sections carry equal marka) for Brovin's =, 4-Implementation and 5-Control; all products as a new product offering. (100\%). Engineering Services new manufactured Clearly indicate any assumptions. (100%). necessary: (100\% of marks) Brown's Engineering Case Study Brown's Engineering Services (BES) is a small Bradford company providing a range of subcontract metahwork and engineering services including welding. profile cutting. flamecutting 1, grinding and fabricating. It also undertakes intermittent contract fabrication of a range of trolleys: an outwork arrangement made ten years ago with the trolley manufacturer, a Leeds based company specialising in palletisation 2 and materials-handling systems. This work, never particularly amounted to no more than an occasional batch order from the Leeds Company, which is itself now troubled by the impact of the Govemment's austerity measures upon their markel place. In 2017 BES had a monthly furnover of approximately 60,000 and had 22 employees. However, since that date it has suffered severely from the effects of the Austerity measures put in place by the preceding coalition government in 2015, and competition from foreign manufacturers. It now has thirteen employees and furnover has fallen to 38.000 per month. However, it has recorded a small loss in each of the last three years (see table below). BES's Performance over the last 3 years (,000) There are some 1,100 accounts in the sales ledger but only 120 have been active during the last twelve months. Of these, ten accounts produce 70% of the company's sales. Order sizes vary from "one-off jobs costing 1,000 to a long-standing contract worth 10,000 per month. Profit per job are known to vary somewhat, though the company has not succeeded in its periodic attempts to plan profits or purposefully provide for future grovih. The very nature of the one-off tendered jobs is creating a feast and famine cycle and making production planning very difficult. The Managing Director, John Brown, currently handles sales contracts backed up by a small team of 2 salesmen. The marketing activity whilst fairy. fla over the last 3 years has been controlled by a marketing manager and amounts to the following activities: Promotional Activity The last three years spending has been split as follows. ( f,000 ) THe company has a works accountant who costs at jobs and prepares estimates and produce. As there are no off the shelf products currently produced BES are not able to produce a standard price list or catalogue of products and relies greatly upon individual pricing for the fendering for one off jobs. In the past many of these were furned into regular monthly contracts but this is not so today. In recent months John Brown has been giving serious thought to the strategic avenues open to the company, and especially to the possibilities that might exist in new fields and markets. He believes that. if only for survival purposes, the company needs to move anvay from dependence on the depressed subcontract seclor. and the metal-bashing image that sticks to it. In particular. he feels that opportunities le in the development and commercialisation of a credible range of company-manufactured products, supplied to the open market. In this Way, he reasons, the company would be in more direct control of its own destiny. John has spent some time researching the marketplace and has developed a small range of Products for the consumer market to be promoted direct to the consumer by way of a new ecommerce website which has recently been designed for the company by a new consumer marketing agency. The consumer products are such things as metal garden fumiture, metal garden gates and mefal drive gates etc. all of which utise current equipment and personnel. skilis. John believes that the main offering would be standard sized products which can be made and sorted prior to sale but he still believes there maybe room in ine production department to offer a bespoke service, at a premium cost of course, for those customers Which From his research to date, John has identifed a route to market by supplying high puality garden centres and smai independent DIY shops as the most likely to be interested in these new pre-made product ranges as well as a route to promote the bespoke premier service. He has aiso identified that the British consumer. at least the wealhier ones not impacted to much by the current ausierity drive, are beginning to express a preference for locally made produce similac to the trend towards that is segment of the market place is very influenced by the carbon emissions attached to transport and the movement of goods around the world. Competitors within the local vicinity are high for the 'metal bashing' type contracts but with regards the consumer product range; the main competitors are the big DIY warehouses (BSO) which sell a cheap foreign imported product in the main. At the other end of the scale, there are a few one or fvo man outfits which do a bespoke design and manufacture offering but the price premium for such an individual service gives BES a clear space in the market between these two providers. It is anticipated that this consumer market will show a seasonable purchasing pattern and spring and the summer are expected to be the peak times. This works well in that the traditional metal bashing market showed a winteriautumn bias. The new marketing agency, who designed the e-commerce website, have made some initial enquiries and have identified that a mailing list of 500,000 names, addresses and email addresses is available for the type of distributers identified and they estimate that a mailing piece would cost in the region of 70p and an email equivalent 7p. From their experience, they would estimate a response rate of 7% to each mailing and 3% from each email campaign. They have also suggested going direct to the consumer utilising the e-commerce website and a small mail order catalogue distributed through the weekend