Elements and Performance Criteria

The Range of Variables explains the contexts within which the performance and knowledge requirements of this standard may be assessed. The scope of variables chosen in training and assessment requirements may depend on the work situations available.

What focus, direction and structure considerations might there be?
The size, composition and nature of enterprise, markets in which it operates and/or intends to operate, environment and market projections for sectors in which the business operates may need to be considered. Also, the long-term directions and purposes of the business and the personal goals of the people involved may need to be considered. Lifestyle, income level expectations, preference for various enterprise types, period of ownership, provisions for next generation and retirement are also relevant here.

What legal obligations and estate considerations might need to be understood and complied with?
State/Territory and commonwealth taxation law, company and securities legislation; OHS, environmental laws; competition policy; industrial relations and trade practices legislation; and possibly legislation regarding wills and inheritance in regards to succession planning might need to be considered.
Succession arrangements, changes to estate company structure and family entitlements may also need to be considered.

What accurate data might be accessed?
Data may include demographic, social, political, economic technological, product and market segmentation data.

What reliable sources might be utilised?
Data might be sourced from own, commissioned or publicly available research and could be internal or external. It could be gathered from industry respected or trusted research sources such as ABS or other government research, valid studies, and/or trusted market analysis sources.

What is included in a value chain analysis?
An analysis of a series of primary activities: inbound logistics, operations, outbound logistics, marketing and sales, service support and their support activities, firm infrastructure, human resource management, technological development, and procurement.

What competitive implications might there be?
May need to consider factors that give an enterprise an edge over its competitors, the variables and changes that may affect that competitive edge, and the resulting implications for the enterprise. The formation and/or maintenance of strategic alliances and co-operatives and the competitive nature of markets may need to be included.
The organisations structure, resources, direction and market positioning could also be considered.

What expansion opportunities might exist?
Options for growth and/or diversification into feasible enterprises might need to be assessed to determine medium and long-term viability. The stability of own business and potential acquisitions may need to be assessed.

What might be worth considering when determining viability and feasibility of expansion?
Market access, availability and potential; managers/owners preferences; resource suitability and availability; risks involved; impact on land and water resources; relevant technological innovations and expected net profitability; need to be assessed to determine viability and feasibility of expansion opportunities.

What might be included as performance measures?
May be expressed as gap analysis, variance analysis, conformance reports, customer feedback, balanced scorecard measures, performance indicators, outcomes or key result areas.

What key aspects of enterprise performance might be relevant?
May be expressed as gap analysis, variance analysis, conformance reports, customer feedback, balanced scorecard measures, performance indicators, outcomes or key result areas.

What implications might there be?
Implications might relate to enterprise structure, resources, acquisitions and market position.

What value adding activities and opportunities might need to be introduced?
Implications might relate to enterprise structure, resources, acquisitions and market position.

Which relevant parties might need to be consulted?
Key personnel: other family members, partners, providers of finance, managers, staff, clients and suppliers may be consulted.
Specialist personnel: accountants, solicitors, tax agents, regulatory bodies and government authorities, trade, professional or industry associations might also need to be consulted.

What remedial action might be needed?
Adjustments to strategic plan direction and related business plans, adjustment of performance expectations, changes in focus or direction, communication to key personnel of changes and initiatives.

What focus, direction and structure considerations might there be?
The size, composition and nature of enterprise, markets in which it operates and/or intends to operate, environment and market projections for sectors in which the business operates may need to be considered. Also, the long-term directions and purposes of the business and the personal goals of the people involved may need to be considered. Lifestyle, income level expectations, preference for various enterprise types, period of ownership, provisions for next generation and retirement are also relevant here.

What legal obligations and estate considerations might need to be understood and complied with?
State/Territory and commonwealth taxation law, company and securities legislation; OHS, environmental laws; competition policy; industrial relations and trade practices legislation; and possibly legislation regarding wills and inheritance in regards to succession planning might need to be considered.
Succession arrangements, changes to estate company structure and family entitlements may also need to be considered.

What accurate data might be accessed?
Data may include demographic, social, political, economic technological, product and market segmentation data.

What reliable sources might be utilised?
Data might be sourced from own, commissioned or publicly available research and could be internal or external. It could be gathered from industry respected or trusted research sources such as ABS or other government research, valid studies, and/or trusted market analysis sources.

What is included in a value chain analysis?
An analysis of a series of primary activities: inbound logistics, operations, outbound logistics, marketing and sales, service support and their support activities, firm infrastructure, human resource management, technological development, and procurement.

What competitive implications might there be?
May need to consider factors that give an enterprise an edge over its competitors, the variables and changes that may affect that competitive edge, and the resulting implications for the enterprise. The formation and/or maintenance of strategic alliances and co-operatives and the competitive nature of markets may need to be included.
The organisations structure, resources, direction and market positioning could also be considered.

What expansion opportunities might exist?
Options for growth and/or diversification into feasible enterprises might need to be assessed to determine medium and long-term viability. The stability of own business and potential acquisitions may need to be assessed.

What might be worth considering when determining viability and feasibility of expansion?
Market access, availability and potential; managers/owners preferences; resource suitability and availability; risks involved; impact on land and water resources; relevant technological innovations and expected net profitability; need to be assessed to determine viability and feasibility of expansion opportunities.

