Small business growth

BSBSMB416 Plan small business growth

This unit is about researching and developing a plan to achieve business growth. It applies to managers of independent small businesses and sections of larger organizations. They interpret business information and numerical data competently and are skilled communicators.

 

How you will be assessed

You will be assessed through:

• Assessor observation on the job
• Supervisor reference (if the assessor is not the supervisor)
• Review of your workplace documents (e.g. procedures)
• Interview/assignment based on the requirements below.

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Practical

You will be assessed in the workplace as a safe environment with access to:

• relevant legislation, regulations, standards and codes.
• relevant workplace documentation and resources.
• case studies or, where possible, real situations.

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Interview/assignment questions

1. Outline legislation, regulation, business policy and procedures relevant to the business.
2. Describe core elements and preparation of a business case.
3. Outline steps for setting goals and objectives.
4. Explain the principles of risk management.
5. Describe the different options and strategies for small business growth appropriate for your particular business type and size and your particular industry.

Note: Your assessor may also ask you a variety of what if questions.

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Detailed requirements

Perform consistently in typical activities in this field of competency.

1. Determine growth objectives.

1. Clarify reasons for pursuing growth.
2. Identify key areas for growth.
3. Review current business plan and establish new, realistic growth goals and objectives to expand, create or sustain competitive advantage.

 

2. Identify options for pathways to growth.

1. Assess the suitability of main options to pursue growth including market penetration, product development, market development and diversification.
2. Investigate funding options to support business growth.
3. Analyse the business capacity to manage growth including legal and compliance implications and disruption to existing business.
4. Determine the risks, challenges and benefits of chosen pathways.

 

2. Prepare a business case for growth.

1. Put it in a suitable format for stakeholders.
2. Develop a business case for growth to meet business goals and objectives that includes:
1. key assumptions.
2. specific tactics and strategies.
3. legal and compliance responsibilities.
4. operational considerations including resource requirements.
5. risk identification and mitigation strategies.
6. financial analysis including cash flow implications.
7. due diligence (if a third party is involved).
3. Communicate with relevant stakeholders.

 

3. Develop a strategy for growth.

1. Research selected growth options and tactics to determine potential return on investment.
2. Consider the role of the business owner and determine any adjustments to the function, structure and roles of business personnel required.
3. Consult specialist services and sources of advice.
4. Identify the specific interests and objectives of relevant people and seek and confirm their support of planned business growth.
5. Integrate the growth strategy into business, operational, marketing strategic, financial and production plans where relevant.

 

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