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Project Report 2018-19 A study on Environmental scanning of Moonstone solutions, Calicut

TABLE OF CONTENTS

CHAPTER TITLE PAGE NO.

1 INTRODUCTION 2
• INTRODUCTION 3
2 INDUSTRIAL PROFILE&COMPANY 8
PROFILE
• INDUSTRIAL PROFILE 9
11
• COMPANY PROFILE
3 RESERCH METHODOLOGY 13

4 DATA ANALIYSIS 15

5 FINDINGS,SUGGESTIONS&CONCLUSION 19
• FINDINGS 20
• SUGGESTIONS 20
• CONCLUSION 20
BIBLOGRAPHY 21

MES Kuttipuram Page 1 Department of MBA


Project Report 2018-19 A study on Environmental scanning of Moonstone solutions, Calicut

CHAPTER 1
INTRODUCTION

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Project Report 2018-19 A study on Environmental scanning of Moonstone solutions, Calicut

INTRODUCTION

Environmental scanning is a process that systematically surveys and


interprets relevant data to identify external opportunities and threats. An
organization gathers information about the external world, its competitors and
itself. The company should then respond to the information gathered by
changing its strategies and plans when the need arises.

The environmental scanning process encompasses several steps. The first step
is for an employer to gather information about the world in which it operates,
including information about the economy, government, laws and demographic
factors such as population size and distribution.

Next, the organization should focus on its competitors. The company should
examine the research for trends, opportunities and threats that might impact its
business.

The next step is to conduct an internal scan of the organization. Examine the
company's strengths and weaknesses. Consider where the company is now and
where it plans to be in five or 10 years. Interview or survey leaders of the
company.

Sometimes an organization also might decide to gather information from


community service and religious groups and interview the leaders of the groups
or use surveys. This might help a company decide, for example, whether it
should try to work with the other organizations and what activities to pursue.
The company then might decide to plan joint activities that will meet the needs
of both groups or to encourage employees to get involved in community
activities, such as building a house for Habitat for Humanity or serving food to
the homeless at the local shelter.

When conducting an environmental scan, a variety of methods should be used


to collect data, including publications, focus groups, leaders inside and outside
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Project Report 2018-19 A study on Environmental scanning of Moonstone solutions, Calicut

the organization, media, civic associations and the library. After the data is
collected, the final step is to analyze the data and identify changes that can be
made.

ENVIRONMENTAL SCANNING

Every organization has an internal and external environment. In order for


the organization to be successful, it is important that it scans its environment
regularly to assess its developments and understand factors that can contribute to
its success. Environmental scanning is a process used by organizations to monitor
their external and internal environments Environmental scanning is the process
of gathering information about events and their relationships within an
organization's internal and external environments. The basic purpose of
environmental scanning is to help management determine the future direction of
the organization.

The purpose of the scan is the identification of opportunities and threats affecting
the business for making strategic business decisions. As a part of the
environmental scanning process, the organization collects information regarding
its environment and analyzes it to forecast the impact of changes in the
environment. This eventually helps the management team to make informed
decisions.

Environmental scanning should primarily identify opportunities and threats in the


organization’s environment. Once these are identified, the organization can
create a strategy which helps in maximizing the opportunities and minimizing the
threats.

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Project Report 2018-19 A study on Environmental scanning of Moonstone solutions, Calicut

Components of a Business Environment

As you can see above, the internal environment of an organization consists of


various elements like the value system, mission/objectives of the organization,
structure, culture, quality of employees, labor unions, technological capabilities,
etc. These elements lie within the organization and any changes to them can affect
the overall success of the business.

On the other hand, an organization cannot operate in a vacuum. Also, there are
many factors outside the walls of an organization which affects the functions of
the business. These factors constitute the external environment of an organization.

The internal environment offers strengths and weaknesses to a business while the
external environment brings opportunities and threats. The four influencing
environmental factors known as SWOT Analysis are:

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Project Report 2018-19 A study on Environmental scanning of Moonstone solutions, Calicut

1. Strength – an inherent capacity of an organization which helps it gain


strategic advantage over its competitors.

2. Weakness – an inherent constraint or limitation which creates a strategic


disadvantage for a business.

3. Opportunity – a favorable condition in the organization’s environment


enabling it to strengthen its position.

4. Threat – an unfavorable condition in the organization’s environment causing


damage to the organization.

Important Factors for Environmental Scanning

Before scanning the environment, an organization must take the following actors
into consideration:

• Events – These are specific occurrences which take place in different


environmental sectors of a business. These are important for the functioning
and/or success of the business. Events can occur either in the internal or the
external environment. Organizations can observe and track them.

• Trends – As the name suggests, trends are general courses of action or


tendencies along which the events occur. They are groups of similar or
related events which tend to move in a specific direction. Further, trends can
be positive or negative. By observing trends, an organization can identify
any change in the strength or frequency of the events suggesting a change in
the respective area.

• Issues – In wake of the events and trends, some concerns can arise. These
are Issues. Organizations try to identify emerging issues so that they can take
corrective measures to nip them in the bud. However, identifying emerging

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Project Report 2018-19 A study on Environmental scanning of Moonstone solutions, Calicut

issues is a difficult task. Usually, emerging issues start with a shift in values
or change in which the concern is viewed.