What might be included as performance measures?
May be expressed as gap analysis, variance analysis, conformance reports, customer feedback, balanced scorecard measures, performance indicators, outcomes or key result areas.

What key aspects of enterprise performance might be relevant?
May be expressed as gap analysis, variance analysis, conformance reports, customer feedback, balanced scorecard measures, performance indicators, outcomes or key result areas.

What implications might there be?
Implications might relate to enterprise structure, resources, acquisitions and market position.

What value adding activities and opportunities might need to be introduced?
Implications might relate to enterprise structure, resources, acquisitions and market position.

Which relevant parties might need to be consulted?
Key personnel: other family members, partners, providers of finance, managers, staff, clients and suppliers may be consulted.
Specialist personnel: accountants, solicitors, tax agents, regulatory bodies and government authorities, trade, professional or industry associations might also need to be consulted.

What remedial action might be needed?
Adjustments to strategic plan direction and related business plans, adjustment of performance expectations, changes in focus or direction, communication to key personnel of changes and initiatives.

What evidence is required to demonstrate competence for this standard as a whole?
Competence in developing and reviewing a strategic plan requires evidence that demonstrates the ability to identify the direction and purpose of a strategic plan, analyse the competitive environment and enterprise, and formulate a strategic plan. It requires evidence of the ability to identify clear performance measures, communicate the strategic plan and review and monitor its performance.
The skills and knowledge required to develop and review a strategic plan must be transferable to a different work environment. For example, if competence is demonstrated in developing and reviewing a strategic plan for a small enterprise, it must also be evident in a medium or large enterprise environment.
What specific knowledge is needed to achieve the performance criteria?

Knowledge and understanding are essential to apply this standard in the workplace, to transfer the skills to other contexts, and to deal with unplanned events. The knowledge requirements for this competency standard are listed below:

the external environment
working knowledge of market forces
resource availability and accessibility
feasible enterprises and opportunities
business structures
forecasting
value adding concepts
strategic planning methodologies
data collection and analysis methods
risk management techniques
knowledge of legalisation codes and by-laws relevant to the organisations operation and potential expansion
organisational design and change processes.

What specific skills are needed to achieve the performance criteria?

To achieve the performance criteria, appropriate literacy and numeracy levels as well as some complementary skills are required. These include the ability to:

set goals and directions for a business
communicate with key and specialist personnel
analyse information and results
consider and evaluate alternatives
document and communicate plans
design performance criteria
manage projects
think logically and strategically.

Are there other competency standards that could be assessed with this one?
This competency standard

Essential Assessment Information
There is essential information about

What specific knowledge is needed to achieve the performance criteria?

Knowledge and understanding are essential to apply this standard in the workplace, to transfer the skills to other contexts, and to deal with unplanned events. The knowledge requirements for this competency standard are listed below:

the external environment
working knowledge of market forces
resource availability and accessibility
feasible enterprises and opportunities
business structures
forecasting
value adding concepts
strategic planning methodologies
data collection and analysis methods
risk management techniques
knowledge of legalisation codes and by-laws relevant to the organisations operation and potential expansion
organisational design and change processes.

What specific skills are needed to achieve the performance criteria?

To achieve the performance criteria, appropriate literacy and numeracy levels as well as some complementary skills are required. These include the ability to:

set goals and directions for a business
communicate with key and specialist personnel
analyse information and results
consider and evaluate alternatives
document and communicate plans
design performance criteria
manage projects
think logically and strategically.

Are there other competency standards that could be assessed with this one?
This competency standard

Essential Assessment Information
There is essential information about

Communicating ideas and information
In discussing and formulating the strategic plan in consultation with key and specialist personnel. (3)

Communicating ideas and information
In discussing and formulating the strategic plan in consultation with key and specialist personnel. (3)

Collecting analysing and organising information
In gathering information for the strategic plan, evaluating opportunities and in reviewing targets and strategic plan operation. (3)

Collecting analysing and organising information
In gathering information for the strategic plan, evaluating opportunities and in reviewing targets and strategic plan operation. (3)

Planning and organising activities
In evaluating opportunities and developing the strategic plan, and in reviewing and redesigning related systems. (3)

Planning and organising activities
In evaluating opportunities and developing the strategic plan, and in reviewing and redesigning related systems. (3)

Working with others and in teams
In consulting with key and specialist personnel in developing the strategic plan and in evaluating the success of the strategic plan. (3)

Working with others and in teams
In consulting with key and specialist personnel in developing the strategic plan and in evaluating the success of the strategic plan. (3)

Using mathematical ideas and techniques
To evaluate and collate performance data and results, and to ensure appropriate measurement systems are in place. (2)

Using mathematical ideas and techniques
To evaluate and collate performance data and results, and to ensure appropriate measurement systems are in place. (2)

Solving problems
To improve existing systems, to solve communication barriers and to rectify/remedy identified performance gaps. (3)

Solving problems
To improve existing systems, to solve communication barriers and to rectify/remedy identified performance gaps. (3)

Using technology
To improve strategic performance, to calculate targets, collate data and conduct a value chain analysis. (2)

Using technology
To improve strategic performance, to calculate targets, collate data and conduct a value chain analysis. (2)