Competencies
In this project, you will demonstrate your mastery of the following competencies:
- Prepare and present internal and external reports.
- Monitor and evaluate performance.
- Recommend opportunities for performance improvements.
Scenario
You are a former Navy officer and fighter pilot, and you are now the controller of a division of TransGlobal Airlines, a large organization that operates a fleet of corporate jets for charter at several airports in the southeast part of the United States. Your division’s private charter clients include several Fortune 500 companies in the region. The Chief Financial Officer (CFO) has informed you that the company is considering the acquisition of two smaller aviation firms in the region specializing in chartered flights for luxury vacations using light aircraft (60 passengers or less). The CFO has tasked you with assessing the organizational benefits of acquiring these aviation firms. The CFO intends to develop a new business plan for the organization if your analysis recommends moving forward with the acquisition.
After an initial assessment, the company has shortlisted two airlines, Company A and Company B, to examine further for acquisition. To understand all aspects of the two airlines under consideration, you have visited each proposed site to assess their performance. The assessment included creating a balanced scorecard for each airline with all four components, financial, internal processes, customers/market, and learning and growth, that will impact the acquisition of each firm.
The CFO has asked you to generate two scenarios for the proposed acquisition based on your analysis and governing or predictive assumptions. They include a worst-case scenario that considers the most serious outcomes that could occur if anticipated targets and assumptions are dramatically wrong; and a best-case scenario if anticipated targets and assumptions significantly exceed forecasts.
Based on your assessment and analysis of the companies in Milestones One and Two, you will create and deliver a PowerPoint Presentation for senior management’s review and analysis. You will also write an executive summary with your recommendations for the leadership team.
Directions
Part 1: Presentation
Record and submit a narrated PowerPoint presentation to share your analysis and recommendations for the proposed acquisitions. Use your data and analysis, along with feedback received from the milestone assignments, to complete your presentation. Note: Remember to use both on-screen text and narration in your PowerPoint slides to convey your information effectively. For example, you can use brief bulleted lists on the slide and include detailed explanations in your narration. A resource is provided under Supporting Materials to help you record your presentation. If you are unable to submit a presentation with narration, be sure to include detailed speaker notes with your submission.
- Overview
- Situation Analysis of TransGlobal Airlines (parent company). Use the information from the Supporting Materials section to highlight the parent company’s current business environment.
- Internal environment: culture, leadership, internal processes, human resources, operations, and financial performance
- External environment: competitive, market, regulatory, customers, suppliers, and other relevant stakeholders
- Acquisition Rationale: Explain why your company is planning to acquire these airlines. What strategic objectives will the acquisition meet? How might the acquisition support the bigger picture goals of TransGlobal?
- Proposed Acquisitions: Using the resources provided in the Supporting Materials section, provide an overview of the two companies under consideration to be acquired. Include the following information for each company:
- Location, size, and age of the firm
- Customer segment and target market
- Major competitors
- Company leadership
- Current financial and market status
- Analysis
- Analysis of Company A. Present your data and analysis of Company A. Include the following in your analysis:
- Balanced scorecard data: Share the balanced scorecard for Company A. Copy and paste the relevant sections from your Milestone One spreadsheet. The balanced scorecard should highlight key performance indicators, such as net profit, annual growth, and market share, and include the four components:
- Analysis of Company A. Present your data and analysis of Company A. Include the following in your analysis:
- Financial: Complete the financial section of the balanced scorecard template, identifying two of the most impactful key performance indicators.
- Explain your rationale for the KPIs chosen, along with the cause-and-effect relationship between the chosen KPIs.
- Internal processes: Complete the internal processes section of the balanced scorecard template, identifying two of the most relevant KPIs.
- Explain your rationale for the KPIs chosen, along with the cause-and-effect relationship between the chosen KPIs.
- Customers/market: Complete the customers/market section of the balanced scorecard template, identifying two of the most relevant KPIs.
- Explain your rationale for the KPIs chosen, along with the cause-and-effect relationship between the chosen KPIs.
