question 3 Prepare rosters across three different roster periods (8-11. Dealing with customer complaints Complaints made by ABC customers must be handled in accordance with the customer complaints procedure.0Page 80 of 84 . and customer service training on a regular basis to assist them in the provision of effective customer service. review customer service procedures o Document and report on this process. Accountabilities All ABC staff are expected to : o Provide high quality customer service at all times o Identify poor customer service standards o Report poor customer service to their supervisor. honesty and reliability o High levels of product and service knowledge Dealing with internal and external customers o All staff will provide internal and external customers with the same high level of service at all times o All staff must show courtesy to both internal and external customers in all situations o All staff must actively look for ways to enhance the customer service experience o All impediments to the provision of good customer service must be properly addressed The ABC commitment to delivering outstanding customer service standards ABC staff will be provided with communication skills training during their induction period to improve their general communication skills. 4-9) for ABC Coffee. You need to: Gather information needed to prepare a budget: • determine and confirm the scope of the budget • identify. access. and interpret information @NIET Version 1.Assessment Please use the roster template below: Service Mon Tue Wed Thu Fri Sat Sun attendant Manager 8-11 8-11 8-11 11-4 11-4 11-9 11-9 1 Manager 11-4 11-4 11-4 4-9 4-9 8-11 8-11 2 Cook 1 11-4 11-4 11-4 11-4 11-4 4-9 4-9 Cook 2 4-9 4-9 4-9 4-9 4-9 11-4 11-4 Assistant 11-4 11-4 11-411-4 4-9 11-4 4-9 cook Baristas 1 8-11 8-11 8-11 8-11 8-11 4-9 4-9 Baristas 2 11-4 11-4 11-4 11-4 11-4 8-11 8-11 Baristas 3 4-9 4-9 4-9 4-9 4-9 11-4 4-11 Baristas 4 Floor 8-11 4-9 4-9 8-11 11-4 8-11 Staff 1 Floor 11-4 8-11 8-11 4-9 4-9 11-4 Staff 2 Floor 4-9 11-4 11-4 11-4 4-9 11-4 Staff 3 Floor 8-11 4-9 8-11 8-11 Staff 4 Floor 4-9 8-11 11-4 8-11 11-4 4-9 Staff 5 Floor 11-4 11-4 8-11 11-4 8-11 Staff 6 Floor 8-11 4-9 4-9 11-4 4-9 8-11 Staff 7 Question 4 Prepare a budget for ABC Coffee staff cost and write a report to address the points below.0Page 81 of 84 . 0Page 82 of 84 . Task Accountability Due Date Prepares worksheets to assist the Finance Department 15 April 2016 department managers in preparing department budget estimates Calls a meeting of managers and they Director present and discuses plans for the following year’s projected level of 28 April 2016 activity They department managers work with Department managers 16 May 2016 the director to prepare an estimate for and director the department’s coming year. Completed budgets are presented by the Department managers 30 May 2016 department managers to their director @NIET Version 1.Assessment • analyse internal and external factors that can impact the budget • consult with colleagues (assessor) Analyse information and prepare a draft budget: • estimate income and expenditure • reflect organisational objectives • provide a range of options • circulate draft for comment Monitor financial activity in relation to a budget: • check income and expenditure • identify financial commitments • identify variances and report to the appropriate person • investigate options for improvements to budget management • advise the appropriate person of budget status • monitor income and expenditure and evaluate budgetary performance Identify and evaluate options for improving performance in relation to a budget: • assess cost and resources • consult with stakeholders to identify and confirm budget outcomes • research and recommend new approaches to budget management • identify impacts on customer service • evaluation of staffing and rostering requirements/ evaluation of impact of potential roster changes Collect and record information for use in future budgets. 692. The total income increases every year. salaries and marketing fee.514.480 Financial stability: o increase revenue by 15% (compared to the previous 12 months) by the end of the financial year o Maintain annual profit levels of 15% of revenue for all products and services.000 19. The major variances are payment to suppliers and inventories.480 Reinvest 16.750 193. In most cases.250 22.000 172.692.188 29. 2015-16 2016-17 2017-18 2018-19 2019-2- Income 150.875.131. it will affect company to make accurate budget plan.297 Profit 22.998.000.500.520100 =10. Trends may be identified by plotting key ratios on a graph.875.375.317.000 198.000 146.520=0.765. calculated at the end of each financial year o Reinvest 75%of profit back into the business at the end of each financial year Net profit margin = net profit/revenue 100+13.955/134.188 29.955/252. giving a visual representation of changes happening over time from different financial periods.06 Horizontal analysis looks at the changes in each item of the financial statements in 3 ways: o The change in absolute monetary value o The percentage change from the value of previous period o Whether the change was favourable or unfavourable for the organisation The great impact on business’s profit and loss are payment to suppliers.955/134.000 222.4% Net profit ratio = net profit/revenue = 13.104 Cash flow return on assets = cash flow from operation/ total assets = 83. the department manager talks with their director about budget requirements. when the gap is too big.300=0.937 Expenditure 127.500.514.725.000 228.250 34.183/269.Assessment for review and approval. The cashflow ratio provides the information that helps managers to forecast their organisation’s cashflow.31 Return on owner’s equity ratio= net profit/ owner’s equity = 13.000 168.500.000 25.250 262.331.0Page 83 of 84 .781 = 0.775000 29. @NIET Version 1. Justification of the budget request may Department managers 15 June 2016 be required in writing.618.188 25.350. 0Page 84 of 84 .Assessment Positive trends lead to investment for growth as there is confidence in the organisation’s ability to obtain and pay back. Reasons for variations may include: o Decreased or increased selling prices o Lower demand for products as a result of increased players in the market o Decreased or increased cost of goods purchased o Increase or decreased production costs o Increased or decreased labour costs o Changes in the organisation’s inventory method o Capital injections by business and/ or owners o Withdrawals by owners o Investments in assets Recommendation for maintaining financial viability: o Identify internal and external operational risks o Identify competitor. consumer and legal risks o Assess risks o Identify risk controls o prepare contingency plans @NIET Version 1.