Strategic management of Luna Park Sydney (LPS)
In this report, Luna Park Sydney (LPS) will be analysis based on its theoretical position and the competitive advantage. Then, a SWOT analysis will be given so that LPS can come up with a more effective management strategy. This will be justified using relevant theories and concepts based on journal articles and books. Finally, two core strategic issues will be identified relevant to current situation.
Luna Park Sydney (LPS) has experience in marriage for more than 15 years, where each year exceeds the expectations, objectives and goals of both the company and our customers. When a couple decides to celebrate, they know that our company will do everything possible to make their marriage unforgettable.
LPS offers other value-added services to highlight the burden of the couple. Finding a location to make the most important day of your life is not easy. After looking for a beautiful wedding dress, it will be the one that requires the greatest dedication and, above all, the time. In this context, the event rooms are those that respond to your needs.
It is important to hire a suitable place that is within our budget, place of easy access for the guests or in the desired place watching the sunset or all this in one place, they only have the adaptation of their style and decoration so that their event is a success. Everything said above will be reflected in the price, that is, there will always be a space for each budget.
Luna Park Sydney (LPS) aims to offer services ranging from the park, the lounge, the green room, and additional services suc (Enz, 2010)h as catering, the orchestra and the dance floor to the wedding cake. Enjoy a different environment outdoors.
LPS has seven rooms with a minimum capacity of 80 people and a maximum capacity of 500 people, where they can celebrate their marriages with civilians and religious. Our meeting rooms are today, an excellent alternative for the couple.
Strategic management is important in an organisation because it acts as a guideline for managers to make the right decisions as well as establish a company’s vision and goal (Kasahara, 2015, p. 1). Applying the theory of strategic management to LPS, we have
- Strategic position describes how the company differentiate itself from other event organiser and offer products and services that customers willing to purchase (Ferlie, 2016, p. 7). LPS has done this by offering unique packages such as discounted rides packages to delegates and wide range of services from technical production to design and theming.
- Five force model of porter which shows how competitive the industry is through five different sources (Ferlie, 2016, p. 7). LPS has managed the threats of new entrants and substitutes well with its golden location by the sea close to the famous Harbour Bridge and overlook the Opera House which is hard to obtain.
- Strategic formulation is the steps of planning strategy for an organisation which is separated into three levels (Enz, 2010, p. 18) .In case of LPS, business-level strategy provides directions in order to compete its rivals in the area, Sydney. The functional-level gives more information of operating process to support business-level strategies in terms of resources allocation, budgeting, promoting, etc.
Competitive advantage is defined as the foundation for exceptional performance which is often created based on 3 sources: supply, good knowledge of business operation and possession of particular assets or position (Omalaja M.A.*, 2011, p. 67)
Luna Park is a company that has departments and performs functions. The theory of traditional management holds that functions are defined and do not affect each other. Revenue is seen as a function of the sales department. A decrease in sales is the responsibility of the sales manager, for example. Systemic thinking analyses each function individually, but also in relation to the whole and the environment. A systemic approach to a sales shortfall could lead to the solution of adding personnel to the shipping department and customer service.
- Cooperation, Not Competition
As a company we have limited resources in time, staffing and financing. Traditional management pits different product lines, departments and functions against each other. The winner, those departments or products that have the best performance, are rewarded with resources. A systemic perspective in business leads to the conclusion that the company is better off if all departments work together rather than in competition with other. The interrelationships between the staff, the departments, senior management, customers and vendors produce patterns of behaviour. The company performance improves when the results of these patterns are analysed, and the optimum solution becomes apparent.
- The Tree is Part of the Forest
Our business has an impact beyond their immediate reach. The old saying of “can’t see the forest for the trees” is how some business owners look at their company. All they see is their business. Whether recognized, or not, the business is integrated with the culture, the society and the environment. It does not exist alone. The environment and culture affect the business as well.
It is important to do SWOT analysis in order to evaluate the strengths, weaknesses, opportunities and threats of the selected firm in order to understand how effective is the management strategy of the organisation (Sabbaghi & Vaidyanathan, 2004, p. 5).