Where do you see yourself…? Reflect on where you see yourself in 10years time and write this on a post-it note. = 5mins

Did Dreams Become Reality? CelebrityWhat do think were the ambitions of these people when they were your age? How did they get to where they wanted to be? E.g. Harry Judd To play in a successful band Took music lessons at school *Extension: where do you think they see themselves in the next 20years?

TOPIC:Topic 1: Business Organization and Environment LESSON TITLE:Aims and Objectives COMPETENCY FOCUS: Entrepreneurship (S4): To develop your entrepreneurial skills in preparing a realistic proposal for a new business start-up. You will understand the process a business will have to go through when starting up, including the underlying principles of starting a business. [IB Learner Profile Development: Communicator] Learning Objectives By the end of the lesson, you should be able to… LO1) Distinguish between business aims and objectives LO2) Explain the importance of setting aims and objectives in managing an organisation LO3) Analyse the impact of implementing ethical objectives. SMSC: You will assess the organisational culture of businesses in terms of fundamental structure, purpose and strategy development. CRITICAL THINKING KEY: Knowledge Application Analysis Evaluation

Mission Statement Identifies the main purpose and vision of the organisation. For example… "McDonald's vision is to be the world's best quick service restaurant experience. Being the best means providing outstanding quality, service, cleanliness, and value, so that we make every customer in every restaurant smile." Every organisation has one!!!

What is an aim? Aim: What a business wants to achieve in the long term. For example, to maximise profit or to survive.

What is an objective? Objective: steps businesses take that helps them to achieve their aims. E.g. To increase sales by 5% per month over the next 12 months.

Summary Aim: What you want to achieve long-term Objective: How you are going to achieve it

Aim or Objective? To make a profit To advertise products which will increase sales and help the business make a profit To survive during the recession To reduce prices of products to help beat the competition To increase our advertising to help grow the company

Objectives Objectives must be SMART: S pecific M easurable A greed R ealistic T ime-constrained General Rule… Add an amount (£, %) and a time (months, years)

Make these SMART! To increase sales To develop a new innovative product to rival the iphone. To increase advertising on TV To monitor our spending

GROUP TASK In groups of 4/5, you will be given a company. Your task is to produce a mini-business plan for that company that includes the following… Mission Statement Aims (with reasons for your choice) Objectives (with reasons for your choice) Benefits for the business to set aims and objectives (justify your arguments) What would happen if the business failed to meet their aims and objectives? (justify your responses) = 30mins

Aims/Objectives of organisations in different sectors Private Sector: -Main aims are profit/growth/survival. -Must be SMART. Public Sector: -Not-for-profit (usually providing a service) -Funded/controlled by government. -Objs include efficiency, value for money (taxpayers!!). Voluntary Sector: -Charities (local, national, international causes) -Objs such as raise money for a cause & raise awareness of the cause.

Aim or Objective? To maximise profit To employ 10 new staff in the sales department in the next 2 years To survive during the recession To increase awareness of the cause To develop a new product to sell to teenagers by 2016.

Cascading of Objectives AIM CORPORATE OBJECTIVES DIVISIONAL OBJECTIVES DEPARTMENTAL OBJECTIVES INDIVIDUAL TARGETS

Now, continue to write your business plan Contents of a Business Plan: -Executive summary -Description of the business -Aims and objectives of the business -The business opportunity -The market -Personnel/Staffing -Buying/Production -Premises/equipment -Financial Forecasts/Accounts (including start-up finance)

Reflection Reflect on what you have learnt this lesson. What do you need to know more about?

Reflection