On Operations—Delivering Customer ValueAfter Marketing, What?Some Operational IssuesSome Operational Issues (cont.)Slide 5Create an Operations PlanKeeping Things on TrackTo help you this quarter…Any Questions?On Operations—Delivering Customer ValueMHR 423Fall 2003After Marketing, What?So you’ve got a pretty good idea of how your business will achieve its revenuesYou even have a marketing plan that will help you achieve themBut how will you deliver the product? The meal? The customer value? The service?What does your business have to do to satisfy its customers?We call this Operations, for want of a better termSome Operational IssuesWhat are the key tasks that need to be done?Who’s going to do them?What about quality and achieving a quality standard all the time?How will your business use IT (information technology)?What training do your people need and who will give it?Some Operational Issues (cont.)Where will you make the product?Will you lease or buy the premises?Buy an existing factory?Outsource production entirely?Assemble only, manufacture nothing?What equipment will you need?Do you have all the know-how and expertise you need?Would you license any technology?Hire any consultants?Some Operational Issues (cont.)If producing a new productIs there a proof of concept?Have you built a prototype yet?Is there a production model designed?What quantities must you produce?Will the product need packaging? Distribution?Do you have an accounting system in place, e.g., can handle A/R and A/P?Create an Operations PlanFor all non-marketing/sales activitiesIdentify the major tasks that need to be doneEstimate the cost and duration of each oneCREATE AN OPERATIONS PLANIf your product is a high-tech productThen you also need an R&D PlanDiscusses what you must do to produce the next generation of product—activities, with estimates of duration and cost for each oneKeeping Things on TrackAs you both write and implement your business planWhat things will you measure to know that you are “on track?”Such minimum things asSalesCash flowCustomer satisfactionCash flowTo help you this quarter…You will not have to write a section on Operations Plan in your final business planI want you to do fewer sections but do them very wellHowever, you will have to briefly mention Operations in your Executive SummaryAny business plan you do in the future must address this important topicAny
View Full Document
Unlocking...