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Jp Nelson Company Analysis

Autor:   •  October 31, 2017  •  2,363 Words (10 Pages)  •  765 Views

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programming should be implemented to solve the manpower and machines breakdown

problem. When machine had reported breakdown by customer on the construction side, the

technical will requested to have the codes number from the machine control box. After get

the code numbers, the technician will use the computer to check and try to solve the problem

through the computer system. This solution not only can develop the machine problem, but

also save the time and ability to solve the manpower problem during the peak season.

2.5 Environment

Environment is one of the factor that will affected company business. If the heavy duty

machineries use diesel to carry out any construction work it sure will cause air pollution and

change the ecological system, because when using diesel machine, it will emissions a lot of

gas hazardous like, hydrocarbons, nitrogen oxides, carbon monoxides, and carbon oxides to

harm humans healthy. To reduce and prevent the consequences, the government organization

called National environment Agency (NEA) was implemented the warning step and penalty

punishment to those contractors who are try to make the environment pollution. So, with this

action, it would encourage many companies to pursue environmental standards with purchase

or rental electrical machineries to minimized pollution level. This practice is become an

important business issued for the company if they can't regulate the environment problem.

(EUSTON QUAH DAVID LEE, (2004). Household Economics and the Asian Family). (page190,

paragraph 2). Singapore. Times academic press.

2.6 Legal

In Singapore, the government organization called building and construction (BCA) set a work

standard form for every construction workers. The construction workers must attend safety

training or course (bizSAFE) before they work in the construction site. The BCA provided many

of training and courses for construction sector. Example, Scissor Lift Operator Course (SLOC) is

provided skill and knowledge to the worker who performs the work to operate the scissor lift

in workplace. This course was conducted to ensure the operator have received a proper

training to use the machine in an appropriate way. This legal rule is to reduce and control the

risk in workplace. If the accident always occurs in workplace due to the workers perform the

job without any safety training that is definitely will effects the company reputation and


3.0 Porter’s Five Forces

The competitive environment of the company is using Porter Five’s Forces model analysis. The

competitions are threat of new entrants, threat of substitute products or services, bargaining

power of customers (buyers), bargaining power of suppliers and intensity of competitive

rivalry. All these competitions will affected company environment to change.

3.1 Threat of New Entry

The threat of power is affected others competitor ability to enter the industry. If competitor

had much cost and ability, they will investment to the market easily. But the capabilities are

depend on what industry them entry. The competitors are unable and difficult to entry the

construction industry like JP Nelson doing now. Because there required a lot of capital on

investment. For example, one 14meters boom lift need few thousand dollars to purchase, and

not only purchase one unit machine, but is few units machine to emerge the market demand.

The business just can get back the return on investment after few years. Beside to purchase

machineries, training needs to carry out for the workers who perform the operation job. The

training courses are long term projects, and it will include some of the cost.

3.2 Threat of substitute product or service

This threat is enable or give opportunities to customer to find the others way to do the same

thing. If the company provide a different and special product or service, that would not easily

substitute by the customers nor suppliers because the unique is created and significant for

the company. For JP Nelson, the threat of substitute product or service is not easy and

invisible from their customer. Because there had a group of experienced who’s in engineering

and technology. They are expertise on technology and technical skill in machines knowledge,

like they use a specialist programming


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