Expansion into German

and Austrian Market

Group 24
• Ragib Gagula (05.07.1989),
• Adela Nekorancova (07.09.2000)
• Jirka Landa (10.5.2000)
• Miskatul Arafat (10.12.1998)
Part 1
Clarifying the project’s initial position
Importance and relevance
Purpose connection
Type of value creation
Limitations and feasibility
Group 24
High importance: Company is the market leader in Denmark - market is saturated, in order to
grow, the company need to engage in export.
High relevance Benefit of gaining knowledge in export is to expand to the additional countries in
future.
Vision: To become the leading provider of skin care and personal hygiene in Germany
and Austria, achieving a 10% market share and a 10 times bigger surplus.
Strategy: Direct export: Sell products directly to customers in Germany and Austria
through our own homepage and distribution channels.
Instrumental value:
Gaining international recognition → increased profit, network, knowledge in international
trade, reputation and bigger customer base.
Limitations: Language barrier, cultural sensitivity, limitations of internal resources
(resource allocation - size of the team), time constraint, marketing and sales - lack of
knowledge in managing of the social media.
Feasibility: Products from Denmark need to be feasible in the new market in order for
the product to be successful within the allocated resources (5 part time employees, me,
one external consultant)
3
 Mission breakdown structure

Successful market entry and penetration in Germany and Austria to grow based on the
company’s own production.

A plan for adjusting and

The market communication
strategy for product launch is upscaling production to
Identity of the company is
created. meet the requirements preserved.
of the product launch is
set in motion.

New main supplier of the chemical Evaluation of the product launch is

Gained knowledge in Communication with german- additives is able to accommodate conducted and learnings from the
social media speaking customers is managed the additional demands. process are captured.

Employees are trained and Cultural and market trainings

educated about the cultural for employees are provided.
differences

4
Group 24
 Benefit realization plan – part 1
Benefit Measures Indicator Outcome Time horizon Responsible Risk factor
/means for benefit
Increased annual Enter new Increase in revenue Increased 3 years Stephanie Product is not accepted by the
surplus (EBT) by customer shareholder Jensen new market
10 times. segments Increase in market value
share Competitive pressure from
Expansion into Strategic companies established in
new Number of flexibility DE/AT
geographical new customers
locations (sales growth) Strengthened Regulatory changes towards
financial our product (used chemicals
position etc.)
Entrance to Expand their Number of Diversification 31st January Stephanie Cultural barriers
foreign market web shop and products exported of customer 2025 Jensen
make it base Currency exchange risks
multilingual

Setting
up contracts
with major
retailers in
DE/AT

5-a
Group 24
 Benefit realization plan – part 2

Benefit Measures Indicator Outcome Time horizon Responsible Risk factor

/means for benefit
Increased Training and Skills assessment Upscaling of 100% loyalty Omar Sharif Lack of motivation with
expertise of development the production with employees
employees. programs paid Project employees
for the performance innovation and Within a year Reluctance to change
employees. problem solving
Resource constraints
Establishment of
education center
in Denmark.
Increased brand Use targeted Social Increased 31 January Zameer Brand is recognized in
recognition. marketing media engagement customer 2025 Khan an unwanted way.
loyalty
Collaborate with Brand Brand recognition
influencers awareness surveys. Improved doesn't increase.
market share
Number of unique
visitors on our Enhanced
website employee
moral

5-b
Group 24
 6
Group 24
 A - Project management

Milestone plan Project mandate B - Sales and

approved D - Employee operations
training (Distribution)
C - Marketing strategy
Project team In-depth analysis of E - Production
established
Marketing goals the market done adjustments
defined and goals set Current production
capabilities assessed

Training needs
Marketing strategy External consultant Key-Account-Manager Ways of increasing
developed are assessed
hired as a Key- role assigned to production effectiveness
Account-Manager an internal employee established

Research of Supplier production

marketing partners Market-specific and Retailers in capabilities evaluated
conducted Stakeholder cultural-sensitivity DE/AT found and
management activities training is provided. contracts set up.
are done New chemical
supplier chosen
Marketing partner Web shop
chosen. adapted to
German
Quality Control
Implemented
Social media strategy
set into motion. Distribution
channels are set up Plan for production
upscaling prepared
Traditional media Market launch
strategy implemented.

Evaluation done.

