Strategic Plan: Dean's Auto Clinic

Running head: STRATEGIC PLAN: DEAN’S AUTO CLINIC

Strategic Plan: Dean’s Auto Clinic

Tina Fisher

University of Phoenix

Executive Summary

Dean’s Auto Clinic is a reputable auto repair shop that has built its business by providing quality work at reasonable prices. With a solid, yet small, customer base, the company is ready to catapult to the next level and grow the business. The company does face some tough challenges ahead including the current and future downturn of the economy when many people put off car repair work. Even with the economy being down, Dean’s can profit because many individuals will forego a new car purchase and pay to have their existing cars repaired. Challenging to the company is the lack of service information it receives from manufacturers, however, there is current legislation to provide this to all aftermarket shops. Technology and sophistication of modern cars is one of the largest challenges the company faces, but through training and research the company can overcome the challenge. To achieve the company’s vision and attain its long-term objectives, it will implement a concentration strategy which will increase the use of its services by its present market.

Dean’s will overcome the stated challenges by committing to the strategic plan and its action items The owner is ready to take on the challenges and will be rewarded with increased revenues and profits. With an investment of $75,000 in the next three years, the company can expect to have revenues of $941,460, an average increase of $313,820 per year. In addition, profitability will rise from 33.5% to 40.3% over the three year period and profits will increase by $332,911 over the same period. The numbers tell that the investment and implementation of the plan will provide a huge payoff in the near future.

Company Background

Dean’s Auto Clinic is an independently owned auto repair shop that was started three years ago by Dean Fisher. The organization is run out of Dean’s family garage and focuses on fixing anything and everything that goes wrong with customers’ vehicles. Customers of the organization are individuals who reside in central Wisconsin, specifically in the Wisconsin Rapids and Nekoosa areas that are looking for a car mechanic who offers reliable, trustworthy, and affordable services.

The company is looking for areas in which it can realize moderate growth rates. At this time the owner does not have a desire to grow the company into a large corporation; he does, however, wish to see increased revenues and profits so that he can make a more comfortable living.

Vision Statement

The end-state vision for Dean’s Auto Clinic is to become a stronger competitor in auto repair and maintenance in the Wisconsin Rapids area by increasing its operation size and revenues. Dean’s vision is that at least half of his business will entail regular maintenance of vehicles, therefore, the vision statement for the company is “For your car’s good health”.

Mission Statement

Dean’s Auto Clinic Mission: We are in the business of repairing and maintaining individuals’ vehicles whether the problem is big or small. We will provide honest, reliable and affordable car repair options to you and your family members.

Values Statement

There have been many dishonest car mechanics who have taken advantage of customers by charging them too much for the actual repairs that were done and for fixing problems that never existed. This has made the general public leery of mechanics and auto repair shops so when individuals find a repair shop with Dean’s values, they are likely to remain loyal customers. Dean’s knows this and therefore, its values include: trustworthiness, reliable, honesty, and fairness. The values statement is how the business has been and will be run and has helped to formulate the vision and mission statements. Dean’s values statement is: “Dean’s will work on vehicles in a reliable, honest, and fair manner in order to earn the customers’ loyalty and respect”. Values start with the employees and will help to ensure customer confidence and loyalty which will lead to an increased customer base and company revenues. The values analysis chart details ideal employee behaviors and how they align with the company’s grand strategy of concentration.

Values Analysis