How to Detail the Operations Component of Your Business Plan

You’re still in the process of collecting data for your business plan. Operations are vitally important. There are several steps you need to take to clarify them for your presentation.

Instructions

Difficulty: Easy

1. Explain how you’ll manage your business on a daily basis. Your management profile will present job titles. This is a chance to expound on what your people will actually do. Delineate specific job functions so that there is no finger pointing later if something doesn’t get done
2. Expound on hiring and personnel procedures.
   Where will you recruit? Are you going to draw upon alumni networks or place help wanted ads? Make sure that there is a training program in place with potential for advancement so that when somebody good is hired you retain her.
3. Present insurance, rental or lease agreements and other issues that are relevant to your specific business.
   Are you licensed to use the patents you need? This single issue is a bone of contention between Blockbuster and Netflix and has depressed Blackberry’s potential sales. Do you have the insurance in place to deal with the demands of your contractors? Checkmate Pictures has a contract to produce video for the City of Los Angeles’ Channel 35, but the city’s demands are more stringent than other government sectors, not just will city projects but across the board. I’ve had to adhere to those specifications from the moment I signed a contract with the city.
4. Inventory the equipment you need to produce and deliver your products and services.
   Do you have what you need? When will you require additional gear? How will you source it? Break it down between rental, lease and purchase, discussing the financial advantages of why you are doing each.