press. sections carry equal marka) for Brovin's =, 4-Implementation and 5-Control; all products as a new product offering. (100\%). Engineering Services new manufactured Clearly indicate any assumptions. (100%). necessary: (100\% of marks) Brown's Engineering Case Study Brown's Engineering Services (BES) is a small Bradford company providing a range of subcontract metahwork and engineering services including welding. profile cutting. flamecutting 1, grinding and fabricating. It also undertakes intermittent contract fabrication of a range of trolleys: an outwork arrangement made ten years ago with the trolley manufacturer, a Leeds based company specialising in palletisation 2 and materials-handling systems. This work, never particularly amounted to no more than an occasional batch order from the Leeds Company, which is itself now troubled by the impact of the Govemment's austerity measures upon their markel place. In 2017 BES had a monthly furnover of approximately 60,000 and had 22 employees. However, since that date it has suffered severely from the effects of the Austerity measures put in place by the preceding coalition government in 2015, and competition from foreign manufacturers. It now has thirteen employees and furnover has fallen to 38.000 per month. However, it has recorded a small loss in each of the last three years (see table below). BES's Performance over the last 3 years (,000) There are some 1,100 accounts in the sales ledger but only 120 have been active during the last twelve months. Of these, ten accounts produce 70% of the company's sales. Order sizes vary from "one-off jobs costing 1,000 to a long-standing contract worth 10,000 per month. Profit per job are known to vary somewhat, though the company has not succeeded in its periodic attempts to plan profits or purposefully provide for future grovih. The very nature of the one-off tendered jobs is creating a feast and famine cycle and making production planning very difficult. The Managing Director, John Brown, currently handles sales contracts backed up by a small team of 2 salesmen. The marketing activity whilst fairy. fla over the last 3 years has been controlled by a marketing manager and amounts to the following activities: Promotional Activity The last three years spending has been split as follows. ( f,000 ) THe company has a works accountant who costs at jobs and prepares estimates and produce. As there are no off the shelf products currently produced BES are not able to produce a standard price list or catalogue of products and relies greatly upon individual pricing for the fendering for one off jobs. In the past many of these were furned into regular monthly contracts but this is not so today. In recent months John Brown has been giving serious thought to the strategic avenues open to the company, and especially to the possibilities that might exist in new fields and markets. He believes that. if only for survival purposes, the company needs to move anvay from dependence on the depressed subcontract seclor. and the metal-bashing image that sticks to it. In particular. he feels that opportunities le in the development and commercialisation of a credible range of company-manufactured products, supplied to the open market. In this Way, he reasons, the company would be in more direct control of its own destiny. John has spent some time researching the marketplace and has developed a small range of Products for the consumer market to be promoted direct to the consumer by way of a new ecommerce website which has recently been designed for the company by a new consumer marketing agency. The consumer products are such things as metal garden fumiture, metal garden gates and mefal drive gates etc. all of which utise current equipment and personnel. skilis. John believes that the main offering would be standard sized products which can be made and sorted prior to sale but he still believes there maybe room in ine production department to offer a bespoke service, at a premium cost of course, for those customers Which From his research to date, John has identifed a route to market by supplying high puality garden centres and smai independent DIY shops as the most likely to be interested in these new pre-made product ranges as well as a route to promote the bespoke premier service. He has aiso identified that the British consumer. at least the wealhier ones not impacted to much by the current ausierity drive, are beginning to express a preference for locally made produce similac to the trend towards that is segment of the market place is very influenced by the carbon emissions attached to transport and the movement of goods around the world. Competitors within the local vicinity are high for the 'metal bashing' type contracts but with regards the consumer product range; the main competitors are the big DIY warehouses (BSO) which sell a cheap foreign imported product in the main. At the other end of the scale, there are a few one or fvo man outfits which do a bespoke design and manufacture offering but the price premium for such an individual service gives BES a clear space in the market between these two providers. It is anticipated that this consumer market will show a seasonable purchasing pattern and spring and the summer are expected to be the peak times. This works well in that the traditional metal bashing market showed a winteriautumn bias. The new marketing agency, who designed the e-commerce website, have made some initial enquiries and have identified that a mailing list of 500,000 names, addresses and email addresses is available for the type of distributers identified and they estimate that a mailing piece would cost in the region of 70p and an email equivalent 7p. From their experience, they would estimate a response rate of 7% to each mailing and 3% from each email campaign. They have also suggested going direct to the consumer utilising the e-commerce website and a small mail order catalogue distributed through the weekend press