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BSBINM601 Assessment 3

Assessment Task 3

Decision Analysis Report

Refer to previous Assessment Task 2, Appendix 4 for the fully completed Decision Analysis Report.

  • Statistical analysis

Revenue forecast proposed dinner service


Home delivery

Menu item

Avg spend



Avg spend



Hot menu







Cold menu







Package drinks







Total $1,365

Total $3,000

  • Sensitivity analysis

New price

Revenue Target

Sales required to meet revenue target

Sandwiches and wraps




Hot items




  • Quantitative analysis

Delivery costs for home delivery service x 2 stores

Residential Areas within delivery zones

RA 1

RA 2

RA 3

RA 4


Store 3



$3 / 30

$3 / 30

75 45 15

Store 4

$4 / 20

$2 / 40



90 50 30


20 0

40 0

30 0

30 0


Delivery cost = $340.00

Appendix 5

Assessment questions

  1. Briefly discuss how you ensure you have sufficient, valid and reliable evidence and information available to support determining the best course of action to take and making a final decision.
  1. Briefly outline:
  • Specialists or other relevant groups or individuals who could assist in your analysis and decision-making process

The experts who can assist in the analysis and decision making process are:

  • Specialists in food safety
  • Professionals in Marketing
  • Financial advisors
  • Specialists in food distribution
  • Government
  • Business development specialists
  • The Melbourne City Council
  • What types of assistance, advice or information they can provide

The information provided by the experts help the business to take the best decisions for the company success; they can provide important information such as financial resources, marketing campaign development and others. They also can advise in the matter of being more efficient at the moment of the production process by setting tasks to each employee according to the requirements. The specialists have the knowledge to lead the business.

  1. a) Who has the authority to make the final decision about what course of action to take to address the identified business issue?

The owners of the company have the right to decide what are the best actions to take to improve their business, in this case Emma and Rufus

b) Why do they have this authority?

As owners of the company they set the company’s direction and establish the actions to take. Their employees as managers can give opinion but the final decision is on Emma and Rufus.

c) Do they have the legal authority to make this decision?

Yes, They do have legal authority to make this decision. The business is registered under their names what gives them the authority.

  1. What organizational policies and procedures must be considered when making this decision?

It is important to consider the policies and procedures of the business in order to act accordingly in any area of the business: marketing plans, laws anti-discrimination, health and safety in the workplace and others are the procedures to be measured when making this decision.

  1. Briefly describe how your recommendation to Emma and Rufus is consistent with Coffeeville’s value, objectives and standards.

The proposal given to Emma and Rufus is consistent with Coffeeville’s value, objectives and standards. Once analysed numerous sources about the procedures and principles of CoffeeVille, we can grant that our recommendation about special home packaged and meal delivery system, will increase the profits of the business, it will also be freshly made by professional staff with the quality of the original shop and delivered safely to costumer homes.

  1. You have been give this project in early January, Emma and Rufus are ware that, depending on the course of action chosen, It could take some to implement the necessary changes and have an impact in the business’s financial status.

Strategic Planning Timeline

Course of action: January – middle February

Phase 1 (3 – 15 Jan):

Measure business atmosphere

Phase 2 (16 Jan – 20 Jan):

Preliminary business evaluation and sources (new app for delivery)

Phase 3 (21 Jan – 31 Jan):

Filter, outline and study business issues and potential problems

Phase 4 (1 Feb – 6 Feb):

Analyse root causes, promotions and advertisement

Phase 5 (7 Feb – 15 Feb):

Conclude plan and present to owners


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