- BSBFRA503B - Manage establishment of new sites or regions
BSBFRA503B
Manage establishment of new sites or regions
Application
This unit applies to individuals with a well established, sound theoretical knowledge base in franchising who identify opportunities for new sites or regions and assist potential franchisees in commencing operations. The unit also applies to the selection of new franchisees for existing sites or regions where a new operator is required to take over the franchise. |
Elements and Performance Criteria
ELEMENT | PERFORMANCE CRITERIA |
1. Identify opportunities for new franchise sites or regions | 1.1. Access franchise organisation's strategic plan for expansion of franchise operation to determine opportunities for new sites or regions 1.2. Make analysis from closures of existing sites or regions and other industry data to identify opportunities for new sites or regions 1.3. Undertake market research to identify opportunities for new sites or regions 1.4. Obtain agreement on new sites and regions from senior management as relevant 1.5. Confirm and document opportunities for new sites or regions within franchisor's policies |
2. Select new franchisees | 2.1. Supply applicants for new sites or regions with requirements for establishing a franchise 2.2. Check each applicant's suitability and ability to meet franchisor's requirements in consultation with applicants and franchise operation's management 2.3. Evaluate each applicant's business planning documents for suitability |
3. Assist potential franchisees with establishing new franchise | 3.1. Assist potential franchisees with completion of business and marketing plans 3.2. Clarify issues raised in relation to operation of the franchise with potential franchisees 3.3. Assist potential franchisees with obtaining required permits, site selection and financing options 3.4. Communicate and clarify with potential franchisees, marketing or other cooperative funds, intellectual property rights and rights to client database 3.5. Determine physical and human resources required for commencement of franchise in conjunction with potential franchisee |
4. Formalise agreement with new franchisee/s | 4.1. Make checks to ensure franchisee/s meet all requirements for entering into franchise agreement 4.2. Complete agreement with new franchisee/s and obtain necessary signatures 4.3. Determine date for commencement of franchise/s |
5. Assist franchisee/s in opening new franchise | 5.1. Assist franchisee/s with obtaining required physical and human resources to commence operations 5.2. Assist franchisee/s with obtaining required products to commence operations 5.3. Determine and implement responsibilities of franchisor as per franchise agreement 5.4. Provide assistance to franchisee/s to determine and implement strategies and processes to meet franchisee obligations and legislative requirements as per franchise agreement and to manage the franchise 5.5. Monitor ability to commence franchise operations on due date in conjunction with franchisee/s 5.6. Determine training needs of franchisee/s and facilitate required training 5.7. Resolve problems arising in setting up franchise to commence business operations in conjunction with franchisee/s 5.8. Commence operations of new site or region within specified timeframes and within parameters set down by franchisor |
Required Skills
|
Required skills |
culturally appropriate communication skills to relate to people from diverse backgrounds and people with diverse abilities communication and negotiation skills to secure new franchisees and sites problem-solving skills to resolve issues in establishment of formal agreements with franchisees. |
Required knowledge |
legislation, codes of practice and national standards relating to occupational health and safety (OHS), company law, fair trading, anti-discrimination and other areas specific to the franchise operation Franchising Code of Conduct franchise specific obligations: as per franchise agreement as per updates and amendments to agreement over time. |
Evidence Required
The Evidence Guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, range statement and the Assessment Guidelines for the Training Package. | |
Overview of assessment | |
Critical aspects for assessment and evidence required to demonstrate competency in this unit | Evidence of the following is essential: establishing a strategic plan for franchise expansion providing advice and support to franchisees completing an agreement with franchisees knowledge of relevant legislation, codes of practice and national standards. |
Context of and specific resources for assessment | Assessment must ensure: access to business documentation access to feedback from franchisees access to an actual workplace or simulated environment access to office equipment and resources. |
Method of assessment | A range of assessment methods should be used to assess practical skills and knowledge. The following examples are appropriate for this unit: direct questioning combined with review of portfolios of evidence and third party workplace reports of on-the-job performance by the candidate review of market research to identify opportunities for new sites or regions evaluation of applicant's business planning documents analysis of responses to case studies and scenarios demonstration of techniques observation of presentations oral or written questioning to assess knowledge of franchising arrangements. |
Guidance information for assessment | Holistic assessment with other units relevant to the industry sector, workplace and job role is recommended, for example: BSBFRA501B Establish a franchise operation. |
Range Statement
The range statement relates to the unit of competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording, if used in the performance criteria, is detailed below. Essential operating conditions that may be present with training and assessment (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) may also be included. | |
Strategic plan for expansion of franchise operation may include: | geographic spread of franchises limits of regions/sites number of franchises other criteria for establishing new sites or regions |
Industry data may include: | information and statistics from government departments and agencies reports and data from peak bodies |
Applicants for new sites or regions may include: | those opening a new site or region those taking over an existing franchise |
Requirements for establishing a franchise may include: | capital or financial backing franchise specific requirements physical aptitude or fitness receipt of disclosure document as specified in the Franchising Code of Conduct skill levels or appropriate experience |
Products may include: | consumables raw materials stock |
Applicant's business planning documents may include: | business plan financial plan marketing plan other planning documents |
Permits may include: | dangerous goods fire safety and OHS local government permits other permits governed by commonwealth, state/territory legislation specific business operations such as liquor licence |
Physical and human resources may include: | franchise specific equipment IT and communications equipment premises products (consumables, raw materials, stock) shop fittings/office furniture staff vehicles |
Requirements for entering into franchise agreement may include: | awareness and understanding of requirements as outlined in the Franchising Code of Conduct competence financial health, fitness and aptitude probity and police checks |
Franchisee obligations may include: | fees and pricing structures franchise corporate image requirements and branding merchandising requirements quality assurance requirements recognition of identified territory to avoid encroachment of territory between franchisees reporting of income, sales and turnover stock control and inventory requirements, and reporting of this information |
Legislative requirements may include: | Australian Taxation Office requirements, including requirements to register as a business and obtain an Australian Business Number (ABN) Dangerous Goods Act requirements fire regulations food safety requirements Liquor Licensing Act requirements local government planning and land use zoning regulations OHS requirements other legislative requirements specific to the nature and type of franchise relevant permits, licences and completion of training programs such as in safe food handling requirements under employment legislation |
Training may be: | scheduled on a cyclical basis (such as yearly refresher courses and product knowledge workshops) specified in initial franchise agreement required by legislation such as first aid |
Sectors
Unit sector |
Competency Field
Management and Leadership - Franchising |
Employability Skills
This unit contains employability skills. |
Licensing Information
Not applicable.