Thesis (Master in Management) -- University of the Philippines Mindanao, 2023

Clower Flower Shop (CFS), located in Km 14 Panacan Davao City, was established in Feb 2014. Despite its existence for a considerable period of time. CFS has not optimized its potential for growth. One limiting factor is primarily attributed to its heavy reliance on a single major customer account. Such overreliance poses a significant risk to the business potentially impacting its stability and overall profitability. To mitigate this risk, CFs needs to diversity its customer base and explore other market segments for growth opportunities. Additionally, the company’s reluctance to adopt digital technologies has hindered its efficiency and adaptability, while weak organizational and management structures have impeded overall growth. The owner’s tendency for excessive micromanagement limits effective decision-making. Moreover, CFS lacks proper financial management systems, resulting in a lack of timely reports, strategic planning, and the setting of sales targets and budgets. The proposed conceptual framework for the strategic plan based on Dr. Eduardo A. Morato Jr.’s framework on Strategic Planning and Management. The framework emphasizes starting the planning process with the desired objectives or targets in mind. It follows a top-down approach, with top management having primary responsibility for setting these objectives. The vision, mission, and direction of the organization are considered in formulating the objectives. Validation and support for objectives are considered in formulating the objectives. Validation and support for objectives are conducted through a bottoms-up approach, analyzing data and information to formulate key strategies. The framework also considers the external industry environment and internal organizational environment using the Business Model Canvas. The industry and business model analyses in reference to the vision, mission, and objectives, lead to Gap Analysis. The framework aligns both top-down and bottom-up approaches to address identified issues and ensure alignment with the organization’s goals. Strategy formulation is developed to achieve the objectives, cascading down to the strategic implementation per functional units. Specific measurable objectives reflected in performance reviews, feedback mechanism, and incentive systems are established as benchmarks for monitoring and evaluating progress. The majority of the data used for the analysis were obtained from secondary sources within the global and domestic flower industry, as well as from national and local government agencies. Internal data from the entity was also made available to make substantial projections and analysis. The strategic approach for CFS involves intensifying market penetration to achieve significant revenue growth while aiming for operational efficiency. By targeting untapped market segments and increasing repeat purchases, CFS aims to establish a strong brand identity and position its products as the preferred option in terms of attributes, quality and price. This strategy will be supported by intensified advertisements and promotions anchored on its value proposition, and the expansion of distribution channels through physical shops, partnerships, and e-commerce platforms. Technology will play a crucial role in driving market penetration efforts, enabling CFS to reach a wider audience, provide convenient ordering options, and enhance customer engagement. Strengthening the organization structure and financial system will contribute to the successful implementation of this strategy. As for its monitoring and evaluation, the purpose is to ensure that the organization stays on track, learns from its experiences, and continuously improve its performance and outcomes on a year-to-year basis. Performance reviews at CFS will be conducted quarterly and annually. Quarterly reviews allow for monitoring and adjustment throughout the year, while annual reviews align with the flower shop’s seasonal operations. Performance metrics will be identified based on key strategies set by each unit, with measurable targets derived from the five-year strategic implementation matrix. By implementing a comprehensive feedback mechanism, CFS can effectively gather valuable insights, address concerns promptly, and continuously improve its operations based on the feedback provided by employees.