Task LO4: Be able to examine the impact of change management on the operations of the business


Unit Number and title

33 Small Business Enterprise 


BTEC HND Business (Level 5)

Start Date


Deadline/ Hand-in




Aim of this assignment:

This unit assignment will enable the learners to focus on the processes involved, through change management, of reviewing and improving the performance of a small business enterprise. This assignment links with unit 2 (Managing financial resources and decisions) and enables learners to understand different sources of finance available for small businesses and also for those who have had work placements, work experience in small businesses or wish to pursue careers in the small business sector.

Scenario : “Big Opportunities For Small Firms”: 

“We are setting an ambitious target that £1 in every £3 government spends will be with small businesses by 2020”.

Matt Hancock, the Minister for the Cabinet Office has announced an ambitious new target to get more small businesses working on central government contracts.

In 2013 to 2014, central government spent an unprecedented £11.4 billion with small and medium-sized businesses – those employing 250 employees or less. This is equivalent to 26% of central government spend.

By 2020, the government wants to increase this to a third. This would mean an extra £3 billion per year (in 2013 to 2014 terms) going to small and medium-sized firms directly or through the supply chain.

To search for government contracts to suit your business, visit www.gov.uk/contracts-finder.

Earlier this year, the government improved the way it buys goods and services to help more small businesses bid for public sector contracts, by: 

• Requiring the entire public sector supply chain to be paid within 30 days

• Abolishing pre-qualification questionnaires for low value public sector contracts, making it simpler and quicker to buy

• Requiring the public sector to publish its contracts in one place on Contracts Finder

Each government department and the Crown Commercial Service will now make sure that it meets this target by setting out individual plans and targets for spending with small and medium-sized businesses over the next 5 years.

Minister for the Cabinet Office Matt Hancock said:

This is such an amazing opportunity for the country’s diverse and innovative small businesses, and today I urge them to get stuck in. From computers to uniforms – there are so many opportunities for small businesses to work with us, and I want to see more of them providing value for money for the taxpayer and benefiting from our spending.

John Allan, National Chairman for the Federation of Small Businesses (FSB), said:

The government has much to gain from opening up public procurement to smaller businesses and we welcome the government’s commitment to achieve this ambitious target. To meet it, the government will need to focus on robust monitoring and challenge of poor practices wherever they are found. The FSB will play its part, and will work with ministers on this important goal.

John Manzoni, Chief Executive of the Civil Service said:

Further opening up our marketplace to small businesses is good economic sense all round – making it easier for them to access and win government business opportunities, whilst encouraging increased competition and market innovation to deliver best value for the taxpayer.

When businesses are seeking funding, making an informed choice is vital. As the Government responds to the challenges of the economic downturn, new schemes have been implemented or existing ones modified to help businesses grow. They have been designed to supplement and build on private sector provision; which is why most of the programmes are delivered through intermediaries, rather than by central government directly. This guide is principally aimed at people who work in or with Government who have frequent contact with small firms. It summarizes the main forms of public finance and advice available to businesses. It sets out who can access which schemes and where further information can be found. There are many factors a business needs to take into account when considering its options, including its size, turnover, ability to offer shares and the amount of funding it needs to raise. 

You are a Business Consultant in a small Business Consultancy Firm and have been invited by a small-sized business enterprise to provide orientation to them about the various aspects of business development.

This organisation does not have small business enterprise experts.  Being small sized, it has a flat structure and the Chief Executive Officer (CEO) deals with the business issues himself.  In the wake of increased workload and to further streamline the business, the CEO plans to outsource the business development planning to your company.

You have agreed to offer your services under a short-term contract which seems to be the best possible arrangement for this company due to shortage of funds.  Before signing the contract, you have been asked to provide a report to the CEO of this potential client.


Prepare a report mentioning the importance of developing business skills needed in reviewing and managing the performance of a small enterprise.  In addition, it should state how useful it is to focus on the processes involved, through change management, of reviewing and improving the performance of a small business enterprise. The report must also feature the revision of business objectives and plans to incorporate proposed changes. It should also highlight the monitoring of improvements in the performance of the business over a given timescale. In your report, you will address the following: (make suitable assumptions about the organization, for your analysis and addressing the LO and AC as specified below):

Task 1 LO1: Be able to investigate the performance of a selected small business enterprise

1.1.  In the above scenario of a small business enterprise, produce a profile of a selected small business identifying its strengths and weaknesses (AC 1.1)

1.2.  Carry out an analysis of the business using comparative measures of performance (AC 1.2)

Task 2 LO2: Be able to propose changes to improve management and business performance

2.1.  Recommend with justification, appropriate actions to overcome the identified weaknesses in the business (AC 2.1)

2.2.  Analyze ways in which existing performance could be maintained and strengthened (AC 2.2)

2.3.  Recommend with justification, new areas in which the business could be expanded (AC 2.3)

Task 3 LO3: Be able to revise business objectives and plans to incorporate proposed changes

3.1.  Produce an assessment of existing business objectives and plans (AC 3.1)

3.2.  Revise business plans to incorporate appropriate changes (AC 3.2)

3.3.   Prepare an action plan to implement the changes (AC 3.3)

Task LO4: Be able to examine the impact of change management on the operations of the business

4.1.  Report on the impact of the proposed changes on the business and its personnel (AC 4.1)

4.2.  Plan how the changes will be managed in the business (AC 4.2)

4.3.  Monitor improvements in the performance of the business over a given timescale (AC 4.3)


Email: [email protected]

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