• Expectations – Some interested groups have demands based on their


concern for issues. These demands are Expectations.

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Project Report 2018-19 A study on Environmental scanning of Moonstone solutions, Calicut

CHAPTER 2
INDUSTRIAL PROFILE & COMPANY PROFILE

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Project Report 2018-19 A study on Environmental scanning of Moonstone solutions, Calicut

INDUSTRIAL PROFILE

The Information Technology & Information Technology Enabled Services (IT-ITeS)


sector is a field which is undergoing rapid evolution and is changing the shape of Indian
business standards. This sector includes software development, consultancies, software
management, online services and business process outsourcing (BPO).

In the 1990s, the industry started off with an export of nearly $100 million with
around 5,000 employees. Now it is an industry that thrives globally and India's IT exports are
now around $70 billion with 2.8 million employees working in this sector. The IT sector is
one of the top two industries in the country today.

India's IT industry is expected to grow at a rate of 12 - 14% during 2016 - 2017 as per
a report by India's software industry body National Association of Software and Services
Companies (NASSCOM.) This clearly shows that information technology is a sector which
will likely be one of the emerging markets in the days to come as India's economy requires
more hardware, software and other IT services. In a NASSCOM-McKinsey report, India's
position in the global offshore IT industry is based on five factors - abundant talent, creation
of urban infrastructure, operational excellence, conducive business environment and finally,
continued growth in the domestic IT sector.

IT industry is heavily influenced by factors like the global market and sustenance of
its rate of growth. The recession in the United States also impacted the IT community in India
negatively. This segment is promising and has vast potential, but there are concerns regarding
the demand-supply gap, which is widening. Some challenges which the industry is facing are
inadequate infrastructure, tax issues and limited preferential access for local firms. China and
Taiwan are examples of low cost destinations, and India needs to change its current tax
structure so that it can outdo competition from other countries.

One of the biggest benefits that the computer and IT industry provides in India is the
employment it can generate. Other benefits are export and Foreign Direct Investments (FDI).
New markets have opened up in the Middle East, Africa, Eastern Europe, and South and
South East Asia. India is now a major destination for IT outsourcing. There is no dearth of IT
job opportunities in India. In fact, India is expected to overtake the US to have the most

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Project Report 2018-19 A study on Environmental scanning of Moonstone solutions, Calicut

number of software developers in 2018 (52lakh developers in India against America’s


42lakhs).

The top IT companies in India that offer job opportunities in this field are Tata Consultancy
Services (TCS), Wipro Technologies, Cognizant, Yahoo!, Google, Tech Mahindra, Infosys
Technologies, HP ,Capgemini, iGATE Patni, Accenture, L&T, EY, Convergys, MphasiS,
Genpact, HCL Technologies and Godrej Infotech. Cities like Bengaluru, Delhi, Noida,
Gurgaon, Hyderabad, Chennai, Bombay and Cochin are some of the places which have
developed into potential IT hubs of the country, thanks to the presence of these top IT
companies. These are now key players which contribute to the growth of the Indian economy
through telecommunication, software development, design, mobile commerce, e-commerce,
BPO and knowledge process outsourcing (KPO).

The IT industry is one which is not limited to software development alone. Technology can
be applied in libraries, hospitals, banks, shops, prisons, hotels, airports, train stations and
many other places through database management systems, or through custom-made software
as seen fit.

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Project Report 2018-19 A study on Environmental scanning of Moonstone solutions, Calicut

COMPANY PROFILE

MOONSTONE SOLUTIONS, CALICUT

Moonstone solutions is one of the emerging IT solutions in Calicut. The company


started in 2014 at convent road, Calicut district, Kerala. They are doing IT business for last 6
years. They are dealing with the web development, mobile application, erp software e-
commerce applications, online marketing and also strategy and consulting. They have
achieved goodwill by providing excellent services and product quality. Moonstone solutions
was established on 9th October 2014.there are more than 20 employees working in this
organization. Most of their customers are from Malappuram, Thrissur, Ernakulum, Calicut,
Kannur district of Kerala states and outside of India.

Moonstone solutions provide static and dynamic websites. Their aim is to give the
customers continuous support in developing and maintaining dedicated website carefully
craft for business enhancement. At moonstone specialize in developing applications and they
convert the ideas and needs of the customers into highly efficient applications. The company
providing ERP software according to the needs of the customers. Moonstone solution offers
e-commerce website services to enable customers to sell their products online in safe and
secure technical environment. Moonstone makes customer website available in all the
following medium of online marketing namely, affiliates marketing/email marketing/search
engine marketing/social media marketing. Also providing strategy and consulting to the
customers. Moonstone solutions launched ERP product for Malabar private ITI
chagaramkulam,Amicos kids,4G plus kuwait,Leshorts website for Azone build mart,
professional uniform,amicos kids,proyalevents, Leshorts,Noor tours sharja,unani hospital
tirur application for good hope central school changaramkulam,asian gold and diamonds web
application and mobile application for jci zone etc. They also look forward to establish
standards of quality and adopt modern strategies in order to make their way to the summit.

