Australian Hardware Simulated Business

Further information on Australian Hardware, including full business plan and financials can be accessed from IBSAs simulated business website: http://simulations.ibsa.org.au/

Business Plan Excerpt

The Business

Business name: Australian Hardware Ltd Business structure: Public company since 1982. ABN: 4000000000 Business location: Australian Hardware is headquartered in Sydney, NSW. The business owns and operates 138 stores throughout Australia. Date established: 26 January 1921. Ownership and governance: The Greenwright family retains a controlling interest in Australian Hardware. Holden Greenwright serves as both chair of the Board of Directors and CEO. Products/services: Australian Hardware supplies hardware and home improvement products and provides expert advice and service.

The Market

Target market: The market has been divided into three target markets or segments: home improvers; DYIs; and tradespeople. Marketing strategy: Australian Hardware takes a two-pronged strategic approach, characterised by product and service differentiation along with select targeted marketing activities.

The Future

Vision statement: Within five years, Australian Hardware will lead the hardware and home improvement market in Australia.

Strategic directions: The Australian Hardware strategic directions are:

• increase sales revenue and gross profit
• maintain or increase market share
• control direct and indirect operational costs
• maintain superior product and service quality standards
• establish Australian Hardware’s reputation as a socially and environmentally responsible company.

Key Personnel

Current staff

Required staff

Recruitment options

Australian Hardware will deploy targeted advertising in trade magazines and online using organisations such as Seek.com.

Australian Hardware will undertake an investigation of competitor wages and seek to match or better.

Training programs

Australian Hardware will offer a range of ongoing training options to meet business requirements and develop staff skills in the following areas:

Skill retention strategies

Australian Hardware will focus on training and development opportunities for existing staff.

Performance management will focus on individually tailored development goals in line with business expectations.

Australian Hardware will undertake investigation of competitor wages and seek to match or better if viable from a budgetary perspective.

Organisational Chart

Operational Plan

Business locations

Australian Hardware stores are located around Australia in all major cities and in the larger regional centres. In areas experiencing growth in population and significant growth in residential building, the demand for products sold by Australian Hardware is considered likely to grow. These areas are targeted by Australian Hardware for either expansion of any existing stores or the building of a new store if none exists.

Process

National marketing campaigns, warehouse look and feel, marketing mix, policy, preferred suppliers and strategic directions are set by the Board of Directors and senior management.

Strategic directions set at the national level cascade to individual warehouses and are reinterpreted by general managers to match local conditions at the store level. All staff KPIs and targets for performance management reflect national and store strategic directions. Specific targets are negotiated with employees.

Each Australian Hardware store is run in most operational respects as an independent business. Each store generally buys stock from approved suppliers; however, where appropriate, store general managers have discretion to buy products to suit local market conditions. Store general managers hire and train local staff and have wide discretion to participate in community events and sponsorships.

Suppliers

Current Australian Hardware preferred suppliers are:

Ace Consultants Action Marketing Australian Garden Furniture and Nursery Australian Timber Yards

Australian Plumbing Supplies CoffeeVille National Homewares Train Your Way Up.

Australian Hardware will endeavour to maintain good relations with suppliers through regular owner-level contacts as

Hardware suppliers provide credit terms of 30 days, to which Australian Hardware will strictly adhere.

In addition to maintaining good relations with current suppliers, Australian Hardware will continue to identify new sources of products that will appeal to the evolving needs of targeted segments.

All suppliers to Australian Hardware are subject to regular audit by quality assurance staff to ensure that they meet the standards outlined.

These standards include:

• financial viability
• control and continual improvement of processes to restrain costs
• a well-documented and traceable quality system
• respect for the environment
• responsible control of remuneration for own employees and any sub- contractor

Products and services

Product/ service	Description	Average Price/unit
Timber	A range of grades of timber for home or industrial use. For consumers and trades. Discount options for tradespeople.	$25
Hardware	A range of fittings, fixtures, etc. for consumers and trades. Discount options for tradespeople.	$10
Tools	A range of high quality Australian-made and imported tools.	$30
Paint	All major brands. For consumers and trades. Discount options for tradespeople.	$30
Homewares	Major Australian and international brands. Product line reviewed frequently. For consumers and trades. Discount options for tradespeople.	$50
Outdoor	Major Australian and international brands. Product line reviewed frequently.	$100

Product/ service	Description	Average Price/unit
Garden	Seasonal plants and landscaping materials. For consumers and trades. Discount options for tradespeople.	$25

Plant and equipment

A detailed asset register of plant and equipment purchased and maintained by each individual warehouse is maintained by the Operations General Manager and Store General Manager.

Australian Hardware also maintains a detailed registry of fixed assets, such as real estate, held by the company. This registry is the responsibility of the Chief Financial Officer of the company.

Inventory

Inventory for each warehouse is the responsibility of the Operations General Manager and Store General Manager. Australian Hardware stock is tracked through its in-house enterprise resource management (ERM) system.

Trading hours

Australian Hardware trades 7 days a week, 6 am to 8 pm. Australian Hardware is closed on public holidays.

Communication channels

Customers are encouraged to contact us through email or Facebook. A telephone number is provided on our website.

Payment types accepted

Australian Hardware accepts cash and all major credit cards and debit cards. EFTPOS is available in all warehouses.

Credit policy

Australian Hardware has 30-day credit terms for approved tradespeople.

Memberships and affiliations

Australian Hardware is a member of the following organisations:

• Hardware Industry Working Group (HIWG)
• The Hardware Association of New South Wales (HANSW)
• The Housing Industry Association (HIA)
• The Master Builders Association (MBA).

Revenue and market share (Wollongong)

Goals

Increase sales revenue and gross profit and maintain or increase market share
Operational objectives		Performance measures
Marketing objectives (national and Wollongong store): to position Australian Hardware as a provider of top quality, brand name hardware products and expert service at attractive price points increase foot traffic to 1,000 people per day, per store (from 800) increase website traffic to 20,000 visits per day drive sales and revenue growth in line with financial goals.		Marketing key performance indicators (KPIs) for the Wollongong store: numbers of customers per day (as recorded by automated systems) customer feedback rating on product quality, customer service and overall customer experience (as recorded on quarterly customer questionnaire) customer awareness of website (as recorded on quarterly customer questionnaire).

Increase sales revenue and gross profit and maintain or increase market share
Operational objectives		Performance measures
Sales training objectives (national and Wollongong store): staff are trained to competently perform all customer service related tasks staff are happy and motivated in their work staff are given pathways to learning and promotion.		Sales training KPIs for the Wollongong store: various input (managerial) and output (sales performance) performance measures staff absenteeism ratio to total staff staff turnover ratio.

