MSS405004 - Develop business plans in an organisation implementing competitive systems and practices assessment tool

Assessor Resource

MSS405004
Develop business plans in an organisation implementing competitive systems and practices

Assessment tool

Version 1.0
Issue Date: May 2024

This unit of competency covers the skills and knowledge required to develop business plans in an organisation implementing competitive systems and practices. This unit applies to an individual in an organisation implementing competitive systems and practices (e.g. a production/plant manager, purchasing/technical officer or similar) who is required to develop a section business plan to meet the requirements of the overall strategic plan of the organisation. The plan includes the impact on the value stream and other critical competitive systems and practices factors. Due to competitive pressures this may be a reasonably frequent activity and can occur at any time over the business cycle. The plan may be in response to a specific change, or it may be a plan for the next period.

This unit assumes that up-to-date information about the organisationâ€™s role in the value stream is available.

This unit primarily requires the application of skills associated with gathering, analysing and applying information and consulting with stakeholders. Problem solving, initiative and enterprise, and planning and organising are required to develop an effective and measurable business plan. This unit also requires aspects of self-management and learning to ensure feedback and new learning is integrated into competitive systems and practices strategies.

No licensing, legislative or certification requirements apply to this unit at the time of publication.

You may want to include more information here about the target group and the purpose of the assessments (eg formative, summative, recognition)

Evidence Required

List the assessment methods to be used and the context and resources required for assessment. Copy and paste the relevant sections from the evidence guide below and then re-write these in plain English.

Elements describe the essential outcomes.		Performance criteria describe the performance needed to demonstrate achievement of the element.
1	Determine purpose of plan	1.1	Confirm reason for developing plan and expected outcomes from plan.
		1.2	Confirm purpose of plan with all relevant stakeholders.
		1.3	Check expected outcomes from plan with overall strategic plan for organisation.
		1.4	Identify any potential areas for conflict between proposed plan and strategic directions.
		1.5	Negotiate with relevant stakeholders to resolve issues.

2	Develop objectives and strategies	2.1	Draft objectives for business plan.
		2.2	Draft strategies to achieve these objectives.
		2.3	Determine implications for value stream.
		2.4	Determine capital or workplace layout/organisation implications for objectives and strategies.

3	Develop plans to meet objectives and strategies	3.1	Negotiate with relevant stakeholders over implications for objectives and strategies.
		3.2	Liaise with relevant stakeholders to develop plans to meet objectives.
		3.3	Determine relevant key performance indicators (KPIs) for plan.
		3.4	Check KPIs are appropriate for purpose of plan.
		3.5	Check plan will deliver planned purpose.
		3.6	Map plan to changed value stream.
		3.7	Adjust plan to optimise value stream.
		3.8	Validate plan with relevant stakeholders.

4	Monitor the implementation of the plan	4.1	Release plan for implementation.
		4.2	Check the key progress points against the key stages of the plan.
		4.3	Note any discrepancies.
		4.4	Take action to ensure correct implementation of plan.

Evidence required to demonstrate competence in this unit must be relevant to and satisfy the requirements of the elements and performance criteria and include the ability to develop one (1) or more business plans covering an organisation, department or section (or similar) and to:

determine the purpose of the plan

draft objectives of the plan and strategies for achieving them

develop a plan which uses the strategies to deliver the objectives and optimise the value stream

monitor the implementation of the plan and make changes as needed.

Must provide evidence that demonstrates sufficient knowledge to interact with relevant personnel and be able to develop and modify a business plan, including knowledge of:

techniques and purposes of developing business plans

parameters for business plans, including scope, period and risk

relationship between business plans and competitive systems and practices

impacts of alternatives on the value stream

key performance indicators (KPIs) and the characteristics of good (optimises the whole) and poor KPIs

risk mitigation, including business, quality, sustainability and other risks.

The unit should be assessed holistically and the judgement of competence shall be based on a holistic assessment of the evidence.

The collection of performance evidence is best done from a report and/or folio of evidence drawn from:

a single project which provides sufficient evidence of the requirements of all the elements and performance criteria

multiple smaller projects which together provide sufficient evidence of the requirements of all the elements and performance criteria.

