A strategic management paper for Viron Transportation Company, Inc. /
Jonica Days C. Alacon.
- 2019.
- xiii, 202 pages ; 28 cm.
Thesis (M.A)--Pamantasan ng Lungsod ng Maynila, 2019.
A strategic management paper presented to the Faculty of the PLM Business School--Graduate Program in partial fulfillment of the requirements for the degree Master in Business Administration.
This strategic management paper is about Viron Transportation Company, Incorporated, one of the public mass transportation service providers in the Philippines. Viron Transit offers daily trips from Manila to llocos Region and vice versa, as well as charter and waybill services since April 1978. At present, the company has 229 employees, 129 operating fleets, 11 terminals, and 11 certificates of public convenience.
This paper evaluated Viron Transit's current mission and vision with the use of David's essential components and characteristics and then provided a recommended mission and vision statements. It was also discussed in this paper the factors with regards to the internal and external environment of and transportation industry. A comparison was made with two major competitors of Viron Transit in terms of the identified critical success factors in the industry highlighting the competitive advantages of each company. The opportunities, threats, relevant company findings and problems identified from the internal and external environmental scanning were used as inputs in strategy formulation using David's strategic management tools. The results from the matrixes were used to formulate both strategic and financial objectives and were further translated into recommended business strategies. Detailed discussion of departmental plan of action includes implementation procedures, responsible individuals and groups, as well as timeframes. The financial impact of the strategies were tested and evaluated with the use of 5-year financial projections. Strategy map was formulated to carefully define the financial, customer, internal processes, and learning and growth perspectives of the company, and balanced scorecard provides the measurement criteria for each of these perspectives.
Viron Transit has been in the industry for more than forty (40) years yet the Company has still a low market share as compared to its competitors with 28 and 21 years in the industry.
Two of the opportunities identified from the external forces provided prospects of growth such as the 9.5% growth of Philippine transport sector by 2021 and the emerging transport apps in the Philippines. Viron Transit can use this to increase brand awareness through strengthening its marketing activities.
After considering all the strategies, the most applicable to implement are intensive strategies focusing on Market Penetration. These strategies are expected to drive the company in meeting its objectives of increasing its market share by penetrating the market and increase its revenues by 10% per annum in the next five years.