Action plan

Increase sales revenue and gross profit and maintain or increase market share
Activity/strategy		Approved resources	Responsibility	Timelines
Marketing plan integration and coordination with store operations: provide direction to local marketing activities and coordinate with business plan induction and training of staff to include knowledge of campaigns and value propositions for segments.		N/A	National Chief Operating Officer (COO) Store General Manager Marketing General Manager Sales team leads Action Marketing external consultants	30 June
Paper flyers and catalogues: provide consumers with information on local store and products, drive sales in immediate geographic area.		$75,000 per quarter	Marketing General Manager	Weekly
Direct mail (email and paper)		$50,000 per quarter	Marketing General Manager	Weekly

Increase sales revenue and gross profit and maintain or increase market share
Activity/strategy		Approved resources	Responsibility	Timelines
Goodwill and sponsorships		$75,000 per quarter	Store General Manager Marketing General Manager	Ad hoc
Research local conditions		$50,000 per year	Marketing General Manager	Quarterly
Conduct customer questionnaire		$25,000 per quarter	Marketing General Manager Action Marketing external consultants	Quarterly
Staff sales training		$100,000 per year	Marketing General Manager Sales team leads	Weekly and quarterly and ad hoc

Control of direct and indirect operational costs (Wollongong)

Goals

Control direct and indirect operational costs
Operational objectives		Performance measures
Financial objectives (national and Wollongong store): reduce the overhead per store through disciplined growth decrease the cost of sales.		Financial KPIs for the Wollongong store: quarterly budget variation reports ($ variance and % variance) quarterly financial management reports.
Training objectives (national and Wollongong store): staff are informed of performance targets with respect to budgetary control.		Training KPIs (Wollongong store): various input (managerial) and output (sales performance) performance measures.

Action plan

Control direct and indirect operational costs
Activity/strategy		Approved resources	Responsibility	Timelines
Review of Wollongong budget and monthly/quarterly financial management reports (remitted to Sydney head office FARM committee)		N/A	Store General Manager Store Financial Manager	Monthly/quarterly
Renegotiation with suppliers negotiate on basis of sales volume negotiate on basis of ability to purchase stock on a cash basis.		N/A	Store General Manager	Monthly or as required
Staff are informed of performance targets with respect to budgetary control occurs during biannual performance reviews as per company policy training costs per year/employee.		N/A	All managerial staff/ line managers	Biannually for each staff member

Product and service quality standards (Wollongong)

Goals

Maintain superior product and service quality standards
Operational objectives		Performance measures
Quality objectives (national and Wollongong store): maintain superior product quality maintain superior service standards.		Quality KPIs for the Wollongong store: supplier audit rating score on customer satisfaction survey on parameters of product and service excellence score on mystery shopper checklist customer feedback rating on product quality, customer service and overall customer experience (as recorded on quarterly customer questionnaire) customer awareness of website (as recorded on quarterly customer questionnaire).
Sales training objectives (national and Wollongong store): staff are informed of performance targets with respect to service standards.		Sales training KPIs for the Wollongong Store: individual employee balance scorecard ratings (linked to company strategic directions).

Action plan

Maintain superior product and service quality standards (action plan)
Activity/strategy		Approved resources	Responsibility	Timelines
Conduct spot checks on quality of service: mystery shopper team leader observations.		$50,000 per year (part of training budget)	Mystery shopper (organised by Action Marketing external consultants) Team leaders/ line managers	Biweekly
Supplier audit		N/A – national budget	Store General Manager	Quarterly
Conduct customer questionnaire		$25,000 per quarter (part of marketing budget)	Marketing General Manager Action Marketing external consultants	Quarterly
Staff are informed of performance targets with respect to service quality: occurs during biannual performance reviews as per company policy.		N/A	All managerial staff/ line managers	Biannually for each staff member

Sustainability (Wollongong)

Establish reputation of Australian Hardware as socially and environmentally responsible company
Operational objectives		Performance measures
Environmental/social objectives (national and Wollongong store): source and use ethically produced and environmentally sustainable products operate environmentally sustainable business reduce water consumption reduce energy consumption.		Environmental/social KPIs for Wollongong store: score on rating table of supplier reliability score on spot-check checklist reduce water usage by 10% per year reduce power usage by 7% per year.
Sales training objectives (national and Wollongong store): staff are trained to competently perform all tasks staff are happy and motivated in their work.		Sales training KPIs for Wollongong store: individual employee balanced scorecard ratings (linked to company strategic directions) 100% staff trained two performance management sessions per year per staff member, including environmental KPIs.

Action plan

Establish reputation of Australian Hardware as socially and environmentally responsible
Activity/strategy		Approved resources	Responsibility	Timelines
Conduct spot checks on environmental practices at stores.		N/A – national budget	All managerial staff/ line managers with responsibility for training and performance management	Biweekly
Sustainability practices: use of rainwater tanks to collect water from large roofs and grey water usage use of skylights use of solar arrays on roof.		N/A – national budget	Store General Manager	Fourth quarter 2013
Conduct quarterly environmental audit: audits conducted quarterly to ensure targets met and to take appropriate action to remedy poor performance.		N/A – national budget	External consultants	Quarterly, 2013

Establish reputation of Australian Hardware as socially and environmentally responsible
Activity/strategy		Approved resources	Responsibility	Timelines
Complete environmental training: environmental training part of induction environmental targets count towards performance targets for each employee.		N/A – national budget	All managerial staff/ line managers with responsibility for training and performance management	On each induction; performance management sessions for each employee held biannually
Conduct environmental review of suppliers: audit conducted as part of monthly and quarterly supplier quality audits review of supplier credentials and preparation of report with supplier ratings tables.		N/A – national budget	Store General Manager	First monthly/quarterly audit starting August 1 Review of suppliers; fourth quarter, 2013

Establish reputation of Australian Hardware as socially and environmentally responsible
Activity/strategy		Approved resources	Responsibility	Timelines
Conduct survey of local market environmental concerns via internet and social media: survey conducted as part of market and marketing research undertaken by Action Marketing in course of normal market research local customer complaints data analysed for environmental concerns.		N/A – national budget	Action Marketing external consultants	Quarterly, 2013
Yearly environmental audit		N/A – national budget	Line managers for each product area and general operations and administration	30 June 2013

Risk Management Strategy and Plan

Introduction

Australian Hardware recognises that risk management is an essential component of good management practice and is committed to the proactive management of risks across the organisation. The strategy is designed to:

• identify, evaluate, control and manage risks, including environmental risks
• ensure potential threats and opportunities are identified and managed
• inform store management and staff members about their roles, responsibilities and reporting procedures with regards to risk management
• ensure risk management is an integral part of planning at all levels of the

Guiding Principles

Australian Hardware is committed to achieving its vision, business objectives and quality objectives. This will be achieved through the proactive management of risk at all levels of the organisation. Australian Hardware acknowledges that embracing innovative ideas and practices carries with it risks, but that these are identifiable and measurable and therefore capable of being subject to realistic risk mitigation processes.

Responsibility and Authority

Store managers have responsibility for ensuring that risk management is in place.

Managers have the responsibility of reviewing the Risk Action Plan (outlined in the table at the end of this document) on a monthly basis.

Staff are to support and implement policies approved by the store managers.

Key risk indicators will be identified, closely monitored and action taken, where necessary, by all employees of Australian Hardware.