- Learning and growth: Complete the customers/market section of the balanced scorecard template, identifying two of the most relevant KPIs.
- Explain your rationale for the KPIs chosen, along with the cause-and-effect relationship between the chosen KPIs.
- Balanced scorecard analysis: Describe your analysis of Company A’s performance based on its balanced scorecard components. Perform a cost-benefit-risk analysis to explain whether the benefits justify the costs of acquisition.
- Opportunity cost: What will it cost to move forward with this opportunity?
- Risk: Identify and explain the magnitude (low, medium, or high) of the risks this acquisition poses to the parent company related to its market, financial, cultural, and operational environments.
- Analysis of Company B. Present your data and analysis of Company B. Include the following in your analysis:
- Balanced Scorecard Data: Share the balanced scorecard of Company B and highlight some key performance indicators, such as net profit, annual growth, and market share. Copy and paste the relevant sections from your Milestone One spreadsheet. The balanced scorecard should highlight key performance indicators, such as net profit, annual growth, and market share, and include the four components:
- Financial: Complete the financial section of the balanced scorecard template, identifying two of the most impactful key performance indicators.
- Explain your rationale for the KPIs chosen, along with the cause-and-effect relationship between the chosen KPIs.
- Internal processes: Complete the internal processes section of the balanced scorecard template, identifying two of the most relevant key performance indicators.
- Explain your rationale for the KPIs chosen, along with the cause-and-effect relationship between the chosen KPIs.
- Customers/market: Complete the customers/market section of the balanced scorecard template, identifying two of the most relevant two key performance indicators.
- Explain your rationale for the KPIs chosen, along with the cause-and-effect relationship between the chosen KPIs.
- Learning and growth: Complete the customers/market section of the balanced scorecard template, identifying two of the most relevant key performance indicators.
- Explain your rationale for the KPIs chosen, along with the cause-and-effect relationship between the chosen KPIs.
- Balanced scorecard analysis: Perform a cost-benefit-risk analysis for Company B based on its balanced scorecard components to explain whether the benefits justify the costs of acquisition.
- Opportunity cost: What will it cost to move forward with this opportunity?
- Risk: Identify and explain the magnitude (low, medium, or high) of the risks this acquisition poses to the parent company as related to its market, financial, cultural, and operational environments.
- Proposal
- Recommendation: Recommend whether TransGlobal Airlines should acquire one or both companies.
- Rationale: Justify how your recommendation supports the company’s strategic objectives. This includes one or more of its financial, market, competitive, and cultural objectives.
- Assumptions: Explain how your acquisition recommendation will impact the company’s success in different scenarios:
- A worst-case scenario that considers the most serious outcomes that could occur if anticipated targets and assumptions are dramatically wrong; and
- A best-case scenario that considers outcomes that significantly exceed anticipated targets and assumptions.
Part 2: Executive Summary
Submit a Word document summarizing your analysis and recommendations for both companies.
- Situation assessment: Briefly summarize your company’s current internal and external business environments and the rationale for acquisition.
- Data and analysis: Provide a brief overview of the two airlines under consideration, including your findings and analysis from your balanced scorecards.
- Recommendation: Justify your recommendation for the acquisition and explain how it supports the company’s objectives.
What to Submit
INSTRUCTIONS
Format
- ion on citations. If you are unable to create a recorded PowerPoint presentation, ask your instructor about submitting this assignment in an alternate format.
Executive Summary
Submit a 2- to 3-page Word document with 12-point Times New Roman font, double spacing, and one-inch margins. Sources should be cited according to APA style. Consult the Shapiro Library APA Style Guide for more information on citations.
Supporting Materials
TransGlobal AirLines Resource: TransGlobal Airlines Company Information Resource: TransGlobal Airlines Financials
Company A Resource: Company A Information Resource: Company A Financials Resource: Company A Interview Notes Memo
Company B Resource: Company B Information Resource: Company B Financials Resource: Company B Interview Notes Memo
Reading: Record a Presentation Use this resource to learn how to record your PowerPoint presentation with narration and video.
