Management strategies for Toch Arellano Photography, Inc. (TAPI)

• Main Author: Arellano, Alfredo A.
• Format: text
• Language: English
• Published: Animo Repository 1997
• Subjects: Business Administration, Management, and Operations
• Online Access: https://animorepository.dlsu.edu.ph/etd_masteral/2077
• Institution: De La Salle University

Toch Arellano Photography, Inc. (TAPI) is a professional still photography studio and laboratory engaged in Portrait, Advertising and Commercial Imaging Services. It has been in the industry for over two decades now, providing smiles to a lot of people through valuable photographs worth keeping as personal treasures. The company slogans are: Were Glad To Be A Part of You! We Don't ust Sell Photographs, We Shall Memories. The company's vision is: We envision a dynamic and leading organization, moving toward real economic growth. TAPI is in the Imaging Industry. To satisfy the need to identify human faces thorough print imaging such as ID and Passport Pictures. To satisfy the need to capture and preserve memories of events and people. Products under events are photographs of Graduation Exercises, Wedding, Debuts, Baptism and the like, while under people are Graduation Pictures, Child Portraiture, Executive Portraits, Solo Individual Portraits and Family Portraits. To satisfy the need to promote and sell talents, skills, services, products and firms through print imaging for information, communication and monetary gains. The products offered in this category are Products and/or Catalogue Photography, Fashion and Glamour Photography, Interior and Exterior Architectural Photography, Food Set-ups, Packaging and Design etc. Majority of these products use full color transparencies for photo mechanical reproduction (graphic arts printing) and not print photographs, unless the client specifies so as in relection copy or black & white printing. To satisfy the need to process photographic films and prints of other photographs. The products offered here are black and white and color print enlargements from wallet size to 20 x 30 TAPI uses AAA Photo Lab as the business name in offering these products. The imaging industry is classified as an industry with a high barrier to entry due to Economies of Scale, Product Differentiation, Large Capital Requirement and Expected Retaliation. There are numerous competitors in the imaging industry. However, due to the current economic conditions there is a great opportunity for entrants to participate in this fast growing industry. Therefore rivalry amongst players in the imaging industry persists. TAPI boast of the following strengths: • Efficient Cost Control Measures Effective Marketing Strategies Established Brand Loyalty High Plant Capacity Wide Product Line Strategic Territorial Coverage Technical Expertise in Imaging • Excellent Networking While TAPI weaknesses are the following: Poor Communication and Coordination System Among Departments Inefficient Fund and Investment Management Inefficient Production Schedule No inventory Control Poor Human Resource Management High Fixed Costs Based on TAPI Vision which is, We envision a dynamic and leading organization, moving towards real economic growth.Corporate objectives were derived. Prior to this management strategic plan, TAPI had its corporate objectives. However, this paper after citing the flaws and errors of the current objectives proposes new corporate objectives that would be appropriate for the overall strategic plan. The following are the proposed corporate strategic and financial objectives for TAPI: Corporate Strategic Objectives By the year 2000 all employees of TAPI with at least 10 years of service will have the capability to own their own house and lot By the year 2000, college scholarship(s) will be granted to the children (maximum of two) of TAPI employees, who have rendered at least 5 years of service Increase productivity of photo laboratory by 10% each year starting 1997 until year 200 Creation of a Management Information System (MIS) by the end of 1997 Service (photograph) the imaging needs of 10, 000 customers for 1997 and 10% more thereafter until the year 2000 Corporate Financial Objectives Retire all existing obligations (Long Term Liabilities) by the year 2000 Achieve an ROI of at least 20% by the year 2000 Increase Current Ratio to at least 2:1 by year end 1998 Increase Sales by at least 15% each year starting 1997 Achieve a Net Profit Margin of at least 19% by year 2000 In order to achieve these objectives, strategies were formulated. The following are the proposed corporate strategies for TAPI: Continue Vertical Integration Wider Product Lines • Increase Level of Technology Expand Territorial Coverage