Risk Management Framework

This framework encompasses a number of elements that together facilitate an effective and efficient operation, enabling Australian Hardware to respond to a variety of operational, financial, commercial and strategic risks. These elements include:

• Policies and procedures: A series of policies underpin the internal control
• Reporting: Decisions to rectify problems are made at regular meetings of store
• Business planning and budgeting: The business planning and budgeting process is used to set objectives, agree on action plans and allocate resources. Progress towards meeting business plan objectives is monitored regularly by the Board of Directors. Contingency planning is undertaken as
• Risk management review: The Board are required to report monthly.
• External audit: The final audit of financial statements is controlled by an external chartered accountant, who provides feedback to the

Definitions

Risks are identified on a scale of likelihood of occurring in the next 12 months and assigned an impact or consequence of the risk as high, medium or low. High includes either a significant shortfall of around 40% in achieving budget or a significant reduction in ability to function. Medium includes either a shortfall of budget of between 10% and 20% or some reduction in function, and low indicates minor reductions in achieving budget or minimal reduction in performance.

Risk Management Action Plan

Risk	Risk impact	Controls	Monitoring	Timelines	Responsible
Difficulty sourcing or training skilled and experienced staff.	Medium	High	Targeted advertising in trade magazines and online. Promotional focus on training and development opportunities. Regular training for existing staff.	Regular investigation of competitor wages, seeking to match or better if viable from budgetary perspective.	Monthly and quarterly	Human Resources General Manager, Store General Managers and General Operations Manager.
Wastage or unsaleable stock from poor inventory maintenance and sales monitoring.	Medium	High	Continuous monitoring using in-house ERM system Daily contact with suppliers.	Daily automated monitoring (with alerts for issues) and anticipation of demand through ongoing research and analysis in consultation with market research consultants.	Daily monitoring Monthly and quarterly sales and demand analysis	Store General Managers, General Operations Manager, COO, and Marketing General Manager.

Risk	Risk	Risk impact	Controls	Monitoring	Timelines	Responsible
Emergence of a competitor.	Low	High	Continuous implementation of marketing strategy to highlight key points of difference between Australian Hardware and competitors. Increased frequency of promotional campaigns. Selective discounting. Adjustment of marketing strategy to ensure differentiation and appropriate positioning of Australian Hardware in order to compete effectively.	Continuous monitoring of competitors’ campaigns.	Monthly	Marketing General Manager.

<tdMonitoring

Risk	Risk	Risk impact	Controls	Timelines	Responsible
Poor product quality from suppliers.	Low	Medium to high	Continual audits of product quality.	Audit of supplier quality. Customer complaints monitoring.	Monthly	Store General Managers, General Operations Manager, COO, and Marketing General Manager.
Environmental risk due to operations of Australian Hardware.	Low	Medium to high	Staff training (at all levels) on sustainable practices at Australian Hardware.	Continual audits of supplier environmental responsibility with regard to sustainability principles. Continual auditing of environmental performance against sustainability plan and external benchmarking.	Monthly	Store General Managers, General Operations Manager, COO.

Risk	Risk	Risk impact	Controls	Monitoring	Timelines	Responsible
Risks to community due to operations of Australian Hardware.	Low	Medium to high	Community consultation. Media campaigns, for example, to encourage proposals for sponsorship of community events.	Community consultation. Marketing questionaries. External benchmarking. Triple bottom line reporting at the individual store level and corporate level.	Monthly	Store General Managers, General Operations Manager, COO, and Marketing General Manager.
Failure to comply with legislation in jurisdictions across Australia.	Low	High	Regular maintenance of legislation register. Regular update of policies and procedures.	Monthly monitoring of legislative environment. Triple bottom line reporting at the individual store level and corporate level.	Monthly	Store General Managers, General Operations Manager, CFO and legal team.

Policies and Procedures

Code of conduct

Australian Hardware acknowledges its role as a responsible corporate citizen. Australian Hardware’s success will result not simply from satisfying specific equipment needs for a quality product at reasonable prices, but from conducting its business with integrity and in accordance with the core values of the organisation.

Employees and officers of Australian Hardware are expected to:

• respect and support the core values of the organisation:
  • performance excellence
  • value for investors, customers and employees
  • personal and professional development
  • diversity
  • sustainability
• respect others and treat others (colleagues, managers, reports, clients, customers and organisational stakeholders) with fairness
• act in accordance with relevant legislation, standards and industry codes of practice
• act honestly to protect the reputation of Australian Hardware; avoid the fact or appearance of conflict of interest
• protect the privacy of others in accordance with organisational privacy and recordkeeping

Anti-discrimination Policy

Purpose	The purpose of this policy is to ensure transactions with customers of Australian Hardware and other employees are handled fairly and transparently and in accordance with organisational and legal requirements. Generally, it is unlawful to discriminate on the basis of the following 19 characteristics: age physical features breastfeeding - political belief or activity employment - activity pregnancy gender identity - race impairment or - religious belief or activity disability - sex industrial activity - sexuality irrelevant medical or- social origin or migration criminal record - status lawful sexual activity - personal association with marital status - someone who has, or is parental or carer - assumed to have, any of status the above characteristics.
Scope	The scope of this policy covers all employees and contractors of Australian Hardware.
Responsibility	Responsibility for the implementation of this policy rests with all employees, contractors and management of Australian Hardware.
Relevant legislation	Privacy Act 1988 (Cwlth) Anti-discrimination Act 1977 (NSW) Age Discrimination Act 2004 (Cwlth) Australian Human Rights Commission Act 1986 (Cwlth) Disability Discrimination Act 1992 (Cwlth) Racial Discrimination Act 1975 (Cwlth) Sex Discrimination Act 1984 (Cwlth).
Updated/ authorised	20/09/2013 – Mary Chu (COO)

Reasonable adjustments

Reasonable adjustments are changes that allow people with a disability to work safely and productively.

Australian Hardware will make reasonable adjustments for a person with a disability who both:

• applies for a job, is offered employment, or is an employee
• requires the adjustments in order to participate in the recruitment process or perform the genuine and reasonable requirements of the job.

Examples of reasonable adjustments can include:

• reviewing and, if necessary, adjusting the performance requirements of the job
• arranging flexibility in work hours
• providing telephone typewriter (TTY) phone access for employees with hearing or speech impairments
• purchasing screen-reading software for employees with a vision impairment
• approving more regular breaks for people with chronic pain or fatigue
• buying desks with adjustable heights for employees using a wheelchair.

When thinking about reasonable adjustments, Australian Hardware will weigh up the need for change with the expense or effort involved in making it. If making the adjustment means a very high cost or great disruption to the workplace, it is not likely to be reasonable.

In some cases, Australian Hardware can discriminate on the basis of disability, if either:

• the adjustments needed are not reasonable
• the person with the disability could not perform the genuine and reasonable requirements of the job even if the adjustments were made.

Procedure: To make a complaint

If you believe you are being, or have been, discriminated against, sexually harassed or bullied, you should follow this procedure:

1. Tell the offender the behaviour is offensive, unwelcome, and against company policy and should stop (if you do not feel comfortable enough to approach them directly, speak to your manager or supervisor). Keep a written record of the incident/s.

2. If the unwelcome behaviour continues, contact your supervisor or manager for
3. If this is inappropriate, you feel uncomfortable, or the behaviour persists, contact another relevant senior manager. Employees may also lodge a complaint with the Australian Human Rights Commission, or the Fair Work

Employees should feel confident that any complaint they make is to be treated as confidential as far as possible.

