Plan of operations



Accelerate your business with these expert tips on "Plan of Operations". Analyse and discover this TIP!

Remember that the main success of your business project is not based on your business idea but on how you are going to EXECUTE it, on how you are going to put it into action, the important thing is the path you define to put your business idea into practice.

The content of the Operations Plan focuses on "how to do it" and "with what to do it". Therefore, the Operations Plan will have to do with the correct administration and management of the resources necessary to produce the goods and services efficiently, on which the business idea or business project is based.

In case the business activity is directed towards the development, production and marketing of the product, a technical description of the product will have to be made, starting with its definition, its design and its production process.

If, on the other hand, your business is based on the provision of a service, a technical description of the procedures, technical requirements and, where appropriate, documentation to be considered when providing the service will be required.


  1. Define the most suitable production processes or production of services, as well as the logistics for manufacturing, marketing or providing services.
  2. Define and assess the material and human resources necessary to be able to carry out the above processes correctly and efficiently.

As mentioned above, if your business is about developing a product, it is advisable to clearly describe the sequence of tasks adding value to the process with an identification, at each stage, of the input (input of the task) and output (output of the task). If the process is complex, it is advisable to accompany the description with a graph showing the sequence of tasks and stages of the process (activity flowchart).

Processes, whether product or service, can be subdivided into required activities or tasks that will constitute the "how to act" of the business idea or business project.

Its representation can be done by designing a process map: a set of interrelated activities and tasks that transform input elements into output elements providing added value.

It is a value diagram, a graphical inventory of the main processes, which can be subdivided into: strategic and key processes, and secondary or supporting processes of a project and the overview of the management system. It can also be represented through an infographic or a flowchart.

The process map provides a global perspective, positioning each process with respect to the value chain.


Strategic processes are the ones that define how the business operates and how value is created for the customer/user and for the organisation, they are the ones that provide your competitive advantage (+).


Support processes are those that support the key processes. Without them, neither the key processes nor the strategic processes would be possible. At key CANVAS resources (+) we have identified them.


Key processes are those directly linked to the services provided. They constitute the value-added sequence of the service, from understanding the needs and expectations of the customer/user, to the delivery of the service.

The definition of key processes is the most delicate stage of process management. The aim is to determine the key processes of the process map by drawing up a Flowchart, which identifies the sub-processes and activities into which the key process under analysis can be divided.

As you have learnt when designing your CANVAS model, the KEY ACTIVITIES (+) are the set of actions that commit resources and time and that need to be carried out in order to generate a result and achieve the objectives proposed in the project. It is particularly important to identify the activities because the resources required to achieve the result can be estimated around them.

The information to be included in the Business Plan (+) is very different depending on whether the business in question manufactures a product, distributes a product or provides a service. In short, should be described in detail, with a plain language and simplifying technical detailshow you are going to get your product or service to the customer and satisfy them.


  • Process description: which will include a basic description of the process for carrying out the activity.

It should be a description understandable to a non-specialist reader. If it is considered desirable to develop a description with a stronger technical component, it would be appropriate to develop an annex to the plan with these details, and to direct it from this chapter.

  • Plant and equipment: If the project or business idea is about a manufacturing process, in this sub-section it will be necessary to describe where the plant will be located, and it is advisable to include a layout plan of the plant, as well as its installations, machinery or necessary equipment, and the definition of the initial purchasing policy to be followed. Another relevant aspect is the need or not for a fleet of transport vehicles and their characteristics. If it is an office and not a factory, it would also be interesting to describe its location and equipment in this section.

In the case where the project or business idea is limited to the production of a product, the production capacity will be a key aspect to identify the income generation potential of the business initiative. Production capacity is defined as the maximum quantity that can be produced, or the maximum number of services that can be provided in a given period of time.

Production capacity is linked to various constraints such as the sheer technical capacity of a plant or equipment, the number of people available to do the work, the maximum storage capacity or the experience curve.

In order to know the production capacity, it is necessary to analyse in detail the entire flow of the processes involved, to whatever extent, in production (also valid when talking about the provision of services). For this reason, we recommend working with visual thinking techniques to devise a process map that reflects the main and secondary activities of the value generation process of the idea or project, including the key and support processes of the main and secondary activities, as well as the time period corresponding to each one of them, the personnel involved in it or even, if necessary, the internal documents that operate in each phase.

