Business Plan Preparation Frank Moyes Leeds School of Business University of Colorado Boulder, Colorado Operations & Development Strategy
Tonight Chalk Talk presentation Set dates for: Financial Projections Model workshop Marketing Plan workshop Operations Plan Development Plan Team meetings Review Plan status Operations & Development Strategy
Next Week Financial Plan Financial Projections Risk Customer acquisition costs In the Fire – customer survey results Operations & Development Strategy
Business Plan Elements Executive Summary Company Overview Product or Service Description Industry and Marketplace Analysis Marketing Plan Operations Plan Development Plan Management Financial Projections Offering, Funding Requirements, Valuation Operations & Development Strategy
Operations Strategy Operations section describes the inputs, processes, procedures and activities required to produce goods or services Operations How gain a competitive advantage Operations that add to your value proposition Supply chain analysis will help write this section Operations & Development Strategy
Scope of Operations In-house vs. subcontract What is key to the success of your business – core competencies Consider: Production Product development Order fulfillment Customer service/Tech support Warehouse and shipping Installation Warranty service & repairs Operations & Development Strategy
Operations Analysis (Walk an Order) Pre-purchase Contact points Purchase Customer support Fulfillment Joint Ventures/Partnerships People Logistical Plan & Equipment People requirements Systems & Technology Inventory levels Information requirements Operations & Development Strategy
Ongoing Operations Identify key vendors, suppliers, strategic partners Describe the arrangements Price agreements Determine manpower requirements Provide a layout of the production or service process Determine inventory levels to support marketing Identify key performance indicators Operations & Development Strategy
Production/Service Capacity Determine production/service capacity required based on sales forecast Type of facility – size and type of space (office, labs, production, warehouse & shipping) Location Capital assets (equipment, vehicles, buildings, fixtures, computers & software) Operations & Development Strategy
Development Strategy What must happen to succeed? Describe key events that must take place with completion dates Product & process development Intellectual property Key agreements Market & beta tests Marketing actions Key hires Operations & Development Strategy
Development Timeline Operations & Development Strategy Source: Steve Lawrence