Procedure: To receive a complaint

When a manager receives a complaint or becomes aware of an incident that may contravene Australian Hardware equal employment opportunity (EEO) policies, then they should follow this procedure:

1. Listen to the complaint seriously and treat the complaint confidentially. Allow the complainant to bring another person to the interview if they choose
2. Ask the complainant for the full story, including what happened, step by
3. Take notes, using the complainant’s own
4. Ask the complainant to check your notes to ensure your record of the conversation is
5. Explain and agree on the next action with the
6. If investigation is not requested (and the manager is satisfied that the conduct complained is not in breach of Australian Hardware EEO policies) then the manager should:
   • act promptly
   • maintain confidentiality
   • pass any notes on to the other managing

If an investigation is requested or is appropriate, follow the next procedure.

Procedure: To investigate a complaint

When a manager investigates a complaint, they should follow this procedure:

1. Do not assume guilt or
2. Advise the alleged harasser about the potential outcomes of the investigation if the allegations are
3. Interview all directly concerned,

4. Interview witnesses and do so
5. Keep records of interviews and the
6. Interview the alleged harasser, separately and confidentially, and let the alleged harasser know exactly what they are being accused of. Give them a chance to respond to the accusation. Make it clear they do not have to answer any questions; however, the manager will still make a decision
7. Listen carefully and record
8. Ensure confidentiality; minimise
9. Decide on appropriate action based on investigation and evidence collected.
10. Check to ensure that the action meets the needs of the complainant and Australian
11. If resolution is not immediately possible, refer the complainant to more senior management. If the resolution needs a more senior manager’s authority, refer the complainant to this
12. Discuss any outcomes affecting the complainant with them to make sure you meet their needs, where

Possible outcomes

Following the investigation, if management finds the complaint is justified, then management will discuss with appropriate outcomes with the complainant which may include:

• disciplinary action to be taken against the perpetrator (counselling, warning or dismissal)
• staff training
• additional training for the perpetrator or all staff, as appropriate
• counselling for the complainant
• an apology (the particulars of such an apology to be agreed between all involved).

Remuneration and Performance Appraisal Policy

Purpose	This policy establishes the framework and guidelines to be used by Australian Hardware in determining remuneration arrangements for its employees and to assist staff in understanding the organisation’s position on staff remuneration. The purpose of the policy is to: attract and retain employees of the required quality ensure that staff are appropriately compensated for the services they provide to the organisation ensure that remuneration levels are competitive with the external market encourage and motivate staff to achieve the organisation’s strategic business objectives promote and reinforce the organisation’s key values and appropriate employee behaviours ensure a level of equity, consistency and transparency in employee remuneration.
Scope	The staff remuneration policy covers all employees at all levels of the organisation.
Responsibility	Responsibility for the implementation of this policy rests with human resources staff and relevant managers of hiring departments.
Relevant legislation	Fair Work Act 2009 (Cwlth) Privacy Act 1988 (Cwlth) Anti-discrimination Act 1977 (NSW)
Updated/ authorised	20/09/2013 – Mary Chu (COO)

Definitions

Remuneration will comprise base salary, an ‘at risk’ performance pay component, employer guarantee superannuation, and motor vehicle allowance where this is included in an employee’s employment package. The total of these components make up the employee’s remuneration package.

Underlying modern award

Staff covered by the relevant underlying modern award, will be paid no less than the rate of pay set out in that award for the relevant position.

Determining base salary levels

Base salary levels will be determined by job evaluation. Job evaluation is the evaluation of the position based on the information in the relevant position description, in terms of the level of required skills, competencies and knowledge, and criteria, such as the level and impact of decision- making and authority to act.

Job evaluation will be carried out by the relevant store manager. The underlying principles of job evaluation include:

• salary levels will be paid no less than the rate of pay set out in the relevant underlying award
• salary levels are to be benchmarked on an annual basis (as part of the annual budgeting process) against the external market using salary surveys to establish competitiveness with similar positions in the external market
• if the job changes as determined by a job evaluation, the base level remuneration should be altered to reflect the change in the employee’s role and responsibilities
• decisions on broad salary increases (those that apply to all employees), such as CPI or cost-of-living-based increases will be made on an annual basis in consultation with the Board of Directors
• staff members will have the opportunity to raise remuneration issues at six-monthly performance review meetings with their

Staff performance plans

Staff will be provided with individual performance plans/work plans for the subsequent financial year. For new employees, a performance plan will be provided at the end of the probation period (first three months of employment). In further years, work plans are agreed upon after the July/August performance review has been conducted.

The performance plans/work plans set out the contribution expected of the role in supporting the achievement of the organisation’s strategic plans and objectives: the actions or activities required to achieve those objectives; and the criteria or standards used to assess the achievement of the objectives. In addition to business plans outcomes, the work plans will include specific project and personal development goals. For sales staff, the performance plans will detail the sales targets for the period.

Performance appraisals

Performance appraisals will be conducted on a six-monthly (biannual) basis: in late July/early August, and in late January/early February.

Further information on performance appraisals can be found in the next policy: Performance Management Policy.

The outcomes of this review will be the finalisation of the performance outcomes for the previous financial year period ending June. This review will also include discussion and sign-off of the performance plan for the coming financial year commencing July 1.

The January/February review is to assess progress towards the achievement of the employee’s performance plan targets.

The appraisals also provide a formal avenue for employees and their managers/supervisors to discuss issues relating to or affecting the employee’s job performance and to discuss and clarify the manager’s/supervisor’s expectations of the employee and vice versa. It is also an opportunity to discuss remuneration and employee training and development needs and opportunities.

Performance Management Policy

Purpose	The development and progress of individual employees is fundamental to Australian Hardware’s future performance. In addition to providing the opportunities for professional development, Australian Hardware aims to help individuals by monitoring and supporting them in their personal growth and development. The aims of this policy are to ensure: employee development opportunities are recognised and implemented efficiently and effectively consistent employee development practices and principles are applied across the organisation employees are developed systematically on the basis of defined needs and that development undetaken is cost-effective and meets agreed standards.
Scope	The scope of this policy covers the performance management process by employees and contractors of Australian Hardware.
Responsibility	Responsibility for the implementation of this policy rests with managers of employees at Australian Hardware. Further information on roles and responsibilities is discussed within this policy.
Relevant legislation	This policy is guided by the procedures set by industrial law, awards and employment agreements that apply to Australian Hardware. Among others, they include: Privacy Act 1988 (Cwlth) Anti-discrimination Act 1977 (NSW) Fair Work Act 2009 (Cwlth).
Updated/ authorised	20/09/2013 – Mary Chu (COO)

Roles and responsibilities

Managers will:

• carry out biannual formal performance review discussions
• monitor individual performance throughout the year, recording key events, observations of importance which relate to the performance, both positive and negative
• refer to these performance management guidelines when carrying out tasks related to performance management, such as goal setting, KPI setting, allocating work and work plan development
• Consult with employees for input on goals and KPIs
• use the performance management documentation to record formal and informal performance reviews
• provide employees with the opportunity to participate and contribute to their professional and personal development
• provide employees with access to training and development, as reflected in the individual’s development plan
• provide employees with coaching throughout the review period
• allow employees to communicate their career development goals
• ensure employees complete their responsibilities in accordance with the performance management policy and

Employees will:

• participate in the formal review discussions openly and honestly
• complete their personal assessment and provide it to the manager as requested
• contribute their thoughts on both positive and negative performance as assessed by their manager
• participate in identified training and development plans as agreed with their manager
• provide information and documentation as requested by their manager relating to their performance and activities throughout the assessment

To conduct performance review: Guidelines

The employee’s performance will be monitored and evaluated regularly throughout the year. The performance review encompasses three elements:

• an annual formal review discussion
• a six-month follow-up discussion
• continuous monitoring of the employee’s performance. These elements feature in the following

1. Goal setting and work planning

Goal setting and work planning is to be undertaken in consultation with affected managers, teams and individuals on the following basis:

• KPIs, activities and targets are to be set with reference to the relevant sections of the organisation’s operational plan and position descriptions
• work planning takes into account specific capabilities and input from employees.