In the case of a service provision, where there is no handling or production of goods, this task is simpler. Notwithstanding the above, a very important activity must be developed, such as the forecasting of customer demand, so that there are no incidences in the execution time of the service, which would seriously affect the success of the business, especially in its initial stages.

As we have already mentioned above, in this case we could work with a tool from the "visual thinking" technique called Customer Journey or customer map, in which, in the form of a flow chart, we design an itinerary of the key moments and places through which the customer "travels" (it could be through a physical channel, for example a food shop, or through the online channel, for example a website), from the moment they contact us, at the first moment, until we finish providing the service completely.

This customer map, in projects or business ideas that are related to the provision of a service, whether physical and/or online, will serve a dual purpose: on the one hand, it will help us to design the pathways of the core and support processes involved in service delivery and determine how value is added to these processes, and on the other hand, it will also be useful to to design the points of friction and attraction that we will have as a company, with respect to our clients and/or users. It is a tool that will provide information on how to improve the development of service delivery and value addition.

It is also necessary to identify the energy supply needs to ensure the production process. In fact, this must be done together with the forecasts for raw or auxiliary materials. Depending on whether the energy supply is electricity, or whether fuel is required to be stored, the estimates are different.

Quality control is a key aspect in any production process, although it is particularly important in manufacturing processes as well as in service companies, The quality requirements of customers are becoming more and more demanding and companies, regardless of their sector of activity, should not ignore them.

In principle, quality controls should ensure that products or services are delivered to the standards set internally. However, there are international quality standards (e.g. ISO standards) to which products or services can be subjected. These standards are sometimes required by customers, and in many cases they are a prerequisite for being considered as a supplier. For example, when contracting products or services, El Corte Inglés requires many of its suppliers to have the ISO quality standard.

Quality controls must be introduced throughout the entire production or service provision process.

Quality controls should not be limited only to the specific production process. The concept of total quality should cover all company processes (customer service, supplier control, etc.), thus affecting the entire business cycle.

Another sub-section that can be dealt with in this plan is that of health and safety measures, which are also a substantial element of the production process. These must be integrated into the whole process of defining and developing the production process.

The Minimum health and safety standards are strictly regulated by a comprehensive body of legislation. The prevention of occupational hazards must cover both aspects related to the company's workflow and processes such as the organisation of the company in charge of this function.

Usually, the safety requirements for an activity that does not use harmful or hazardous materials or substances, or that does not use dangerous mechanisms in its processes, are simple to comply with from a legal point of view. In other cases, it may be advisable to have an expert advisor to ensure compliance with all regulations and safety requirements of the production process.

The preservation of the environment is currently a key aspect to be considered in any production process. The extraordinary sensitivity of society to these aspects demands that great attention be paid to the environmental impact of the production process of the service provision, depending on the importance of caring for the environment, as well as the impact that any incident related to the environment could have on public opinion, ultimately on clients, suppliers, etc.

With regard to stock management of the products necessary for the production process, we can highlight that every business must have basic storage capacities for the location of the materials necessary for the production or provision of the service. The stock management policy is linked, on the one hand, to the maximum storage capacities, and on the other hand, to the costs associated with these products and their rotation in the warehouse. In principle, as a general recommendation, the minimum amount of products should be stored to ensure a smooth production process.

Stocking more than this quantity does not provide any additional benefit and has a significant impact on the profit and loss account. In fact, in the so-called 4.0 industry, there is a tendency to liberalise stock to unsuspected limits, as it is recommended to manufacture only what is known to be saleable, adjusting the production process together with the sale process of the good in question or the product. In the Business Plan and in this section, the basic aspects of these stock management policies should be included in terms of available and necessary physical space, key products to be stored, etc. of operations (deliverable).




Rate this TIP!

Click on the stars to rate

Rating "1" - Average " - Average5"

No votes yet, be the first to vote!

We are sorry you did not find it useful.

Help us improve this TIP!

Leave us a comment and tell us how you would improve this TIP


Jaime Cavero

Jaime Cavero

Presidente de la Aceleradora mentorDay. Inversor en startups e impulsor de nuevas empresas a través de Dyrecto, DreaperB1 y mentorDay.
Todos los Comentarios

Tabla de contenidos

  • mentorVIRTUAL: Soy tu mentorVIRTUAL. ¿alguna pregunta?

La respuesta tardará unos 20 segundos. Generando respuesta ...


Ir al contenido