Operations management is not the most glamorous function of your business, but having an operations plan is critical to the success of a well-structured business organization. Whether you’re a one-person show or an organization of thousands of employees, your plan will ensure your business is operating at peak productivity. Think of it as the “nuts and bolts” of your business structure.
Operations plans vary greatly depending on your business and industry. According to The Alternative Board, examples of operations you may need to include in your plan are:
Inventory:
How will you track, store, ship and acquire inventory? Your inventory needs to be stocked enough to feed the other functions of your business, but not overstocked to where you’ve tied up cash flow and are risking the loss of assets.
Distribution:
How will products or services be delivered to your clients? Depending on your business, you may need a warehouse and shipping partner account or you might need an online interactive platform. Whatever your distribution needs, your plan should help identify the most effective means of distribution that will minimize cost and maximize customer value.
Onboarding new clients:
The sales team is bringing them in, but do you have the operational plan to deliver on their promises? Flip the coin and make sure that your sales and marketing teams are knowledgeable about the onboarding and product or service distribution protocols so they can effectively communicate key elements to your sales and marketing funnel.
