Delivering a business strategy
A TNT case study

Page 1: Introduction

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TNT is the market leader in the provision of business-to-business (B2B) express delivery services. It delivers documents, parcels and freight securely between businesses, using road or air transport. Ken Thomas founded TNT in Australia in 1946 with a single truck. It became Thomas Nationwide Transport (TNT) in 1958 and TNT Express Services UK in 1978. Today TNT is a global company and serves...
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Page 2: Mission, aims and objectives

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TNT is the fastest and most reliable provider of express delivery services and is the European market leader. Organisations do not become market leaders by chance. It takes vision, careful planning, outstanding quality and a committed, highly trained staff. This organisation-wide planning is known as business strategy. Organisations identify the goals that they want to achieve through: a...
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Page 3: Building a strategy

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Business strategies are the means by which businesses achieve objectives. They usually take the form of long-term plans relating to the chosen markets, products and environment. A competitive strategy can be based on: having a distinctive position in the market. TNT's market position is based on differentiating itself from rivals through its speed, reliability and provision of services of the...
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Page 4: Delivering the strategy

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TNT segments its customers according to their requirements. For example, some customers provide the company with 'one off requests'. Others are major accounts regularly placing large orders. TNT responds to the needs of each of these customer groups in different ways and hopes for loyalty in return. The market is highly competitive and it is more cost-effective to keep repeat business than to...
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Page 5: Strategic direction and strategic gaps

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TNT has high-quality people working within the organisation in many different roles. These range from the front-line distribution of parcels and documents to accounts, sales and marketing functions. However, in places, TNT may require additional skills to bridge the gap between its existing human resources and those required to implement the strategy fully. This is referred to as a strategic...
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Page 6: Conclusion

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Creating and delivering an effective business strategy involves: having clear aims and objectives building a competitive advantage by developing core competences identifying gaps and seeking to close these through development of resources. TNT demonstrates good practice in each of these areas. The company has clear business aims and objectives that are time-related. It focuses on...
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