2. Annual discussion

The annual discussion is a key step in the performance review process. Essentially, this step involves compiling all the information collected and assessed throughout the year relating to the employee’s performance.

However, there should be no surprises in this discussion; it is merely a summary and review of the informal and formal reviews conducted throughout the year.

The key elements of the annual discussion are to:

• reflect on performance during the year
• clarify key responsibilities of the role and review the job description
• discuss successes as well as areas for improvement
• set agreed targets and performance standards for the next six months
• agree on key areas of development for effective performance in the role.

3. Documentation

The performance review documentation is important for recording the standards, targets and development plans that are agreed upon during the performance review process. It is important to use the correct forms to

maintain the integrity of the information, and to help the manager and employee ensure that the review is completed correctly.

4. Timing

Employee performance is to be formally reviewed every 12 months with a follow-up review six months into the financial year. A new plan should be completed at each annual appraisal discussion.

5. Six-month follow-up discussion

The follow-up review provides an opportunity for managers and employees to re-visit targets, standards and development plans to:

• establish that progress is on track
• identify changes impacting on the achievement of targets and standards
• discuss development plan progress or establish development plan
• modify standards and targets, if

Flow chart of the performance review process

Performance management plan template

Name and position:
Manager:	Review period:
Reference from operational plan	Key result area	Indicator of success/ performance		Status report/results
Next review period:
Achievements:			Areas of opportunity:
Manager’s comments:
Signature:	Date:
Staff member’s comments:
Signature:	Date:

Disciplinary Policy

Purpose	The purpose of this policy is to outline Australian Hardware’s approach to disciplinary action in cases of underperformance or misconduct. Where warranted, Australian Hardware will use improvement processes to improve performance. Should such improvement processes be unsuccessful in improving an employee’s performance, Australian Hardware may decide to end an employee’s employment. Depending on the circumstances, performance improvement action may include verbal or written warnings, counselling or re-training. Australian Hardware requires a minimum standard of conduct and performance which will be made clear to employees at induction and in performance reviews. If an employee does not meet this standard, Australian Hardware will take appropriate corrective action, such as training. Formal performance improvement procedures will generally only start when other corrective action fails. If an employee deliberately breaches business policy or procedure, or engages in misconduct, Australian Hardware may start improvement procedures, or, in cases of serious misconduct or breach of policy, may dismiss an employee. Each employee must understand their responsibilities, be counselled and given the opportunity to reach the standards expected of them. Australian Hardware will give an employee the opportunity to defend themselves before management takes further action.
Scope	The scope of this policy covers the performance management process by employees and contractors of Australian Hardware.
Responsibility	Responsibility for the implementation of this policy rests with managers of employees at Australian Hardware. Further information on roles and responsibilities is discussed within this policy.

Relevant legislation	This policy is guided by the procedures set by industrial law, awards and employment agreements that apply to Australian Hardware. Among others, they include: Privacy Act 1988 (Cwlth) Anti-discrimination Act 1977 (NSW) Fair Work Act 2009 (Cwlth).
Updated/ authorised	20/09/2013 – Mary Chu (COO)

Procedure

1. Australian Hardware will advise the employee of any shortfall in their performance. The manager will advise the employee in clear terms what they see as the performance problem or the unacceptable conduct. To highlight the deficiency, the manager should use specific examples and refer to the correct policy or procedure. The employee should be given an opportunity to
2. Once the employee has responded, the manager will consider their response and decide if performance improvement action should be taken. Australian Hardware will provide support such as training where appropriate.
3. If the employee is given a verbal warning, the manager should make a note of it, and sign and date
4. The manager will allow the employee to respond before making a decision and consider the employee’s responses. The manager should determine whether the issue requires a written warning or a performance management meeting. The employee may have a support person present at such
5. If a written warning is to follow, the manager is to:
   1. document it and give the employee a copy
   2. give the employee the opportunity (and their support person the opportunity) to sign the warning
   3. keep a copy on
6. The warning (written or discussed in a meeting) must clearly define:
   1. the deficiency
   2. a clear explanation of the expected standard
   3. by when the employee needs to achieve the standard
   4. how the business will help the employee achieve the improvement required
   5. consequences of failing to

7. The manager concerned will keep a record of all meetings, training and/or coaching given and a summary of discussions and put a copy on the employee’s personnel file. This should include the date, location and time of
8. They will continue to support the employee and note the support they give, for example, training or
9. If the employee’s performance or conduct doesn’t improve, the manager will give the employee a final written warning and follow steps 4–10 above. This document needs to warn the employee, in clear terms, that Australian Hardware will terminate their employment if there is not enough (sustained) improvement in their

Note: Some circumstances justify going straight to a second or final warning.

Serious misconduct

Summary (instant) dismissal for gross or very serious misconduct may be necessary, depending on the circumstances. Management should seek advice before taking this step.

Allegation of serious misconduct – procedure

1. The manager is to investigate the alleged offence thoroughly, including talking to witnesses, if
2. The manager should ask the employee for their response to the allegation (taking notes of this discussion) and allow them to have representation. The manager should also have a witness present. The manager shall give genuine consideration to the employee’s response and
3. If still appropriate, following a thorough investigation, the manager can terminate/dismiss the
4. The manager should keep a file of all evidence collected and action taken in these
5. Australian Hardware will send the employee a letter of termination noting brief

Updated/ authorised

20/09/2013 – Lynn Lee (Finance Manager Wollongong)

Grievance Policy

Australian Hardware supports the right of every employee to lodge a grievance with their manager if they believe a decision, behaviour or action affecting their employment is unfair. An employee may raise a grievance about any performance improvement action taken against them.

Where a grievance may contravene Australian Hardware’s equal employment and opportunity (EEO) policy or where the grievance constitutes bullying, discrimination or harassment, the grievance should be resolved in accordance with the procedures outlined in the Anti- discrimination policy.

We aim to resolve problems and grievances promptly and as close to the source as possible. When necessary, Australian Hardware will escalate a grievance to the next higher level of authority for more discussion and resolution, and continue escalating it to the level above until it is resolved.

Managers will do their utmost to action grievances objectively, discreetly and promptly. Be aware that grievances that are misconceived, vexatious, and lacking substance may result in disciplinary action being taken against the employee lodging the grievance.

