Making Effective Operations Plan Copy

Making Effective Operations Plan

Business Development Plan

Operation Plan in BP 1

Why do we need Business Plan

All the work you do in thinking up youridea, testing it, studying it, and producingit, has been for nothing if you cant sell it.Whether you start you own business toproduce and sell your invention,subcontract out the manufacturing part,or sell your rights in return for apercentage of the proceeds, you need abusiness plan.

- Pamela Riddle Bird, PhD, Inventing For Dummies

CEO, Innovative Product Technologies, Inc.


Why do we need Operations plan

To Decide Product or services designs

To Decide the transformation process

To Decide quality standards and quality policy

To Decide Capacity needed

To Make location Decisions

To Decide layout decisions

To Decide Human resources and job designs

To Decide Inventory managements Practices

To Decide Aggregate Plans about Operations

To Decide Maintenance Plans


Strategy Planning Process


Marketing

Decisions

Operations

Decisions

Fin./Acct.

Decisions

Company

Mission

Business

Strategy

Functional AreaFunctional Area

Strategies

Business Plan Overview

Title Page

Table of Contents

Executive Summary

Synopsis

Narrative Mission Statement and Goals

Company Overview

Products and/or Services Plan

Marketing Plan

Operating Plan

Financial Plan

Appendix of Supporting Documents


Specialized Plans within the Business Plan

Products and/or Services PlanDescribes the product and/or service to be provided and

explains its merits

Marketing PlanDescribes the user benefits of the product or service and

the type of market that exists

Management PlanDescribes the new firms organizational structure and the

backgrounds of its key players


Specialized Plans within the Business Plan

Operating Plan Offers information on how the product will be produced or a

service provided, including descriptions of the new firms facilities, labour, raw materials, and processing requirements

Financial Plan Provides an account of the new firms financial needs and

sources of financing and a projection of its revenues, costs, and profits Pro forma statementsReports that project a firms financial

condition

Operation Plan in BP 75-7

Operational Plan in BP

Products

Explain what is your product/s or service/s Physical attributes

Explain about pack Sizes/servicing sizes

Explain features/Composition of services



Transformation Process

Explain how will value added by the organization.

Use Process Charts

Explain the process as batch processing or continuous processing

Explain the process as manual, semi-automatic or fully automatic.

Explain the reasons for selection as above in line with corporate strategy.

Explain the key equipment's needed for the process.

Explain how will the company acquire technology.



Quality Policy

The firms view on quality

Dimensions of quality for your product

Who are responsible for quality?

How is the quality measured?

Will you use statistical process controls?

Quality certification as ISO 9000, 14000, 21000 etc



Capacity

Estimate your forecasted sales short term, medium term and long term.

Decide your capacity building plan

Explain the proposed design Capacity, effective capacity and efficiency

Carry out Break even analysis

Form a plan for under and over capacity situations.



Location and Layout Plans

Cost Focus or Revenue Focus

Identify country, region and Site for the business

Identify the Layout strategy considering

- Efficiency of operation

- Higher utilization of space

- Improved flow of Information

- Improved customer interaction

- Ambience etc.



Inventory Management Plan

Plan the Raw Materials, Packing Materials, Utilities, required.

Explain specifications of the materials

Identify storage requirements of the materials

Identify the suppliers and lead times

Decide the Inventory policy and reorder points



Human Resource Plans

Decide how many people are required?

Identify the knowledge and capability requirements for the operations.

Plan the job designs and responsibilities in transformation process

Prepare the policy to retain critical human resources required for operations.



Aggregate Plans

Prepare aggregate plans as per the forecasting.

Evaluate the overtime possibilities, cost as well as qualities to meet demand.

Evaluate the options of sub-contracts.

Evaluate Inventory policies and lead time policies to adjust aggregate plans.



Maintenance Plans

Identify the preventative maintenance schedule

Explain parts requirements for the maintenance

List the equipment's and tools needed for maintenance

Identify if any trainings are required to maintain the machines if yes, plan the training schedules.

Plan the unscheduled breakdowns handlings.

Plan the proper records of the maintenance and maintenance personnel.


Factors for considerations

Do not plan monopoly competition is bound to happen.

Identify critical success factor of your business

Ensure that the functional strategies are in line with corporate strategy.

Identify the limitations of the resources, technologies, capacities etc. (i.e. aspects of operational plans).


Factors for considerations

Ensure your plan is fact based and supported by data.

Analyze the risk associated with the business.

Use simple language avoiding technical jargons

Do not overwrite

Use annexes for the charts, blue prints, drawings, machine specifications, raw material specifications etc.


Making Effective Operations Plan Copy

Documents

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