Resource: MBA Research Guide
This Shapiro Library resource will help you find any additional information you may need to complete the project.
| Criteria | Exemplary (100%) | Proficient (85%) | Needs Improvement (55%) | Not Evident (0%) | Value |
|---|---|---|---|---|---|
| Overview: Current Situation | Exceeds proficiency in an exceptionally clear, insightful, sophisticated, or creative manner | Describes the current situation of the parent company; highlights the company’s current business environment using its market, regulatory, competitive, and cultural environments | Shows progress toward proficiency, but with errors or omissions; areas for improvement may include describing its market, regulatory, competitive, and cultural environments adequately and clearly | Does not attempt criterion | 5 |
| Overview: Acquisition Rationale | Exceeds proficiency in an exceptionally clear, insightful, sophisticated, or creative manner | Explains why the parent company is planning to acquire these airlines; describes what strategic objectives the acquisition will meet | Shows progress toward proficiency, but with errors or omissions; areas for improvement may include describing the rationale behind acquisition in relation to the company’s strategic objectives | Does not attempt criterion | 5 |
| Overview: Proposed Acquisitions | Exceeds proficiency in an exceptionally clear, insightful, sophisticated, or creative manner | Provides an overview of the two companies under consideration to be acquired, including the location, size, and age of the firm; customer segment; target market; major competitors; company leadership; and current financial and market status | Shows progress toward proficiency, but with errors or omissions; areas for improvement may include describing the information related to location, size, and age of the firm; customer segment; target market; major competitors; company leadership; and current financial and market status adequately and clearly | Does not attempt criterion | 10 |
| Analysis of Company A: Balanced Scorecard Data | Exceeds proficiency in an exceptionally clear, insightful, sophisticated, or creative manner | Shares the balanced scorecard of Company A with its four components: financial, internal processes, customers/market, and learning and growth; identifies two of the most relevant key performance indicators in each component | Shows progress toward proficiency, but with errors or omissions; areas for improvement may include identifying relevant key performance indicators in each of the four components: financial, internal processes, customers/market, and learning and growth | Does not attempt criterion | 5 |
| Analysis of Company A: Balanced Scorecard Analysis—Opportunity Cost | Exceeds proficiency in an exceptionally clear, insightful, sophisticated, or creative manner | Performs a cost-benefit-risk analysis for Company A based on its balanced scorecard components to explain whether the benefits justify the costs of acquisition; measures the correct opportunity cost associated with this acquisition | Shows progress toward proficiency, but with errors or omissions; areas for improvement may include accurately determining the opportunity cost associated with the acquisition | Does not attempt criterion | 5 |
| Analysis of Company A: Balanced Scorecard Analysis—Risk | Exceeds proficiency in an exceptionally clear, insightful, sophisticated, or creative manner | Analyzes the balanced scorecard of Company A to accurately identify and explain the magnitude (low, medium, or high) of the risks acquisition poses to the parent company as related to its market, financial, cultural, and operational environments | Shows progress toward proficiency, but with errors or omissions; areas for improvement may include correctly identifying and rationally explaining the magnitude of the risks acquisition poses to the parent company as related to the market, financial, cultural, and operational environments | Does not attempt criterion | 5 |
| Analysis of Company B: Balanced Scorecard Data | Exceeds proficiency in an exceptionally clear, insightful, sophisticated, or creative manner | Shares the balanced scorecard of Company B with its four components: financial, internal processes, customers/market, and learning and growth; identifies two of the most relevant key performance indicators in each component | Shows progress toward proficiency, but with errors or omissions; areas for improvement may include identifying relevant key performance indicators in each of the four components: financial, internal processes, customers/market, and learning and growth | Does not attempt criterion | 5 |