Procedure

1. The employee should try to resolve the grievance as close to the source as possible. This can be informal and verbal. At this stage, every possible effort should be made to settle a grievance before the formal grievance process starts. If the matter still can’t be resolved, the process continues and becomes
2. To start the formal grievance process, the complainant must fully describe their grievance in writing, with dates and locations wherever possible and how they have already tried to settle the
3. The person/s against whom the grievance/complaint is made should be given the full details of the allegation/s against them. They should have the opportunity and a reasonable time to respond in writing before the process
4. A manager should have a discussion with both parties in an effort to resolve the grievance at the workplace
5. If the grievance still can’t be resolved, refer the matter to the most senior manager for consideration and a final decision. A grievance taken to this level must be in writing from the

Should the issue recur, a review may be undertaken at any stage thereafter by the most senior manager or owner. Further reviews may be held if required.

Recordkeeping Policy

Purpose	The purpose of this policy is to outline the organisation’s approach to recordkeeping. At Australian Hardware, records management systems are based on developing and implementing recordkeeping policies, procedures, and practices to meet the operational needs of the organisation and that comply with externally imposed standards such as legislation. Implementation strategies for recordkeeping systems include: ensuring the system meets all operational and strategic needs of needs Australian Hardware documenting the system (see procedures) training personnel to create and store records setting standards for recordkeeping and monitoring use of systems ensuring all legislative requirements are met, including for retention periods.
Scope	This policy applies to all officers, employees and contractors of Australian Hardware.
Responsibility	Responsibility for the implementation of this policy rests with managers of employees at Australian Hardware. Further information on roles and responsibilities is discussed within this policy.
Relevant legislation	This policy is guided by the procedures set by industrial law, awards and employment agreements that apply to Australian Hardware. Among others, they include: the international standard for recordkeeping: AS ISO 15489.1-2002 Records management - general. Privacy Act 1988 (Cwlth) Anti-discrimination Act 1977 (NSW)
Updated/ authorised	20/09/2013 – Mary Chu (COO)

Recordkeeping procedures

Employee records management

Employee records include, for example:

• payroll records
• tax records
• recruitment records
• all human resources records, for example:
  • personal scorecard information
  • requests for HR services or information
  • performance management records, such as performance appraisals and performance management planning
• all other records that may record identifying details of an

Although not a legislative requirement, Australian Hardware employees, officers and agents are expected to take all reasonable steps to abide by the Australian Privacy Principles, as set out in the Privacy Act 1988.

The following is an adaptation of the principles to provide guidance to individuals responsible for collecting or using employee information.

13. Correction of personal information

Australian Hardware employees, officers or agents must take all reasonable steps to correct the personal information it holds about individual when requested by that individual, in a timely manner, and at no cost to the individual.

File management

Create a personal subfolder within the server (using your name as the subfolder name) to hold your day-to-day working files.

Do not store company data in the C: drive on your computer (your computer’s in-built hard drive) unless absolutely necessary. Company data should be stored in the appropriate server drive. Unlike the servers, which are backed up automatically, data on your computer’s hard drive is not backed up and your work may be lost if you experience a system crash.

If you use a laptop and require access to files off-site, you will be set up with offline files allowing remote access to server files away from the office.

‘Move’ completed files to the appropriate folder in your department.

Filenames:

Filename should include the author’s last name, short description or abbreviated title of report or document, and date of completion.

Back-ups:

Back-up copies of all electronic files on the server are made twice weekly.

If you spend an extended time away from the office network using a laptop, it is your responsibility to ensure local copies of company files are backed up.

Procurement and Preferred Suppliers Policy

Purpose	Procurement is also called ‘supply management’ or ‘purchasing’. The procurement policy is concerned with processes that control incoming products and materials. The purpose of this policy is to ensure the purchase of resources is carried out consistently, fairly and transparently and in accordance with Australian Hardware requirements.
Scope	The scope of this policy covers the purchasing and acquisition of resources by employees and contractors of Australian Hardware.
Responsibility	Responsibility for the implementation of this policy rests with employees and management of Australian Hardware’s stores with responsibility for purchasing resources.
Relevant legislation	Privacy Act 1988 (Cwlth) state anti-discrimination legislation state health and safety legislation Australian Securities and Investments Commission Act 2001 (Cwlth) Corporations Act 2001 (Cwlth) A New Tax System (Goods and Services Tax Administration) Act 1999 (Cwlth) Income Tax Assessment Act 1997 (Cwlth) Fair Work Act 2009 (Cwlth).
Updated/ authorised	20/09/2013 – Lynn Lee (Finance Manager Wollongong)

Principles governing procurement process

1. Probity and ethical behaviour

The principle of probity (which means to have strong moral principles, honesty and decency) and ethical behaviour governs the conduct of all procurement activities. Employees who have authority to procure goods and services must comply with the standards of integrity, probity, professional conduct and ethical behaviour. Employees or directors must not seek to benefit from supplier practices that may be dishonest or unethical.

2. Sustainability

Follow the sustainability policy and principles outlined in the sustainability policy when procuring supplies.

3. Value for money

Value for money is the core principle underpinning procurement. Organisations contracted to do work for Australian Hardware must be cost- effective and efficient in the use of resources while upholding the highest standards of probity and integrity.

In general, a competitive procurement process that is carried out in an open, objective and transparent manner can achieve best value for money in procurement.

4. Non-discrimination

This procurement policy requires that the procurement process is non- discriminatory. All potential contracted suppliers should have the same opportunities to compete for business and must be treated equitably based on their suitability for the intended purpose.

5. Risk management

Risk management involves the systematic identification, analysis, treatment of risk as well as, where possible, the implementation of appropriate risk mitigation strategies. It is integral to efficiency and effectiveness to proactively identify, evaluate, and manage risks arising out of procurement related activities. The risks associated with procurement activity must be managed in accordance with the organisation’s risk management policy.

6. Responsible financial management

The principle of responsible financial management must be applied to all procurement activities. Factors that must be considered include:

• the availability of funds within an existing approved budget
• staff approving the expenditure of funds strictly within their delegations
• measures to contain costs of the procurement without compromising any procurement

7. Procurement planning

In order to achieve value for money, each procurement process must be well planned and conducted in accordance with the principles contained in this document. The process must also comply with all of the organisation’s policies and relevant legal and regulatory requirements.

When planning appropriate procurement processes, consideration should be given to adopting an approach that:

• encourages competition
• ensures that rules do not operate to limit competition by unnecessarily discriminating against particular suppliers
• recognises any industry regulation and licensing requirements
• secures and maintains contractual and related documentation for the procurement which best protects the organisation
• complies with the organisation’s delegations

8. Buy Australian made/support for Australian industry

Employees who are involved in procurement activities must make a conscious effort to maximise opportunities for Australian manufacturers and suppliers to provide products where there is practicable and economic value. In making a value-for-money judgement between locally made and overseas-sourced goods, employees are to take into account:

• whole-of-life costs associated with the good or service
• that the initial purchase price may not be a reliable indicator of value
• the quality of locally made products
• the record of performance and delivery of local suppliers
• the flexibility, convenience and capacity of local suppliers to take on larger orders and meet fluctuations in order numbers
• the scope for improvements to the goods and ‘add ons’ from local industry.

