Cintas

Cintas
Five Star Consulting

Executive Summary
Strategic Issue
General Business Environment
External and Internal Analysis of Cintas
Corporate Alignment
SSR Overview
Proposed Strategy and Resource Requirement
Tactical Plan
Projected Outcomes
Optimize resource
potential of SSRs to
Strategic Issue improve catalog sales in
the restaurant industry
General Business Environment
Current unemployment in Maryland: 4.2%.
Consumer Price Index: CPI for all items has increased 2.7% in last 12
months.
Current GDP is increasing by 2.1%.
Restaurant Operators are optimistic about sales growth and the

economy. Capital spending plans also on the rise. (National
Restaurant Association, 2017)
Competitors: Aramark, G&K, and Unifirst

External Analysis
Porters Five Forces

1.Bargaining Power of Suppliers - High
2.Bargaining Power of Buyers - High
3.Threat of New Entrants - Low
4.Threat of Substitute Products - Medium-High
5.Competitive Rivalry - Medium

SWOT Analysis
INTERNAL EXTERNAL
Strengths Opportunities
Brand recognition. Technological Advancements. Mobile Market.
Quality of products are high. Extremely durable Baltimore area is becoming more popular for
and long lasting. business. (i.e. Amazon, Under Armour)
Recognizable brand image/logo. Threats

Variety of services & products
Weaknesses
Service automation reducing need for apparel.
Behind in current technological advancements.

Businesses with better online services
Not fully developed in multiple lines of business.
Dependent on rentals
Customer service
VRIO for SSRs
Valuable
Build customer relationships and Provide quality service for customers.
Rare
Actual Person to Person Interaction is becoming increasingly rare in a society with
increased dependency on technology.
Imitability
You cant replicate unique relationships between persons.
Organized
Training and Feedback provide an organized system to improving SSRs.
Strategic Misalignment
Overall Goal Achieve By:

To achieve revenue growth
X
SSRs must visit customers
for our products and
on a regular basis to
services by engaging our
develop relationships and
current customers and
drive catalog sales.
gaining new customers.
Overview of SSR s Current Output
Cintas relies on SSRs for catalog sales
SSRs spend 5-10 minutes at client.
Sell $10- $1,000 a week from catalog
On average SSRs sell $461 a week

Correlation of Sales Growth and
Customer Service
70 percent of customers are willing to spend 13

percent more on average with companies they
believe provide exceptional customer service
(American express, 2011)
Strategic Plan - SSR Reform
Require SSRS to Meet with Clients Regularly.
They Will Present Catalogs to Clients during meetings.
The new system will require new training that focuses on customer
service and increasing catalog sales.
To Implement this we have a 3 year plan.

Tactical Plan
Year 1
Refocus current training program on improving customer service

and building client relationships.
SSRs begin meeting with 15% of our current restaurant clients.
End of Year provide surveys to employees and clients to gain

feedback and further improve training and implementation.
Tactical Plan
Year 2
SSRs will begin meeting with 50% of our restaurant clients.
End of year we will gather feedback and implement changes as

needed.
Tactical Plan
Year 3
100% of clients will be receiving the new and improved SSR

customer experience.
End of year feedback and changes if necessary.

Impacts on Costs and Revenues
Costs Revenues
Refocus Training: $10,000 per year.
Additional Commissions: $2,500 per year.
Costs related to client meetings: $2,500

per year
Review
Goal: Optimize SSRs and Increase Catalog sales
How: By improving customer service skills for SSRs through a new

training program.
Effects:
Increase Sales, Client Retention, and Customer Satisfaction.
Improve Cintass reputation
Reduce Costs
References
http://www.restaurant.org/Downloads/PDFs/News-Research/index/RPI-Feb2017.pdf
https://www.bls.gov/news.release/pdf/cpi.pdf
http://www.lexisnexis.com/hottopics/lnacademic/?verb=sf&sfi=AC02NBCmpSrch
https://www.dllr.state.md.us/lmi/laus/
http://www.tradingeconomics.com/united-states/indicators
http://www.wikinvest.com/stock/Cintas_(CTAS)/Business_Strategy
https://research-valueline-com.proxy-tu.researchport.umd.edu/secure/api/report?documentID=2185-VL_20170224_VLIS_CTAS_654_01-1NE8EDPDFL08FR4TMKI4HL20D
2&symbol=CTAS
http://smallbusiness.chron.com/increase-sales-through-customer-service-65270.html
https://www.business.com/articles/pricing-and-costs-of-customer-service-education-and-training/
References (Cont.)
http://www.emeraldinsight.com/doi/pdfplus/10.1108/JBIM-12-2015-024
6

Cintas

Uploaded by

Copyright:

Available Formats

Cintas

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Cintas

Uploaded by

Copyright:

Available Formats

What is the strategic issue being addressed?

What is the strategic issue being addressed?

What are the key points of the SWOT analysis?

What are the key points of the SWOT analysis?

Cintas

Five Star Consulting

Current unemployment in Maryland: 4.2%.

Current GDP is increasing by 2.1%.

Restaurant Operators are optimistic about sales growth and the

Competitors: Aramark, G&K, and Unifirst

Porters Five Forces

2.Bargaining Power of Buyers - High

3.Threat of New Entrants - Low

4.Threat of Substitute Products - Medium-High

5.Competitive Rivalry - Medium

Brand recognition. Technological Advancements. Mobile Market.

Recognizable brand image/logo. Threats

Behind in current technological advancements.

Not fully developed in multiple lines of business.

Overall Goal Achieve By:

Cintas relies on SSRs for catalog sales

SSRs spend 5-10 minutes at client.

Sell $10- $1,000 a week from catalog

On average SSRs sell $461 a week

70 percent of customers are willing to spend 13

Require SSRS to Meet with Clients Regularly.

They Will Present Catalogs to Clients during meetings.

To Implement this we have a 3 year plan.

Refocus current training program on improving customer service

SSRs begin meeting with 15% of our current restaurant clients.

End of Year provide surveys to employees and clients to gain

SSRs will begin meeting with 50% of our restaurant clients.

End of year we will gather feedback and implement changes as

100% of clients will be receiving the new and improved SSR

End of year feedback and changes if necessary.

Refocus Training: $10,000 per year.

Additional Commissions: $2,500 per year.

Costs related to client meetings: $2,500

Goal: Optimize SSRs and Increase Catalog sales

How: By improving customer service skills for SSRs through a new

Increase Sales, Client Retention, and Customer Satisfaction.

Improve Cintass reputation

You might also like