A third-party report, or similar, may be needed to testify to the work done by the individual, particularly when the project has been done as part of a project team.

Assessment should use a real business plan development for an operational workplace.

Knowledge evidence may be collected concurrently with performance evidence or through an independent process such as workbooks, written assessments or interviews (provided a record is kept).

Assessment processes and techniques must be appropriate to the language, literacy and numeracy requirements of the work being performed and the needs of the candidate.

Conditions for assessment must include access to all tools, equipment, materials and documentation required, including relevant workplace procedures, product and manufacturing specifications associated with this unit.

Foundation skills are integral to competent performance of the unit and should not be assessed separately.

Assessors must satisfy the assessor competency requirements that are in place at the time of the assessment as set by the VET regulator.

The assessor must demonstrate both technical competency and currency.

Technical competence can be demonstrated through:

relevant VET or other qualification/Statement of Attainment AND/OR

relevant workplace experience

Currency can be demonstrated through:

performing the competency being assessed as part of current employment OR

having consulted with an organisation providing relevant environmental monitoring, management or technology services about performing the competency being assessed within the last twelve months.

Submission Requirements

List each assessment task's title, type (eg project, observation/demonstration, essay, assingnment, checklist) and due date here

Assessment task 1: [title] Due date:

(add new lines for each of the assessment tasks)

Assessment Tasks

Copy and paste from the following data to produce each assessment task. Write these in plain English and spell out how, when and where the task is to be carried out, under what conditions, and what resources are needed. Include guidelines about how well the candidate has to perform a task for it to be judged satisfactory.

Elements describe the essential outcomes.		Performance criteria describe the performance needed to demonstrate achievement of the element.
1	Determine purpose of plan	1.1	Confirm reason for developing plan and expected outcomes from plan.
		1.2	Confirm purpose of plan with all relevant stakeholders.
		1.3	Check expected outcomes from plan with overall strategic plan for organisation.
		1.4	Identify any potential areas for conflict between proposed plan and strategic directions.
		1.5	Negotiate with relevant stakeholders to resolve issues.

2	Develop objectives and strategies	2.1	Draft objectives for business plan.
		2.2	Draft strategies to achieve these objectives.
		2.3	Determine implications for value stream.
		2.4	Determine capital or workplace layout/organisation implications for objectives and strategies.

3	Develop plans to meet objectives and strategies	3.1	Negotiate with relevant stakeholders over implications for objectives and strategies.
		3.2	Liaise with relevant stakeholders to develop plans to meet objectives.
		3.3	Determine relevant key performance indicators (KPIs) for plan.
		3.4	Check KPIs are appropriate for purpose of plan.
		3.5	Check plan will deliver planned purpose.
		3.6	Map plan to changed value stream.
		3.7	Adjust plan to optimise value stream.
		3.8	Validate plan with relevant stakeholders.

4	Monitor the implementation of the plan	4.1	Release plan for implementation.
		4.2	Check the key progress points against the key stages of the plan.
		4.3	Note any discrepancies.
		4.4	Take action to ensure correct implementation of plan.

This field allows for different work environments and conditions that may affect performance. Essential operating conditions that may be present (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) are included.
Competitive systems and practices include one or more of:	lean operations agile operations preventative and predictive maintenance approaches statistical process control systems, including six sigma and three sigma Just in Time (JIT), kanban and other pull-related operations control systems supply, value, and demand chain monitoring and analysis 5S continuous improvement (kaizen) breakthrough improvement (kaizen blitz) cause/effect diagrams overall equipment effectiveness (OEE) takt time process mapping problem solving run charts standard procedures current reality tree.
Objectives include performance in one or more of:	sales profit quality work health and safety (WHS) environment competitive systems and practices human, physical, financial and environmental/resource use.
Strategies to meet objectives include one or more areas:	human and industrial relations practice material/component and resources use sustainable environmental practices sales and marketing financial regulatory compliance.
Relevant stakeholders include one or more of:	other team members other workers management technical specialists other members of the value stream.
Customer requirement stages where value stream actions may occur include one or more of:	sales outlet/representative information gathering, data analysis and research product design raw material sourcing intermediate processing final assembler/ collation/preparation support services (e.g. accounting, finance and legal) storage and delivery to customer after market support.