I need a 2 4 page audit written as a report that needs to be ✓ Solved
I need a 2-4 page audit written as a report that needs to be completed by tomorrow to capture past, present, and future decisions of a Simulation company. The details for it are below: Management Audit Write a report which reviews your strategic plan, results, and current competitive environment, that will be presented to a firm’s board. Make sure to address the following in your report. 1. State your original strategic plan.
2.How is your performance so far? 3.Which decisions were effective, and which need improvement? 4.Are there any unexpected competitive or environmental changes that have affected results? 4.What changes will you be making to your decisions in the next few periods? 5.Does your strategic plan need to be revised? Deliverables • • Written Report (2–4 pages, APA format, font 12 report, Times New Roman, Single Space) *Additional information for the Simulation will be provided to complete this assignment!!!
Paper for above instructions
This management audit examines the past, present, and future strategic decisions made within the Simulation Company environment. As requested for presentation to the firm’s board of directors, this report outlines the original strategic plan, evaluates organizational performance, assesses the effectiveness of prior decisions, identifies environmental or competitive changes affecting outcomes, and proposes adjustments for future periods. The audit concludes with a clear recommendation regarding whether the original strategic plan should be revised based on internal results and evolving market conditions.
1. Original Strategic Plan
The Simulation Company’s original strategic plan was developed around three central pillars: cost leadership, operational efficiency, and progressive market expansion. The intention behind this strategy was to create a strong competitive position by maintaining low production costs, leveraging streamlined operations, and entering new market segments strategically as resources allowed. The plan emphasized gradual but sustainable investments, including research and development, customer service, and quality enhancements. Marketing was designed to increase brand awareness without excessive spending, preserving financial flexibility for future expansion and technological updates.
Additionally, the strategic plan emphasized stable pricing to avoid aggressive price wars, support perceived product value, and protect profit margins. Capital structure decisions were grounded in maintaining manageable leverage while prioritizing liquidity for unexpected market shifts. Long-term investments focused on production capacity expansion, workforce training, and automation to ensure that the company could meet demand growth and maintain competitive unit costs.
2. Performance Evaluation
Performance throughout the simulation has been moderately strong but uneven across periods. In the early stages, the company achieved solid revenue growth driven by increased market visibility and improved product quality. Profit margins began to stabilize as operational efficiencies were implemented and economies of scale were realized. As a result, the company’s financial position strengthened, with rising cash reserves and improved stock valuation.
However, performance fluctuated during mid-period cycles due to increased competition, market saturation, and shifting consumer preferences. Demand elasticity became more sensitive, resulting in slower-than-expected sales when pricing was not fully aligned with competitive benchmarks. Meanwhile, competitors aggressively expanded capacity and R&D budgets, reducing the company’s relative advantage. Financial ratios remained healthy overall, but growth slowed noticeably, signaling a need for responsive strategic adjustments.
3. Effective Decisions and Areas Needing Improvement
Effective Decisions: Several strategic choices contributed positively to organizational performance. First, the company’s early investment in production efficiency and quality upgrades led to strong early differentiation. Improved reliability scores helped establish brand credibility and support price stability. Second, maintaining a balanced capital structure kept debt manageable and preserved flexibility for future expansion. Third, consistent investment in marketing generated sustained brand awareness without significant overspending.
Decisions Needing Improvement: Despite these strengths, some decisions hindered optimal performance. The most notable issue was underinvestment in R&D relative to major competitors. This resulted in slower product innovation and reduced differentiation in later rounds, making it difficult to justify existing pricing strategies. Additionally, capacity expansion was implemented later than optimal, creating supply shortages that contributed to lost sales and customer dissatisfaction. Pricing decisions also occasionally lagged behind market shifts, causing lost competitiveness. Finally, the company did not respond quickly enough to aggressive competitor promotions, resulting in market share erosion.
4. Competitive and Environmental Changes Affecting Results
The simulation environment experienced several unexpected changes that significantly influenced performance outcomes. First, multiple competitors shifted abruptly toward high R&D spending, accelerating new product development and increasing overall industry expectations for technological improvement. This was not anticipated within the initial strategic plan, which assumed more gradual innovation cycles.
Second, changes in consumer preferences began prioritizing technologically advanced features over traditional product attributes. Market data revealed that customers increasingly valued performance enhancements, battery efficiency, and innovative designs—areas where the company’s lower R&D investment caused a competitive disadvantage.
Third, market entry by new competitors created pricing pressure. These new entrants adopted aggressive low-margin strategies that temporarily reduced profitability across the entire industry. The company’s original stable-pricing approach became less effective under these conditions, necessitating dynamic pricing adjustments to maintain demand. Finally, supply chain disruptions affected raw material availability, causing cost fluctuations that made long-term pricing stability difficult to maintain without margin erosion.
5. Strategic Changes for Upcoming Periods
Based on the company’s observed results and changing market conditions, several strategic adjustments will be implemented in future periods. First, increased investment in research and development is essential to restoring product competitiveness. An innovation-first strategy will ensure that the company keeps pace with evolving customer expectations and maintains parity with high-investing competitors. This includes allocating funds toward next-generation product features and design improvements.
Second, the company will adopt a more flexible pricing model to respond quickly to competitive movements. Instead of holding prices constant, pricing will be reviewed frequently based on demand patterns, competitor activity, and cost structure. Data-driven pricing techniques will support optimization of market share while protecting profitability.
Third, capacity expansion will be prioritized earlier to prevent recurring stock shortages. Additional automation investments will reduce long-term production costs and support higher output efficiency. Workforce training will also be expanded to sustain operational improvements.
Fourth, marketing strategy shifts will place greater emphasis on digital channels and targeted segmentation, ensuring that promotional spending converts efficiently into customer acquisition while strengthening brand loyalty.
6. Is a Strategic Plan Revision Needed?
Yes, the original strategic plan requires revision. While the foundational pillars—cost leadership, operational efficiency, and stable expansion—remain valuable, they are insufficient in a rapidly innovating and highly competitive environment. The revised plan must incorporate agility, innovation leadership, and market responsiveness. Competitor behaviors and environmental changes have clearly demonstrated that the company must evolve to remain competitive and avoid stagnation.
The revised strategic plan should emphasize accelerated innovation, dynamic pricing, diversified marketing strategies, and improved capacity planning. Additionally, the company should integrate predictive analytics into its decision-making framework to anticipate market shifts and improve strategic forecasting. By revising the plan in this direction, the company will be better positioned to adapt to volatility, capitalize on growth opportunities, and ensure consistent long-term performance.
References
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