GAP ANALYSIS
Ga p Ana lys is
Focus Areas Desired Future State Current State Identified Gap Action Plan
What are you focused Difference between desired Projects you will undertake to bridge
Where would you like to be? Where are you now?
on? state and current state gap
Introducing Lean
manufacturing
The manufacturing is
outsourced but there is
Able to reduce the lead time of We are not currently able to deliver Optimising resources with
no collobarative
manufacturing by atleast a month around 70% of our output quickly. the help of I.T.
approach or knowledge
Manufacturing sharing
There is a lead time of about 3 Value stream mapping
months and it can increase to 6
months for some products.
Collabarating with online
The current marketing mix offered vendors for increasing sales
Targeting the right customers,
can be made better by introducing
Increasing online presence along Little online presence
target marketing and focusing on Building an app for smooth
with omni channel distribution.
customer insights online shopping experience
Marketing
Increasing presence in
various departmental stores
and shopping plazas
No omni channel
distribution
Increasing online presense
and using online channels
Increasing the revenue along for increasing sales
Revenues have increased but the
with the profitability of the Higher operating costs Elevating the in store
profit margin has decreased
organisation shopping experience of
Revenue customers
Government enforced
lockdown due to
pandemic
SWOT ANALYSIS
A SWOT analysis is a useful tool for evaluating the business by zooming in on
its strengths, weaknesses, opportunities available, and potential threats.
Consider the following:
STRENGTHS WEAKNESSES
Experience in Cash flow
the business Longer lead
Value time
proposition
Branding
Well-developed Jackson fashion
IT system
OPPORTUNITIES THREATS
New segments Economy
New products movement
Building new Pandemic
strategies
Competitors
CASE OVERVIEW
Jackson fashion is a fast fashion company with worldwide operations. They have managed
to increase their revenues but their net profit has declined considerably.
Due to the ongoing pandemic they have to curtail their operations and layoff around 20% of
their staff. They are also planning to close down 300 to 400 of their stores globally.
In order to grow their business and profitability they need to build their business around
their core competencies. A new strategy must be devised in order to sustain and grow in the
future.
Presentation Notes
Question 1: Identify and analyze the factors leading to the building of core competency
and the growth of the company.
Point 1 (Reducing Since it is a fast fashion model, it is very essential to bring in new fashion
lead time and trends to stores as quickly as possible before the taste of the consumers
inventory changes to maximize sales. In order to do that I.T can help in planning and
management with reducing the lead time of the manufacturing process along with inventory
the help of I.T.) management. Since the demand is volatile and fashion trends keep on
changing rapidly it is very essential to keep a check on inventory as there is
always a chance of inventory getting obsolete.
Point 2 (Building With the advent of the pandemic more and more consumers are shopping
robust online online. In order to grow exponentially, different online channels need to be
channels for sales introduced and utilized to grow the business.
and service An app can be created where users can test different outfits along with the
option to customize on the lines of their preferences with the help of
technology. They can also buy the outfit or return the outfit is there is a
mix-up or issue with the outfit.
Point 3(Focusing on Put people first. Build your organization around people by having a healthy
people and and proactive culture. This makes a big difference and benefits can be
processes) reaped through generations.
Point 4 (Build a Get insights from consumers about what they desire to have and how can
customer centric we create value with our products. Surveys and feedbacks can be used.
organization)
Question 2: What Strategic Planning should Jackson do to handle the present situation
and the growth plan for the next three years?
1st point: Advertising-Using digital platforms like social media to engage with the
audiences.
Using market segmentation and target marketing to maximize efforts.
Pricing strategies can also be used in order to identify and attract high
paying and low paying consumers.
2nd point: Restructuring the business into 2 components-Fast fashion and high
fashion
More emphasis should be placed on the most profitable stores which can
drive revenue for the company thus increasing profitability.
3rd point: Renting method can be initiated for high fashion where big labels can be
rented out to people who are not willing to spend a colossal amount on
fashion.
4th point: Investment planning- Prioritize the right customers and make the in-store
shopping experience better so that footfalls can increase.
Sales personnel can better the buying experience by recommending the
latest collections. All the safety precautions should be in place with regards
to the pandemic.
Each human sense should be actively pursued while trying to sell the
customer.
For e.g.- The store should smell nice and good music should be played in
the background.
Sustain- Companies should regularly check in with customers to ensure
5th point: that they have a quality experience during the transition.
Push and pull strategies should be used interchangeably.
As always, they should also continue to upgrade the skills of their
employees through ongoing training.
6th point: Introducing lean management techniques like kaizen and just in time in all
manufacturing centers.
Value stream mapping should be done on a regular basis to ensure that
there is a reduction of wastage in terms of time or resources.
This will help in the reduction of lead time thus helping the organization
taking more business opportunities.
7th point: There should be omni channel distribution for fast fashion and selective
distribution for high fashion thus ensuring the better value proposition for
high value customers.
