Relaxed Settings is a furniture manufacturing company started by Jill Polson She was an interior designer who felt that there was a need to make not only comfortable furniture but also functional furniture for apartments She found that most furniture for apartments was also furniture made for houses and it was not so functional in smaller apartment spaces For example, she incorporated a bed that can be lifted up into the wall so that you have more room during the day It also converts into table or a pop out desk Relaxed Settings were located in an industrial park where small and light industries worked but they did not do any furniture creation there Their operations only housed office workers as they sub contracted the manufacturing work out Her business model was to engage with apartment owners at trade shows or events and offer them solutions to revitalize their space after they were living there The company would go in, see the current space and look at limitations, then go back to the office to redesign the space See image for an example The business was doing well as she had both a showroom store and an online store She would look at apartment spaces and look at the most optimal way to design the area so it would be functional She was the founder and owner of the company, and her staff was comprised of the following people An executive assistant to keep her organized A designer who would do computer design work on the space and the functional furniture A small team of administrators such as marketing specialists, accounts, event designers A small team of business development specialists that would generate business leads A sub contractor company called Wood You, that would create the actual furniture A sub contractor company called Rejuvenate Renovate that would take the furniture from Wood You and install it into the apartment Jill felt that they were doing quite well with business leads and revenues Added to that, there was a good relationship with her sub contract team As she was considering her business, she thought that maybe it might be a bigger opportunity to work with property developers She would get into the apartment design space before the units were being built and design the furniture that would go into all apartments As opposed to after the apartment was built and then being contacted by apartment owners This would mean a shift and change in the business in a very big way and questions arose Is this too risky a venture Could they even meet the demand for their services There was nervous energy by the employees mentioned above that they would be required to work longer hours, maybe replaced or not recognized for their work Would Relaxed Settings need to incorporate the construction and installation of the units within their business and if so, would they need to move to another larger location Would the subcontractors be needed any longer because they were smaller in size than what she needed because they were only able to do the one unit changes at a time Would Jill need to find larger contractors who could take on building more units Would Relaxed Settings need more employees to help keep up with the demands Considering the above details, answer the following questions a) Explore strategy formulation and share how it would work in this instance and provide an opportunity and a challenge that might occur b) It seems like employees of Relaxed Settings are nervous about the new venture Share two strategies that Jill could do to put her employee's mind at easy by enhancing their motivation c) Share a concept that Jill should consider to study and understand what customers need, want, and how to best meet those needs Then share one method she can use to discover what would work 2 marks i) Based on the information provided, share your thoughts on if Jill should expand her business and explain why or why not 1 mark ii) Share and explain one type of risk she would have to consider by undertaking the option you select

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Relaxed Settings is a furniture manufacturing company started by Jill Polson. She was an interior designer who felt that there was a need to make

‘Relaxed Settings’ is a furniture manufacturing company started by Jill Polson. She was an interior designer who felt that there was a need to make not only comfortable furniture but also functional furniture for apartments. She found that most furniture for apartments was also furniture made for houses and it was not so functional in smaller apartment spaces. For example, she incorporated a bed that can be lifted up into the wall so that you have more room during the day. It also converts into table or a pop out desk. ‘Relaxed Settings’ were located in an industrial park where small and light industries worked but they did not do any furniture creation there. Their operations only housed office workers as they sub-contracted the manufacturing work out. Her business model was to engage with apartment owners at trade shows or events and offer them solutions to revitalize their space after they were living there. The company would go in, see the current space and look at limitations, then go back to the office to redesign the space. See image for an example: The business was doing well as she had both a showroom store and an online store. She would look at apartment spaces and look at the most optimal way to design the area so it would be functional. She was the founder and owner of the company, and her staff was comprised of the following people: • An executive assistant to keep her organized • A designer who would do computer design work on the space and the functional furniture • A small team of administrators such as marketing specialists, accounts, event designers • A small team of business development specialists that would generate business leads • A sub-contractor company called ‘Wood You’, that would create the actual furniture • A sub-contractor company called ‘Rejuvenate Renovate’ that would take the furniture from ‘Wood You’ and install it into the apartment Jill felt that they were doing quite well with business leads and revenues. Added to that, there was a good relationship with her sub-contract team. As she was considering her business, she thought that maybe it might be a bigger opportunity to work with property developers. She would get into the apartment design space before the units were being built and design the furniture that would go into all apartments. As opposed to after the apartment was built and then being contacted by apartment owners. This would mean a shift and change in the business in a very big way and questions arose:
• Is this too risky a venture? Could they even meet the demand for their services?
• There was nervous energy by the employees mentioned above that they would be required to work longer hours, maybe replaced or not recognized for their work • Would ‘Relaxed Settings’ need to incorporate the construction and installation of the units within their business and if so, would they need to move to another larger location?
• Would the subcontractors be needed any longer because they were smaller in size than what she needed because they were only able to do the one unit changes at a time?
• Would Jill need to find larger contractors who could take on building more units?
• Would ‘Relaxed Settings’ need more employees to help keep up with the demands?
Considering the above details, answer the following questions:
a) Explore strategy formulation and share how it would work in this instance and provide an opportunity and a challenge that might occur
b) It seems like employees of ‘Relaxed Settings’ are nervous about the new venture. Share two strategies that Jill could do to put her employee's mind at easy by enhancing their motivation
c) Share a concept that Jill should consider to study and understand what customers need, want, and how to best meet those needs. Then share one method she can use to discover what would work – 2 marks i) Based on the information provided, share your thoughts on if Jill should expand her business and explain why or why not. – 1 mark ii) Share and explain one type of risk she would have to consider by undertaking the option you select.