• Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

analyze an organization (klF)

Extracts from this document...

Introduction

1.0 Introduction This report will explore the analysis of GKN. It will investigate the internal and external business environment which will comprise of five different sections. The first section will consists of the external environment which will be the Pestel-C analysis and Porters Five Forces Framework. The second section will involve the resources in the company which are the human, technological and financial factors. The third section comprises of the competencies and capabilities of GKN. The fourth section will be the SWOT analysis. Finally the last section will be the conclusion of the report. 1.1 Introduction to the company GKN is known for the engineering and technology they provide for vehicles, agriculture, construction equipment, aircrafts and aero engines to the world's major manufacturers. They are currently 40,000 people working within GKN companies and joint ventures. GKN PLC The company is categorizes in five different aspects to their operations: * Driveline - this is design and manufacturing of Driveline systems for vehicles components. * Sinister metals - this is producing of powder metal components. * Diversified Business Group- this comprises of six different business. * OffHighway- supplies a range of components and systems to industries i.e. agriculture, forestry, construction and mining. * Emitec- designs and manufactures metal substrates, which support the catalyst in catalytic converters used in automotive exhaust systems. * Aerospace- designs and manufacture metal alloy structures and special products such as canopy systems, aircraft transparencies and de-icing system. 2.0 External Environment This section will involve the analysis of GKN's external environment. It is important to examine this, as the environment can have a direct impact on GKN's business whether this is negative or positive influence. ...read more.

Middle

2.2.4 Threat of substitutes As GKN produce specialized products there are no alternative products that are cheaper that can be used therefore face very little competition and have a great deal of market share. As GKN have differentiated their products they have reduced the threat of substitute products. 2.2.5 Threat of competitive rivalry between existing players. GKN do have a large market share in their industry, however do not have a monopoly which is firstly illegal and secondly competition can be seen healthy for a firms external environment, however firms have gained a competitive advantage as competitors are offering the same concept of production as GKN which can harm the firm slightly, however as GKN has expanded to other areas apart for aerospace they still have a competitive advantage amongst other competitors. 3.0 Internal Analysis 3.1 Resources 3.1.1 Human Resources GKN gives great importance to its human resource department, which gives them a great edge over their competitors. The company encourages their employees to fulfil their potential for the benefit of both them selves and the organisation. Also GKN inspires groups and individual for outstanding performances, efforts highly recognised and rewarded. In order to raise team work and individual achievements the company aims in empowerment. As Earl Rezendes, compensation manager at GKN automotive claimed the company motivates its employees to use the methods of self serve as that way they get more information and they come back with questions. That way you empower the work force. The company wants to put capability in the hands of its managers and employees for more value added work. 3.1.2 Technological GKN'S technical excellence is relied on by the world's leading civil and military automotive and aerospace manufacturers. ...read more.

Conclusion

with a cv joint contract worth �56million http://www.shropshirestar.com/show_article.php?aID=44545 http://www.autointell.com/supplier/supplier_news/gkn-add.htm Threats 300 jobs are to be expected by the end of 2006 in an automotive plant in America this can lower staff morale. Staff members may start looking for other jobs if they think they might lose there jobs The gkns aerospace plant faces tough competition from France and Germany for the manufacture of large scale wing structures Gkn supply general motors, general motors have had slow car sales if this carries on they may need to cut supplies. http://www.supplierbusiness.com/news_endpoint.asp?id=1545&search=true&a=a&i=4&k=1&l=d&j=1 http://www.iom3.org/foresight/nac/html_docs/NAC%20Annual%20Report%202000.htm 5.0 Conclusion For the external environment analysis, the most effective tool was the pest analysis; we found this helpful as it allowed us to focus on the political and legal influences. SWOT analysis was also used in order to analyze both the internal and external forces. This helped us compare the two environments, which was the reason for the use of this tool. After completing a full analysis of both the internal and external environment of our assigned company, GKN plc, many conclusions have been reached regarding the environment, in which the company operates. In our analysis of both the internal and external environment of GKN PLC, many different areas of the company were studied and researched, as well as the industry in which they operate. This research along with our chosen tools of analysis was very successful in establishing that GKN, has opted to dedicate much time, effort and resources into ensuring all aspects of their business environment coincide with the aspirations and goals of the company in general. The dedication given working within GKN'S strategic business environment appears to have been very successful and this is clear through the high profits made annually, in addition to the continual expansion of the company into different areas of business, as well the growth within their current trades. ...read more.

The above preview is unformatted text

This student written piece of work is one of many that can be found in our University Degree Finance section.

Found what you're looking for?

  • Start learning 29% faster today
  • 150,000+ documents available
  • Just £6.99 a month

Not the one? Search for your essay title...
  • Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

See related essaysSee related essays

Related University Degree Finance essays

  1. Financial analysis of Wipro ltd. The ratio analysis of the company has been derived ...

    * In the year 2007-08 company has not much debt compare to EBIT so interest coverage ratio is high but in 2007-08 company increasing its external debt so company have pay more interest among its earnings so interest coverage ratio falling down compare to previous year.

  2. Ikea's Entry Into South America

    Finally, foreign investors are expected to import the funds for all major fixed capital requirements. Cultural and Environmental Conditions Personal contact is more important in business than other forms of communications (i.e. telephone or mail). This is largely because the working relationships in Brazil are built on trust.

  1. Airplane industry analysis. This report will consider the companies which have been chosen ...

    analysis of the industry. An analysis of ratios will also be used to help determine the failure or success in the performance of the chosen companies. Consideration will also be given to the internal and external factors of the industry, analysing the financial performance of five chosen companies in order to establish an accurate

  2. Analysis of fINANCIAL SITUATION OF TESCO PLC. This project will be focusing on analysis ...

    This almost shows to be in line (or slightly better) with the increase in revenues. Capital Employed Capital employed increased in FY03/04 to £13,004 by 16.91% from the £11,129 of year FY02/03 and another 10.25% in year FY 04/05 £14,338 from FY 03/04.(See Appendix A)

  1. This group assignment of Financial Management will assess the positions financial performances for six ...

    The value of current ratio dropped on 2009 because there is a major increase in current liabilities and major decrease in current assets compared to the year 2008. The current ratio of Grand Central shows a downward and upward

  2. Making use of Porter's five forces model and strategic group analysis, analyse the competitive ...

    > Governments also play an important role and have high power. First of all, because they actually put into action EU decisions but also because they are the ones who fix taxes and charges - to a certain extent - within the country.

  1. Financial Analysis

    In the 1H-2010, sales of automobile (mostly truck tires) accounted for about 80.7% of total sales. Of which heavy-truck tires account for 48% of total sales while light-truck tires account for 20% of total revenues. DRC has not provided us with a sales breakdown in terms of growth but we suspect that sales of large and small truck tires slowed down y/y.

  2. The aim of this investigation is to explore the feasibility of opening a designer ...

    If these customers can be retained, they provide a strong opportunity for the growth of my business. Social Projected increase in the population of women and working women will be a major benefit to my business, as they are my target audience.

  • Over 160,000 pieces
    of student written work
  • Annotated by
    experienced teachers
  • Ideas and feedback to
    improve your own work