Business Strategy

 

    Leveraging Porter's Five Forces framework reveals a promising competitive landscape for Al Harthy. The investigation reveals limited competition within the Egyptian cleaning service and supply market. Because there are few rivals, Al Harthy has a considerable edge over them in terms of price pressure. As such, it benefits from the potential for increased profitability for the organization. With this conducive atmosphere, Al Harthy can develop enduring connections with his customers.  Al Harthy can concentrate on cultivating customer loyalty and trust in the absence of the pricing wars that are sometimes seen in very competitive markets. Al Harthy's ascendancy to the top of the Egyptian cleaning services industry is facilitated by its emphasis on client-centricity and the absence of fierce pricing rivalry. 

    Minimizing costs across the board for the company's activities is the top priority of a cost-competitive strategy. The objective is to outperform rivals in your business as a producer, enabling you to charge less for your goods and services. Al Harthy International Group employs this tactic. Al Harthy International Group has deliberately chosen a cost-competitive approach to compete in the Egyptian cleaning supply and services market. Offering their services at the lowest possible cost in comparison to current rivals is the main goal of this strategy.  Al Harthy positions itself to take a sizable share of the market by emphasizing cost-effectiveness, especially from consumers who value affordability. This approach acknowledges that a significant portion of the Egyptian cleaning services industry is determined by pricing.  Al Harthy may expand their client base and get a substantial market share by providing the most competitive pricing. It's crucial to remember that a good cost-competitive approach requires a careful balancing act.  Long-term client retention for Al Harthy depends on their ability to provide high-quality services at an affordable price. 

Primary activities of Al-Harthy Group

Primary activities are a type of value chain that is composed of the activities that are

done by the company that and these activities have a direct relationship with

all the processes that are related to or will lead to services or products. The

primary activities are composed of five activities: inbound logistics,

manufacturing and operations, outbound logistics, sales and marketing, and

customer service. Before relating the previous activities to Al-Harthy Group, all

the services that are offered by it must be considered, as Al-Harthy offers

cleaning and catering services, leasing cars, and labor supply to different

organizations.

The first activity is “inbound logistics,” which refers to managing inputs through storing

and arranging them. For Al-Harthy, the inputs are equipment and supplies

related to the cleaning and catering services, along with the cars that will be

leased. Thus, Al-Harthy is implementing “inbound logistics” by storing these

inputs and cars and upholding a professional workforce for production,

cleaning, and security. The second activity is “manufacturing/operations,”

which refers to how the company gets the final products or services using the

inputs. Al-Harthy Group is implementing the second activity by preparing labor

for performing the different kinds of services, which are production, cleaning,

and security. Along with doing regular full-service maintenance on cars.

“Outbound Logistics” is the third activity, which means that the finished product

or service is completed and will be delivered to the customers. Al-Harthy

involved the third activity, which is “Outbound Logistics,” in delivering the

crews of cleaning and catering service fully equipped to all kinds of

organizations and housing, along with leasing cars to agencies and providing

labor supply for factories, companies, and corporations. The fourth point is

“Sales and Marketing,” which refers to how the final product or service is

introduced to the customer to meet their needs, and Al-Harthy Group is

fulfilling this activity to build a strong relationship between the company and

its customers through social media marketing by using Facebook and Instagram.

“Customer service” is the fifth activity, which refers to assisting the

customers to get the most benefit and satisfaction. Al-Harthy Group is

implementing the last activity by asking for customer feedback, working on it,

and offering assistance to customers while performing any kind of service.

Al Harthy Group Business Process

Al Harthy Group provides five primary services to its customers which are cleaning services, catering services, labor supply services, car renting services, and plant maintenance. For the company to create value, it has to go through a process that consists of five activities, this process is followed independently with each service provided by the company.

The first activity in the company value chain is “Inbound Logistics” which involves receiving and storing different kinds of inputs. For example, receiving and storing cleaning supplies used in the cleaning services, storing catering supplies and ingredients for catering services, managing labor databases for the labor supply service, receiving and maintaining cars for rental services, or storing plant maintenance tools and supplies for plant maintenance services.

The second activity is “Operations” which is the activity of transforming inputs into outputs. Such as performing the cleaning services requested by customers, performing catering services and delivering the requested meals, allocating the right employees for clients, renting cars, or performing the plant maintenance service. This activity is simply the main part of each service since it involves the actual performance of the requested service.

The third activity is “Outbound Logistics” which includes the collection, storage, and distribution of services to its customers. Such as scheduling cleaning services, organizing catering deliveries, sending labor to clients, scheduling and managing car rentals, and scheduling plant maintenance services to customers.

The fourth activity is “Marketing and sales” and it involves different ways used to encourage customers to make purchases as well as providing the ways that will allow them to make these purchases. For example, an advertisement for the company’s cleaning services, creating offers that will encourage customers to buy catering services, promoting their labor supply services, marketing for the car rental service, and advertising for their plant maintenance services. As well as providing the means for customers to easily make these purchases.

The fifth and last activity in the company value chain is “Service” which is the additional services provided to improve the value of the purchases made by customers. This includes the customer service provided for cleaning services, additional services offered for catering orders, training the employees available in labor supply, car maintenance for car rental services, or extra services provided after the completion of plant maintenance.

Information systems (IS)

At Al Harthy International Group, there are five examples of information systems, which are cleaning service, catering service, labor supply, car renting, and plant maintenance. From these examples, some services have a structured type and dynamic type. The first process is the cleaning service or cleaning process and the type of this process is structured the IS example is the follow-up of the service that is done by the customer evaluation example. The second process is catering services or process and it has a structured type the IS. An example is menu management and an example is menu planning by the customer.

The third process is one of the most important processes in the company it is the labor supply it has a structured type and it IS the attendance system an example is TSheets by QuickBooks. The car renting process is also structured type and its IS revolves around the customer relationship so it is an example of the IS Customer Relationship Management (CRM) System. The fifth and latest process is plant maintenance and it has a structured type with dynamic elements because there are unexpected maintenance failures the IS is the work order management and its example is Hippo CMMS.

Customer Relationship Management (CRM) is a technique developed that gives our company a competitive advantage based on the current IS. CRM systems provide several benefits in the vehicle rental market, allowing businesses to improve their competitiveness and give better services to clients. here are some significant benefits of integrating CRM in the process of car rental:

• Enhance customer services: CRM solutions enable vehicle rental companies to keep precise client data, preferences, and previous interactions. this data enables individualized service delivery, such as selecting appropriate vehicles based on previous rentals or providing special discounts to individual consumers. Companies that better understand their customer's needs can provide a more personalized and fulfilling experience, resulting in improved customer loyalty.
• Improved customer retention: car rental companies can engage with clients more proactively by using CRM technologies for targeted marketing campaigns, loyalty programs, and follow-up communications. these activities aim to strengthen client connections, increase retention rates, and encourage repeat business. furthermore, CRM systems allow businesses to respond to customer issues quickly and efficiently, increasing overall satisfaction levels.
• Competitive Advantage: Finally, Successful use of CRM in the automobile rental process gives businesses a major competitive advantage over their competitors. Car rental companies may stand out in a crowded market by providing excellent client experiences, cultivating long-term connections, improving operations, harnessing data insights, and remaining nimble in decision-making processes.