Transcript The operational plan

THE OPERATIONAL PLAN
Objectives
 Operational is central to the allocation of
resources.
 It uses inputs from the marketing plan to
scale operations in order to deliver what is set
out in the marketing plan.
 Operational Plan should contain,
 Description of organizational structure including
organizational chart.
 Human resources: payroll and related costs
account for a large part of operational expenditure.
Objectives
 Operational plan is a spreadsheet includes:
 Most operational items
 Capital expenditure items
 Physical items, such as office space, plant and
machinery.
Objectives
Operational
Plan
• Main cost
driver
Marketing
Plan
• Revenue
driver
Legal form of business and
other formalities
 Legal form of the business:
 Sole trader (proprietary)
 Partnership
 Limited liability partnership
 Limited company
Legal form of business and
other formalities
 Legal form of business is important in terms
of control and corporate governance.
 Relationships between investors: by means of
shareholder agreements.
Formalities: This is what you need
to know to establish a new company
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Company formation
Location of registered office
Appointment of accountant and auditor
Appointment of company secretary
Registration of business
Membership of industry associations
Registration with the tax authorities
Registration of internet domain name
Establishment of company bank account and
payment facilities
 Registration of trade marks
Functional Structure
Board of
Directors
Sales &
Marketing
Production
Finance &
Accounting
CEO
Purchasing
Logistics
Human
Resources
General
Admin
Matrix Structure
Finance &
Accounting
Board of
Directors
CEO
Human
Resources
General
Admin
Sales &
Marketing
Production
Purchasing
Logistics
Human Resources Management
 Human resources issues to be addressed in the
business plan include:
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Appropriate staffing to cover shifts, holidays, illness.
Span of control, how many managers per staff.
Salary levels.
Are trained staff available or do staff need training.
Continuing training.
Recruitment costs.
Staff turnover.
Employment legislation (working hours, work
environment, health and safety, pensions,
redundancy).