Jelani Barro
ENG 1121 β E-115
Instructor: Sarah Schmerler
3/24/2019
Genre – Executive Summary
An executive summary, or management summary, is a short document or section of a document, produced for business purposes, that summarizes a longer report or proposal or a group of related reports in such a way that readers can rapidly become acquainted with a large body of material without having to read it all. It usually contains a brief statement of the problem or proposal covered in the major document(s), background information, concise analysis and main conclusions. It is intended as an aid to decision-making by managers and has been described as the most important part of a business plan.
For my genre, I will be presenting an executive summary for a bowling company:
Executive Summary for S. Schmerler Bowling Inc.
S. Schmerler Bowling Inc. is a NYC-based company that specializes in bowling and delivery for frequent strikes NYC based companies. For the 2018 fiscal year, the company enjoyed a modest 8.9% uptick in total bowling lane requests (to 90 % 0f the time), and an operating margin of 22.4%. This was based on regional benchmarking reporting. Local Law 84-09 Bowling and Strike Benchmarking requires annual benchmarking data to be submitted by owners of buildings with more than 50,000 square feet for public disclosure by May 1st of every year.
For 2019, we expect a 15% increase in overall business. This is based on two factors: First, increase in bowling lanes will force building owners into renovations and retrofitting. Second, communications between the company and local business owners indicate that 2018 – 2019 will be a busier year for new bowling customers, which will increase the demand for bowling balls and shoe rentals and deliveries. Please note that, in 2018 and for the rest of this year, the company is forced to turn down new lane requests, until the completion of the renovations. This was due to a lack of lanes, prompting this capital expense request for 2019, we are forecasting a 26.8% operating margin with about $1.84 million in total revenue. This represents an increase from a margin of 22.7% in 2018, which also includes our inclusion of costs relating to a requested capital expenditure of bowling balls and shoes, and the cost savings of $65,000 for 2018 and an accumulative 2% savings each following year; which will come from not hiring a new employee as we had a promotion in our department and whom the new automated dispensary system for shoes will replace. However, this is only for 2019. In future years the cost savings will increase along with revenue. The replaced direct labor salary will more than offset the costs of the new equipment.
The reasoning for this capital expenditure involves increasing work capacity. First, we know that the labor cost savings of $65,000 will more than cover the expenditure with a net cash flow of $15,000. The new system will replace the employee, and we can increase our capability to handle the increased operations capacity demand.
As seen in the budget, the savings from the direct labor in the department, even with the 2% increase in wages, and the switch to the automated rentals due to an increase in storage materials and delivery demand of bowling shoes. The wage increase continues a trend that the company has followed for the past several years. For 2018, the increase is 2%, which is down from 5%, but still significantly higher than the national cost of living increase. As for the automated upgrade, the company has decided to offer more delivery capacity to our customers. The cost will increase to $14 per rental, up from $10. The cost increase, I believe, will turn out to be a good decision, considering the boost in shoe rentals the company will experience. It will also allow us to charge a higher premium for our services. Please find a copy of our current steps for achieving a strike, below this summary, for your reference.
Request for Approval:
I hereby request the approval of the 2019 operating budget, as well as approval of a $50,000 capital expenditure to purchase one additional automated shoe dispensary system. This system will help facilitate an expected 15% increase in business and will accommodate the increased operations capacity in the coming year.
Jelani Barro
Facility Manager
S. Schmerler Bowling Inc.
Steps:
1. Get bowling shoes
2. Pick out bowling ball β The ball shoed fit comfortably in the palm of your hands. Your fingers should fit comfortably in the holes on the ball, which allows your to cup the ball with your palms, and your fingers should have room at the tips.
3. When itβs your turn to bowl β pick up your ball with both hands.
4. Position the ball by your chest
5. As you step onto the floor with your left foot (switch foot position if your left handed), use both hands to lift the ball up and away from your chest.
6. As you step again, start off with your right foot this time. Then separate your left hand from the ball as you start to swing the ball out and down in from of you with your right hand.
7. As you step out again, with your left foot, your left hand should swing out in front of you as you swing the ball behind you with your right hand.
8. Then, as you bring your right foot out in front of you, swing the ball to the front of you as you aim towards the 6 pins β using the arrows in the alley to help guide you and release the ball in the direction of you estimated, with your right foot in front of you at this time.
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