样本案例分析1.pptx

1Case StudyNorthlake Bookstore:Benchmarking for Performance Evaluation2Content.Case overview.Strategic objectives of Northlake Bookstore.Benchmarking analysis from four perspectives of BSC.Summary of strengths&weaknesses.Three steps for improvement3.Case overviewTextbook sales for this fall had decreased from the prior fall salesWendy-ManagerChuck-BossIn September 2004ProblemWhoWhenWhereIn NorthlakeBookstoreWhat to doEmploy benchmarking analysis to figure out the reasons behind the poor performanceThen identify how to sustain the excellence and improve the inferior performanceFurther more,determine a long-term action plan for improvement4.Strategic Objectivesof Northlake BookstoreExcellent ServiceTo provide service excellence for the students,faculty,staff,alumni and guests of the UniversityStrategic ObjectivesA profit center To contribute to the overall profitability of the University as well as being efficient andcontrolling costs.To achieve highcustomer satisfactionTo attain high profitability5Level 0 ObjectivesLevel 1 PerspectivesLevel 2 IndicatorsStrategy Objective Financial Gross margin ratioTotal operation expenses ratioSales per sq.ft.of spaceRatio:selling to storage spaceSales per FTE employee/student Customer Customer satisfaction Percentage of textbooks available First Day Customer Queuing time at Registers Internal process Inventory turnoverTextbook sell-throughDays textbooks in Receiving areaNumber of hrs store is open per Week Learning and growth Cartons processed per employee hourEmployee satisfactionEmployee TurnoverFrom strategy to action -on the basis of BSC 6Internal process FinancialCustomerLearning and growthTotalNormalized average*Internal process11/3359.330.34Financial3135120.43Customer1/31/3134.670.17Learning and growth1/51/51/311.730.06Aggregate27.731.001=equal importance to both elements in the matrix3=moderate importance of one element compared with another5=strong importance of one element compared with anotherThe Analytical Hierarchical Process(AHP)*Normalized averages are calculated by dividing the row totals by the aggregate.7Quantitative analysis:The result of hierarchical analysis shows Financial is the most important measure to realize the strategy.Qualitative analysis:Northlake Bookstore faces threat from online textbook vendors Donations and gifts to the University were downThus,in a short term,we decide to pay more attention on improving the profitability of Northlake,i.e.to emphasize its role as a profit center.8III.Benchmarking AnalysisFinancial perspective 9III.Benchmarking AnalysisFinancial perspective AdvantagesBMK(Average)NorthlakeGAPCost of Goods sold（as a%of sales)74.2%72.5%-1.7%Gross Margin Ratio25.80%27.50%1.7%Total Oper.Expenses（as a%of sales)20.1%16.9%-3.2%Net Income6.5%12.1%5.6%Sales Change From Prior Year6.40%20.80%14.4%Sales Per FTE Student$1,025$1,338$313 10Financial perspectiveMeasures About Space UtilizationBMK(Average)NorthlakeGAPSales per sq.ft.of total space$1,229$741-$488Sales per sq.ft.of selling space$1,587$1,112-$475Ratio:Selling to Storage Space3.4:13.3:1-0.1:1Rent Expenses(as a%of sales)1.90%1.20%-0.70%lSales per sq.ft.Sales per sq.ft.of space should of space should be increasedbe increasedlMake best use Make best use of its spaceof its spaceMeasures About EmployeesBMK(Average)NorthlakeGAPSales per FTE Employee$444,665$383,124-$61,541Labor Expenses(as a%of sales)12.9%12.6%-0.3%#of FTE Employees30.126.4-3.7Labor Expenses per FTE Employee0.429%0.477%0.049%lIncrease Sales Increase Sales per employee per employee lReduce labor Reduce labor expenses per expenses per employeeemployee11Product Line ProfitabilityProduct LineBMKGross Margin(average)NorthlakeGross MarginBMK%of sales(average)Northlake%of salesNew Course Books 21.4%23.40%47.5%46.7%Custom materials 23.70%22.50%2.0%4.7%Used Course Books 33.7%36.30%20.7%13.4%General Books 28.5%30.90%2.5%3.0%Computer hardware 7.3%4.60%3.3%7.8%Software&accessories 21.3%23.70%3.3%6.5%Supplies&sundries 33.2%37.60%12.5%6.3%Clothing 36.7%47.00%8.2%11.7%High-margin Product:High-margin Product:Try to increase%of sales for Try to increase%of sales for used course booksused course books and and S Suppliesupplies&sundries sundries Sustain the advantage in the margin of such productsSustain the advantage in the margin of such productsLow-margin ProductLow-margin Product 12As a high-margin product line,used textbooks should be sold more.Pay attention to used text salesBMK(Average)NorthlakeGAPUsed Text Sales:as a%of New Text Sales41.49%28.70%-12.79%Used Text Sales:as a%of Course Book Sales28.23%20.70%-7.53%13Price gap between Northlake and Online Vendors2003 Fall 2004 Winter 2004 Spring2004 Fall Northlake78.0279.0363.9960.83BMK(Average)78.4378.8363.0458.76Gap-0.410.20.952.0714Online Sales as a%of Total Sales Campus Contrib.as a%of Sales Northlake1.90%12.10%Average3.10%6.70%Where do the sales come from?As a solid shop inside the university,Northlake Bookstoredoesnt need to perform as well as Amazon on web sales.Northlake can increaseits online sale to the average level.15Internal process perspectiveInventory Turnovers AnalysisExternal ComparisonBMK(Average)NorthlakeGapNew Course Book5.49.13.7Used Course Books5.89.53.7Total Course Books5.79.43.7General Books1.61.80.2Total