VGL - Stakeholders

VGL - Stakeholders

1. Stakeholders can be defined as individuals and groups of people with an interest in the activities and performance of a business. There is the: impact of the business on the stakeholder and the influence that the stakeholder can exert on the business, to consider.

2. Shareholders

   • Owners and the Prime Stakeholder
   • Attend and Vote at AGM - receive anual dividend
   • Is could be assumed that VGL only had one shareholder / owner - Phoebe Khan
   • Divendends paid in 2015 totaled £3.8m from £300,000 in 2014

3. Chair and Managing Director

   • Chair and Managing director is Phoebe - there are no other directors mentioned.
   • Responsible for making all key business decisions
   • Concerned with the strategic (med-long term) direction
   • In the case of VGL - Phoebe is the Chair, Shareholder and Managing Director

4. Managers

   • Appointed by directors to assist them in the day to day running
   • Make operational and tactical decisions
   • VGL has three managers.
     • FINANCE - Martin Whitfield (ln36)
     • PRODN - Michael Seabrook (ln80)
     • MARKETING - Asad Chowdhury (ln100)
   • Tasks: Maximise efficiency and control costs
   • ROCE - 2.52% in 2014 and 5.87% in 2015

5. Supervisors

   • VGL has shift supervisors
   • A supervisor is a junior, managerial position within an organisation
   • Responsible for day to day performance of one or several individuals
   • There a three shifts per day meaning on any one day three shift supervisors would be working, presumably at each of VGL's four sites
   • We assume VGL employs at least 12 supervisors who likely report to Michael Seabrook

6. Employees

   • Operative Staff (ln67) and production line employees (ln78)
     • Not Mentioned but presumably VGL would employ drivers for collection vehicles. Sales and Admin Staff and repair and maintenance staff
   • Evaluate the business in terms of job security , working conditions etc
   • If they are not happy, they could reduce their work effort, strike or leave to find other jobs
     • Labour turnover is currently below 10% (corp obj to keep below 10%)
   • Diversification into the textiles market will increase job variety and additional pay
   • Financial bonuses in place to maximise productivity - timely attendance as well as maximising quantity and quality

7. Customers

   • Customers are a powerful category of stakeholder - if they stop using VGL this will instantly impact the financial performance
   • Local authorities and businesses are VGLs customers. It currently has 7 LA Contracts - an objective is to gain 2 more.
   • As Sales Rev has grown by 9.6% over the last year this shows VGL is successful in meeting customer needs.
   • VGL has two revenue streams - the breakdown is not given
   • VGL could be more successful in satisfying one type of customer group

8. Suppliers

   • The source of the supplied are the waste it processes
     • Its suppliers would be equipment manufacturers and utility such as electricity
       • Property, plant, equipment and vehicles that are not owned outright. May also use landfill sites.

9. Lenders

   • Creditors falling due after one year of £63m
   • It is slightly less depended on borrowed funds

10. Local Community

    • There are no disagreements with the local community from the case study
    • Disposes of household waste indirectly through LA
    • Investing in community initiatives

11. Government / LA

    • Can influence the operation of VGL through changes in law.
    • The Gov't in the form of LA is also a customer