| Analysis of Company B: Balanced Scorecard Analysis—Opportunity Cost | Exceeds proficiency in an exceptionally clear, insightful, sophisticated, or creative manner | Performs a cost-benefit-risk analysis for Company B based on its balanced scorecard components to explain whether the benefits justify the costs of acquisition; measures the correct opportunity cost associated with this acquisition | Shows progress toward proficiency, but with errors or omissions; areas for improvement may include determining the correct opportunity cost associated with the acquisition | Does not attempt criterion | 5 |
| Analysis of Company B: Balanced Scorecard Analysis—Risk | Exceeds proficiency in an exceptionally clear, insightful, sophisticated, or creative manner | Analyzes the balanced scorecard of Company B to accurately identify and explain the magnitude (low, medium, or high) of the risks this acquisition poses to the parent company as related to its market, financial, cultural, and operational environments | Shows progress toward proficiency, but with errors or omissions; areas for improvement may include correctly identifying and rationally explaining the magnitude of the risks acquisition poses to the parent company as related to the market, financial, cultural, and operational environments | Does not attempt criterion | 5 |
| Proposal: Recommendation | Exceeds proficiency in an exceptionally clear, insightful, sophisticated, or creative manner | Makes appropriate recommendations whether to acquire one or both the companies | Shows progress toward proficiency, but with errors or omissions; areas for improvement may include making the correct recommendation about whether to acquire one or both of the proposed companies | Does not attempt criterion | 5 |
| Proposal: Rationale | Exceeds proficiency in an exceptionally clear, insightful, sophisticated, or creative manner | Justifies how the recommendation supports the company’s strategic objectives, including one or more of its financial, market, competitive, and cultural objectives | Shows progress toward proficiency, but with errors or omissions; areas for improvement may include providing adequate explanation for how the recommendation supports one or more of the company’s strategic objectives | Does not attempt criterion | 10 |
| Proposal: Assumptions | Exceeds proficiency in an exceptionally clear, insightful, sophisticated, or creative manner | Explains logically how the acquisition recommendation will impact the company’s success in the worst-case and best-case scenarios | Shows progress toward proficiency, but with errors or omissions; areas for improvement may include explaining how the acquisition recommendation will impact the company’s success in both worst-case and best-case scenarios | Does not attempt criterion | 10 |
| Executive Summary: Situation Assessment | Exceeds proficiency in an exceptionally clear, insightful, sophisticated, or creative manner | Summarizes the current situation of parent company, including an analysis of its internal and external environments and the rationale for acquisition | Shows progress toward proficiency, but with errors or omissions; areas for improvement may include summarizing the current situation of the company, including the analysis of its internal and external environments | Does not attempt criterion | 5 |
| Executive Summary: Data and Analysis | Exceeds proficiency in an exceptionally clear, insightful, sophisticated, or creative manner | Provides a brief overview of the two airlines under consideration, including findings and analysis from their balanced scorecards | Shows progress toward proficiency, but with errors or omissions; areas for improvement may include summarizing the data and analysis from the balanced scorecards | Does not attempt criterion | 10 |
| Executive Summary: Recommendation | Exceeds proficiency in an exceptionally clear, insightful, sophisticated, or creative manner | Makes the acquisition recommendations explaining how it supports the company’s objectives | Shows progress toward proficiency, but with errors or omissions; areas for improvement may include adequately explaining how the recommendation supports the company’s objectives | Does not attempt criterion | 5 |
| Articulation of Response | Exceeds proficiency in an exceptionally clear, insightful, sophisticated, or creative manner | Clearly conveys meaning with correct grammar, sentence structure, and spelling, demonstrating an understanding of audience and purpose | Shows progress toward proficiency, but with errors in grammar, sentence structure, and spelling that negatively impact readability | Submission has critical errors in grammar, sentence structure, and spelling, preventing the understanding of ideas | 3 |
| Citations and Attributions | Uses citations for ideas requiring attribution, with few or no minor errors | Uses citations for ideas requiring attribution, with consistent minor errors | Uses citations for ideas requiring attribution, with major errors | Does not use citations for ideas requiring attribution | 2 |
| Total: | 100% |