Business Planning

Question 1

What is a business plan?

Answer 1

A plan that allows a business to look ahead, allocate resources, identify key targets and prepare for problems and opportunities

Question 2

What are the main sections of a business plan?

Answer 2

1)) Company description
2) Overview of products / services
3) Analysis of the market
4) Forecasts for the business
5) Financial information
6) Management team

Question 3

What is G&T’s business plan?

Answer 3

Maintain independence
increase turnover and staff
rationalise portfolio
react to market changes quickly
attract youth to the industry

Question 4

What is the usefulness of a business plan?

Answer 4

Allows business to plan for the future and focus their efforts, set targets and goals.

Question 5

How would you calculate fees for a new project?

Answer 5

few ways to calculate fees;
1) Percentage basis
2) Day rate
3) Based on resource

Question 6

What would you include within a bid for a new project?

Answer 6

Relevant experience
Proposed team
proposed scope of services
hourly rates / exclusions / T&C’s
G&T background

Question 7

If a client asked you to reduce your fees what would you do?

Answer 7

I would not reduce my fees.
Only way we can reduce fees is by reducing scope of works

Question 8

What sort of fee would you expect to charge as a QS?

Answer 8

differs from project to project, but i would expect to see a fee of around 3-4% of construction cost

Question 9

What is benchmarking?

Answer 9

process by which estimated performance of a project is compared to other similar projects.

This can highlight areas of design that are not offering good value

Question 10

What is SWOT analysis?

Answer 10

Strategic planning method used to evaluate strengths, weaknesses, opportunities and threats involved in a project or business venture

Question 11

What are the issues relating to staff turnover?

Answer 11

Can be expensive and time consuming to hire staff
Training new people is time consuming and expensive
turnover can affect team dynamics. productivity and continuity

Question 12

What are SMART objectives as part of a business plan?

Answer 12

Objectives which are;
1) Specific
2) Measurable
3) Achievable
4) Realistic
5) Time related

Question 13

What do you need to consider when setting up a business?

Answer 13

Advise RICS you are starting a business and comply with Rules of Conduct
Create a business plan
Create a H&S policy
Register with Companies House and inform HMRC
Set up CHP
Get relevant insurances in place
Set up company bank accounts

Question 14

What is an investment appraisal?

Answer 14

An investment appraisal is used to assess whether a business or project would be worthwhile investment in terms of return

Question 15

Example of Fee earning an Non Fee earning staff

Answer 15

Fee Earning
1) QS / PM / Architect
2) Admin staff / IT technicians

Question 16

What is meant by business strategy?

Answer 16

A business strategy is an outline of the actions and decisions a company plans to take to reach its business goals and objectives
Strategy defines what the business needs to do to reach those goals

Question 17

What is meant by strategic planning?

Answer 17

Managerial process of developing and maintaining a strategic fit between the organisation objectives, resources and changing market opportunities

Question 18

whats the difference between business strategy and business planning?

Answer 18

Strategy - concerned with entire organisation
Business - concerned with detailed implementation after the big choices have been made

Question 19

Explain what a business plan is?

Answer 19

A document that summarises the operational and financial objectives of a business

business road map to success with detailed plans and budgets that show how those objectives can be realised

Question 20

What is a business model?

Answer 20

the plan implemented by a company to generate revenue and make a profit for operations

Question 21

What might a business model contain?

Answer 21

1) Product / service the business believes has value
2) Market niche and main target demographic
3) Expense of bringing product/service to target market

Question 22

How can a business plan help a company in current economic climate?

Answer 22

1) Help to secure additional funding from banks
2) Help gain clients and commissions
3) Focus on key priorities
4) For budgeting
5) For setting targets for staff

Question 23

What is an LLP?

Answer 23

Limited Liability Partnership

Question 24

What’s the difference between a business plan and a business case?

Answer 24

Business Case is a short-term gain whereas a business plan takes on a global long-term approach

Business plan is based on a series of hypothesis, action plans and long term calendar.

Question 25

What is the RICS Business Plan?

Answer 25

Gain market recognition of RICS standards
Be seen as a responsible organisation
Grow profession in strategic markets
ensure profession growth through training - CPD
Increase pride in the profession

Question 26

What is G&T’s Tender Price Index?

Answer 26

1

Question 27

What was in G&T’s last business forecast?

Answer 27

2

Question 28

What is G&T’s market intelligence platform?

Answer 28

3

Question 29

What is a mission statement?

Answer 29

4

Question 30

Whats the difference between a mission statement and a business plan?

Answer 30

5

Question 31

What are the current macro economic trends?

Answer 31

6

Question 32

What are the current construction macro economic trends?

Answer 32

7

Question 33

What might you put in a short term business plan?

Answer 33

8

Question 34

What is a submission statement?

Answer 34

9

Question 35

What would you include in a submission statement?

Answer 35

10

Question 36

What is RICS vision?

Answer 36

To create confidence in the markets
To effect positive change in the built and natural environment