Group 24 Project is closed 7

Project is closed
Gantt Chart

Group 24 8
Part 2
 Organization structure
Steering committee:

Allan Petersen (Board member form Danish Capital Fund)

Martin Olesen (Project Owner, Management Director) internal
Wolfgang Rheinheimer (Production)
Omar Sharif (Finance/IT/Personnel)
Josh Burger (Union Representative)
external

Project manager:

Stephanie Jensen

Reference group:
External consultant:
Merete Hansen (Webshop)
Mads Larsen (Lawyer) Felix Miller
Stephanie Jensen (PM)
Hans Müller (KAM)
Jan Larsen (Board member and investor)
Project Team:
Lars Peterson (Off-line sales)
Bobby Computer (Platform design and maintenance)
Sven Number (Finance)
Zammer Khan (Marketing)
Klara Busy (Production)

10
Group 24
 Include a reflection on distribution of workload to the team members across the project’s duration

Project team Lars Peterson (Off- Bobby Computer Sven Number Klara Busy Zammer Khan
line sales) (Platform design and (Finance) (Production) (Marketing)
520 hours maintenance) 520 hours 520 hours 520 hours
520 hours

Milestones

In depth analysis 100 hours

Plan for production 300 hours

upscaling prepared

Marketing strategy 370 hours

defined
Production Adjustments 220 hours

Web shop adapted 200 hours 520 hours

to German

Social media 50 hours

strategy set into motion.
Key-Account-Manager 50 hours
role assigned to an
internal employee
Marketing 50 hours 50 hours 50 hours
partner chosen.

Group 24 Group 24 12
 Work Breakdown Structure (WBS)
Development of
Marketing
Level 0 strategy

Research of Social Media Traditional

Market Trends Campaign Launch. Media Integration
Level 1

Level 2 Cultural Sensitivity Selection of Creating Contents Evaluation and Collaboration with Timing and Billboards and
In Germany In Austria
platforms optimization local media scheduling Advertising
Defines
work
package
Evaluate Synchronisatio Designing the
Conduct detailed market Visit local distributors. Decide on the
engagement rates Track Key Identifying key n of Business advertisement.
research in both format of the
on major Performance media and marketing.
countries. Collaborate with external content.
platforms. Indicator. partners. Develop the
KAM to gain insight into
Calculate message and
Activities Do consumer surveys to these markets. Create Measure success. Event Budget. slogan.
understand consumers. content.
Select most coverage.
Sum is work Establish cultural
popular platforms. Adapt and Evolve Check Legal Production of
package Develop a strategy that workshops. Schedule (Feedback loop). and Ethical the materials .
aligns with the data. Set-up pages and posting.
compliance.
profiles.

13
Group 24
Group 24 14
Group 24 15
Group 24 Group 24 16
Group 24 Group 24 17
 Milestone-Uncertainty

Uncertainty factor Possible Uncertain Proactive Reactive

Milestone / Type Probability Impact Monitor Responsible
R/O impact ty level strategy Strategy

R – Disagreement The project 1 – They agreed 5 – Project won’t Alignment of Status and opinion
Renegotiation
A1 - Project Project Manager & cannot start on the goal start 5 expectations and report. Martin Olesen
of project
mandate approved Project Owner before project clear goals
mandate
was initiated

R – Market is Project works 4 – analysis is 4 – The market launch Analysis Conduct Make
B1 – In-depth misunderstood with wrong or started without is unsuccessful progress checked regular check-ins new analysis
analysis of the incomplete the external with external and progress Stephanie
16 Jensen
market done and R – Market wasn't data market consultant who has reviews
goals set analysed enough knowledge tacit knowledge of
the market

O – Economies of O - Costs of 5 – Bigger 3 – Margin is Negotiations with Financial reports.

Reevaluate
scale are identified production is quantities are increased. the new supplier.
pricing strategy.
lower ordered.
R - Doesn’t meet the Stephanie
E4 – New chemical 15
required quality R - Production 3 – The price of 5 – Customer choose Producing test Jensen
supplier chosen Monitor and test Reevaluate the
delayed and the product the subsidiary products before
the products on choice of
the cost is increases. products from choosing the new
regular basis. chemical
increased. competition. supplier.
supplier.

R – Lars Peterson is Most tacit 4 – he gains a 5 – project progress is Motivate him for Learning
Mi (Micro reluctant to share knowledge is lot of power highly hindered while company growth assessment survey
Extrinsic Stephanie
environment knowledge earned possessed it depends on his 20 and reward him amongst the
motivation Jensen
uncertainty) from external KAM by one knowledge being based on the project team.
employee shared project success

High consequences (19-25) Medium consequences (8-18) Low consequences (1-7)

Group 24 18
Part 3
Team-Reflection

Challenges:
1.Unclear understanding of the responsibilities and authorities within the
team
2.Potential conflicts arising within the team

Solutions:
1.Utilizing the strengths of each team member – cross functional team
2.Clear roles assigned – cross-functional team
3.Foster a collaborative and inclusive culture – though open communication
20
Group 24

