AACo is a world leader in the beef industry and other anima food sector with its over 600 thousand head of cattle and operate in 19 cattle stations across Australia. It also has two feedlots and three farms that are spread across more than 7.2 million hectares of land across Queensland and other parts of Northern Australia (AACo 2013).
The company was established in 1824, and is still standing firm as the oldest and continually operating company in Australia (AACo 2013). In terms of maintaining its continuous business operation, the company has been successful in establishing itself by offering high quality products and meeting the demands of customers exceptionally; this have led to AACo being accorded a number of awards and recognitions such as those form LPAQA, EUCAS, NFAS, WQA, and MSA quality assurance programs. Measuring their achievement from a strategic view point, a number of literatures (such as Ansoff & McDonell 1990; Womack et al 1992) have made known that it is vital for increased growth and profitability. This is because it has helped the company to position itself as offering high quality products, meeting the demands of customers and providing product features that are second to none. As such, it influences consumers’ loyalty positively.
2.0 Board of Directors
Chief Executive Officer
Dato’ Sabri Ahmad
3.0 Business strategy in AACO
The company owns and operates a vertically integrated business process that is designed to diversify their agribusiness operations while applying necessary innovative business practices and technology to achieve its long-term business productivity gams (AACo 2013). This strategy was implemented to ensure a turnaround in the company from early 2010 with David Farley taking over the role of CEO and MD, and returning the company to its profitability wing in 2011.
The company stated that its strategic initiative is designed to align the possibilities of meeting market demand and the development opportunities that the company have broadened through its global thematic in developing countries. Other opportunities are the increase level of population growth, increasing urbanization and growing income rate that all results from GDP expansions across the world.
The company also made known that its primary assets and sources of value remains in line with the size and unique nature of its agricultural land holdings as combined with quality and productivity of its cattle herds. Innovation is also part of business process in the company and AACo have constantly adopted new approaches to business management that are designed to ensure enhancement of efficiency in its business process. Overall, the company is renowned across the world for its contribution in the growth of agricultural business and enhancement of human life through improved product innovation.
4.0 Argument about performance based on the analysis of five aspects of performance evaluation:
During the period under review, it was noted that the company experienced strong progress with increased focus on cattle trading, better utilization of assets, enhancement of vertical integration and improvement of its herd, which have all be commended for helping in the turnaround. Operationally, it was noted that 2011 was a year of high productivity irrespective of the challenges posed by the summer floods and other challenges that were born from the government’s policy in relation to exportation of live cattle to Indonesia (AAco, 2012).
The outcome of the strategic approach in terms of productivity can be analysed across its operational metrics that include: an increase in the total kilogram up to 80,688,870 kilograms, 156,282 branded calves and an acquisition of 177,516 head of cattle that where purchased by the company in line