How to Create an Operations Business Plan

An operations business plan focuses on the logistics of a business and answers any question a lender might ask that starts with "how." Logistical details are the meat of an operations business plan, such as physical location, production equipment and production process. Operations business plans are often long because so much detailed information is necessary. The plans also include charts and graphs to present large amounts of information quickly.

Instructions

Difficulty: Moderate

1. Describe each step of the intended production or service provision process, from start to finish. List what regulatory and legal elements factor into the process, what regulatory bodies you must answer to and what processes are required for day-to-day operations. List intended suppliers and what is needed when from each. Detail how the suppliers make deliveries, their delivery time intervals and costs. Provide details about any back-up processes and suppliers. Detail the intended quality control and customer feedback process.
2. Follow up with a description of where you are in the start-up process. Cite what is already accomplished and what needs to come next to get up and running. Flesh out any details left unmentioned in Step 1. Include business risks along with regulatory, quality control and supply details.
3. Detail the day-to-day work flow, such as hours of operation, physical locations including blueprints, engineering specs and legal documents like leases and deeds. Include ventilation, parking and any safety related areas not specifically designated as production areas. Detail the equipment you have, the equipment yet to be procured and the cost of each item. Describe any raw materials you need, including delivery, storage and inventory procedures. Also include plans for warehousing and distribution of the finished product.
4. Include the financial side of each detail you set out so that the presentation provides the bottom line information that is key to those reading the business plan. The cost factor of each detail influences investor's decision to fund you or not.