We have tackled your core product and service, your audience, your competition and value proposition. All this is usually encapsulated in marketing. The next natural progression is how you will deliver your service or product.
Inteco is currently refining its operations. We are defining how we do things especially eternally. If you are completely starting off then it’s a good idea to have a broad understanding of how you will do things. This element in the business plan is very business sensitive. I could tell you look for a location where resources are available but that may not be a priority to you. However, compare the cost of the decision and the opportunity cost that the alternative holds. A manufacturing based business for example been close to resources is key because it cut downs transportation costs.
I believe all that will probably take you a day or to two to calculate. If you need to know about the taxes counties have that information readily available to you. Most government departments now have websites. It is all about keying in the words and all that information is available to you.
What usually takes time to refine and get just right is the processes that your business shall use. How will the work flow? Who will be in charge of that? What skills do they need? How will you store records? What risks does each process hold? How will you mitigate them? What are your checks and balances? What systems will you put to alert you when pilfering is occurring? How will you communicate with employees?
At this juncture you may mix operations, management and human resource into one as they are co-dependent. Is it still important to have all these processes when you are a one man show? Yes. Definitely. You and your business are not one. You are two different entities. With that said right now you are its biggest asset. Without you the business shall collapse. However, for it to be successful business you will need to hire people. These people need structure. Processes enable the business to run without you been there. At any one point everyone (including you) knows what is expected of them.
As you grow from one person to two to three and eventually 50 your processes need to grow with you. Do not wait until you have 50 employees and then start thinking ok so what do all these people do? Imagine a hospital without processes. Would you be comfortable going there? They do not have a system of collecting your information. They do not have a pharmaceutical inventory system so the drugs that you may require are not available. They cannot buy anymore because their money is tied in stocks. Plus they have no debt monitory system thus debts have grown out of proportion. This means that suppliers are not willing to supply the hospital with anything. Would you be ok to walk in a hospital where they have no floor plan? This will mean all desks can be unmanned. Nurses do not need to be at their stations since there is no accountability or process of checks? If you are not comfortable should your customers also be comfortable with your business that does not have processes?
Until next time.