9. Pre-registered list of suppliers and contractors

Australian Hardware shall maintain a pre-registered list of preferred suppliers and contractors.

This list is reviewed at regular intervals with admission of interested parties on a rolling basis. Care should be taken to ensure that such lists are used in an open and non-discriminatory manner. The list should be maintained in accordance with the sustainability policy. Suppliers must be audited once per year with regard to sustainable practices. It is in the interests of the organisation that the pool of potential suppliers is actively maintained and updated. Employees should provide reports of their experiences in working with each supplier/contractor to assist future decisions concerning the list.

10. Avoid conflict of interest

Employees and directors are not permitted to personally gain from any aspect of the procurement process. Employees and directors are required to be free of interests or relationships in all aspects of the procurement process.

For those individuals who are involved in procurements, any investment in, or close relationship with, a contractor represents a conflict of interest. This individual must disclose the conflict of interest to the Store Manager or Finance Manager to allow sufficient time for a review.

Employees and directors shall ensure that to the best of their knowledge, information and belief, that at the date of engaging a supplier or contractor that no conflict of interest exists or is likely to arise in the performance of the supplier/contractor’s obligations under their contract.

Should employees or directors become aware of potential conflicts of interest, they must advise the Store Manager or Finance Manager and directors immediately.

11. Report collusive tendering

Employees should be aware of anti-competitive practices such as collusive tendering.

Collusive tender would occur if an employee of Australian Hardware were to secretly share information or arrange a situation that would control the result of tendering to favour or discriminate against particular applicants.

Any evidence of suspected collusion in tendering should be brought to the attention of the Store Manager or Finance Manager.

12. Competitive process

It is a basic principle of procurement that a competitive process should be used unless there are justifiably exceptional circumstances. The type of competitive process can vary depending on the size and characteristics of the contract to be awarded.

13. Direct invitation (selective or restricted tendering)

A process of direct sourcing to tender may be used. This may involve an invitation to organisations deemed appropriately qualified for a particular product or service (this may be appropriate for specialised requirements in markets where there is a limited number of suppliers or service providers).

The selection process should have particular regard to the need for equal treatment and reasonable distribution of opportunities.

14. Evaluation and contract award

For projects being awarded, consideration will be given not only to the most economically advantageous tender, but also to the track record of the

tender respondent and the degree of confidence that the panel has in the quality if the bid. It will be the normal practice to have the evaluation of tenders carried out by a team with the requisite competency.

15. Results of tendering process

All tender respondents should be informed in writing of the result of a tendering process immediately after a contract has been awarded.

Summary of procurement policy delegations

Role	Purchase amount	Required number of quotes	Comment
Store General Manager	Authority to sign contracts for products and services up to $200,000. Must seek approval from national Chief Operating Officer (COO) for amounts above $200,000.	Two or more competitive quotes for contracts over $75,000.	Must be within the approved budget and consistent with business/ operational and strategic planning. Detailed services contract required.
Finance Manager	Authority to sign contracts for products and services up to $75,000.	Two or more competitive quotes.	Must be within the approved budget and consistent with business/ operational and strategic planning. Detailed services contract required for contracts over $20,000.

Product managers

Authority to sign contracts for products and services under $30,000.

One or more competitive quotes preferred.

Must be within the approved budget and consistent with business/ operational and strategic planning. Detailed services contract required for contracts over $20,000.

Expenditure payment approval form

For completion by person verifying payment
Date:	Invoice date:
Payee name:
Job/project number:	Project title:
Description of payment:
Payment amount: $	☐ ex. GST  inc. GST
Signatures:
Person verifying payment		Delegated manager
For completion by Finance:
Account number	Account name			Amount
Total Payable:	$
Approved:	Date:
Store General Manager:
Finance Manager:
Product Manager:

Sustainability Policy

Purpose	The purpose of this policy is to explain Australian Hardware’s approach to sustainability. Australian Hardware takes its commitment to the sustainable and socially responsible use of resources seriously.
Scope	The scope of this policy covers all employees and contractors of Australian Hardware in ensuring that sustainable practices are adopted and maintained at the Wollongong Store.
Responsibility	Responsibility for the implementation of this policy rests with employees and management of Australian Hardware. Management and the Board of Directors are responsible for: following and improving the implementation of the sustainability plan and sustainability principles the effective implementation and regular review of sustainability procedures, including yearly environmental audit consultation with employees regarding sustainability issues and changes to legislation and/or working practices that may affect the workplace providing and maintaining a sustainable system of working practices providing support, training and supervision to employees to ensure sustainable practices are carried out, including relevant training where appropriate the provision of adequate resources for employees to meet the sustainability commitment. Individual employees are responsible for: following all sustainability policies and procedures ensuring that they report all potential and actual risks to their managers/supervisors; risk management must consider triple bottom line related risk

following the sustainability principles and alerting management to breaches of the principles or opportunities to improve performance encouraging others to follow sustainable working practices in the workplace where relevant, purchasing from suppliers in accordance with sustainability principles where relevant, auditing suppliers with respect to sustainability.
Relevant legislation and standards	Environment Protection and Biodiversity Conservation Act 1999 (Cwlth)(the EPBC Act) National Environment Protection Council Act 1995 (NSW) AS/NZS ISO 14001:2004 environmental management systems - requirements with guidance for use.
Updated/ authorised	06/2012 – Lynn Lee (Finance Manager Wollongong)

Sustainability principles

Australian Hardware adheres to the following six sustainability principles:

Taking action now to reduce environmental risk	Consider the risk to the environment as part of risk management at Australian Hardware. Take action immediately to reduce environmental risk, as you would with any other risk such as health and safety or financial risk.
Intergenerational fairness	Consider whether the actions of Australian Hardware deplete or use up resources that could be used by later generations. Is your business or workplace activity fair to people who will live tomorrow as well as those who live today? Ensure the next generation is fairly treated by Australian Hardware!

Sustainable use of natural resources	Consider whether Australian Hardware uses natural resources at the rate they are naturally replenished. If not, how will Australian Hardware compensate for unsustainable use? Compare like businesses to Australian Hardware. Does Australian Hardware use resources more sustainably than all other comparable businesses?
Maintenance of biological diversity	Consider how Australian Hardware contributes to or diminishes the variety of life on the planet. Biological diversity is important for maintaining ecosystems that contribute to the overall health of the planet. What ecosystems are disturbed by the location of the hardware store and associated car park? How can this be prevented/offset? What ecosystems are disturbed by production and distribution of purchased products? How can this be prevented/offset?
Enhanced economic and social wellbeing	Consider how Australian Hardware attributes value or cost to business activity. Is wastage considered (and calculated) as a cost to the environment (which has to be paid by someone), or only as a cost in relation to the narrower financial interests of the business (only the cost of disposal)? Consider how Australian Hardware’s use of resources contributes to social wellbeing. Are people in your community better-off or happier as a result of Australian Hardware business activities? Ensure the community is better off because of Australian Hardware!
Strengthened community	Consider how Australian Hardware’s use of resources contributes to community. Are people in your community more connected with their community as a result of Australian Hardware’s business activities? Ensure the community is stronger and more cohesive because of Australian Hardware!