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Project Report 2018-19 A study on Environmental scanning of Moonstone solutions, Calicut

ORGANIZATIONAL STRUCTURE

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Project Report 2018-19 A study on Environmental scanning of Moonstone solutions, Calicut

CHAPTER 3

RESEARCH METHODOLOGY

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Project Report 2018-19 A study on Environmental scanning of Moonstone solutions, Calicut

RESEARCH METHODOLOGY

Research means a search for facts-answers to questions and solutions to problems. It


is purposive investigation. A research can be defined as a scientific and systematic search for
pertinent information on specified topic. The data collected for analyses is in primary manner
from Moonstone solutions, Calicut. This study is done by conducting a interview with the
manager.

OBJECTIVES OF THE STUDY

• The project aims at understanding the environmental scanning happening in an


organization
• The project aims to understand the various internal and external factors of the
organization.

SOURCE OF DATA COLLECTION

PRIMARY DATA

The primary data for the project was collected through interview with the manager
and employees.

SECONDARY DATA

Secondary data for this study was collected to a small extent going through brochures,
files, websites etc. Various documents, journals, articles and reports were reviewed.

TOOLS FOR DATA ANALYSES AND INTERPRETATION

A. Statistical tool
• Simple percentage method
B. Presentation tool
• Graph
C. Analytical tool
• SWOT analysis
SAMPLE SIZE

In this study 10 respondents are used for collecting data.

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Project Report 2018-19 A study on Environmental scanning of Moonstone solutions, Calicut

CHAPTER 4
DATA ANALYSIS

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Project Report 2018-19 A study on Environmental scanning of Moonstone solutions, Calicut

DATA ANALYSIS
1. Which is the most commonly used media for environmental scanning?
a) Direct
b) Indirect

20%

Direct
Indiresct

80%

2. Degree of complexity in the market place?


a) High
b) Low

10%

High
Low

90%

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Project Report 2018-19 A study on Environmental scanning of Moonstone solutions, Calicut

3. The degree of dispersion of customers?


a) High
b) Low
c) Average

30%

High
50% Low
Average

20%

4. Environmental scanning activities are carried out?


a) Annually
b) Half yearly
c) Quarterly

Sales

10%

30%

annually
half yearly
quarterly

70%

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Project Report 2018-19 A study on Environmental scanning of Moonstone solutions, Calicut

SWOT Analysis of Moonstone Solutions, Calicut

SWOT stands for strength, weaknesses, opportunities and threats. Conducting this
type of analysis will give you a full circle perspective of where your business stands. A
SWOT analysis will provide the tools and information necessary to establish goals and
objectives for the business. SWOT analysis information is gathered by asking the managing
director a series of questions.

➢ Strengths
1. Low cost leadership
2. Strong relationship with the customers
3. Trained software developers
4. Experienced top level management
➢ Weaknesses
1. Limited working environment
2. Limited services and workforce
3. Small customer list
4. Slow processes
➢ Opportunities
1. Government’s support in emerging business
2. Domestic demand for IT products growing
3. New emerging market in gulf countries
4. Similar software on market are not reliable or are more expensive
➢ Threats
1. Appearance of new competitor
2. Changing customer needs
3. software upgradation services
4. unique app functions and sales promotion methods of competitor

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Project Report 2018-19 A study on Environmental scanning of Moonstone solutions, Calicut

CHAPTER 5
FINDINGS, SUGGESTIONS & CONCLUSION

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Project Report 2018-19 A study on Environmental scanning of Moonstone solutions, Calicut

FINDINGS

• Environmental scanning activities are carried out half yearly.


• The company has average range of customers.
• There are many competitors providing the same product.
• Low cost leadership, Strong relationship with the customers, Trained software
developers, Experienced top level management are the strength of the organization.
• Limited working environment, Limited services and workforce, Small customer list,
Slow processes are the weaknesses of the organization.
• Government’s support in emerging business, Domestic demand for IT products
growing, New emerging market in gulf countries, Similar software on market are not
reliable or are more expensive are the opportunities of the organization
• Appearance of new competitor, Changing customer needs , software upgradation
services, unique app functions and sales promotion methods of competitor are the
main threats of the organization

SUGGESTIONS

• Identify the competitor weaknesses and try to make it as the strength of the
organization.
• Expand the working environment by improving the shares or utilizing the
governmental support.
• Improve the customer list by increasing the marketing promotions and making some
unique innovations in the product.

CONCLUSION

Environmental scanning is a concept from business management by which gather


information from the environment to better achieve a sustainable competitive advantage.
From this study I understand that the internal and external factors which are helpful and
harmful to achieving the objective of the organization.

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Project Report 2018-19 A study on Environmental scanning of Moonstone solutions, Calicut

CHAPTER 6
BIBLIOGRAPHY

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Project Report 2018-19 A study on Environmental scanning of Moonstone solutions, Calicut

BIBLIOGRAPHY

• www.slideshare.com
• www.wikipedia.com
• www.moonstonesolutions.com
• www.hrworld.com

MES Kuttipuram Page 22 Department of MBA

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