Books5.29.13.9Hardware9.213.74.5Software&accessories5.53.9-1.6Supplies&sundries2.71.9-0.8Clothing2.63.10.5Notice:Inventory Turnovers of Software&accessories and Supplies&sundries are lower than average levels.16Internal ComparisonInternal process perspectiveDays textbooks in receiving area is increasingNorthlakes open hours are less than average levelTextbook Sell-Through is increasing year by year17Customer PerspectiveFaculty satisfaction is increasingCustomer Queing time is decreasingProducts available ratio is high and increasing year by year18Customer PerspectiveOne-stop back-to-school shopping:Provide various products,Get freshmen ready for the first day Real experience：As a solid shop in the campus,it provides real experience for customersClose relationship with customers:Hire students as part-time employees,who are familiar with the customers(i.e.students)Key Advantages19 Learning&Growth PerspectiveImprovement of the Improvement of the working efficiency is requiredworking efficiency is required20 Learning&Growth PerspectiveEmployee Satisfaction SurveyEmployee TurnoverFrequency of Employee Being RewardedRegular Meeting FrequencyEmployee Training Hours per yearSet Up New Measures21.SWOTStrength Steady source of customers Real experience for customersClose relationship with customersGood performance in profitability in the past 3 yearsWeaknessOnline salesStaff marketing abilitiesSpace utilizationLate or inaccurate ordersOpportunityNew business linesPotential online customersThreat Online textbook vendors and publishersIncreasing costs of textbook22Three-year ObjectivesOne-year ObjectivesThree-month ObjectiveslProvide Service ExcellencelSustain Good ProfitabilitylRealize a net-income-increase of 15%than prior fiscal yearlAttain the same level of Net Incomeas prior winter.Three Steps for Improvement23Three-month PlansTo Optimize Product MixCurrentTargetUsed Course Books(%of Sales)13.4%20.7%Computer Hardware(%of Sales)7.8%4%Supplies&Sundries(%of Sales)6.3%12.5%New Course Books(%of Sales)46.7%62.8%Custom materials(%of Sales)4.7%General Books(%of Sales)3.0%Software&Accessories(%of Sales)6.5%Clothing(%of Sales)11.7%Total Sales100%100%24Three-month PlansTo Optimize Product MixCurrentTarget*ActionsUsed Course Books(%of Sales)13.4%20.7%Advocate the use of used books for the environment protection(through advertising,cooperating with the students association for the environment)Give bookmarks or postcards as gifts to those who buy six or more used books at a timeSupplies&Sundries(%of Sales)6.3%12.5%Identify what customers need through surveysIdentify best-sales product through analyzing historical statisticsComputer Hardware(%of Sales)7.8%4%Reduce the%of hardware salesZero InventoryHardware only for new orders*We decide the target according to benchmark25Three-month PlansTo Improve Inventory ManagementCurrentTarget*ActionsInventory Turnovers-Software&accessories3.95.5Analyze historical data and predict demand at the beginning of every semesterIntroduce JIT concept into daily operationInventory Turnovers-Supplies&sundries1.92.7Days Textbook in Receiving Area107Training courses in receiving and categorizing books*We decide the target according to the BMK or Northlakes good performance in past years26To Improve the Employee Working EfficiencyCurrentTarget*ActionsCartons Processed per Employee Hour3.33.8Arrange regular training courses for employeesShopping Guides -Sales Skills,Smiling from 3 metersWarehouse Workers -More familiar with unloading processCashiers -Recognize&receive money faster and more accurately Improve staff incentive system,bine salary with salesSales per FTE Employee$383,124$444,665Three-month Plans*We decide the target according to BMK27To Improve Orders ManagementCurrentTargetActionsOrders AccuracyTBDTBDMore communications with faculty in book orders accuracyTo Lower the Labor ExpensesPart-time/full-time employees0.30.77Hire more part-time employeesHire students as part-time employees -Low labor expenses -Know what the customers need -Build upon customer relationshipThree-month Plans28One-year PlansContinue the three-month actionsNew Ways to Realize Profits Make better use of its space -Create a“Reading Bar”inside the bookstoreDevelop New Business Lines -Provide services like coffee and internetMake better use of its space -Rent some space to proper tenant for business use(e.g.photocopying&printing)ORRealize a net-income-increase of 15%than prior fiscal year29Three-year planslGather information on Gather information on Feedback&DemandFeedback&Demand of of customers by web survey customers by web surveylEfficiently solve problems identified in surveys Efficiently solve problems identified in surveys lFocus on details,Focus on details,e.g.cut down customer queuing time at registerse.g.cut down customer queuing time at registersSatisfactionlServe as an official textbooks supplier for Northlake Serve as an official textbooks supplier for Northlake University University SupplierlAssist to organize activitiesAssist to organize activities e.g.sports meeting,academic case competition e.g.sports meeting,academic case competitionSponsorlUpdate the latest Update the latest academic lecture informationacademic lecture information on poster board for faculty and students on poster board for faculty and studentsService4S30