2001 MINA construction & heavy equipment rental strategic management plan: [A strategic management paper]

• Main Author: Martinez, Allan
• Format: text
• Language: English
• Published: Animo Repository 2002
• Subjects: Construction equipment industry > Philippines; MINA Construction and Heavy Equipment Rental
• Online Access: https://animorepository.dlsu.edu.ph/etd_masteral/3999
• Institution: De La Salle University

The 2001 MINA strategic management plan seeks to sustain the company business and profitability over the next five years. The profit target is P10,000,000 per year. The rental sales-revenue target is P23,000,000 per year which represents at least 80% capacity utilization. The profit and rental revenue target are seen as attainable through improved customer service, maintaining competitive process and good financing, hiring, sales agents and accelerated and efficient use of heavy equipment. MINA Construction and Heavy Equipment Rental is an established provider of heavy construction equipment based in San Pedro, Laguna. The heavy equipment rental industry is primarily regional construction equipment companies rarely supplies excavators, pay loaders, graders, ready mix and bulldozers, for rent outside their respective turf due to high cost of shipping long distances, limited access to operators and the difficult maintenance, supplies and parts of these heavy equipment's. At present, the company's effort is all geared towards its mission to be the leading supplier of construction equipment services that would help its clients accelerate construction activities and at the same time help build quality and long lasting infrastructure projects in the region. Because of this commitment, it is proposed that the company overtake key competitors on customer service, provide properly maintained heavy construction equipment, reduce the time it takes to bring equipment to construction sites and improve the efficiency of operators and this respective construction equipment. Since the industry is primarily regional, it is valuable that MINA's office is strategically located in San Pedro Laguna that is very accessible to Muntinlupa and Cavite clients. Being in a more convenient geographic location provides MINA a source of sustainable competitive advantage and thus making activities here constitute a source of differentiation strategies. A strategically situated office would necessarily facilitate accelerated construction activities making marketing, sales and customer service readily available. MINA maintains the largest number of heavy construction equipment. It offers a full line of construction equipment to enable customer to do one-stop renting . Competitors, in contrast, normally lack full line because substantial time and money maybe involved. Sales agents are also hired to encourage 3 activities: the first is market development the second is sales-generating activities and third is market protection activities. In pursuance to delivering greater customer service, at leastona manager should be available in the office at all times to handle administrative operations, monitor mobility of heavy equipment thru radio, answer problems that arise and personally talk to the customers about their inquiries, suggestions or complaints. Most customers want to talk to people in authority. Customers should not be served as part of the mass who comes in the office, instead, clients are served on an individual basis, thus, individualizing and personalizing customer relationships. Furthermore, the success of this strategic plan lies on the internal conditions that would be present in the company's management, Internal conditions are needed to execute the strategic plan successfully. The process involves creating a tight fit between the 7s framework and strategy-supportive policies. The 7s framework and policies reflects the commitment of everybody. It provide a guideline on: (1) policies on customer's inquiries, suggestions or complaints (2) policies on the workplace and (3) policies on quality work. Financial projections and tables are also provided in this plan. The purpose of which is to determine how MINA would be bringing its financial resources up from year to year.