Waste management

The waste hierarchy is an effective approach to waste management, which should be applied by all employees of Australian Hardware with direct or indirect responsibility for waste management. The diagram below demonstrates the stages.

Yearly environmental audit

An environmental audit should be performed yearly by each line manager at Wollongong Australian Hardware. General operations and administration staff should use the sustainable office checklists provided by the Department of Environment Climate Change and Water:

• NSW Business Chamber, 2009, ‘Appendix: Walk-through audits’, Sustainability Toolkit – Offices, Department of Environment Climate Change and Water. Available online, NSW Business Chamber, viewed January 2015, <https://nswbusinesschamber.com.au/NSWBC/media/Misc/Policy%20Documents/Sustainability-Toolkit-Offices.pdf >

Assessment instructions

You have been employed by Australian Hardware, which is a start-up homeware/hardware business. You role is to help develop and implement strategic plans that support the direction and aspirations of the business.

You are to obtain a copy of the business plan from your employer (who will be role-played by your assessor), and read it carefully. Once understood, you are to arrange a time to meet with your employer (your assessor) to

identify company goals and aspirations, and to clarify the business plan where required.

Next, you are to develop a detailed operational plan that ensures the objectives and strategies outlined are met by work teams. As a minimum, your operational plan must outline:

• Strategies
• Performance criteria
• Timeframes
• Budgets
• Responsibilities
• Resources

It is important that you also include details on how the plan will be implemented, monitored and reviewed!

Along with your operational plan, you are to develop and provide all relevant policies and procedures relating to:

• recruitment (including induction and staff development)
• acquiring physical resources/ services
• protecting organisational intellectual property

It is important that you:

• Detail any specific resource requirements
• Include a detailed consultation process
• Include KPl's to measure organisational performance
• Include contingency plans at appropriate stages
• Include strategies for the recruitment/ or induction or employees
• Include relevant forecasts or budgets as required
• Detail each strategy with an assigned priority, a timeframe, responsible parties and measurable performance indicators

Once developed, you are to arrange a meeting with your assessor, who will role-play your supervisor. The purpose of this meeting is to explain and gain approval for the implementation of your plan. You must be well prepared for this meeting, as your supervisor will be asking you detailed questions, and reasons for your proposal.

Assessment Summary

You are to submit the following

• Detailed operational plan attached
• Recruitment policy attached
• Resource policy attached
• Intellectual property policy attached
• Assessor questions attached (part of assessor observation checklist)
• Assessor observation checklist attached

Submission - Evidence you are to submit the following evidence for each assessment process:

• Detailed operational Attach your Detailed operational plan and label as follows: "Your first name, your surname, BSBMGT517, Task 1, Detailed operational plan"
• Recruitment policy Attach your Recruitment policy attached and label as follows: "Your first name, your surname, BSBMGT517, Task 1, Recruitment policy attached "
• Resource policy Attach your Resource policy attached and label as follows: "Your first name, your surname, BSBMGT517, Task 1, Resource policy attached"
• Intellectual property policy Attach your Detailed operational plan and label as follows: "Your first name, your surname, BSBMGT517, Task 1, Detailed operational plan"
• Assessor questions Attach your Assessor questions attached and label as follows: "Your first name, your surname, BSBMGT517, Task 1, Assessor questions attached"

• Assessor observation checklist. Located on the next page

Assessment instructions

Follow in g Final Assessment Task 1, you are to prepare for and implement your operational plan in part. Your implementation will encompass running a meeting for your team in which you:

• Explain and discuss the operational plan in detail
• Allocate responsibilities for at least 2 different strategies outlined within the plan
• Instruct/ mentor each person to whom you have allocated a responsibility to, to ensure they understand and are empowered to perform their allocated task
• Ensure each staff member are trained in the following strategies- as appropriate to their allocated responsibility/ strategy

recruitment

resource allocation

intellectual property

It is important that you are prepared for this session, ensuring you:

• prepare for the session to ensure everything is covered
• develop and provide relevant documentation/ supporting materials to your team

Your assessor will observe you running the meeting.

Meeting Context

• Each meeting will consist of yourself (running the meeting), and at least 2 other people, who will role-play the Other people may include trainers or students from your course

Things to consider whilst performing this task:

• Be organised - prepare and plan for the session
• Know your position
• Know your company
• Arrange access to all required documentation for this process
• Be prepared to ask quest ion s
• Be prepared to be asked questions

Things to consider whilst role -playing an employee:

• Be prepared
• Act professionally throughout the process
• Be prepared to ask quest ion s when you require more information
• Answer all question s to the best of your ability
• Make sure that by the end of the session, you are fully aware of the str ategyyou have been allocated, along with the actions you would need to perform to achieve

Remember, you will be required to both run the meeting, and role-play an employee (during another students assessment), so be sure to perform at your best at all times.

Assessment Summary

You are to submit the following

• Your meeting plan
• Copies of documentation provided to employees
• Meeting plan
• Your assessor will observe you running the meeting

Assessment Summary

You are to submit the following

• Meeting Observed - assessor observation checklist
• Handouts and Copies of documentation provided to employees attached
• Meeting plan attached

Submission- Evidence you are to submit the following evidence for each assessment process:

• Handouts and Copies of documentation provided to employees. Attach your Handouts and Copies of documentation provided to employees and label as follow s: "Your first name, your surname, BSBMGTS17, Task 2, Handouts and Copies of documentation provided to employees"
• Meeting plan attached. Attach your Meeting plan and label as follows: "Your first name, your surname, BSBMGTS17, Task 2, Meeting plan"
• Assessor observation checklist (meeting). Located on the next page

Assessment instructions

For this assessment, you are to interview your assessor and gather the required data to review the implementation of your operational plan. To perform this task satisfactorily,you must be prepared, as your assessor will only provide you with answers to questions asked.

In performing this task, you should:

• Consider your operational plan developed in Final assessment task 1
• Identify the type of information required to determine the effectiveness of each strategy
• Assess the profitability and productivity outcomes of each strategy
• Identify areas of underperformance
• Identify improvements that are appropriate to ensure the viability of the operational plan

Once you have gathered this information, you are to provide a written report that:

• comments on the effectiveness of the plans implementation
• reviews the financial outcome (in terms of viability, profitability and productivity) of each strategy
• outlines the areas of under performance, along with recommendations for improvements
• includes an amended version of your operational plan, with the changes highlighted
• outlines in detail how the changes will be implemented

Assessment Summary

You are to submit the following

• Written report attached
• Implementation plan att ached
• Updated operational plan attached
• Check list attached

Submission- Evidence you are to submit the following evidence for each assessment process:

• Writ t en Attach your Written report and label as follows: "Your first name, your surname, BSBMGT517, Task 3 Written report"
• Implementation Attach your Implementation plan and label as follows: "Your first name, your surname, BSBMGT517, Task 3, Implementation plan"
• Updated operational Attach your Updated operational plan and label as follows: "Your first name, your surname, BSBMGT517, Task 3, Updated operational plan"
• Assessor observation checklist.