21
 Leadership issues related to the
characteristics of the project ?

Combination of
Unable to motivate the transformational and
project team situational leadership
styles

Lack of clear vision and

direction Provide vision and
inspiration to the team to
embrace new markets

Resource allocation is Team needs flexibility and

badly planned adaptability

Group 24 22
 Stakeholder register

Stakeholder’s
Stakeholder’s Help potential Harm potential Attitude Stakeholder
necessary (N) and Stakeholder’s
Stakeholder requirements (R) and Low/high and short Low/high and short Pos/neg and short category Need for attention
wished for (W) concerns argumentation argumentation argumentation
wishes (W) Position in the cube
contribution

N – provides needed
R – reach project goals
Allan Petersen resources High – stops Positive attitude,
High – provides Positive
(Board member form Project fails supporting the since they want to
W – project performing resources resourceful
Danish Capital Fund) W - Allocates more project earn money
better than expected
resources to the project
R - Achi eving a positive
N - Supports the project
return on i nvestment (ROI)
goal and negotiates for
High – able to get Positive attitude
Martin Olesen (PO, the project team High – drops out, Positive key
W - Recognition for Loss of reputation resources, negotiates towards growing
Management Director) loses interest player
s uccessful market for the team the company
W - Lobby for more
penetration and brand
resources
es tablishment.
R - Competitive pricing to High - risk
The outsourced negative Positive attitude
N – Conduct marketing ens ure profitability
marketing company High - fostering brand perceptions, because of a
Zammer Khan strategy
(Marketing) W - Effective marketing
does not awareness, and driving
potentially passion for
Positive key player
provide desirable sales.
W - Provide col l ateral to boost product harming the marketing.
content creation.
vi s i bility brand's image
R - Continuous training Company is unable to
progra ms for the retain desired
N – Provides valuable
production team on quality production quality Low – spread Negative attitude
knowledge of production standards
a s surance. Low - proactive negative attitude towards international
Klara Busy (Production) Negative M arginal
engagement among the expanding. She will
W – Supports production
W - Col l aboration with the employees have to work more.
adjustment activities
fi nance team for budget New supplier does not
fl exibility. meet the requirements.

Group 24 Group 24 22
 Stakeholder register

N – Doesn't strike R– Working conditions

Number of workers Low- Delivering the Negative –
against the project stay the same High – requires
Josh Burger after upscaling the opinions of worries about worse Negative S how
many employee
(Union Representative) production is employees to the conditions for the S topper
W – Helps and W – Working conditions safety precautions
insufficient management employees.
collaborates get better

High- Clear
communication,
education, and High harm – if they Positive - they want
N – demand for product R – product provides value
Product doesn't provide responsive customer don’t like the the product lunched
Consumers Positive key players
enough value support contribute product, they won't so they can be more
W – brand loyalty W – eco-friendly packaging
to building trust and buy it. beautiful.
loyalty in the new
markets

High- strong Positive attitude –

partnership with a M edium – we increased
N – sufficient production R – payment according to
supplier that aligns with assume there are
contract Demand expectations in revenues by
New chemical supplier
W – lower costs per unit new markets do not meet
the project's goals and other possible Positive key player
provides the necessary suppliers we could benefiting from
than previous W – long partnership
support for a successful replace this one with the market
market entry. expansion

Group 24 Group 24 23
Stakeholder plan - specific
(from Eskerod, P. & Jepsen, A.L (2013), Project Stakeholder Management, Gower)

Stakeholder Position in the Challenges Strategy Tactic Tools and activities When Responsible
cube

Allan Petersen Keep position Inform about Status reports Meetings in Martin Olesen
(Board member Positive progress steering committee
Providing resources
form Danish Capital resourceful
Fund)
Martin Olesen
Positive key Loss of interest in Keep position Inform about Status reports Meetings in Stephanie Jensen
(PO, Management
player project progress/growth steering committee
Director)
Zammer Khan (Marketi Positive key Gets too attached to Keep position Explain the benefits CRM software, to customer data Stephanie Jensen
ng)
player marketing plan. of collaboration
Klara Busy Change attitude Explain benefits of Rewards from bigger production In the beginning of Stephanie Jensen
(Production) Negative Not motivated to work
international work internationally upscaling the
Marginal internationally.
production.
Josh Burger Change attitude Offer more flexibility Possibility of working from home Meetings in Stephanie Jensen
(Union Representative) Becomes biased and
Negative Show at least to steering committee
doesn't represent all
Stopper negative Once a month
opinions.
general meetings
Consumers Positive key Keep position Providing benefits Offer care package to solve their When launching Zammer Khan
Negative effects negative effects. the product
players
New chemical supplier Positive key Lose interest in Keep position Keeping good Regular visits Quarterly Lars Petersen
player collaboration relationship

Group 24 Group 24 24
Part 4
 Approved
projects:
Strategic-fit: projects
that supports the
growth of
organization

Postponed:

Group 24 Group 24 26
How Magnificent Tea Tree Oil can implement project portfolio management?

