Annual Report Review Essay Example | Topics and Well Written Essays - 4000 words

Annual Report Review - Essay Example The above ratios depict the profitability position of Northern Foods plc for the last two years (2007-2006). K.S.Rao has pointed that â€Å"The profitability ratios measure the overall record of management in producing profits for long term survival or its survival will be threatened † (223). These ratios reveal the comparison of two years 2007 and 2006 and shows corresponding change over the years. Northern Foods Plc gross profit ratio had a decline by about 13% in the year 2007 as compared to that in 2006. The company’s operating profit ratio for the year 2007 i.e., 5.92% is much lower than that in the previous year, which shows a 1% decline in the company’s operating profit. It has slumped by about 1% in 2007 as compared to the year 2006. Though the Company’s sales have increased but the cost of sales comparatively to the year 2006 has increased resulting lower gross profit for the year 2007 as compare to 2006, meanwhile the operating expenses shows a d eclining trend. Northern Foods plc Net profit ratio for the year 2007 displays substantial increase in profitability as compared to 2007 which is 40.7% higher than to year 2006. The difference in operating and net profit margin is due to the lower finance expenses and higher finance income for the year 2007 as compare to previous year 2006. Northern Foods plc ROCE ratio in 2007 exhibits a drastic increase in the company’s profitability by about 47% as when compared to 2006 which was 0.08 %. The ROCE calculation takes into account PBIT and Total assets less current liabilities. In Northern Plc case, the PBIT shows slight increase but due to substantial decrease in current liabilities that resulted better ROCE as compare to previous year 2006. The return on equity shows the extent to which a company generates profit on the funds invested by its shareholders. The company’s ROE ratio suggests a slight

Project Management & Strategic Planning - Case Study -- [S6] Essay

Project Management & Strategic Planning - Case Study -- [S6] - Essay Example major steps in strategic planning phase went missing; steps such as estimation of resource requirements, risk planning and communication with all stakeholders. Furthermore in monitoring and controlling phase business continuity was not planned hence the WestJet implementation took more time and cost along and resulted in customer dissatisfaction. Estimation of resources such as time, people and money ensures a better execution, through risk planning all the related risk factors to the project are estimated with risk prevention and mitigation plans while communication with all stakeholders including customers ensures business continuation in an effective way and clarifying roles and responsibilities (Charvat, 2002). Effective communication prior to a project initiation determines the information and communication needs of the stakeholders resulting in better understanding of responsibilities and tasks distribution as well as clarifying the expectations from them. It results in formation of a cohesive team resulting in a better performance later on and initiates a change management process within the organization. Increased level of awareness invites ideas from employees and customers and ensures readiness of all involved parties. Some disadvantages to communicating a major project in advance include wasted time of project managers in communicating with stakeholders, revealed plans to competitors most of the time triggering a reaction, increased level of suspicion amongst the employees and confusion within customers. Communicating major projects in advance, the project manager has to emphasize on explaining each stakeholder the specific value addition for them (Green, 2007). With volumes sales go down and decreased revenue is not considered good for even an organization in its transition or up-gradation. Along with the unavailability of seats or canceled flights it was essential that both airlines convey the positive message maintaining the trust of the customer