STR 581 WEEK 6 FINAL STRATEGIC PLAN (STUDY GUIDE)

STR 581 WEEK 6 FINAL STRATEGIC PLAN (STUDY GUIDE) the Final Strategic Plan. The Final Strategic Plan contains the elements of all the previous weeks' components and incorporates instructor feedback. The strategic recommendations will be evaluated and the best options chosen for recommendation. The final strategic plan presentation contains: Table of Contents Executive Summary (350 to 700 words; include in the speaker's notes) Target delivers framework for decision compensation in 2017, the importance to recognize the retail industry in general, undergoing weakening sales and traffic. The quick changes in customer behavior and the soft spending in different categories that are combined with a rapid shift in customer preference towards retail online. Within those challenges several of the competitors are announcing closure of some of their stores and trying to scale back operations to protect profitability. However, Target announced a multi-year strategic plan that should aggressively invest in their business to support the goals to align sustain Targets profitable market share gains over time, this includes: • Expenditure capital of more than $2 billion, more than $7 billion over the next three-year period, 600 stores to be remodeled, 100 small format stores, the heightened digital capabilities and modernize the supply chain: and • Investment in direct spending which would lower operating margins by $1 billion, especially in wages and hours, reinforce Target value perception by lower prices, accelerate depreciation that is drove by remodel programs of advancement of stores. Provide compensation program that coincide with the long-term incentives that will measure performance to be above competitors. The decision to aggressively invest in long-term growth within the period of industry significant stress the full board considers that the near-term headwinds of investments should present when the approving for fiscal years short-term goals of incentives and the vested price stock options. The consideration of the investments will either meet or exceed the goals that are announced. Patrons responded quicker than expected to the investments that contributed to the performance financial that will exceed expectations. • The sales compared to 2017 increased by 1.3%, which a low single digit decrease that Target had going into the fiscal year. The sales had a 3.6% growth in the fourth quarter that where brought up the fiscal years total adjustment sales which had the highest in the history. • Comparable sales and traffic trends will improve and grow tremendously. The acceleration within the business as Target gains market shares across the five core products groupings. Compensation committee and human resources the independent members will take into consideration of strategic achievements and financials against the company plans and goals, also the retail landscape challenges will determine the short-term incentive payouts for the year. Company Background Name Target Corporation Target Logo Industries served Retail Geographic areas served Canada & U.S. Headquarters U.S. Current CEO Gregg Steinhafel Revenue $ 73.301 billion (2012) Profit $ 2.999 billion (2012) Employees 361,000 (2012) Main Competitors Costco Wholesale Corporation, Kmart Corporation, Wal-Mart Stores Inc. and many other companies. The Target Corporation is an American retailing company, founded in 1902. It is the second-largest discount retailer in the United States after Wal-Mart Stores. The company is ranked 36th on the Fortune 500 as of 2013 and is a component of the Standard & Poor's 500 index. 1901-Founder George Draper Dayton 1910’s-Dayton Department Store, associated merchandising corporations, a history of giving 1920’s-Merchandise take flight, introducing WBAH Radio 1930’s- Passing the Torch Following George D. Dayton's death, son George N. Dayton is named President of The Dayton Company. 1940’s- Giving 5 Percent to Communities 1950’s- A New Generation of Leadership, Commercial interiors, Dayton's First Branch Location, Expansion to the Suburbs 1960;s- Spring Arrives Early at Dayton's, Entrance into Discount Retailing, Making it Official, Creation of a Icon, The Birth of Target, Holidays at Dayton's, The Joy of Summer, Growth on a National Scale, Updating the bullseye, First Distribution Center, A New Partnership 1970’s- Earth Day Volunteers, Lending A Helping Hand, Shopping Made Easy, Target Stores becomes the No. 1 revenue producer, Now in Your Sunday Paper, Family Management Transition, An Organizational Milestone 1980’s- Recognition of Community Involvement, Daytons Retire from Board of Directors, Target opens its first stores in Southern California. Santabear Arrives at Dayton's, Innovation Through Technology, A New Contender in the World of Racing, 1990’s- Purchasing a Legendary Retailer, Sometimes You Just Need a Bigger Target, Target Expands to Chicago, Evolution of Our Brand Promise, Target Offers Credit, First SuperTarget® Store Opens, Restoration of a National Treasure 2000’s- Dayton-Hudson Corporation is renamed Target Corporation to better reflect its core business. Now Open in 47 States, Market Pantry Debut, Target introduces the Red-Hot Shop on T. Target launches its in-store dollar section, See. Spot. Save. ®, Eat Well, Pay Less, 2010’s- Liberty of London Crosses the Pond, $1 billion for Educations, Target is coming to Canada, meet Missoni… and Little Marina, Target and Neiman Marcus Partner Up, Making the Most Out of Mobile, Celebrating the Big 5-0, More Target in the City Mission and Vision Statement “Our mission is to make Target your preferred shopping destination in all channels by delivering outstanding value, continuous innovation and exceptional guest experiences by consistently fulfilling our Expect More. Pay Less. brand promise.” Value Statement We make Target our guests' preferred shopping destination by delivering outstanding value, continuous innovation and an exceptional guest experience—consistently fulfilling our Expect More. Pay Less.® brand promise. Target mission statement is intent to give consumers a broad destination of channels for shopping convenience and give them an outstanding value of product and service, exceptional consumer experience and continuous innovation. With them reevaluating themselves with the new ecommerce strategy they will uphold their continuous innovation. By dropping some of its deals that are on the table is a good idea because they are old and outdated. By fulfilling the delivering channels will help them be more innovative. They have always had the consumer loyalty because of their brands. Upgrading the brick and mortar stores will do great things for the business. Environmental Scan Internal and External Environmental Analysis Strategic Recommendation Implementation Plan Organizational Change Management Strategies Risk Management Plan Conclusion References Jurevicius, O., (2013). Mission Statement of Target. Retrieved from