Part 1:
• Establishing clear strategy for PPM implementation
o STRATEGY: Company growth and business development

• Senior management support needed

o Responsibilities and roles must be assigned and agreed
o They must attend the meetings

• Clear lines of decision-making

o They must understand the authority between them

• Project maturity
o In the company they are not experienced in conducting projects, but they can learn from the pilot
project and possibly external consultants

Group 24 Group 24 27
How Magnificent Tea Tree Oil can implement project portfolio management?

Part 2:
• Define purpose and objectives of their portfolio – selection from project ideas:
o Project ideas proposed by employees

• They need to define the scope of each project according to their resources, strategic
buckets can be used to form their PPM
o Need to decide what to include – they have limited resources so they should implement
the portfolio throughout all of the organization to maximize sharing of the resources

• To organize the governance structure

o establish a PPM model that includes clear roles and responsibilities
o involve stakeholders directly involved in portfolio management, such as senior management, project
managers, and external consultants
o effective communication and collaboration among these stakeholders will be essential for successful
implementation

Group 24 28
How Magnificent Tea Tree Oil can implement project portfolio management?

Possible challenges:
• adhering to processes
• securing senior management's commitment
• collecting timely and accurate information

How can they address it:

• providing clear guidelines
• fostering stakeholder engagement
• implementing efficient data collection and analysis systems

• By implementing project portfolio management, Magnificent Tea Tree Oil can

effectively prioritize and manage their projects, drive strategic growth, and ensure
alignment with their brand identity and market opportunities.

Group 24 29
 Strategic buckets

Cost Reduction: Building a New Plant to Accommodate the Need for Extra Production
Product Innovation: Developing a New Product Category within Bug Repellants
Market Expansion: Expansion into German and Austrien market
Process Improvement:Compy with new EU Standards for Sustainibility Reporting 26
31
Group 24
Project register
Feasibility and resource
Strategic Alignment
management
Status 0.4
0.6
Project
Project group/ Portfolio (P)/ Project Score / Decision /
Project owner/
buckets New (N)/ purpose Market expansion Brand identity Financial Resource Priority Action
suggests
Backlog (B) impact maintenance feasibility Availability
0.5 0.5 0.6 0.4

Developing a New Expand product line

Product Category Up for approval into bug repellants,
Group A
within Bug
Martin Olsen
(postponed) leveraging tea tree oil
5 3.5 2 1 2,6 Postpone
Repellants product portfolio.

Building a New
ambition to grow based
Plant to
Martin Up for approval on its own production
Group B Accommodate
Olsen while keeping the
4 5 4 3 4 Go through
the Need for
brand identity intact
Extra Production

Establishment of new
Comply with New
production plant to
EU Standard for Martin Up for approval
Group C
Sustainability Olsen
meet the increased 3 2 5 4 3,7 Go through
demand from the
Reporting
export pilot project

Successful market entry

and penetration in
Expansion into
Planning phase Germany and Austria Finish the
Group D German and Martin Olsen
completed to grow based on
5 5 3 3 4,4 project
Austrian market
the company’s own
production.
Group 24 31
Challenges in implementing the projects

Project: Developing a New Product Category within Bug Repellants

1. Conducting market research to identify the demand and preferences of the target audience for bug
repellants. Formulating and testing new product formulations may require significant resources and
expertise.
Indicator: Size of the target audience

Project: Building a New Plant to Accommodate the Need for Extra Production
2. Building a new plant to accommodate the need for extra production, this project may face challenges
related to securing funding for the construction of the new plant. The company will also need to
ensure that the new plant complies with relevant regulations and industry standards. Managing the
logistics and coordination of the construction process is another potential challenge.
Indicator: Increased efficiency – Setup and change-over times

Project: Comply with New EU Standard for Sustainability Reporting

3. Adapting to new EU standard for sustainability reporting standards can be challenging, especially if
Magnificent Tea Tree Oil does not have prior experience in this area. It may require implementing new
systems and processes to track and measure sustainability metrics. Training employees and ensuring
their understanding and compliance with the new reporting requirements can also be a challenge.
Indicator: Level of sustainability - Environmental footprint
32
Group 24
.
Project portfolio management organization

Project Portfolio Board

• Allan Petersen
• Martin Olesen
• Jan Larsen

PPManager
Stephenie Jensen

Portfolio Change Control PPMO

Board • Araf Billund
• Lars Petersen

Group 24 Group 24 33